What’s Happening in the Bellingham Real Estate Market?

We are constantly amazed at the intensity of the current market.  Home owners are often selling their homes in a matter of hours, with multiple offers and at prices in excess of the list price.  The flip side is Buyers who have made numerous offers, but always seem to fall a little bit short and are feeling, “What in the heck do I have to do to buy a house?”

Market Snap Shot april 17

It’s clear in looking at the chart, that the disconnect is a shortage of homes relative to the number of active buyers.  You’ll see that in Bellingham in 2017 (as of last week) there are 95 homes available to purchase & 119 pending.  Compare this to the years 2010 to 2016.  During this period, there were plenty of homes (choices) & not that many buyers competing against each other.

So the question for Buyers & Sellers becomes, as we move into Spring & Summer, will more inventory become available as it historically has or will it remain a tight market?

Our Crystal Ball tells us that while there will be more inventory, the inventory will be snapped up quickly by Buyers who are hungry to buy at current prices & interest rates.  The shortage of inventory is compounded in Bellingham, at least, by the unavailability of building lots, by sellers who are unwilling to put their homes on the market without knowing where they are going to move to or by Sellers who are unwilling to give up their current mortgage of 3.35% for a new 30 year fixed @ 4.25%.  If rates continue to increase, the inventory valve will tighten even more.

I don’t mean to be the bearer of bad news, but the net result is inventory grid lock.

If you or your friends have questions about how to successfully navigate through this maze, give us a call. We’d be happy to share our thoughts & expertise with you. Call Johnson Team Real Estate today at (360) 303-2734 or email us at Info@JohnsonTeamRealEstate.com today!