Originally
published July 3, 2013 at 1:28 PM | Page modified July 3, 2013 at 8:57 PM
Last month was the third in a row the median
price topped $400,000 and the 15th straight month of year-over-year price
increases.
Seattle Times business reporter
The recession may have permanently hit
paychecks and the number of jobs available, but median prices for homes sold in
the Seattle area are approaching the peak hit six years ago before the housing
market tanked.
The Northwest Multiple Listing Service
reported Wednesday that the median sale price of a single-family home in King
County in June was $427,500, up 12.5 percent from the same month a year ago and
up 2.4 percent from May. That’s just $27,500 from the highest median price of
$455,000, hit in July 2007.
June was the third consecutive month the
median price topped $400,000 and the 15th straight month of year-over-year
price increases.
But the traditional summer buyer enthusiasm
has already dampened, says Tim Ellis, founder and editor of Seattle Bubble, a
real-estate news site.
“Sales dipped between May and June. The fact
there was any dip at all at this time of the year indicates cooling among buyers,”
Ellis said.
Another factor may be fewer homes for sale.
There were only 4,203 homes on the market last month, down 17 percent from last
June, while pending sales topped 3,000, up 11.4 percent from a year ago.
Seattle was the 10th-hottest market in the
country in May, with 46 percent of homes under contract within two weeks of
being listed, and 32 percent under contract in one week or less, according to a
report issued this week from RedFin.com, a real-estate company.
Mike Gain, CEO and president of Prudential
Northwest Realty Associates in Seattle, says with so many prospective buyers
out there, bidding wars have intensified. “Buying is not for everyone, but if
you’re going to be in the area for a long time, this is an opportune time,”
Gain said.
In Snohomish County, the median sale price for
a single-family home rose 13.2 percent from a year ago to $300,000. In Pierce
County, it rose 11.3 percent to $224,900. Kitsap County saw a 1 percent drop
from a year ago to $247,475.
Condo prices also rose in King and Snohomish
counties compared with a year ago. King County’s median price rose 11.3 percent
to $244,950. In Snohomish County, it rose 25.2 percent to $179,975.
The recent uptick in mortgage rates may be
pushing hesitant buyers off the fence. The 30-year fixed mortgage rate dropped
to 4.29 percent from 4.46 percent a week ago, Freddie Mac reported Wednesday.
The rate has hovered around 3.5 percent for
much of the last year.
Svenja Gudell, senior economist at Zillow.com,
a real-estate information site, said in an email the historically low mortgage
rates were not sustainable but that the rise is not necessarily bad news, nor
will it derail the housing recovery.
“We anticipate mortgage rates to continue this
upward trend,” she said. “But rates of 6 percent seem like a steal, considering
the average 30-year fixed rate over the past 42 years was roughly 8.5 percent,
according to Freddie Mac.”
MarissaEvans@seattletimes.com
Evans, Marissa.
"King County median home price up 12.5 percent from June 2012 | Business
& Technology | The Seattle Times." The Seattle Times | News, sports, weather, events in the Northwest. The Seattle Times, 3 July 2013. Web. 10 July 2013.
