New 12 months, new me? In terms of unsold housing stock in Bothell and Kenmore, not fairly. As was the case a month in the past, the native actual property market is tight on stock — notably within the low- and mid-price ranges on the Eastside.
John L. Scott Redmond dealer Emma Mueller stated she’s seen “pretty important market tightening” since October.
“Lively Eastside rental and single-family residence listings dropped about 40 % from October to November, and we noticed an much more important tightening in December as lingering stock was picked over by consumers,” she stated. “For the time being we’ve got practically equal numbers of pending and energetic listings on the Eastside. Which means there nonetheless are properties on the market available, however you’ll discover lots of the out there stock have been on marketplace for greater than 30 days.”
Wanting forward, Mueller stated many sellers are focusing on March checklist dates, so she predicts consumers will see some aid on this stock squeeze then. She added that whereas stock is tighter than typical, there are nonetheless good properties available on the market, so actively monitoring and touring properties proper now’s worthwhile for consumers.
Mona Spencer, department supervisor for John L. Scott’s Redmond workplace, stated she foresees a aggressive housing market in 2020, given the shortage of stock and low rates of interest. She added that a residence’s location might include extra consideration within the years forward, attributable to local weather change.
“With our altering local weather, properties which might be in potential flood zones will develop into extra of a priority for location-focused consumers,” stated Spencer. “In high-risk areas, insurers might cease offering insurance coverage altogether, which can impression a purchaser’s capacity to acquire a mortgage. Additionally, consumers who’re buying land and have to depend on properly water may even have to rigorously analysis their capacity to drill for a properly.”
Given these concerns, Spencer stated it’s extra essential than ever for consumers and sellers to hunt illustration from professionals who perceive the intricacies of promoting and shopping for property.
Reflecting on the final two years, Mueller stated consumers domestically have raised the bar, which she doesn’t see altering in 2020, even when stock tightens.
“Sellers should regulate their expectations in making ready to promote their residence — to compete, sellers should sort out deferred upkeep and even tackle some bigger residence updating tasks,” stated Mueller. “Even then, it could nonetheless take greater than 30 days for sellers to get beneath contract. Fortunately, I predict the continued risk of contingent presents in 2020, notably for luxurious properties, which weren’t actually out there within the frenzied 2016 and 2017 markets.”
As we head into 2020, Mueller stated that although rates of interest and employment numbers are each constructive, the city core could be prohibitively costly to many consumers. She primarily works with renters and first-time residence consumers, and stated she’s been listening to from renters recently who’ve hit a stress level with their housing state of affairs.
“I’ve been getting calls from renters who’re seeing their 2020 lease renewals leaping up greater than six %,” stated Mueller. “Within the city core, rents are being impacted by new towers opening, bumping up costs even in buildings that aren’t making enhancements. 2020 would be the 12 months that some renters convert to homeownership just because a mortgage pencils out decrease than their rents.”