Real Estate Market Update
Updated December 4, 2019
Interest rates remain very low and our market here in Tacoma remains a seller’s market with inventory low nearly across the board. As is typical, the extreme upper end shows less of an inventory problem. But even in the $600K to $700K range we are seeing a large number of pending sales compared with a small number of actively listed properties. It isn’t until you crest that $700,000 plateau that things start to open up for buyers. There is by no means a lot of inventory in that range, but there are very few pending sales, so less competition. In fact there are only 4 pending sales in north Tacoma over that mark at the moment.
Matt and I just listed a home in that highly contested $300K to $400K range and it had 8 offers and was bid up well over asking price with a waived inspection, all cash! So, yeah, that is still happening. :/
North Tacoma Pending Percentage – Single Family Homes
Pierce County as a whole looks a lot like the north end. The hottest price range here is the $200K to $300K. Nearly 300 pending sales compared with just 74 homes for sale. Not a fun price range to be hunting if you are a buyer.
Pierce County Pending Percentage – Single Family Homes
Here is a ski slope to explore. Double black diamond.
And you need a chair lift for this one.
The next downturn in the economy, if I had to predict, will not be real estate driven like the last one, will not contain the element of bundled mortgages, nor a wave of foreclosures. I think we will eventually level off and, worst case, see a modest decline in property values. I don’t think that will happen right away. Too many people are priced out of Seattle. Looking at 2020 right now, we might just see another 11% of value appreciation like we saw in the past year.