If you’re thinking about buying a home in Spokane, Washington in 2017 or 2018, you should know that home prices are still on the rise. And recent real estate market predictions suggest they will continue moving in that direction.
In fact, house values across Washington State have reached levels never before seen – not even during the last housing boom. Inventory is tight as well, and this will affect anyone planning to buy a home in Spokane through 2018.
Buying a Home in Spokane in 2017 or 2018
According to a recent report from the Washington Center for Real Estate Research, at the University of Washington, the state’s housing market set new records during the second quarter of 2017. Statewide, the median home sales price climbed to $337,700 during the second quarter of this year.
That was 6.6% higher than the same time last year, and it represents an all-time high for home values in the state.
The group’s economists and analysts cite low housing inventory as a primary driving factor in these home price gains.
But that’s for the state as a whole. What about the Spokane real estate market? It too has been following an upward trend recently.
According to the University of Washington, “house prices in many other state [real estate] markets rose significantly, with Spokane up 7.4% to a median of $225,100.”
The research team at Zillow recorded an even larger year-over-year price increase. By their estimation, home values in the city rose 9.4% from August 2016 to August 2017. Their predictions for the Spokane real estate market suggest that prices will continue rising, possibly by around 4.2% over the next 12 months ending in August 2018.
These are important trends for anyone who is planning to buy a home, whether this year or next. And it begs the question: Should you buy a house in Spokane now, or wait until 2018?
Given the current supply-and-demand situation, most economists are forecasting additional price gains for major cities across Washington. As a result, those who postpone their home-buying decisions until later this year or 2018 could encounter higher housing costs.
One of the Healthiest Real Estate Markets in the U.S.?
In August 2017, the National Association of Home Builders (NAHB) updated its Leading Markets Index, or LMI. According to the industry group, this index measures current home prices, building permits, and employment-related data to determine the economic health of individual real estate markets. They analyze 337 cities and metro areas across the country.
According to their latest report, Spokane, Washington is one of the healthiest real estate markets in the country (among major metro areas). It was ranked fifth among major metros, on the LMI. A strong local economy, relatively affordable home prices, and signs of continued growth were all contributing factors in this ranking.
Inventory Is Still Tight
Whether you choose to buy a home in Spokane in 2017 or 2018, you should be prepared for some lively competition. This is the result of limited inventory within the housing market.
This is a nationwide concern as well. Housing markets across the country are currently experiencing supply shortages that are forcing buyers to compete, often fiercely, for limited homes.
Washington State, and particularly the Seattle metro area, is an extreme example of this trend. But it’s affecting home buyers in Spokane as well.
In short, there just aren’t enough homes listed for sale in Spokane and elsewhere across the state to satisfy the current level of demand from buyers. This is why we have seen house values rising so sharply and significantly over the last couple of years.
Disclaimer: This article includes data, trends and predictions relating to the Spokane, Washington real estate market and broader economy. This information was gathered from third-party sources not associated with our company. We have presented it here as an educational service to our readers.