King County Real Estate Market Update | January 2023

Hey y’all, Zach McDonald, your real estate agent with Real Property Associates and welcome to the first King County Real Estate market update for 2023. This video is going to act like a recap of sorts from the previous year 2022, and we’ll talk about where we’re headed here in the new year.

We wrapped up the year down on new listings considerably from where we were last year in December, down 29.7% year over year for the new listings and also down month over month. The pending sales in King County were also down 22.6%, 864 pending sales. that was also down from the previous month as well. The close sales down 43.7% as well down from the previous month, days on market continues to go up. So in King County we got to 34 days on market, couple days more than the previous month’s update and up from 16 days on market at the end of last December. So again, pretty big jump there. More than double the days on market. It’s normal to see those days on market climb as we head towards the end of the year, but again, when we’re looking at the year over year jump, it’s pretty drastic there.

median sales price though barely, barely snuck out ahead of last year in King County at $820,000 versus $815,000 last year, average sales price was down 4.8% overall at $1,019,651 percent of list price received. This is always a fun one because when you see those asking prices, people are always wondering, well, what’s it actually going to sell for? And this year, 97.6% of the list price was received in King County. But interestingly though, if we look at the number or percentage based on the original asking price, king County was at 94.3% of that original list price. So most of the sales are factoring in one price reduction or possibly just a offer considerably below asking price. The supply of homes is up considerably. At the end of last month, there were 1,902 homes available, so roughly 2000 versus 540 from the previous year. So supply numbers are up considerably, but when we look at the amount of supply 1.1 months of supply, we are down from last month.

So we’ve seen the supply numbers keep shrinking now down to that 1.1 versus 1.5 months of supply back in November. And I’ll point out that we’re heading into 2023 with low inventory. Again, I think that’s one of the catalysts for some of the competition. And there’s by no means a really strong amount of competition in the market right now, but there isn’t as much selection. So heading into the new year, we are already starting to see more buyers in the market coming out and we’re seeing the potential of multiple offers. It really depends on the house, but we are starting to see some of that. They’re not necessarily all at asking price, but there are definitely buyers out there trying to buy homes and also trying to get deals for themselves. So there’s a mix of people that are willing to pay the asking price maybe a little more or below.

So again, those multiple offer situations look quite a bit different than they did last year, but we’re starting to see that and I’ve seen that on some of our listings and with some of our buyers as we’ve been making offers. And I think as we head into the second part of this update here, I just wanna take a minute to do a, a little bit of a recap from the previous year. So we just shared some of those numbers as we wrap up the year, but what did the year look like? So overall in King County, if we look at the stats here, new listings in King County, we actually had 7%, 7.1% fewer new listings for compared to last year. At the same time, we saw 27.9% fewer pending sales and we saw 27.2% fewer closings overall in King County for the entire year.

The days on market average was 16 for all home sales in King County from last year versus 13 in 2021, the home price average for the whole year was 910,000 versus 831 3 14, which was at nine and a half percent increase for the whole year. Again, right average together the average sales price was up 9.4% for the whole year, and the percent of asking price, right? So we’ve had the numbers being pulled down recently, but they were pulled up so drastically at the beginning of the year that our average here is finishing out at 4.5% above asking price in King County for the year. And let’s do the same for condos because we typically focus on the residential sales in these videos, but I wanna give some love to condos so that we can see how they finished out the year as well. And condo, if we look at their year to date numbers as we wrap up the year, 12.2% fewer new listings pending sales down 27.6%, the closed sales down 24.8% days on market, 19 versus 24.

So actually fewer days on market. In 2022 versus 2021, the median sales price was up 8.7%. So across King County, 500,000 was the median for condo sales. Last year, 605,000 6 33 was the average sales price and that was up 8.5%. And across the board, the average percent of list price was 2.8% above asking price, which was higher than 2021 for condos. We just covered a bunch of data here, and I, instead of wrapping up the video here, like we typically do with highlighting some places in King County, we’re gonna skip that for this video and leave that to the future video. So we’ll jump back on that here in following weeks. But I just wanted to take a moment to say thank you so much for those of you who have followed these King County market updates here as we started doing them. They are still newer on the channel, but I just want to say that I really appreciate those of you who watch regularly and have subscribed. If you haven’t subscribed yet and you want to become part of the community, please don’t hesitate to click that button and feel free to reach out anytime.