The real estate market in Seattle seems to be a tale of two cities. We have the same problems with foreclosures and distressed home sales as any big city in the U.S., albeit Seattle foreclosures are not nearly as prevalent as those in boom/bust cities like Las Vegas, Phoenix, and Miami.
We also have new construction condos in downtown Seattle with slow sales, buyers backing out of contracts, even some buildings being converted to apartments. The over-supply of new condos downtown just can't be consumed--it seems so obvious now. Waterfront homes and luxury homes are particularly slow, as financing is becoming more available but the interest rates are still not as attractive as they could be in the luxury price range.
At the same time, we have pockets of red-hot sales, full price offers, and even bidding wars. I've written a lot about Ballard's single family homes, with median sales times being just a couple of weeks, and some homes selling above the list price. Many houses in Ballard priced under $400,000 are receiving multiple offers within a day or two on the market. Most first time buyers learn quickly that they're going to have to act fast in this market if they're going to get a house in Ballard at an attractive price.
In another hot spot, new construction condos in the University District are selling quickly and at full price. I've been following these condos with some clients. In the first two weeks that these condos came on the market, they've sold faster than anyone expected, without any discounts from the list price. While we wanted to make offers on two of those condos, they both sold at full price without concessions during the weekend. I believe they've sold out 10%-15% of the building in just a couple of weeks.
On Capitol Hill, we've seen some beautiful new construction with a bit more room to negotiate, but sales still strongly picking up in late summer. We've been able to negotiate some significant discounts in sales prices, more typical of the general market, around 5%-10% off the listing price.
It just goes to show you that even if it's a cliche, "All Real Estate is Local." If you're buying a house in Ballard, it's much different than buying a house in West Seattle. If you're selling a condo in the University District, it's much different than selling a condo in Belltown. It's all Seattle Real Estate, but if you don't know the truly local market, you may be swimming upstream.
Sam DeBord and Brian Wiegand
Seattle Homes and Seattle Condos for sale on SeattleHome.com
Seattle Waterfront Homes - RE/MAX Real Estate Brokers
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