KIRKLAND, Washington (February 4, 2021) – Homebuyers who have been precluded from entering Puget Sound’s competitive market may want to consider condominiums as an option, according to industry experts who commented on the latest housing statistics from Northwest Multiple Listing Service.
- 1 out of every 4 listings is a Condo.
- King County condo prices “entered negative territory in January,”
- Prices for condos down about one-half percentage point compared with the same month a year ago.
- Growing number of homeowners who are choosing to move further away from core urban areas.
“With the trend toward telecommuting and moving to outlying suburban areas, the Seattle/King County condominium market presents a new option,” suggested Gary O’Leyar, owner and designated broker at Berkshire Hathaway HomeServices Signature Properties. Noting the county’s bigger supply of condos – 1.67 months of inventory versus 0.69 months for single-family homes – and a slight break from double-digit appreciation, O’Leyar said buyers may want to take a closer look at this “window of opportunity.”
Of 4,432 active listings in the MLS system at the end of January, about one of every four offerings (1,051 units, or around 23.7%) was a condo, with the remaining 76% (3,381 listings) being a single-family home.
In King County, where 76% of the available condo inventory is located, NWMLS data show prices range from $149,000 to $14,895,000, with a median asking price of $525,495. The median price for condos that sold in King County last month was $399,975; system-wide the median sales price was $359,950.
Single-family homes (excluding condos) had an area-wide median sales price of $509,950. That is $150,000 more than condos (nearly 42% higher).
Of the 147 homes sold in Klahanie in January 2021, about two of every three homes (60 units, or around 69%) was a condo, with the remaining 31% (87 homes) being a single-family home.
In Klahanie, the median sale price of a condo in January 2021 was $459,500. Single-family homes (excluding condos) had a median sales price of $880,000. That is $420,500 more than condos (about 48% higher).
Klahanie is consistent with the rest of King County regarding the supply of condos compared to that of single-family homes. At the end of January 2021, there was a 1.3 month supply of condos on the market compared to a .3 month supply of single-family homes.
Northwest MLS director John Deely called condos “one bright spot for buyers. They are more reasonably priced and there is more months of inventory than with single-family homes.” With interest rates so low, “buyers should definitely consider condos as an ownership opportunity and a way to build equity – especially if they’re currently renting,” said Deely, the executive vice president of operations at Coldwell Banker Bain.
Condos are definitely a bright spot in Klahanie and a great way to get your foot in the door of homeownership!
Matthew Gardner, the chief economist at Windermere Real Estate, noted King County condo prices “entered negative territory in January,” down about one-half percentage point compared with the same month a year ago. He attributes increased inventory as “likely due to COVID-19, possibly pointing to a growing number of homeowners who are choosing to move further away from core urban areas in favor of more space. I’m not ready to say this is a persistent trend quite yet, but it’s something to keep an eye on.”