SEATTLE — There’s some good news for people looking to buy a home in the greater Seattle area.
A new Redfin report shows housing prices are starting to come down.
According to Redfin, in Seattle roughly 1 in 4 homes for sale cost less than they would have a year ago.
“With home prices coming back down to Earth it is amazing for home buyers. Right now in my personal opinion is the best time to buy,” said real estate agent Ali Samael.
According to a new Redfin report, home prices are falling fastest in pandemic boomtowns and expensive coastal markets like Seattle.
“It's more of sellers coming out into the market thinking they're going to get top dollar like people were two years ago and now being more realistic with their pricing,” Samael said.
According to Redfin’s analysis, in Seattle, 23.6% of homes for sale have lower monthly housing payments than they would have a year ago. Redfin notes home prices are coming down to offset rising mortgage rates.
“The same person that was qualified for a $1 million home now only qualifies for a $800,000 home. The buying power is less therefore housing prices have to drop as well,” said Samael.
Nationwide, median home prices fell 3.3%, the biggest annual decline in a decade, but that doesn't mean it's affordable. According to Redfin, the median home price in Seattle is $740,000 nearly double the national median.
Even though interest rates are slowly starting to improve, homes are staying on the market a little longer.
“Average days on market right now you'll find a home anywhere from 50 to 70 days. If it is priced right it will sell much quicker. You'll find homes still selling in the first week because they’re priced more aggressively,” said Samael.
Even though we are seeing a drop in prices there are fewer options as some homeowners are hesitant to sell. Samael said especially those who bought a home during the pandemic and locked in a mortgage rate of around 2% to 3%.
Samael’s advice for homebuyers, especially first-time home buyers, is to shop around when it comes to lenders.