Despite low inventory and the competitive nature of the current market, buyers are well-prepared and ready to make offers, according to a recent report by Coldwell Banker Bain.
The housing shortage continued to be a problem as the third quarter of 2021 came to a close. A total of 635 single-family homes were listed on the Seattle market at the end of September, a 45% loss from last year during the same month. The inventory for downtown condos dropped to 165 from 367.
Queen Anne and Magnolia were the hardest-hit areas in inventory, suffering a 61.3% decrease from a year ago. The stock of homes in waterfront areas was down 60%, followed by a 52.3% loss in Central Seattle.
The inventory for luxury homes and condos valued at over $2 million was down 48.9%.
Reports of buyer fatigue due to high listing prices and multiple-offer situations seem to have impacted market activity, according to John Deely, executive vice president of operations for Coldwell Banker Bain.
Seattle’s housing inventory may be poised for a turnaround, however, in light of a proposal by President Joe Biden that could increase taxes. “Many sellers who have been on the fence about selling are now concerned they could lose profit in their homes to taxes if they wait until next year,” said Deely. “Coupled with the annual trend of the market slowing as we move into the holiday season, we believe this is a great opportunity for those buyers to return to the market.”
On average, homes are spending 30% less time on the market compared to the same quarter last year, down from 20 to 14 days, the report said.