Seattle home price growth is nearly double any other U.S. city

The Seattle area has now been the hottest real estate market in the country for 11 straight months.

Seattle has been leading the country in home price increases for a while. Now, no other region is even close.

The Seattle metro area saw single-family home prices surge 13.5 percent during the 12 months ended in July, according to the monthly Case-Shiller home price index, released Tuesday.

Portland was second, with 7.6 percent growth.

Yeah, but no one wants to live in Seattle because of the weather…

There’s a ton of new apartment construction. I can literally count 8 cranes within a few blocks of the park. The only meaningful volume of SFH home constructions is out in the suburbs. I think prices will taper off now that HQ2 will get most of the Amazon growth. Other companies here are growing, but Amazon has been the biggest contributor.

Tech drones don’t care about the weather… They are indoors 24/7…lol

2 Likes

This seems a good condo in South Lake Union. Why is it not selling?

What’s the market rent for this? $3000? Could
be a good AirBnB for Amazon visitors

https://www.redfin.com/WA/Seattle/1504-Aurora-Ave-N-98109/unit-108/home/53498?utm_source=myredfin&utm_medium=email&utm_campaign=ios_share&utm_nooverride=1&utm_content=link

Seattle is now Bay Area North.

I think rent would be less than $3k. It’s only 1.5 bath which makes it less popular for roommates to share. There’s not many condos in that area. It’s mostly apartments. Young people in Seattle see no reason to buy. They don’t see it as a sound financial decision. They wait until marriage and maybe even until kids. I’m trying to think if I know a coworker workout kids that owns. I can only think of one, and he buys investment properties too.

This is a hot Queen Ann SFH. Will it sell way over asking?

https://www.redfin.com/WA/Seattle/1508-Galer-Pl-N-98109/home/134699?utm_source=myredfin&utm_medium=email&utm_campaign=ios_share&utm_nooverride=1&utm_content=link

It should go for over $1M for sure. The lot is tiny, but that’s a desirable area. It’s very hilly, so even larger yards might not be usable. I don’t think the small lot will hurt the value much.

Huge deceleration in Seattle.

The total number of single-family homes on the market jumped an eye-popping 43 percent in June from a year ago across King County, the biggest increase since the housing bubble and burst a decade ago. Condo inventory rocketed up 73 percent.

Interestingly, the reason is that homes already on the market are sitting unsold for longer, as opposed to a flood of brand-new listings, according to monthly data released Thursday by the Northwest Multiple Listing Service.

I heard from multiple realtors the inventory was really low in spring then it increases later than normal years. I do wonder how much is related to the huge property tax increases. Most people got a 17%+ increase in their bill.

because of lack of salt?

That’s a non-issue here. There’s no state income tax. It’s because of ballot measures and no prop 13 protection. Most houses I looked at were clearly lived in by older people. Rapidly increasing property taxes is a killer.

Umm, i think normally property taxes are deductible from federal income, too, as part of salt.

They are but not many people here would hit the $10k limit.

1 Like

Same issue in Austin. Notice an abnormal increase in listing as compared to last year, many elderly retirees are selling. Also those with a high mortgage loan is struggling, they can’t afford to pay increasing property tax… the last few years, yearly increase is pretty high, 15-20%.

1 Like

whoa that’s a lot.

Previously is quite low. Three years ago, the city starts jacking up the assessment, kind of catchup with the fast rising property value. They found a trick. Appraised value = land cost + improvement. Previously, city kept the land cost at some nominal value, say $50k, regardless of the size of the lot. They try to increase the appraised value of the improvement which is a depreciating asset. Now, city jacks up the value of the land yearly, say, from $50k to $100k to $150k, meanwhile, the appraised value of the improvement has gone down.