Market Update — July 2022
With the data from June 2022 in, let’s go over some key aspects of the market. The data is collected from Northwest Multiple Listing Service (NWMLS):
Median price: The median closed price for residential homes and condos increased by 10.4% year over year (YOY) to $650,000. Since our buyers typically buy properties in King, Snohomish, and Pierce Counties, here’s the YOY median closed price increase in these counties:
King: 12%
Snohomish: 21.7%
Pierce: 16.7%
New construction: 763 new construction homes were sold in June 2022. The median sale price of new construction homes was $756,650, which is up by 11.7% since June 2021.
Months of inventory: At the current rate of sales, it’ll take 1.48 months for every listed home to sell. This number was 0.58 in June 2021. To put these numbers in context, note that the months of inventory for a balanced market is considered to be 4 to 6 months. This underscores the persistent shortage of supply relative to demand.
Homes sold: 9,047 homes were sold in June 2022. This translates to a dollar value of $7.25B.
New listings: 14,223 new listings were added to the NWMLS database. This is an increase of 8.5% from June 2021.
Compared to a year ago, we see a healthy jump in inventory, double-digit drops in both pending and closed sales, and the smallest year-over-year (YOY) increase in prices since June 2020.
What does it mean in practical terms? The data shows signs of creating opportunities for buyers. In my own experience, for the first time in a few years, I see now my buyers are able to ask for a (minimal) price reduction, which would have been unthinkable for the most of 2020 and 2021.
