Sales are Down, But Listings Are Down

The Seattle Times’s Elizabeth Rhodes published on Friday an excellent analysis of why prices have continued to increase in Seattle even as sales have decreased: the number of listings has declined as quickly as sales have. Since it seems like almost every house in Seattle has turned over at least once in the past couple of years, it could just be that people are tired of moving. The median home price in Seattle has increased from $392,950 in February to $405,000 in March.
Interestingly, Redfin Direct offers have been higher than the median. The median Redfin Direct offer has been for $475,000; the average has been $566,000. This is consistent with what E-Trade discovered about its customers: that electronic brokers, unlike discounters, attract more highly educated, higher-income buyers.