Supply and demand will determine future home values

What’s happening in the market, where are prices headed

Will home values continue to appreciate throughout 2018? The answer is simple: YES! – as long as there are more purchasers in the market than there are available homes for them to buy. This is known as the theory of “supply and demand,” which is defined as: “The amount of a commodity, product, or service available and the desire of buyers for it, considered as factors regulating its price.”

When demand exceeds supply, prices go up. Every month this year, demand (buyer traffic) has increased as compared to last year and for the first five months of 2018, supply (the number of available listings) had decreased as compared to last year.

However, a recent report by the National Association of Realtors (NAR) revealed the first year-over-year increase in supply in three years.

The increase in the June numbers doesn’t mean that prices won’t continue to appreciate. In that same report, Lawrence Yun, NAR’s Chief Economist, explained: “It’s important to note that despite the modest year-over-year rise in inventory, the current level is far from what’s needed to satisfy demand levels. Furthermore, it remains to be seen if this modest increase will stick, given the fact that the robust economy is bringing more interested buyers into the market, and new home construction is failing to keep up.”

Bottom Line

While we are headed towards a balanced market in the Seattle and Eastside areas, after many years of a hot seller’s market, there are many buyers still looking to buy. Savvy sellers will make sure to optimize the market by working with an experienced agent who is an expert at marketing and negotiating and will use top-tier strategies to attract the right buyer, including professional staging, HD photography and target marketing.

To learn more about Mary, go to: www.whyworkwithmary.com

Visit us on the web at www.maryleerealestate.com

More in Marketplace

(Lucky Louie Fish Shack photo)
Savor the Season at SEA!

SEA Airport is bustling during the holiday travel season! In the midst… Continue reading

Four reasons you’re waiting on the plane at SEA

You’ve just landed at Seattle-Tacoma International Airport (SEA) after flying for what… Continue reading

5 reasons to get excited about what’s coming to the heart of Redmond

The amenities at the brand-new Hilton Garden Inn will appeal to locals and visitors alike

Accessibility tools for low-vision travelers at SEA

We all have tools that help us get through our every day… Continue reading

Greening up Greater Seattle’s neighborhoods

Cannabis retail shops offer welcoming atmosphere, staff educators to find you the right product

Chiropractic instrument takes the crack out of spinal adjustment

Disc Centers of America Bellevue uses the Impulse iQ for comfort and results

If you love Bellevue, thank Jennifer Robertson

Council member says Bellevue’s most exciting days are ahead

Discover a mask-free sleep apnea alternative!

6 reasons to consider oral appliance therapy in Bellevue

Bridging the digital divide in Washington

Comcast’s Internet Essentials program has connected nearly 340,000 in Washington State

Laser proves useful in treating disc pain and other injuries

Disc Centers of America adopts highly effective high-tech treatment

Cannabis collab sees Seattle women join forces

Seattle cannabis vendor names new product after local recording artist SassyBlack’s new album

Acupuncture offers drug-free treatment for many conditions

Ma’s Acupuncture and Chinese Medicine Clinic opens Bellevue location