North Sound Area Q1 | 2020 Market Report

NORTH SOUND 2020 Q1 MARKET REPORT

ColdwellBankerBain.com

Helping people buy and sell homes in the Pacific Northwest since 1972, Coldwell Banker Bain is an undisputed market leader, posting nearly $6 billion in sales in 2019. With 32 offices and more than 1,300 brokers in Washington and Oregon, plus a global reach that extends to 92,000 brokers in 43 countries, we’re not only one of the largest Coldwell Banker affiliates in the world, we’re also the most accomplished real estate company in the Northwest.

Our commitment to knowledge, expertise and market insights consistently undergirds our reputation for excellence and service. An emphasis on global access in the luxury realm, combined with the power, reach and recognition of the Coldwell Banker brand, allows us to outsell and outperform our rivals, as we elevate the standard for marketing premier properties in the Puget Sound are and the Pacific Northwest.

As important to us as business success— we also provide services in property management, commercial real estate, real estate investment and relocation management— is the understanding that real estate is more than just a transaction; it’s a key part of building safe, happy and prosperous lives for our clients, our brokers and their families.

202O Q1 MARKET REPORT

MIKE GRADY

COLDWELL BANKER BAIN PRESIDENT & COO

Reflecting on the first-quarter numbers and the impacts of the COVID-19 outbreak on the market, Mike Grady, Coldwell Banker Bain president and COO, said, “Until March 27, all of our markets were just about as good as we’ve ever seen. While new listings were down a few percentage points, mutually accepted offers were up about three percent and our average sales price was up almost 20 percent year over year to date! We expect that all numbers will decline in April and May as a direct result of the valid concerns over COVID 19. We also anticipate that April and May will be the 'bridge months' before the market returns to more of a normal activity level, of course assuming we all abide by state guidance.

closed 327 sales and our average sales price is up more than 13 percent. We are even hearing of multiple offer situations in several markets and price ranges – all while adhering to CDC and state safety guidelines.

This is good news, and even with our challenges, both buyers and sellers can do a deal that serves them in a safe manner. Buyers can take advantage of extremely low interest rates and those sellers on the market are motivated. For sellers, the continued low inventory and expected slowing of new listings over the next few weeks means their homes can be seen now like never before.”

Activity continues, however. In the first 11 days of April we listed 100 new properties, sold 417 properties,

2020 Q1 PACIFIC NORTHWEST MARKET REPORT

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2020 Q1 MARKET REPORT

SCOTT DICKINSON

PRINCIPAL MANAGING BROKER OF LYNNWOOD & EDMONDS

“Through the third week of March, real estate in Snohomish County was like a game of ‘DuckDuck-Goose,” said Scott Dickinson, Principal Managing Broker of Coldwell Banker Bain of Lynwood and Edmonds. “There were plenty of buyers circling homes for sale, there just weren’t enough homes for everyone who wanted to buy. Inventory count for single-family homes was down across the North Sound region with 15.2% fewer homes on the market than this time last year. This strong appetite for homes pushed median values up 5.3% over last year, with some communities seeing significant value increases. Lynnwood and Marysville both saw doubledigit median value increases year over year at 13% and 12%, respectively.

The condo market continues to thrive for those who are selling and the competition among buyers for these homes isn’t as strong as it is for single-family homes with inventory down only 5.9%. What all of this data tells us is that up until Gov. Jay Inslee issued the Stay Home Stay Healthy order, residential real estate sales

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were very healthy and favored sellers. With the order, we’ve seen a dramatic decrease in the number of offers written and of new listings coming to the market.

However, homes that have been listed for sale since the order was made have seen strong interest from buyers and in many cases are receiving multiple offers.

Buyers who remain qualified to finance the purchase of a home are currently facing less competition from those whose employment is now in question.

The impact that regional employers, such as Boeing, play in the real estate market can’t be understated and prolonged furloughs of employees will only create pressure on families who may no longer have the ability to make a mortgage obligation. If additional inventory is brought on the market by those who didn’t intend to sell but were situationally forced to, an ideal outcome would be for the current excess demand for homes to level off and a more balanced market (an equal number of buyers to sellers) would present itself. How all of this will shake out is yet to be determined.”

NORTH SOUND AREA

SINGLE FAMILY (SF), CONDO, WATERFRONT & LUXURY

ANACORTES / BELLINGHAM / EDMONDS / EVERETT / LYNNWOOD / MARYSVILLE /

MEDIAN SOLD PRICE (NEAREST $000) North Sound Area

AVERAGE DOM 37

$475K

67

$513K

Anacortes Bellingham

52

$467K

Edmonds

$685K

Everett

35

$455K

Lynnwood

20 46

$565K

Marysville

$439K

Condos

28

$365K

37

Waterfront

$642K

(SF Only)

77

Luxury

$1.144M

($2+M | SF+C) $200K

$400K

$600K

$800K

$1M

79

$1.2M

NUMBER OF SALES CLOSED 400

1,208

385

300

TOTAL SALES CLOSED

279

200

227

80

100

278 183

101

40

36

Waterfront

Luxury

0

Anacortes

Bellingham

Edmonds

Everett

Lynnwood

Marysville

Condos

TOTAL NORTH SOUND INVENTORY / 547

INVENTORY IN UNITS / 03.31.2020

-15.2%

69

161

42

81

81

113

159

33

79

-34.3%

6.6%

-43.2%

-35.2%

-22.9%

+32.9

- 5.9%

-31.2%

+3.9%

Edmonds

Everett

Lynnwood

Condos

Waterfront

Luxury

Anacortes

Bellingham

Marysville

2020 Q1 PACIFIC NORTHWEST MARKET REPORT

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NORTH SOUND TOTAL NOR TH SOU ND AREA 2020

2019

CHANGE

TOTAL HOMES SOLD

1148

1208

-5.0%

MEDIAN SOLD PRICE

$475K

$451K

+5.30%

37

47

-21.3%

MEDIAN SOLD PRICE

99%

97%

2.1%

UP +5.30% from 2019

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

385

416

-7.5%

MEDIAN SOLD PRICE

$365K

$323K

+13.0%

37

45

-17.8%

MEDIAN SOLD PRICE

100%

98%

2.0%

UP +13.0% from 2019

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

$475K

CONDOS

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

6 2020 Q1 PACIFIC NORTHWEST MARKET REPORT

$365K

NORTH SOUND WATERFRONT

2020

2019

CHANGE

TOTAL HOMES SOLD

40

27

+48.1%

MEDIAN SOLD PRICE

$642K

$808K

-20.5%

77

90

-14.4%

MEDIAN SOLD PRICE

96%

92%

+4.3%

DOWN -20.5% from 2019

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

36

38

-5.3%

MEDIAN SOLD PRICE

$1.144M

$1.25M

-8.5%

$1.144M

79

59

+33.9%

MEDIAN SOLD PRICE

95%

95%

+0.0%

DOWN -8.50% from 2019

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

$642K LUXURY

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

2020 Q1 PACIFIC NORTHWEST MARKET REPORT

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NORTH SOUND ANACOR TES Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

80

68

+17.6%

MEDIAN SOLD PRICE

$513K

$470K

+9.10%

$513K

67

99

-32.3%

MEDIAN SOLD PRICE

96%

94%

+2.1%

UP +9.10% from 2019

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

227

246

-7.70%

MEDIAN SOLD PRICE

$467K

$445K

+4.9%

$467K

52

52

0.0%

MEDIAN SOLD PRICE

97%

96%

+1.0%

UP +4.9% from 2019

AVERAGE DAYS ON MARKET SOLD/LIST PRICE% BELLINGHAM

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

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NORTH SOUND ED M OND S

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

101

123

-17.9%

MEDIAN SOLD PRICE

$685K

$627K

+9.3%

$685K

35

53

-34.0%

MEDIAN SOLD PRICE

99%

97%

+2.1%

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

279

335

-16.7%

MEDIAN SOLD PRICE

$455K

$415K

+9.6%

$455K

20

41

-51.2%

MEDIAN SOLD PRICE

101%

98%

+3.1%

UP +9.60% from 2019

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

UP +9.30% from 2019

EVERETT

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

2020 Q1 PACIFIC NORTHWEST MARKET REPORT

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2019 ANNUAL REPORT

DEAN ULRICH “The current COVID-19 crisis has impacted our ability to ever know how robust 2020 would have been regarding real estate sales, particularly regarding appreciation. What will happen is still a big unknown,” said Dean Ulrich, Principal Managing Broker of Coldwell Banker Bain of Bellingham, serving Bellingham and Whatcom County. “We were already having a robust year, with low inventory and almost historic low interest rates fueling an increase in median sales price of 4.9% in the first quarter, rising from $445,000 to $467,000. These low rates were allowing many buyers to afford rapidly rising prices. You could feel the tension whenever a nice new listing came on the market.

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PRINCIPAL MANAGING BROKER OF BELLIGHAM

In Bellingham, the number of homes sold in the first quarter were down 7.7% compared to the first quarter of 2019, but this was related directly to lack of inventory. Then just as we were seeing the spring increase in inventory, the virus hit and now everything is different – no one wants to be too predictive because it is unprecedented. Interestingly, we are seeing early signs that buyers are still highly motivated. Since the restrictions were mandated, which was just at the end of the first quarter, more than 30% of new listings are already pending. I believe people will be anxious to get back to work, and buyers and sellers anxious to buy and sell. The actual impact will only be clear in hindsight because many other factors will contribute.”

NORTH SOUND LY NNW OOD

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

183

215

-14.9%

MEDIAN SOLD PRICE

$565K

$500K

+13.0%

$565K

46

44

+4.5%

MEDIAN SOLD PRICE

99%

98%

+1.0%

Q1 | 2020

Q1 | 2019

CHANGE

TOTAL HOMES SOLD

278

221

+25.8%

MEDIAN SOLD PRICE

$439K

$392K

+12.0%

$439K

28

37

-24.3%

MEDIAN SOLD PRICE

101%

99%

+2.0%

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

UP +13.0% from 2019

MARYSVILLE

AVERAGE DAYS ON MARKET SOLD/LIST PRICE%

UP +12.0% from 2019

2020 Q1 PACIFIC NORTHWEST MARKET REPORT 11

*Information and statistics derived by CB Bain from the Northwest Multiple Listing Service (NWMLS), Regional Multiple Listing Service (RMLS) and the Multiple Listing Service of Central Oregon (MLSCO) each quarter. Statistics not compiled or published by the NWMLS, RMLS or MLSCO.