The Case Shiller Indices have Seattle sitting at number 1 in home price increase in the country. We covered the national story last January when the city of Seattle tied the home price increase. After looking at the Case Shiller Index data this January, Seattle is now officially on top of the country for home price increases.
Many local Seattle metro residents have felt the burn of price increase in the region. Rent prices are projected to increase at a quicker pace than anywhere else in the country this year as well. While growth in the local job market is bringing in plenty of new people, many long term residents are feeling forced out of the city. Pierce and Snohomish County are currently ranked number 1 and 2 for “people moving in-compared to moving out.” Puyallup, Old Town Tacoma, Bonney Lake, Bothell, Mill Creek, and Lynnwood are the cities that have experienced an explosion of growth.
Most Seattle buyers are looking in the $500,000-$800,000 range but inventory is at an all-time low. Out of state buyers are shocked to see what their money can get them in the local market but this hasn’t slowed down growth.
Real Estate experts have given conflicting predictions about the future state of the market. Some believe we are on the cusp of a housing bubble and headed for some what of a slow down or crash. Others believe that the local market is set to continue this trend of rising. Currently, buyers are frustrated with competition in the market and multiple offer situations are becoming the norm. Buyers are advised to get their financing ready and practice patience before they pursue homes.