Market update

In his latest report Windermere Real Estate’s Chief Economist Matthew Gardner presents an optimistic view of our economy and the real estate market.

I believe that growth in the State will continue to outperform the U.S. as a whole and, with such robust expansion, I would not be surprised to see more people relocate here as they see Washington as a market that offers substantial opportunity.

Below is a summation of his report. If you would like to view the entire report please contact me.

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Excerpts from Matthew Gardner’s

2017 2nd Quarter Economic Report


General Washington Economy

· Washington State’s economy is rapidly expanding. Expecting the State will add around 70,000 new jobs in 2017.

· Unemployment continues to fall to the lowest rate (4.5%) since 1976. Growth will continue and outpace the U.S.

· Incomes will grow. Expecting faster income growth in the 2nd half of the year.

· More in-migration. More people will move here to take advantage of our job market and lifestyle.


The Real Estate Market

· The overall number of homes on the market remains constrained. A decline of 20.4% from the same quarter in 2016.

· Home prices continue to rise. Average Year over Year increases rose 14.9% with an average price of $470,187.

· Interest rates remain at historical lows.

· Market times continue to drop. In King county, the average home sold in 15 days (18 days faster than in 2016).

· Supply of homes is the driver. Given the constraints of government regulation, lack of developed land and availability of workers, homebuilders can’t build enough homes to keep up with demand.

· It’s clearly a ‘sellers market”. Inventory is short and buyers are plentiful. This should remain for the rest of the year.


ABOUT MATTHEW GARDNER

Matthew Gardner is the Chief Economist for Windermere Real Estate, specializing in residential market analysis, commercial/industrial market analysis, financial analysis, and land use and regional economics. He is the former Principal of Gardner Economics, and has more than 30 years of professional experience both in the U.S. and U.K.