Bainbridge Island had a great month for home sales in December! There were 41 homes sold, a 46% improvement from November and nearly 116% above the sales for the same period one year ago! Bainbridge Island continues to lead other areas of the county in both home sales and average selling prices.
The average selling price for this month was $458,476, with a median selling price of $375,000. These prices are lower than the November average of $546,414 and median of $425,000, yet the sales were dramatically higher, and looking at seasonal sales expectations, they were off the charts in December, so what’s going on?
We believe there was a large increase in home sales that closed in December due to seller fears of a Capital gains increase as of January 1 2013. While this fear did not materialize (yet), there was a lot of scrambling going on to get sales closed by the end of December. In some cases, buyers negotiated more favorable prices and sellers agreed just to lock in the sale by the end of the month.
We expect to see fewer sales in January in fact probably more in line with normal seasonal numbers, and they may decline due to the vacuum created with the extraordinary number of sales in December.
Unfortunately, the number of distressed properties sold increased from 3 in November to 8 in December, consisting of an even amount of REO’s and Short Sales. An increase in the number of distressed properties sold is typically associated with depressing prices, so this was also a factor. Keeping it in perspective, however; it is important to note that distressed home sales on Bainbridge Island only comprised 19.5% of total homes Sold, while during the same period one year ago, they comprised about 37% of total homes Sold. Overall, Bainbridge Island has had fewer distressed properties than all other areas of Kitsap County, and while the quantity of distressed homes has remained relatively low and consistent month to month, the percentage they represent of total sales varies inversely with the number of homes sold.
Overall, with the strong employment and hot real estate market in the Seattle area, (7th best real estate market in the County) we continue to project increases in home sales and prices on Bainbridge Island over over the coming year . For Buyers, there are many beautiful homes on Bainbridge Island and we would love to help you find your dream! If you are thinking of Selling, we would love to talk to you and share our ideas to get your home sold fast at the best price.
Thank You for visiting our Blog. We hope you visit regularly.
By Briana Wilson
Reviewed by Brian Wilson, Broker
19723 10th Ave NE; Suite 200
Poulsbo, WA 98370