Kenmore Undressed

Kenmore, WA - Home Sale Statistics for August

August was a slow month for home sales this year in King County. The good news is that there wasn’t much of a change in Kenmore from last August. Take a look at the chart below:

There were only 17 sold homes in Kenmore last month, but one year ago there were 18 sales. This is only a 6% drop as compared to an overall drop of 43% in King County. Median prices have dropped a bit since the beginning of the year. In King Co., they have dropped 7% (the median price having dropped from $460,000 to $410,000. Kenmore faired slightly better with at drop of only 5% (from $453, 450 to $430,000). 

In the Seattle Times article from September 10th entitled, “King County home prices in August slide back to April 2006” we have seen a significant erosion of home prices in the area. It’s important for home sellers to understand that the market has been very tough this year. We may not see positive movement until 2009 as we are fast approaching the national election and we will not see significant changes in the capital markets until the Fannie Mae/Freddie Mac bailout actually produces some results.

Another factor to consider is the absorption rates of homes in King Co. Remember, absorption rate means the percentage of homes absorbed (sold) as compared to the number of homes available in a given time period. The charts below show, clearly, that home sales are stagnant. Even with a high inventory and dropping prices, buyers are holding on to their money and the lenders continue to be ultra-conservative. As a realtor, I think those of you thinking about buying a home in the near future are going to have a huge opportunity. The most important thing for you to do right now is consult with your lender to ensure that you can get a loan, then start looking now. Home owners, unless you must move right now, take a deep breath, enjoy your home and exercise some common sense.