“How’s the market?” As real estate agents, that is often the first question we are asked, and it’s a fair conversation opener. Indeed, we are all interested in the market.
As real estate professionals, we like to put concrete facts into our understanding of what’s happening with the market and therein lies the reason that Jim and I compile our own statistical data on a weekly basis.
Every Monday morning Since June of 2010 we have downloaded 69 files of market information from the NWMLS professional database and we compile that data into meaningful statistics that guide our understanding of the market. With a quick scroll through the resulting spreadsheets, we can see exactly what’s going on week by week – for years.
The market was deeply depressed when we began accumulating our weekly data in 2010, but we soon saw something that was being missed by most everybody – especially the news media. Homes were still selling!
In a similar fashion in the current market, we have been watching with interest as the news media reports the market slowdown. The market was running full speed ahead for the best part of 4 years, so the slowdown certainly has been news. But homes are still selling. In fact, the overall regional market in our area remains a “Seller’s market.”
A “Seller’s market” is defined as anytime the available inventory drops below 3 months. A “Buyer’s market” is when the available inventory climbs above 6 months. Anything in between is considered a “balanced market.”
Even with our recent slowdown, the available inventory throughout our region generally remains below 3 months. During the hottest times, the available inventory dipped as low as 7 to 10 days in certain areas, so in comparison, we have experienced a dramatic shift – but the market remains strong.
A chart showing the weekly values for “months of inventory” for the 2018 year to date for the Kirkland-Bridal Trails area has been included to better illustrate that our market has been and still remains a “Seller’s market.” Although we include only this area chart for this newsletter, it is indicative of what is happening throughout the King and Snohomish County areas. West Bellevue and Mercer Island each stand alone and are not represented by this chart due to their much higher price point in general.