More than one-third of the homes for sale in Seattle are at the high end of the market, according to new research, as it gets tougher for lower income buyers to get into the game.
Zillow reports 41.2 percent of homes on the Seattle market are on the more expensive side while 24.3 percent are entry level -- among the least expensive available.
"This year's home-shopping season is shaping up to be even crazier than last, and sadly, the group that will have the hardest time is first-time and lower-income homebuyers," said Zillow Chief Economist Svenja Gudell in a statement. "These buyers will be competing for the few entry-level homes on the market, which are also the ones appreciating the fastest because of extremely high demand."
Inventory in Seattle is down 16.1 percent over the past year.
Median home values jumped 14.8 percent to $492,227. Zillow says Seattle is the third-fastest market in the country for home value increase behind San Jose and Las Vegas.
On the rental market, the median rent in Seattle rose 4.7 percent to $2,208. Seattle is also the third-fastest market for rent increases behind Sacramento and Riverside, Calif.
Here are the five Seattle neighborhoods with the fastest rising home values.
Phantom Lake
Median home value: $902,615
Year-over-year growth: 25.7 percent
Downtown
Median home value: $758,542
Year-over-year growth: 24.8 percent
North City
Median home value: $554,364
Year-over-year growth: 24.4 percent
Bear Creek
Median home value: $568,605
Year-over-year growth: 23.8 percent
North College Park
Median home value: $681,606
Year-over-year growth: 23.7 percent
