Whether you are selling or buying homes for sale in Bellevue, WA, knowing what is happening in the market place is crucial. This is why I continually update the market reports for Bellevue, WA real estate & Seattle, WA real estate. Arming yourself with knowledge like days on market, the average and median sold price and percentage of list price can help you immensely. As a seller, you know what Bellevue, WA homes for sale are actually selling for price wise. This helps you pick the market appropriate list number. As a buyer, you get an idea of what you may spend in the area based on the sold prices for homes for sale in Bellevue, WA. So what is expected to happen in Bellevue, WA real estate & Seattle, WA real estate for 2018? Let’s see what the folks at realtor.com uncovered based on the economic growth indicators and historical data!
The new proposed tax reform
This could change everything! Currently, and thankfully, the jury is still out. If a version of this tax reform does come to pass, we can expect to see declining home prices and less homes for sale in Seattle, WA. It is important to know that realtors all over, including Seattle, WA realtors, are fighting for homeowners across the nation right now.
Supply is supposed to catch up with demand.
Hallelujah! If you are a buyer, this is music to your ears. But don’t get too excited just yet. This isn’t expected to come to fruition until the end of 2018. The start of the year is expected to still be challenging for those looking to buy homes for sale in Seattle & Bellevue. However, thanks to new construction, we are going to see that tight inventory ease up thanks to new additions coming on the market. Now, if you are shopping on a budget, it is important to note that experts are expecting the higher priced homes to see relief first before it trickles down to the bargain buy homes for sale in Seattle, WA. Across the nation, anything $350,000 and up is considered a “higher price point”. However, for those of us in King County, our average sold price is $664,754. What this means for our buyers remains to be seen, but the hope is that since we have so many looking at the higher price points that they will see relief soon. Across the nation, prices are expected to go up before they come down and slow to a 3.2% year over year growth. As a seller, this means now would be a good time to list if you want to make the most money at resale. As a buyer, it means you have to hang tight for a little bit longer. Our recommendation is to start the process now. Align yourself with a qualified Seattle realtor and keep an eye on homes for sale in Seattle, WA that match your criteria.
Millennials continue to dominate the market
It seems like this last year, the focus was all on the millennial buyer. 2018 likely won’t be any different as they are predicted to make up 43% of the nations buyers. This past year (or so), millennials across the nation struggled to not only handle student loan debt but also take on a mortgage for homes listed at record high prices. However, thanks to continued economic growth and more inventory, millennial buyers are expected to be able to not only qualify for a mortgage, but not be limited to a starter bargain home as so many first time buyers are. Now, Seattle, WA real estate is a bit of a different animal due to rapid career growth and high paying tech jobs. There is no shortage of successful millennials. Part of the struggle in our neck of the woods was simply lack of inventory. However, this upswing could result in hundreds of thousands of new homes coming on the market, creating a rebound for years to come. If you are a millennial reading this, don’t wait. Mortgage rates are expected to hit 5% by the end of 2018.
The South is where it is at
Seattle is still forecasted to be the hottest housing market for 2018, however, we have some competition. The Southern states are expected to beat the national average this next year with a 6% growth compared to the national 2.5%. The South dominating real estate is not news. Like their weather, these markets have been hot for a while. In fact, it seems someone is always moving to Austin thanks to great employment options and a large house with a big yard at a fraction of the cost compared to markets along the West Coast. With low costs of living, strong economic growth and warm weather, buyers have been snapping up luxurious homes for a great price point for a while.
Whether you are buying or selling in 2018, it is so important to work with an experienced Seattle, WA realtor. The first half is kicking off with increasing prices and record low inventory. While buying in the winter usually sees less competition for buyers, we have overflow from the folks that couldn’t get into Seattle, WA homes for sale. For more information, give me a call. I would be happy to advise!