Seattle has now topped the nation in home price growth on the S&P/CoreLogic Case-Shiller Home Price Index for eighteen months in gains that are once again widening on a monthly basis. Despite slipping slightly last summer, February’s monthly increase exceeded January’s by 1.74 percent, representing an average price increase of 1% per month over the last twelve months.
Seattle’s year-over-year increase is holding steady at 12.74 percent, 2.64 percent higher than San Francisco, the Puget Sound’s nearest Index competitor.
As outlined in the official S&P Dow Jones report, Seattle’s growth is attributable to a strong economy with ample employment opportunities. “Seattle enjoyed both the largest gain in employment and in home prices over the 12 months ended in February 2018,” while “in San Francisco and Los Angeles, home price gains ranked much higher than would be expected from their employment increases, indicating that California home prices continue to rise faster than might be expected.”
Increased demand amidst scarce inventory has kept the cumulative days on market in Seattle relatively low, hovering around one week. Meanwhile, first quarter sales from 2018 show price increases in a number of key markets within the city (see chart below).
For Seattle’s comparative performance on the Case-Shiller Index, see the chart below; and for more details, download the full report here.