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Seattle Real Estate Prices to Rise 3.2% By 2011: CNN Money

By
Real Estate Agent with SeattleHome.com -Coldwell Banker Danforth

Following up Money Magazine's projection that Seattle home prices will rise 0.6% in 2010, the further estimate is that prices will rise 3.2% through 2011. Every projection model has its flaws, but this model puts Seattle at #5 in the most likely markets for a housing recover.

CNN Money article

Median home price: $365,000
Value lost since 2006: 18.1%
Forecast gain through 2011*: 3.2%
Seattle has become a world-class city with a diverse, vibrant economy. As a home to manufacturers, such as Boeing, and software providers, such as Microsoft, the job market has held up better than average, with December's unemployment rate sitting at 9.1%.

Home prices had a softer landing as well, dropping just 18.1% over the past three years, about half the national average, according to Fiserv, a division of Moody's Economy.com.

In the next six months prices are expected to grow 1%. After that, the market should gain momentum. By September 2011, the city could see a price gain of 5.5%.

And while that may not sound all that robust for those jaded by the annual double-digit returns recorded during the boom, that performance will be one of the best of any large city during that period.

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