Seattle Market Update
Ch-ch-ch-changes. The swift move up in mortgage rates is undoubtedly putting downward pressure on the housing market. As inflation rose, fixed-rate mortgages passed 5% and housing inventory has grown in recent weeks, we have seen a stop to price increases. The number of homes with reduced listing prices has also grown over the past weeks. However, demand continues to create multiple offers on homes in desirable locations.
The median single-family home in King County sold for $995,000 in April (median means half of homes sold for more and half sold for less). King County’s priciest homes are selling on the Eastside, where the median home price last month hit $1.7 million. In Seattle, the median home sold for about $1 million. The median home price was $660,000 in Southwest King County and $780,000 in Southeast King County. The median Snohomish County home sold for $839,298, the median Pierce County home sold for $579,980 and the median Kitsap County home sold for $565,000.
Fed Rate Hikes and Mortgage Rates
The Fed Interest Rate does not directly set mortgage rates, however, it does influence them. The rate hikes are part of the Fed’s plan to curb inflation. It is expected the Fed will continue moving rates on an upward path at each successive meeting of the Open Market Committee. Most analysts anticipate the increases will continue until the Fed has met its directive of containing inflationary forces. This likely also means mortgage rates will continue to rise.
The average mortgage rate for 30-year fixed mortgages is at about 5.3% this week, the highest point since 2009, according to Freddie Mac.
Did you know
Did you know that a 1% increase in interest rates decreases a buyer’s purchase power by 10%.
Our Listings
…. Coming soon … West Seattle Townhouse.
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Happy Mother’s Day!
Thank you,
Kerstin 🌷 Krisanne
Brooks & Heinze Team at Skyline Properties, Inc.
Kerstin Brooks: 206.276.5827 & Krisanne Heinze: 206.920.2541
Email: info@propertyinseattle.com – Web: www.propertyinseattle.com
Kerstin G. Brooks, Broker 