While home prices have continued to rise in King County over the past year, they are rising at a slower rate than they were a year ago. According to The Seattle Times the median home price in January was 17 percent higher than it was over the previous 12 months, but in February it was only 11 percent higher. In March, the median home price in King County was $414,950, up just 6 percent from $392,000 a year ago. In the Seattle market, the median home price actually fell by almost 3% over the last 12 months to $450,000.
It appears that buyers are also using more discretion with their money, as the number of active listings has increased, but the number of pending deals has decreased in the tri-county area comprising King, Snohomish and Pierce counties.
In some good news for local buyers, investors bought far fewer homes in February (40) than they did in January (126), which could mean more entry-level housing inventory available to first-time home buyers. Investors have been purchasing homes in lower price ranges and turning them into rentals, especially in South King County and Pierce County. Real estate agents are hoping for a jump in inventory as we progress further into spring, but believe the market will continue to see low inventory through the rest of the year and into 2015
by Katie Raynor