We assumed that rising mortgage interest rates would diminish buyer demand for equestrian homes in the Puget Sound region, leading to a drop in year over year price gains. Though sales activity was down in the first quarter of 2022 compared to 2021, year over year median home prices jumped significantly in King, Kitsap and Thurston counties.
Because the number of equestrian homes sold during the winter months is typically lower than at other times of the year, first quarter sales data can often be skewed. The median price gains reported here may not accurately reflect the actual gain in value for a specific property.
Inventory levels have ticked up a bit, but it’s still a very favorable market for sellers. Until buyer demand weakens, inventory levels are likely to remain relatively low and prices are likely to continue rising.
Only 60 equestrian properties were sold in the first quarter of 2022 in Pierce, King, Kitsap and Thurston counties – a 13% decrease in sales activity compared to the first quarter of 2021. The bulk of that decline was in King County, where housing prices are historically highest. It’s possible that increasing mortgage rates are making neighboring counties with lower priced housing even more attractive to potential buyers.
Horse properties have continued to sell quickly – in a month or less on average, depending on location.
Because of the unique considerations involved in buying or selling a horse property, relying on a Realtor with real world equestrian experience makes good sense. If you’re thinking about buying or selling a horse property in the Puget Sound area, please give me a call to discuss how I can put my knowledge and experience to work for you.