JOHN L. SCOTT LUXURY SPECIALISTS SCHOLARS OF THE MARKET

Curious about luxury trends in your neighborhood? See what some of our real estate specialists had to say about the luxury market in their area.

GOLD PROPERTIES

In Q1, we saw a high demand for luxury properties while inventory remained scarce. Buyers were highly motivated to capitalize on potential properties quickly, with many going under contract in less than a week. We believe the spring market will be even stronger than Q1, with more inventory and buying opportunities. We believe the lack of inventory has allowed for a seller’s market; with more inventory we will see more of an equilibrium luxury market.

Overall, the luxury market was extremely resilient in Q1. With fewer listings coming on the market, we are seeing low inventory in Sammamish. Homes in market-ready condition on day one are fetching strong buyer interest and even some multiple offer situations. I believe we will continue to see a lack of new listings compared to spring markets of the past as volatility in macroeconomic indicators continues. The low inventory levels have kept prices up for sellers and a competitive environment for buyers on turn-key new listings priced competitively.

In the first quarter of 2023, the luxury real estate market in Spokane experienced a notable decline, with homes priced above one million dollars going under contract within the first 30 days at a roughly 20% decrease compared to the previous year. Consequently, inventory levels have increased, and the months of inventory have nearly tripled during the same period, as compared to the first quarter of 2022. The current luxury real estate market in Spokane offers buyers a larger selection of homes due to the increased number of luxury properties and months of inventory available. However, the longer days on market have resulted in a higher chance of homeowners receiving offers lower than their listing price. Therefore, it is now more crucial than ever to price homes accurately in this market with increased inventory.

Q1 started out slightly slower, however in the last few weeks we’ve seen that well-priced homes are still in demand. From 2 million and up, we’ve seen 30% to 40% pending in the first week and 70% to 80% pending within the first month. Showings are strong, and we’re still seeing multiple offers. Even with news of layoffs in the tech sector, many are still looking for homes that have moved here in the last few years. There is still high demand. Inventory is down and prices are still strong, although down from the height of last year. In perspective, even with low inventory we’re seeing relatively strong sales and if interest rates go down, which they should, we’ll likely see price and demand increase, along with more inventory from the typical spring selling season.