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Spring forecast: hot housing market

10:00 AM PST on Thursday, March 8, 2007

KING Staff

TACOMA, WA. -   Home prices in Pierce County have hit a record high, and that’s setting up for a hot spring for home sales.

According to the Northwest Multiple Listing Service, the price of a home in Pierce County jumped in price 12 percent over the past year, to sell for $287,000.

By comparison, King County's home prices showed slower growth at 9 percent.  The median home price is still substantially higher at $430,000.

KING

Snohomish County is also 9 percent higher than a year ago, placing the average home price at $356,000.

This sets the stage for a hot spring market throughout Western Washington.

“Right now, a starter home, you're looking at a quarter of a million dollars, and that's just getting your foot in the door.   If it keeps going up, 5-10 percent, that’s a heck of a return on your investment.” says Tacoma homeowner Nikko Tanaka.  She’s selling her home on her own, instead of having to lose money on realtors’ commissions.

Seattle also remains a strong market.  Prices have risen 7 percent of the last year.  The median price is $440,000.

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