Seattle Condo Spotlight, Inventory Is Inching Up
The number of Seattle condos listed for sale spiked this week. I was pretty surprised to see this with all of the protesting but sellers are eager to get their condos on the market after dealing with Covid-19 and an absence of our traditional Spring selling season.
There were 24 new units in the Downtown core last week – with only 4 pending sales during that same period. There are 187 units for sale in the Downtown Seattle core. To be exact, we have 2.5 months of inventory. This is still considered a Sellers Market. When monthly absorption reaches 3-6 months you have a neutral market and as inventory reaches a 6 month supply you start to enter into a buyers market.
I won’t label this increase as alarming or a trend until we see a consistent pattern of increasing inventory. With mortgage rates at nearing 3% for a 30 year fixed rate, I would anticipate a high level of buying activity in the coming months. One indicator to pay attention to, is the weekly mortgage applications. As reported in the MBA’s Weekly Mortgage Applications Survey, home purchase applications jumped 18% year over year for the week ended May 29th.
A bit of good news from our team as well. We have just 11 units left to sell at Wallingford 45. This project has been a year long labor of love. I’m very proud to have sold 37 units thus far!