Market News and April Seattle Housing Report
Reading this month’s press release from the Northwest Multiple Listing Service (NWMLS) felt a little like being on a seesaw: some things are going up, while others are on their way down.
Here’s a snapshot of the April data and our regional housing market:
GOING UP
· Mortgage interest rates (and thus buyers’ monthly payments)
· Inflation
· Gas prices
· Housing inventory in all but two Washington counties
· Home price growth (double-digit gains in nearly every WA county)
GOING DOWN
· Inventory in King and Jefferson Counties
· Pending home sales
· Potentially the number of offers per home, especially outside of King County
Despite the threat of rising interest rates, buyers haven’t cooled in their efforts to secure a home, especially in sought-after, in-city locations. I cannot stress enough the importance of talking with your lender now and taking steps to get preapproved and lock in your rate. If you don’t know a loan officer/lender and would like a referral to one, I will be happy to help.
"It may seem contrary to good news for prospective home buyers, but the increase in interest rates may have a positive side. We are seeing signs that the peak 'zeal' of the competitive offer frenzy may be leveling off a bit. While we might have seen 10 offers on an active listing, now we may see only five, or sometimes fewer," said Gary O'Leyar, Designated Broker/Owner at Berkshire Hathaway HomeServices Signature Properties.
Another positive side to buying now, despite rising inflationary pressures, is the ability to lock in your monthly mortgage payment on a 15- or 30-year fixed loan at today’s prices. "Owning real estate is a hedge against rising inflation. Homeowners with a fixed rate mortgage will always have the same monthly payment, even as other costs rise," explained Matthew Gardner, Chief Economist at Windermere Real Estate.
If reading these up-and-down statistics has your head spinning – maybe feeling like you already missed out (or may soon miss out) on attractive interest rates and sought-after housing, I’d like to help assuage your fears. If you’re assessing whether now is the right time to sell your home – or to stop renting or right-size your living situation – Iet’s collaborate to assess the pros and cons of making your move.
lara@lakere.com | (206) 240-5193
