Kirkland Real Estate and the Return of a Normal Market

Kirkland real estate home prices and inventory levels are stabilizing, as indicated in recent statistics released by the Northwest Mulitiple Listing Service. Single family pending home sales (contracted but not closed) rose 16.7% in November from October levels and were up 50% over November 2010. 

The average sold price was lower, at $478,000, but that might reflect more activity at the lower end of the market. Inventory levels are down to 4.9 months based on closed sales, considerably less than November one year ago.

Pending sales for condos for November were down 5.7% for the month, but were up 50% from one year ago. However, this segment of the market was very strong in the spring and summer, so some softening was expected. The median condo price was up to $132,000, up slightly for the month, but down significantly from one year ago. Condo inventory levels, though, are down considerably to 6.9 months, less than half the level of one year ago.

As the market absorbs short sales and foreclosures, we are moving into more of a normal market in terms of activity and seasonality.  If next year plays out as 2011 has, we should sales activity and prices bottom out in February, then a robust spring and summer. With inventory low, we will most likely see multiple offers and homes selling above asking prices -- good news after several years of a depressed market.

Happy Holidays!

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Michelle Spohrer is managing broker with John L. Scott specializing in Kirkland and the Eastside. See her Facebook page here.