Over the past few years, home prices skyrocketed. That’s been frustrating for buyers, leaving many wondering if they’d ever get a shot at owning a home. But here’s some welcome news: that whirlwind pace of home price growth is slowing down.

Home Prices Are Rising at a Healthy Pace

At the national level, home prices are still going up, but at a much more moderate, normal pace. For example, in November, the year-over-year increase in home prices was just 3.8% nationally, according to Case-Shiller. That’s a far cry from the double-digit spikes that occurred in 2021 and 2022 (see graph below):

a graph of green and white lines

This more normal home price growth might make buying a home feel more attainable for many buyers. You won’t face the same sticker shock or rapid price jumps that made it hard to plan your purchase just a few years ago.

At the same time, steady growth means the home you buy today will likely appreciate in value over time.

Prices Vary from Market to Market

While the national story is one of moderate price growth, it’s important to remember that all real estate is local. Some markets are seeing stronger growth, while others are cooling off or even seeing slight declines. As Selma Hepp, Chief Economist at CoreLogic, notes:

“Regionally, variations persist, as some affordable areas – including smaller metros in the Midwest — remain in high demand and continue to see upward home price pressures.”

Meanwhile, other regions saw slight month-over-month declines in November, according to Federal Housing Finance Agency (FHFA) data (see graph below):

a graph of a graph showing different colored squaresWhat does this mean for you? It’s crucial to understand what’s happening in your local market. A national average can’t tell the whole story. That’s where working with a local real estate team can really help. We have the tools and expertise to give you the full picture of what’s happening in your area and how to plan for that in your move.

Bottom Line

Home prices are growing at a more manageable pace, and working with a local real estate agent can help you navigate the ups and downs of your specific market.

How have changing home prices impacted your plans to buy? Let’s talk about it.

Individual Market Analysis for Eastside Cities:

Sammamish:

        • Active Listings: Significant year-over-year increase in active listings.
        • New Listings: Higher number of new listings added in June 2024 compared to last year.
        • Pending Sales: Stable pending sales indicating steady buyer interest.

Redmond:

          • Active Listings: Increase in the number of properties listed for sale.
          • New Listings: A notable rise in new listings, reflecting active seller participation.
          • Pending Sales: Slight decrease in pending sales, possibly due to fluctuating mortgage rates.

Bellevue:

          • Active Listings: Substantial increase in active listings year-over-year.
          • New Listings: A significant influx of new listings in June 2024.
          • Pending Sales: Stable pending sales, showing consistent buyer interest.

Mercer Island:

          • Active Listings: Increase in the number of active listings.
          • New Listings: Higher number of new listings indicating seller confidence.
          • Pending Sales: Slightly lower pending sales, influenced by market conditions.

Kirkland:

          • Active Listings: Growth in the number of active listings.
          • New Listings: Increase in new listings compared to last year.
          • Pending Sales: Stable pending sales, with consistent market activity.

 

With Shane & Anne, our mission is to prioritize our clients in every aspect of the real estate journey. We are committed to providing exceptional service and expertise in the luxury real estate market. Guided by our core values, we strive to build lasting relationships based on trust and mutual respect.

Our Core Values:

          • Loyalty: We are unwavering in our commitment to our clients, always putting their needs and interests first.
          • Honesty: We operate with the highest level of integrity, providing truthful and transparent communication at every step.
          • Confidentiality: We respect our clients' privacy and handle all transactions with the utmost discretion.

We are committed to staying ahead of market trends and continuously enhancing our skills and knowledge to deliver unparalleled results. Our goal is to make the real estate experience as smooth and rewarding as possible, ultimately helping our clients achieve their real estate dreams.

Contact us today at shaneandanne.com to schedule a consultation and take the next step towards your real estate dreams. Let's make your next move your best move!