Edmonds Undressed

Tax credit spurs big surge in sales in Western Washington

Hey Edmonds, Heads up the market is picking up. Credit the tax credit and its impending expiration deadline for a surge in home sales last month. Members of Northwest Multiple Listing Service reported a 63 percent jump in pending sales during October compared to the same month a year ago, a gain many brokers attribute to a tax credit that is set to expire at midnight on Nov. 30. and we as active agents can feel the the buzz. 

Every county except Okanogan reported double-digit gains in pending sales (mutual acceptance of an offer). Collectively, NWMLS brokers notched 7,235 pending sales during October. A year ago, they reported 4,445 pending transactions.

“As anticipated, October saw a surge in home sales thanks to the federal tax credit. The hope of the real estate industry is that the credit will be extended until there is more equilibrium within the economy and the housing market can stand on its own two feet. 

The new figures from Northwest MLS show continued signs of some stability in the market and improving consumer confidence. Inventory is at its lowest level since December 2008, and the year-over-year price decline, at 7.2 percent area-wide, is the smallest drop since June 2008. 

Brokers added 9,344 new listings of single family homes and condominiums to inventory during October, the fewest number since December 2008 when the area was experiencing record snow accumulations. At month end, there were 38,159 active listings in the NWMLS database, a drop of 17.4 percent from the same month a year ago. At that time, the inventory included 46,189 residences. 

Statistical Summary by Counties: Market Activity Summary – October 2009

October 2009 Single Family Homes + Condos	LISTINGS		PENDING SALES	CLOSED SALES
	New Listings	Total Active	#Pending Sales	#Closings	Average Price	Median Price
King	3764	12321	2951	2234	$421,521	$349,950
Snohomish	1474	5171	1197	825	$304,444	$280,000
Pierce	1456	5591	1174	880	$237,553	$219,700
Kitsap	405	1795	380	266	$284,650	$248,500
Mason	123	735	70	65	$192,512	$167,500
Skagit	208	1282	140	102	$287,600	$235,495
Grays Harbor	120	833	85	73	$149,155	$136,000
Lewis	133	763	75	49	$148,859	$138,000
Cowlitz	123	675	83	57	$167,386	$168,000
Grant	120	696	63	63	$166,629	$147,000
Thurston	437	1729	295	290	$243,430	$225,172
San Juan	25	439	20	14	$479,500	$464,250
Island	162	1087	116	101	$318,332	$280,000
Kittitas	76	550	41	33	$237,065	$218,000
Jefferson	50	577	34	32	$322,574	$284,428
Okanogan	38	379	15	21	$171,214	$150,000
Whatcom	364	1821	315	225	$278,738	$250,900
Clark	69	310	65	63	$238,726	$225,000
Pacific	51	378	27	28	$183,689	$166,000
Others	146	1027	89	91	$230,487	$205,000
MLS TOTAL	9,344	38,159	7,235	5,512	$325,245	$269,995

4-County Puget Sound Region Pending Sales (SFH + Condo combined)
(Totals include King, Snohomish, Pierce & Kitsap counties)

	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
2000	3706	4778	5903	5116	5490	5079	4928	5432	4569	4675	4126	3166
2001	4334	5056	5722	5399	5631	5568	5434	5544	4040	4387	4155	3430
2002	4293	4735	5569	5436	6131	5212	5525	6215	5394	5777	4966	4153
2003	4746	5290	6889	6837	7148	7202	7673	7135	6698	6552	4904	4454
2004	4521	6284	8073	7910	7888	8186	7583	7464	6984	6761	6228	5195
2005	5426	6833	8801	8420	8610	8896	8207	8784	7561	7157	6188	4837
2006	5275	6032	8174	7651	8411	8094	7121	7692	6216	6403	5292	4346
2007	4869	6239	7192	6974	7311	6876	6371	5580	4153	4447	3896	2975
2008	3291	4167	4520	4624	4526	4765	4580	4584	4445	3346	2841	2432
2009	3250	3407	4262	5372	5498	5963	5551	5764	5825	5702

 For the four-county Puget Sound area (King, Snohomish, Pierce and Kitsap), inventory has shrunk 20 percent since twelve months ago. The selection of single family homes (excluding condominiums) in the four-county area is down 22 percent.

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