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Home prices in Redmond, WA have increased quite a bit over the past year, making the market a hot one right now.
Despite the ongoing coronavirus pandemic, home prices are still expected to rise over the course of the next few months. In this article, we’ll discuss the housing market in Redmond in 2022.
According to the real estate data analysts at Zillow, the Redmond, Washington housing market is hot right now, with home prices having increased a lot over the past year. Prices are expected to continue rising over the next 12 months, despite uncertainty over the current health crisis. That’s the company’s latest forecast for Redmond real estate market, extending throughout 2022.
Redmond is an attractive city to live and work in thanks to its strong job market, natural beauty, and quality of life. Demand is certainly healthy in Redmond, and inventory continues to remain very tight in the city and surrounding King County, which is helping to keep the market hot as of this moment.
According to Zillow, home prices in Redmond have increased 28.4% over the past 12 months, and may continue to see increases over the next 12 months. The average price in Redmond continues to remain high relative to other cities in Washington State, and currently sits at $1,297,463.
The forecast for the Redmond, Washington real estate market mirrors similar predictions for other cities across the Seattle metro area and King County as a whole. That seems to be the common thread for local markets in the area, from a forecasting perspective.
For example, other nearby cities are experiencing a much hotter market, including the likes of Tacoma where prices have increased by 21.6% over the past year and are now sitting at $479,283.
Meanwhile, the population in Redmond continues to grow. According to Census Bureau data, the city’s population grew 11.6% from 2010 to 2015. This contributes to the imbalance between supply and demand, which is another common theme across the Seattle metro area.
The incredibly high prices for homes in Redmond is largely a result of the very tight inventory in the area.
Like many cities in the Seattle area, Redmond has a shortage of homes for sale relative to the number of buyers in the market. As of January 2022, the real estate market in Redmond had less than one-month supply of homes listed for sale. That’s well below the five to six months of supply that’s considered to be a “balanced” market. So it’s still a pretty strong seller’s market.
The number of listings is also an issue. Supply simply cannot keep up with demand.
While there is quite a bit of residential building expected in the Seattle Metro Area, it still may not be enough to resolve the supply shortage that has characterized the area over the years.
According to the Northwest Multiple Listing Service (NMLS), pending sales in Western Washington outweigh new listings. Record-low inventory is characterizing the area, with inventory in King County down 60% from the same time last year.
The local housing market appears to remain tight for the foreseeable future.
Redmond and the rest of King County may have seen a hot real estate market in years past, and it is still competitive. Demand in Redmond and surrounding areas is expected to continue, though how strong this demand will be remains to be seen. There’s so much uncertainty surrounding the housing market as a result of the current pandemic.
The bottom line: Home prices in the Redmond area show signs of a continued hot market, and will likely remain so into the foreseeable future. But housing inventory is the big story here. Home buyers entering the Redmond real estate market in 2022 should be prepared to compete with other buyers.
And on that note, be sure to check out our Seattle home buyer survival guide for tips on thriving in a hot housing market.
Disclaimer: This article contains trends, predictions and forecasts for the Redmond, Washington real estate market through 2022. Data and commentary were provided by third parties not associated with our company. We have presented them here as an educational service to our readers.
Are you ready to apply for a mortgage in Redmond? Sammamish Mortgage can help. We are a local mortgage company serving the broader Pacific Northwest region, including Washington state, Idaho, Colorado, and Oregon. We are proud to offer a wide variety of mortgage programs and products with flexible qualification criteria since 1992. Please contact us if you have any questions or are ready to apply for a home loan.
Whether you’re buying a home or ready to refinance, our professionals can help.
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