Monday, February 5, 2018 / by Lindsey Gudger
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So what does that mean for this year?
If you’re a seller, there has never been a better time to sell a home than right now. You have more leverage than you ever have or possibly will ever have. As a buyer, it means that homes are appreciating, and every single month that you sit on the sidelines, you’re missing out on at least a 1% appreciation. With the average purchase price being over $500,000, that’s a lot of money to miss out on. King County is currently at $562,000, which is 14.9% year over year.
Why does this happen? There are a couple factors that drive what we’re seeing:
1. Seattle is growing quickly. The latest report is that 53 new people move to Seattle every day, which means that there are just not enough houses to go around.
2. Cheap money. Interest rates are still nice and low, which means that getting out to buy a home and taking out a loan are still relatively easy to do.
It’s hard to say what this next year will bring. I can tell you that there’s no end in sight in terms of appreciation and growth for Seattle. We’re a super tech-driven city with many large tech companies moving offices up here.
We work with a lot of first-time buyers who are just waiting on the sidelines. Stop waiting. You’re not doing yourself any favors and you’re not saving yourself money. Get in the house—it doesn’t have to be perfect. There are a lot of things that you can change about a house, so get off the fence and make a decision. The sooner you do, the sooner you can collect on the rising appreciation and begin building wealth. It is, after all, a vast majority of Americans’ retirement plans.
We hope you have a great year, and if you have any real estate needs, please reach out to one of us. We’re here to help.