The Seattle home values have been growing extremely fast as of late, but appear to have started to slow down a tiny bit. Take a look at these current stats:
- In June, Seattle’s monthly increase was 1.8%, versus 3.1% monthly gain in May
- The year-over-year increase decreased by .1%, down to 11.8%
- The average home price in the Seattle area (King, Snohomish, and Pierce counties) is about 19% below the peak from summer of 2007
- The lower third of the market (homes selling under about $278) are 30% below the peak
It is possible that the combination of job gains, low mortgage rates, and low levels of inventory is the explanation for the sharp increase in sales prices, but now that 30 year mortgage interest rates are more than 1% higher than they were in May it is beginning to slow down. Its possible that it will continue to slow as investors exit the market, interest rates continue to rise, negative equity keeps falling, and builders ramp up so more homes come on the market.
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