Pierce County’s housing market got off to a bit of a rough start in 2008 with January home prices down 2.5 percent from the previous year as sales also declined.
The median home price countywide, including houses and condos, was $260,000, according to the newest figures released Wednesday by the Northwest Multiple Listing Service. Median means half of all homes sold for higher and half for lower.
Last year, prices appreciated 2.8 percent, though the last four months of the year saw either declining or flat home prices. Year-over-year sales for the month fell by 36.6 percent, with 563 homes sold in Pierce County in January, according to the listing service.
Real estate agents and brokers have said for months that such statistics point to a market that is normalizing after the boom years of 2004 and 2005. They also draw a distinction between small price declines here and deeper depreciation seen elsewhere in the country.
Said Mike Larson, president of Allen Realtors in Lakewood: “The numbers don’t make you jump up and down and start high-fiving each other, but when compared to the Midwest and Upper Midwest and areas really struggling, we’ve got reason to not be hanging our heads.”
Lagging prices mean the market is still in a period of adjustment, said Larson, also an MLS director. But once-hesitant buyers are beginning to pick up steam in the home-selection process, he said.
“The bottom is here or pretty soon, I think. I would be surprised if things don’t turn around real quickly,” he said.
Because a house can take awhile to sell, it takes time for sellers – and prices – to catch up with the market, said Ron Lunceford, the broker-owner of three Windermere offices.
At the same time, he said, four North Tacoma homes his agents sold in January drew multiple offers.
“I’m optimistic, but it doesn’t mean prices won’t drop more … I don’t have that crystal ball,” he said.
Elsewhere around the Puget Sound region:
• While there were several hundred more homes listed for sale in Pierce County last month, King County stole the show with nearly 5,000 more listings – a year-over-year increase of 62.9 percent.
• King had the highest price appreciation of the Puget Sound-area counties at 4 percent. Kitsap County, on the other hand, saw prices decline by 5.4 percent.
• Year-over-year condo prices were down in Pierce, King and Kitsap counties by 8.5 percent, 1.6 percent and 31.1 percent, respectively. Keep in mind this is just a one-month look. While Kitsap’s prices took a dive, only five condos were sold there in January.
Devona Wells: 253-597-8652
blogs.thenewstribune.com/realestate
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