2nd Quarter 2012 Report on Homes and Land in the Sequim Area
The overall market has seen some good news (home sale volume) and some bad news (land values) through the second quarter of 2012. Team McAleer’s market share has grown as well which has made for some cold dinners…but it’s a problem we like very much to the alternative. RE/MAX Fifth Avenue, with only 9 agents, is tops in Sequim and Port Angeles by 32% over the next most productive office in terms of dollar amount sold. Team McAleer makes up for 48% of the production within our brokerage. Go Team.
Residential Report – Home Sales in the Sequim Area*:
Median sales price – holds steady.
The median price of a home selling in Sequim dropped 3% from the 1st quarter to $205K this 2nd quarter of 2012. That is actually an increase of 3% comparing the quarter to the median price of Q2 of 2011. Team McAleer has done our part with an average sale price of $371,097.
Number of Sales – highest volume of sales in 2 years.
The second quarter traditionally improves in terms of sales volume over the first quarter, but this quarter was exceptional with 112 home sales. With only 19 home sales/month in the first quarter, our increase to 37 sales/month was a 49% increase from last quarter. Additionally comparing year to year Q2 saw a 27% increase in volume over Q2 of 2011. The 44 homes sold in May was the most in any month since June of 2010 (July 1, 2010 was the expiration of the Federal Government’s Home Buyer Tax Credit), and besides that anomaly the most since September of 2007!
Portion of the market taken up by Distressed Sales – actually drops.
The 14 distress sales was a superb improvement considering it only made up on 12% of the sales compared to the 25% portion from the 1st Quarter of this year. (Distressed properties are defined as foreclosure sales, short sales and bank owned property sales).
LAND REPORT – 2nd Quarter of 2012 sees modest increases in volume and sale prices.
Number of total land sales: The number of land sales actually rose to 28 this quarter from 21 last quarter and 20 in Q2 of 2011. However, 7 of those sales were bank owned city lots where the average sale price was $12,857. The supply of over 500 parcels on the market at any given time towers over the 9 to 7 land sales we see each month.
Median Sales Price of all land sales: The median sales price in Q2 of 2012 was $51,000. Even taking out the 7 bank owned city lot sales previously mentioned the median price was $60K. These sales were predominately acreage pieces – not city lots. 14 of the sales were between 1 acre and 6 acres and none of the sales were over $100K. Our projection when looking at the supply and demand as well as new governmental limitations and costs to develop is that land prices will continue to fall.
Median asking price of all Active parcels: The median asking price fell slightly again to $89K. We expect that price trend to continue as well.
*The “Sequim Area” which goes east as far as Discovery Bay and west to Blue Mountain Rd. and Lewis Rd.