Spokane, WA Real Estate: About Current Market Conditions

offered by Jeannette Karis "The REALTORŪ with the English accent!"

The real estate market in Spokane is changing in 2013. Inventory is continuing to be down compared to 2012 at then end of the first quarter. SAles are s=rising compared to the same period in 2012 by as much as 11%. The average sales price for 2013 is also slightly up over last year. This is resulting in not enough homes for buyers which is sparking an increase in new construction. THese new construction prices have already seen a price increase this year with another one predicted in May/June. Properties that are not in fabulous condition are struggling to attract buyers. Even with low inventory most buyers do not want to do any work. It is still a beauty contest but in some price ranges there are multiple offers for these homes in great condition. Buyers in all price ranges are wanting to negotiate their closing costs into the contract. There are still many short sale sellers in a short sale position entering the market. Offers are subject to lender approval and then the negotiations start all over again with the lender. This process can still take up to 6 months or more to complete. Some sellers are able to get short sale approval prior to going on the market and this can speed up the process. However this continues to be a frustrating position for buyers and sellers both. More lender owned property is also entering the market and are attracting mainly investor buyers.

Buyers now have fewer choices, may be presenting competing offers on well priced properties in popular areas and price points. Many of the lender owned properties will need work and may be more attractive to investors. New construction sales in 2012 increased running 8.7% ahead of 2011. More new construction models to view than last year which helps buyers to make new construction their choice. Builders are still quoting around 3-6 months from permit to complete with larger non-refundable deposits required upfront by many.

The housing stock in the Spokane area includes properties built in 1890 right through to the present day. The great majority of these have basements although they may range from the rock basement, root cellar to the full, finished, daylight walk-out basement and everything in between. Construction is mainly wood frame and the large majority of resale homes are sided with wood or vinyl siding. Brick and stone are used more for accents due to costs, although a number of homes in the 50's were built entirely of brick. Homes built since the 90's have new technology products such as the LPI truss system.

With hydro electric power utility bills were lower than those in other states. However even with the recent increases in the price of gas, electric and oil, gas is still a popular choice for a heat source in homes but not usual as a cooking source or for the use of gas dryers in a resale home. Central air conditioning is available in a great many homes. Central vacuum is more common in the upper end properties.

In this area the sf figure most commonly qouted is the tax assessed sf, the sf of the foundation less the garage. So to figure out the total living space this figure may be multiplied by 1.5, 2 or 3 depending on the style of the home and whether or not additional levels have finished living space.The total sf figure now available is not necessarily all finished