While the Seattle region ranks near the top of the nation in terms of new construction, coming in at #7 (right behind Pheonix, AZ and Los Angeles, CA), the housing costs within our city continue to rise at a high rate. A recent Seattle Times article finds that, although there has been a rapid increase in new housing, the supply simply hasn’t been able to keep up with the demand caused by the city’s job and population gains.
With Seattle tied for second place in terms of employment growth last year, trailing just behind Orlando, FL, we have seen the city expand so rapidly that development of new housing simply cannot keep up, causing housing prices to continue to rise at one of the fastest rates in the country. According to another Seattle Times article, this past February, the Greater Seattle area once again had the highest home price increase in the nation, with prices topping out at nearly twice the national average.
$5.3 billion dollars of housing was built in the Seattle region last year, up from $1.4 billion during the recession. With such expenditures to increase the volume of housing available in our city, it begs the question; when will housing supply meet the high demand that our ever evolving city has?
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To learn more, please visit: The Seattle Times | Seattle region ranks near top of nation for new housing, so what’s with the soaring prices?