The newsworthy real estate info this week is that Interest Rates are on the rise . It had to happen some time right? In this video, we get into what that means for Buyers today. What was on budget 2 weeks ago, may not be anymore.
Although rates are rising, they are still much lower than they were last year, so if you’ve been on the fence about Buying, you may want to get out there and take advantage of the rates before they go up again.
Sellers are still in a great position. Home inventory remains low, and we are seeing that most listings continue to have review dates, meaning they are expecting multiple offers.
If you would like to see more stats on the NW Seattle real estate market, visit https://www.brennerhill.com/more/seattlestats/.
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We hope you have a great week!
We understand that it is a confusing time right now. Each Monday, we will be sending out an update based on our experience over the past week to give you the NW Seattle Real Estate Market’s “Temperature”. We are getting real time updates from our Lender each week as well. We want to make sure that you are as informed as we are. Please don’t hesitate to give us a call or shoot us an email if at any point you have additional questions or questions that relate to your specific situation.
𝐴𝑛𝑑 𝑎𝑠 𝑎𝑙𝑤𝑎𝑦𝑠, 𝑖𝑓 𝑦𝑜𝑢 ℎ𝑎𝑣𝑒 𝑎𝑛𝑦 𝑎𝑑𝑑𝑖𝑡𝑖𝑜𝑛𝑎𝑙 𝑟𝑒𝑎𝑙 𝑒𝑠𝑡𝑎𝑡𝑒 𝘰𝘳 𝘥𝘰𝘸𝘯𝘴𝘪𝘻𝘪𝘯𝘨 𝑞𝑢𝑒𝑠𝑡𝑖𝑜𝑛𝑠, 𝑓𝑒𝑒𝑙 𝑓𝑟𝑒𝑒 𝑡𝑜 𝑐𝑎𝑙𝑙/𝑡𝑒𝑥𝑡 𝑢𝑠 𝑎𝑛𝑦 𝑡𝑖𝑚𝑒! 𝑊𝑒’𝑟𝑒 𝑎𝑙𝑤𝑎𝑦𝑠 ℎ𝑒𝑟𝑒 𝑡𝑜 ℎ𝑒𝑙𝑝!
Steve 📲 (c) 206-769-9577 📧stevehill@windermere.com
Sandra 📲 (c) 206-271-7100 📧sbrenner@windermere.com
🔗 Brennerhill.com
Video Transcript:
Hey Sandra, So what’s the big news over the last two weeks in real estate? we all know what was coming, it’s interest rates have gone up. So two weeks ago at 30 year fixed was 2.75%. And as of Friday, interest rates have climbed to three and a quarter percent. So, Hey, everybody, today is our Monday market update.
And it is week 51 of that. And yeah, you know, I was thinking about interest rates over the weekend and how that is negatively impacting our buyers. So we have clients who are looking in the $750,000 range. And now, with the interest rate jump up to 3.25%. That’s really a purchase price now of 700,000. So that’s a decrease of $50,000 in buying power, in just two weeks. So that’s, you know, that’s pretty significant, and probably a bit scary for buyers.
Yeah. It sounds very scary for buyers. But, homes are still more affordable than they were last year.
I know, I was looking at February 2020 and comparing that to February 2021, and last year the average sold price in Northwest Seattle, was $830,000. But the interest rate was 4%. So if you took that 830,000 average sales price at 4%, assuming a 20% down payment, that monthly principal and interest payment for that buyer would be $3,170. And in February 2021, the average sales price in Northwest Seattle was $877,000. But interest rates are at 3.25%. So again, taking that same scenario putting 20% down, their principal and interest payment is only $3,051. So…
So it’s less.
Yeah, like, 120 less.
120 bucks less
Yeah 120 bucks less that’s pretty big. But, so what has recently happened in Northwest Seattle? What’s happened this past week?
Okay. This past week in Northwest Seattle, it’s still very much a sellers market, with only 93 homes for sale. I mean, that’s just like nothing for a quarter of the entire city, only 93 homes for sale. There were only 54 new listings, 85% of those were vacant, and 68% of those houses had review dates. What does that tell you? that tells you that sellers know they’re gonna have multiple offers, and they’re waiting a specific amount of time to review them.
Right. Well, and that 68% would actually be higher if you kicked out the town homes. This is something that we’ve talked about in the past, that we’ve noticed that town homes, tend to not have review dates.
Right?
That number would be even higher.
Right. So, 46 homes went pending, with an average market time of only six days, seven homes went pending inspection with an average market time of nine days, and 46 homes sold with an average market time of 16 days on the market. 59% almost 60% of the homes sold last week, sold above asking price. So that’s just incredible.
Yeah. And it’s not surprising.
No.
And the sold price per square foot, has been going up week by week. And so this past week, it was at 557. So, you know, it’s a great market out there. For sellers and buyers, hang in there. Inventory levels will come up. Hopefully interest rates will just, you know hang out here at 3.25, it won’t go up any higher. But if you’re interested in other stats, visit our website brennerhill.com and you will find stats, on Northwest Seattle. Have an amazing week. Hopefully we’ll see some sun out there.
Have a great one everybody.