Market Report - March 2021 Snohomish County
Welcome to the Spring Selling season and the hottest sellers market we have seen! Be sure to watch my full video as I share with you the key insights on what is happening in our markey, and how it affects you as a buyer, a seller or simply as a homeowner.
Let’s jump into the numbers.
The average sales price is now $607,000 in Snohomish County for a single family home. This is an increase of 12% year over year and is a huge jump from 4-5 years ago. If you are looking for a home in the $400s or $500’s you can expect to find very few options available, and to have significant competition on each home you offer on.
New listings are down 5%, which is not a big decrease, but overall there are slightly less sellers putting their homes on the market. This may change as we get closer to Summer, and since many sellers delayed selling in 2020 with the COVID lockdowns.
Homes for sale are down 45%, meaning there are dramatically less options to look at if you are a buyer, and little to no competition for your home if you are a seller.
The average days on market to sell a home is at 18, and the median is at 6. We are seeing most homes that come on the market right now having an offer review date, which means the seller is listing their home and waiting a certain amount of days (typically 4-7 days) to review offers.
Our months of inventory supply are at 0.8, meaning if no other homes came on the market today, we would sell out of homes in just over ¾ of a month's time. Most major economists agree that a 6 month inventory supply of homes represents a neutral or balanced market, that is neither in favor of the buyer or seller. It could take years to get back to this level.
So what does this all mean?
As a buyer:
Expect to have a lot of competition on most homes. I’ve seen as many as 30 offers on a home in the past 30 days. When 30 people offer on a home, 29 miss out on it
You need a solid game plan on how you are going to win a home, and those strategies need to consider your earnest money, your inspection strategy, your financing strength, your ability to cover a low appraisal and many other variables
As a seller:
If you have had ANY thoughts of selling, this is your opportunity to go. List and list now before more inventory hits the market (and we all know that is coming as we approach Summer)
Your marketing strategy and presentation to the market still matter if you want top dollar. Yes your home will likely sell no matter what right now, but there is a huge difference between selling, and selling for the most amount of money possible
As a homeowner:
Enjoy the benefits of a rapidly growing amount of equity you have in your home
Keep tabs on your neighborhood as homes are selling and see what they sold for. You can always email me at mike@novakteam.com if you are curious about what a home in your neighborhood sold for
One of the questions I am getting everyday is when will housing prices drop, and the answer is not an easy one. While I don’t have a crystal ball, I do know that home prices first have to stabilize before they would ever drop, and that until the inventory supply level goes up to 3+ months you likely won’t see those prices flatten.
As always, if I can help you in anyway, please reach out to me direct. I personally respond to all of my emails, and would enjoy connecting with you on your real estate questions.
Mike Novak
mike@novakteam.com
(360)-393-0396
