Are you thinking about buying a home in Sammamish, Washington in 2018? If so, you probably have a lot of questions about the local real estate market. And boy has it changed over the last few years. Here’s a look at current housing market conditions in Sammamish, for those buying a home in 2018.
Limited Inventory Has Boosted Competition Among Buyers
The inventory situation across the Seattle metro area is very constrained right now. This becomes clear when you look at certain metrics, such as the median number of “days on market.” This is the midpoint, measured in days, for how long homes are listed for sale before going under contract.
Nationally, homes spent a median of 39 days on the market in September 2017. But in the Sammamish, Washington real estate market, the median during that same period was a mere eight days. This means homes are selling very quickly, and in many cases they are going under contract within days of being listed.
That’s the first thing you should know about buying a home in Sammamish in 2018. Buyers will have to be on their toes, ready to make a strong offer in a timely fashion when the right house comes along.
Waiting too long to make an offer, or quibbling with the seller over small-ticket items, could result in a missed opportunity. That’s the reality of the current real estate market in Sammamish.
Home Prices in Sammamish Have Risen Substantially
The Seattle metro area is becoming one of the most expensive places in the United States for home buyers, joining the ranks of Silicon Valley, New York City, and other high-priced markets.
According to recent reports, the median sale price for homes sold in Sammamish rose to around $892,000, as of August 2017. The real estate information company Zillow puts the median home value even higher – they reported a median of $905,800 in October 2017.
As a result of these trends, those buying a home in Sammamish in 2018 will encounter higher housing costs. And prices are expected to continue rising over the coming months, though they might slow down a bit. See a related forecast.
The median home value for Sammamish rose more than 10% over the last 12 months. Economists with Zillow recently predicted that prices in the area would rise by another 5.1% over the next 12 months (ending in October 2018).
You’ll Want to Arrange Your Financing Ahead of Time
In a slow-moving real estate market, where there is plenty of inventory to go around, a home buyer could potentially make an offer before having the financing arranged. But this kind of thing just isn’t feasible in a fast-moving real estate market like Sammamish, Washington.
If you are planning to use a mortgage loan to buy a home in Sammamish, it would be wise to get pre-approved by a mortgage lender before shopping for a house. Please contact us if you have questions about getting pre-approved for a loan.
King County Loan Limits Might Rise in 2018
As a result of the significant home-price gains that have occurred over the last year, loan limits across King County might go up in 2018. That’s what happened at the end of 2016, and it could very well happen again at the end of 2017.
The current (2017) loan limit for a single-family home purchase in King County is $592,250. This applies to conventional, FHA and VA mortgages. The median house price for the county has now risen above $600,000, as of October 2017. And prices are expected to continue climbing through the end of this year and into 2018.
Loan limits are based on median home values, and they are reviewed every year. So there is a chance federal housing officials will increase the limits for FHA, VA and conventional mortgage loans in 2018. We will know more in November or December — that’s usually when revisions are announced.