Realtor.com Predicts MAJOR Price Drop in Spokane, WA in 2024

    The anticipation surrounding the real estate market often mirrors the hopes and dreams of potential homebuyers and sellers. In a recent development, Realtor.com has released its housing market predictions for 2024, unraveling a mixed bag of expectations for various cities. One city that stands out is Spokane, making waves with an intriguing forecast. In this blog post, we will delve into the details, exploring the current scenario, the predictions made by Realtor.com, and the potential implications for both buyers and sellers.   Current Market Dynamics As of the present moment, the real estate landscape is witnessing a notable shift. The speaker notes that interest rates have fallen below 7%, a phenomenon not observed in the past seven months. With conventional fixed-rate mortgage rates at 6.62% and FHA loans as low as 6.1%, there seems to be a favorable environment for potential homebuyers. The speaker emphasizes the importance of consulting with a lender to get accurate details.   Realtor.com's Predictions for Spokane Realtor.com has presented price predictions for the top 100 real estate markets in the United States. Spokane is notably absent from the list of the top 10 markets with the largest increases. However, it has claimed the third position in the list of markets with the largest decreases. The prediction is a substantial 10% year-over-year drop in housing prices for Spokane in 2024. This raises questions about the potential consequences for homeowners and the overall market.   Impact Analysis To understand the significance of a 10% drop, the speaker provides context by comparing it to the current average home price in Spokane, which is around $420,000. A 10% decrease would translate to a reduction of $42,000, bringing the average price to approximately $380,000. The speaker reflects on how this change aligns with the market's recent history and speculates on the factors driving these predictions.   Comparisons with Other Markets Realtor.com draws parallels with Austin, Texas, highlighting it as an example of a housing market that experienced significant price surges during the pandemic. Despite projected declines in 2023 and 2024, Austin's prices are expected to remain 29% above pre-pandemic levels. Spokane, too, is expected to face a similar situation with prices potentially staying well above pre-pandemic levels despite a projected 10% drop.   Considerations for Homeowners and Buyers The blog post explores the potential impact on different stakeholders. Homeowners who purchased between May 2021 and the present might face challenges if the predicted drop occurs. For buyers, the question arises: Is it wise to wait for a 10% price drop? The speaker shares insights into negotiating strategies in the current market, emphasizing the importance of considering factors beyond just the house price, such as interest rates and terms.   Red Fin's Mortgage Rate Predictions Red Fin's forecast on mortgage rates for 2024 is introduced, suggesting a gradual decline. The speaker discusses the potential implications of falling interest rates on buyer behavior and the overall market dynamics.   Increased Home Sales and Inventory Red Fin anticipates a significant increase in home sales in 2024, accompanied by additional inventory. Move-up buyers, motivated by lower mortgage rates, might contribute to this surge. The blog post discusses the potential consequences of this influx on the real estate market in Spokane.   In the grand scheme of things, the real estate narrative for Spokane in 2024 reads like a captivating story. It's not just about percentages and market trends; it's about the hopes, dreams, and decisions of the people making Spokane their home. As the rollercoaster of prices, rates, and choices unfolds, remember that your journey in the real estate world is more than a transaction—it's an exciting chapter in the story of your life. So, here's to navigating the twists and turns with enthusiasm and making the most of your real estate journey!

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INSIDE a $650,000 Renovated Home in Spokane's Mead School District + Neighborhood Tour

  Today, I'm taking you on a virtual tour of Mead, Washington, a little treasure just north of Spokane that's been catching my eye. We'll dive into the current lifestyle, future potential, and check out a stunningly renovated property that perfectly captures the spirit of this enchanting place.   Navigating the Landscape Let's fire up Google Earth and zoom into Mead, giving us a bird's-eye view of the current landscape and a sneak peek into the future Mead Works development. With the strategic placement of Highway 395 and its upcoming connection to I90, the area promises increased accessibility. We'll explore the Fairwood neighborhood, the Wand Deir Golf Course, and soak in the overall ambiance that makes Mead so captivating.   Glenair Estates Our focus now shifts to Glenair Estates, a tucked-away neighborhood within Mead. Here lies a meticulously renovated gem—a home built in 1975 that has undergone a transformation. This area, with its privacy and proximity to major corridors, is a hidden treasure. Join me on a detailed tour of this property, boasting five bedrooms, three baths, and spacious living areas. I'll point out the modern touches, like the chic black trim and doors that add a contemporary flair.   Unveiling Interior Splendors Let's step inside and explore the heart of the home. A modern kitchen awaits, complete with black drawers, gold hardware, and a trendy butcher block countertop. The tasteful updates extend to a bathroom with vibrant green tile accents, injecting character into the property. The primary bedroom, with its sliding barn door and unique green-themed bathroom, stands out as a distinctive and inviting space.   Lower-Level Living Spaces Descending downstairs, we discover additional living spaces. A family room with a fireplace insert offers flexibility for various uses, from cozy gatherings to potential offices or bedrooms. I'll discuss the property's list price of $650,000, deeming it reasonable for this diverse neighborhood that spans from fixer-uppers to luxury homes.

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The 2024 Cost of Living Update in Spokane, Washington

  In recent years, the cost of living has undergone significant changes across various regions, and Spokane, Washington, is no exception. As a resident and a realtor in the area, I'm excited to provide you with a comprehensive 2024 cost of living update for Spokane. In this blog post, we will delve into key aspects of living in Spokane, including housing, daily expenses, and unique factors that contribute to the overall cost of life in the region. Whether you're considering a move or simply curious about the financial landscape, this update aims to provide valuable insights.   Home Values and Trends To begin, let's explore the housing market in Spokane. Home values have experienced notable fluctuations over the past couple of years. As of November 2024, the median home price stands at $420,000, reflecting a 2% increase from the previous month and nearly 3% from the previous year. Contrary to expectations, prices have remained resilient, showing a 3% year-over-year growth despite current interest rates.   Cost of Owning a Home However, the cost of owning a home has become more challenging, primarily due to rising interest rates. With an average home price of $420,000 and interest rates hovering around 7%, the monthly mortgage payment for a property with a 10% down payment can range from $2,800 to $3,600. This emphasizes the importance of considering all associated costs before committing to homeownership.   Renting as an Alternative For those not ready to commit to homeownership, renting remains a viable option. The average rent for a three-bedroom, two-bath house in Spokane is around $2,100 per month. It's noteworthy that, at present, renting appears to be more cost-effective than buying, especially considering the current state of interest rates.   Additional Homeownership Expenses Insurance Costs Beyond mortgage payments, homeowners must account for insurance expenses. Insurance costs vary based on factors such as home age, size, and location. For example, a brand-new home may have insurance costs as low as $650 per year, while older homes or those with unique features could see premiums exceeding $1,000 annually. Property Taxes Property taxes are a significant consideration for homeowners. In Spokane, property taxes are relatively standard, averaging around 1% of the assessed value. However, it's essential to monitor assessed values and tax rates to ensure accurate billing and avoid overpayment. Washington's Tax Landscape Washington's unique tax structure, lacking state income tax but incorporating higher sales tax rates, impacts residents differently. While income tax savings are notable, a 9% sales tax in Spokane may offset some of those gains. Additionally, the state imposes excise and capital gains taxes, particularly relevant when selling assets.   Utility Costs Understanding utility expenses is crucial for financial planning. In Spokane, water, sewer, garbage, and electricity bills are standard considerations. Average monthly costs for electricity and gas combined range from $136 to $200, depending on the season and home features.   Maintenance and HOA Fees For additional home-related expenses, homeowners may encounter Homeowners Association (HOA) fees, landscaping costs, and housekeeping expenses. Fortunately, Spokane's HOA fees are relatively reasonable, with many ranging from $60 to $250 per month.   Health Insurance Healthcare costs can vary based on employment situations. On average, health insurance for adults in Washington is $420 per month. However, alternative healthcare options, like Direct Primary Care, provide more affordable alternatives for cash pay-oriented individuals.   Transportation Car-related expenses, such as insurance, registration, and gas, contribute to the overall cost of living. Spokane's gas prices, while fluctuating, have generally been more affordable than some other regions. Additionally, car registration fees and maintenance costs should be factored into transportation budgets.   Daily Expenses Daily expenses, including groceries, impact household budgets significantly. Spokane's grocery prices are comparable to national averages, with items like bread, milk, eggs, and ground beef having reasonable costs.   Entertainment and Dining Out Enjoying restaurants, movies, or recreational activities is part of the overall living experience. Spokane offers a range of dining options, from high-end restaurants with fine dining experiences to more affordable local spots. Entertainment costs, including movie tickets and golf fees, are relatively reasonable, contributing positively to the region's quality of life.   In conclusion, understanding the comprehensive cost of living in Spokane involves considering various factors, from housing and utilities to healthcare and daily expenses. While the region offers a more affordable living environment compared to some metropolitan areas, it's essential to assess individual circumstances and preferences.

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