179 single family homes were sold in zip codes 98403, 98406 and 98407 in the fourth quarter of 2019 – a somewhat surprising 13% increase in sales activity when compared to the fourth quarter of 2018.
North Tacoma Fourth Quarter Update
The median home price in Tacoma’s North End is 10% higher today than it was at the end of 2018. Home values are expected to continue rising in 2020, due in large part to persistently low levels of housing inventory.
Despite a persistent inventory shortage, year over year sales activity is up, as increasing numbers of millennials take advantage of historically low interest rates.
New listings continue to sell quickly. The average time on market is less than a month, which means buyers need to be prepared to act quickly.
As the New Year begins, we have just 2-3 weeks of available inventory in zip codes 98403, 98406 and 98407. A balanced market requires 5-6 months of inventory. It goes without saying that now is a great time to be selling a house in North Tacoma.
Current Market Conditions
- According to Freddie Mac’s chief economist, the U.S. real estate market remains on solid ground in spite of a global economic slowdown. Housing starts, building permits, existing home sales and new home sales are all outperforming the broader economy.
- According to Goldman Sachs, the likelihood of a recession in 2020 is only 20%.
- Experts from the National Association of Realtors, the Mortgage Bankers Association, Fannie Mae and Freddie Mac all predict that mortgage interest rates will remain below 4% throughout 2020.
- Data giant CoreLogic predicts that home values in Washington State will appreciate 5-6% in 2020.
As the real estate market begins to shift, it’s critical for buyers and sellers to seek expert advice. If you’re thinking about buying or selling a home in the area, please contact us to discuss how we can put our knowledge and experience to work for you.
Mark Pinto is a top-producing Realtor with Windermere Chambers Bay, specializing in residential real estate in Tacoma, Gig Harbor, University Place and Lakewood.
Mark Pinto: (253) 318-0923
MarkPinto@windermere.com
