Rising interest rates and home prices haven’t slowed buyer activity in the Walla Walla Valley yet. July was the 2nd busiest month of the year for closed home sales. At month end, annual homes sales were 8% ahead of last years pace.
Just enough listings came on the market in July to replenish the inventory that sold. However, the trend of year-over-year listing declines continued. There were 20% more homes listed for sale 12 months ago. The seller’s market continued for homes under $600,000 and listing inventory remained just below the 2 month level for the cities of Walla Walla and College Place.
Prices continued to move upward. At months end, Walla Walla’s median and average sales prices were 10% higher than the same period 12 months ago. Pending sales – homes under contract but not yet closed – declined 18% from the previous month.
While buyer activity remained strong, there were signs that the market is slowing a bit. Pending sales – homes under contract but not yet closed – declined 18% from the previous month. This typically happens in July as people focus on summer activities and vacations. However, we expect the market to remain very active as summer ends and we head into fall.
July’s Listings: 265*
The month’s listings ended on par with the previous month and but dropped significantly from the same period of last year. There were 20% more homes available 12 months ago.
July’s Closed Sales: 82*
Monthly homes sales nearly matched the previous month’s pace and finished 14% ahead of home sales for July of last year.
July’s Median Price: $259,700*
The month’s median price edged up 1% over the previous month as was 10% higher than the median price for July of last year.
Click here for Monthly Charts.
*WWMLS WA Data
Through the first half of the year Walla Walla’s Real Estate Market has experienced active sales, low inventory, and rising prices. 2017 was the second most active real estate market in Walla Walla’s MLS history but at the end of June, home sales were 6% ahead of last years pace. June was the single busiest month for home closings yet this year.
Inventory remained low but did not experience a month-over-month decline as enough new listings were brought to market during the month to replace those that sold. The seller’s market continued, especially for homes under $600,000.
Year-to-date, Walla Walla’s median price was $241,185 – a 6% increase over the previous years median price. Thus far, rising prices coupled with increasing interest rates have not dampened buyer activity. We expect the active real estate market to continue through the summer.
June’s Listings: 265*
Even after a busy closing month, the month ended with essentially the same number of active listings as the previous month. Listings were down 7% from the number of homes available at the same time a year ago.
June’s Closed Sales: 81*
June’s closings increased 20% over the previous month and equalled the number that closed during June of last year.
June’s Median Price: $257,000*
June’s median price settled 8% from the previous month and was 3% higher than June of last year.
Click here for June’s Charts.
*WWMLS WA Data
Strong buyer activity continued during the month of May in the Walla Walla Valley. Closed homes sales slowed slightly from the previous month’s pace but May still became the 2nd busiest month of the year. Thus far, annual home sales are 8% ahead of last years pace.
Heading into summer, two important things to watch will be inventory levels and rising prices. While inventory remained low in May, new listings came on the market to replenish those that sold. The month ended with a net listing increase of 6%. Yet, the trend of year-over-year listing declines continued. Walla Walla’s listing inventory was 14% lower than the number of homes listed for sale 12 months ago.
Low inventory levels coupled with strong buyer demand continued to put upward pressure on prices. May’s median price of $279,000 represented a 23% increase over the previous month. The sharp monthly increase was caused by a decrease of homes sold under $200,000 coupled with the the number of home sold in the upper price ranges of our market. The upper priced segment of our market is strengthening. Ten of the homes that closed in May were above $400,000 including two above $800,000.
May’s Listings: 266*
The month ended with 6% more listings than the previous month. However, the trend of year-over-year inventory declines continued. There were 44 more homes for sale in May of last year.
May’s Closed Sales: 67*
The month experienced a 14% decline in closed sales from the previous month and was 7% below May of last year. Yet, year-to-date sales are 8% ahead of last years pace during the same period.
May’s Median Price: $279,000*
The months median price was one of the highest monthly totals ever in Walla Walla. This was due to an increase in the closings of more upper priced homes than in previous months. For the year, Walla Walla’s median price has increased 5% over last year.
Click here for May’s monthly charts.
*WWMLS WA Data
Every year since 1984, Windermere associates have dedicated a day of work to complete neighborhood improvement projects as part of Windermere’s Community Service Day.
The 2018 Community Service day was held on June 8th. Our office spent the morning working in our community to make things a little brighter for our neighbors by staining benches downtown, cleaning & weeding downtown tree wells, and helping at YWCA Family Shelter.
Creating vibrant communities is one of the things that inspire all of us at Windermere to be involved in Community Service Day as it gives us an opportunity to give back to the communities where we live and work.
After all, real estate is rooted in our communities. And an investment in our neighborhoods gives us all a better place to call home.
April became the most active month for real estate this year. The month’s 77 home sales made it one of the busiest Aprils ever for the Walla Walla Valley. By month end, closed home sales had surged 12% ahead of last years pace through the same reporting period.
At the same time, enough new listings came on the market to replenish those that sold. The month ended with the same number of listings as the previous month. Inventory remained low, but this trend may be shifting. For the second month in a row, the Walla Walla Valley had more listings than the previous year. Listing inventory experienced a year-over-year monthly gain of 1%.
The seller’s market continued for Walla Walla as buyer demand remained strong, especially for homes under $400,000. While most buyers would have preferred more homes to look at, Walla Walla maintained just enough inventory to keep price increases moderate. Through the first four months, Walla Walla’s median price increased 4% over the same period a year ago.
April’s Listings: 252*
The month ended with the same number of listings as the previous month, and there were 3% more homes listed for sale than were available 12 months ago.
April’s Closed Sales: 77*
Monthly home sales jumped 37% over the previous month and 57% over April of last year. This was one of the most active Aprils in Walla Walla’s history.
April’s Median Price: $226,362*
April’s median price declined by 5% from the previous month. On the year, Walla Walla’s median price is 4% higher than the same period of last year.
Click here for April 2018 Charts.
*WWMLS WA Data
Sellers brought their homes to market in March and the buyers were ready. The Walla Walla Valley experienced a monthly increase in both home sales and listings. Exceptionally low inventory levels continued to put upward pressure on pricing. Walla Walla’s median sales price increased for the 2nd consecutive month to $238,000.
Here is how the 1st Quarter of this year compared with the 1st Quarter of last year: Closed home sales remained steady but are 3% behind last years pace. Prices increased modestly. The Quarter’s median home sale price increased 3% over the same period of last year. The interesting story was listings. For the first time in 16 months, the number of homes listed for sale experienced a year-over-year monthly gain. Although by a slim margin, March ended with 1.5% more listings than Walla Walla had 12 months ago. We expect this trend to continue as more sellers list their homes in preparation for Walla Walla’s active Spring buying season.
March’s Listings: 257*
March’s listings increased by 11% over the previous month and by 1.5% over March of last year. This was the first year-over-year monthly increase in 16 months.
March’s Closings: 55*
The months closings increased significantly (37%) over the previous month but was 11% behind the number of closing for March of last year.
March’s Median Price: $238,000*
The months median price increased by 6% over the previous month and was also 6% higher than March of last year.
Click here for March 2018 Charts.
*WWMLS WA Data
Through the first two months of the year in the Walla Walla Valley, closed home sales have held steady with last years pace. Buyers were active during February with new contract signings; pending sales – homes under contract but not yet closed – grew by 17% over the previous month. However, buyers choices were limited. Listing inventory remained low. The number of homes listed for sale was 7% lower than the number available at the same time last year.
The market remained a clear sellers market, especially for homes under $400,000. Low inventory levels continued to put upward pressure on price. During the first two months, Walla Walla’s average sales price increased by 2.5%. Going forward, our listing supply should get a boost! Typically, more sellers list their properties for sale during the spring months. We expect listings to grow in March which will alleviate some of the pricing pressure.
February’s Listings: 232*
The month’s listings held steady with the previous month but ended 7% below the number of homes available for sale at the same time a year ago.
February’s Closed Sales: 39*
Typically, February’s closed sales slow from January’s pace. That is what happened again this year. Closed sales declined by 25% from the previous month but were up 15% ahead of the closed sales for February of last year. YTD, closed sales are on pace with last year.
February’s Median Price: $224,000*
The Median sales price held steady with last month. However, the average sales price increased 2.5% over the previous year. What happens to listing supply will determine how much upward pressure pricing face as we go forward.
Click here for February 2018 Charts.
*WWMLS WA data
An uptick in Walla Walla Valley home sales in the final three months of 2017 pulled down housing inventory to its lowest point in more than 15 years. But listing inventory improved a bit early in the year. Some sellers, wanting to capitalize on continued buyer demand, listed their homes early in January. As a result, listing inventory grew 3.5% during the month.
January’s median price ($222,750) pulled back a bit from 2017’s median price ($227,517) but low inventory levels will continue to put upward pressure on prices. The prospect of higher prices and potentially higher interest rates continued to fuel buyers motivation.
Although 6 sales shy of last January, closed home sales got off to a steady start in the new year. What happens to sales going forward will depend on whether or not listing inventory can keep up with buyer demand.
January’s Listings: 234*
The months listings grew 3.5% over the previous month but was still 5% below last January.
January’s Closings: 50*
The month’s closed sales settled from last month and was just 6 sales behind last January’s pace.
January’s Median Price: $222,750*
The month’s median price settled 8% from the previous month but was 6% higher than last January.
Click here for January 2018 Charts.
*WWMLS WA Data
2017 finished 2nd best for home sales in the Walla Walla Valley.
The Walla Walla MLS (WWMLS) reported 799* home sales in 2017 finishing just 5% behind last years record setting pace. Low interest rates kept buyers active despite fewer homes on the market making 2017 the 2nd best year for home sales in WWMLS’s history.
At year’s end, listings declined to their lowest level in over 12 years.
The year ended with just 226* active WWMLS listings, 16% fewer than last year. Throughout the year the Walla Walla Valley maintained approximately 2 months of inventory and ended with just 1.8 months of inventory for the cities of Walla Walla and College Place.
The median sales price experienced an annual gain of 6%.
Lower inventory levels continued to put upward pressure on prices in 2017. The median sales price increased to $227,517*, a 6% increase over the previous year. The Walla Walla Valley experienced a seller’s market, especially for homes below $400,000.
Click here for our 2017 Year-End Charts.
Walla Walla Real Estate 2018 Forecast:
So what will 2018 bring? To help answer that question, here is a summary from Windermere’s Chief Economist, Matthew Gardner:
Existing Home Sales
In 2018 we should expect existing home sales to increase by 3.7%. In many areas, demand will continue to exceed supply, but a modest increase in inventory will help take some heat off the market. Because of this, home prices are likely to rise by 4.4%.
Matthew continues to be concerned about housing affordability. Home prices have been rising across much of the country at unsustainable rates and, although Mathew still contends we are not in “bubble” territory, it does represent a substantial impediment to the long-term health of the housing market. If home price growth begins to taper, as predicted in 2018, that should provide some relief.
Interest rates continue to baffle forecasters. The anticipated rise that many have predicted for several years has yet to materialize. As it stands right now, Matthew’s forecast is for interest rates to rise modestly to an average of 4.4% for a conventional 30-year fixed rate mortgage – still remarkably low when compared to historic averages,
Click here for Matthew’s forecast.
*WWMLS WA Data