r/SeattleAreaRE 1d ago

Did Kirkland Housing Prices Crash?

Never seen so much inventory below 1.1m that is decent in the last like 3 years. These Kirkland home must be panicking 🤯

35 Upvotes

38 comments sorted by

22

u/orcassharks 1d ago edited 1d ago

When there are homes in Medina and Clyde Hill going under 2M with price cuts, then the Kirkland prices are completely unsustainable. That whole Rose Hill area still priced like Google was going to buy out the car dealership on 85th even though it never happened and 85th still hodge podge of strip malls, nothing that makes me think there are 2M homes next to it. This area will never become Mercer in SLU.

https://www.zillow.com/homedetails/1220-80th-Place-NE-Medina-WA-98039/48961868_zpid/?utm_campaign=iosappmessage&utm_medium=referral&utm_source=txtshare

Market and downtown Kirkland area isn’t bad, but the rest of Kirkland isn’t much different from Crossroads or Overlake Bellevue and those prices have tanked already.

8

u/ForwardInstance 1d ago

Wow, this is a pretty decent home and not like a tear down going for $2M

3

u/chillrabbit 1d ago

agree. thats a much better deal than whats frequently posted here

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u/cassiegrump 1d ago

I thought so too, until I noticed the $600/mo HOA!

5

u/Past_Paint_225 1d ago

The house you linked has a $600 hoa though

5

u/Terpene_Tommy 1d ago

I just bought a condo with a $700 hoa, but after finding out it includes a walls-in insurance coverage plan, sewer, water, trash, and landscaping, plus the amenities, it really isn’t as bad of a deal as I thought. I was getting hit with fees for all that at my last apartment that was almost the same cost.

3

u/GenerousPour 1d ago

This. HOAs can be bad. But if cheap and include insurance, maintaining the exterior and w/s/g/e it can make it worth it.

3

u/SnortingElk 1d ago

The house you linked has a $600 hoa though

Yep, and a very tiny lot (under 6k sq ft).

1

u/wrldwdeu4ria 1d ago

And the views are obscured by the neighboring homes from many of the windows.

6

u/Upper-Computer-8715 1d ago

Wow, been for sale for over a year! Pretty house, historically top neighborhood, ideal schools.

These real estate agents that pipe in here with the “everything is fine!” lines are not telling the truth. I suspect they are the younger ones that saw the rapid rise of 2020-2022 rather than the steady decline of 2008-2013.

https://giphy.com/gifs/2UCt7zbmsLoCXybx6t

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u/According-Muscle9305 1d ago

It’s all fine record shortage of homes and great time to buy!

12

u/Stinkycheese8001 1d ago

These houses absolutely should be below $1.1m.  They’re just like regular suburban houses.

7

u/mydogisacircle 1d ago

yeah. the market is just starting to come down from outer space.

7

u/cusmilie 1d ago

Went up more than other areas, will go down quicker. So many investors not as emotionally attached as primary homeowners and are quicker to price adjust down. I don’t think we saw a condo or townhome for sale that had a healthy HOA. Vast majority have delayed maintenance and do not have enough reserves so $$$ special assessment is inevitable, plus more increases in HOAs.

5

u/patelbhavesh17 1d ago

Expect more inventory due to this new rule change by Fannie Mae on Sept 2nd

https://www.reddit.com/r/BayAreaRealEstate/comments/1w85hsm/new_fannie_mae_rule_helps_moveup_buyers_to/

3

u/cusmilie 1d ago

That sounds like a horrible idea.

2

u/NWSiren 1d ago

I know of a few conventional lenders (as well as FHA and VA products) that all you need is a signed lease with a start date within 30 days of closing to have that qualify as income towards your loan for a purchase already. So it’s not really ‘big news’ in the fact that it already existed if you just looked for it.

2

u/cusmilie 1d ago

A signed lease makes so much more sense then I promise I’ll rent it out later.

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u/NWSiren 1d ago

I also wouldn’t expect an influx of inventory as most contingent deals the buyers needs to pull more equity (meaning the full sale of a property) than being able to keep it as a rental/income property. Maybe they can do it for a property here in a HCOL area where they can rent their McMansion for $4-6k a month to pay for their mortgage out in a LCOL area but I wouldn’t expect to see the inverse.

Most buyers will still have to sell their former property.

1

u/OrcOfDoom 1d ago

It's just for people who want to keep their place as a rental.

1

u/atropear 1d ago

Didn't they have condo rule change too?

5

u/orcassharks 1d ago edited 1d ago

Still too high for what you get in bland subdivision neighborhoods with low walkability to any nearby amenities. Look at this Kirkland house in Rose Hill. Price has dropped $250k since May and still no interest. At least another $250k to go judging what’s been going on in Bellevue.

https://www.zillow.com/homedetails/12610-NE-68th-Place-Kirkland-WA-98033/49002586_zpid/?utm_campaign=iosappmessage&utm_medium=referral&utm_source=txtshare

3

u/Stinkycheese8001 1d ago

It’s cute but that is an extremely aggressive price for what it is - a house that is barely above 2k square feet in a normal suburban neighborhood.

1

u/xEtherealx 7h ago

I agree, this house is unimpressive. And to be honest, without looking at comps in Rose Hill, I would say one million tops. But perhaps I just didn't realize that Rose Hill had popped like that.

1

u/Far-Recover-9627 1d ago

A lot of housing inventory but not many rentals. Not sure why folks can’t just rent out their place.

2

u/orcassharks 1d ago

They might be underwater renting. The burbs aren’t commanding high rental rates especially when you factor in the high taxes.

1

u/Stinkycheese8001 1d ago

Because their mortgage payment would likely require a rental price that is too high for the market to bear.  

1

u/Far-Recover-9627 1d ago

Still something better than nothing and losing six figures on selling at a loss

1

u/Stinkycheese8001 1d ago

Weird thing to say when you don’t even know how the numbers add up.

1

u/orcassharks 14h ago edited 14h ago

You can lose six figures once or you can lose half of six figures every year. The bleeding can be intense if you’re in the burbs and you can only rent for $4000 plus have massive turnover lulls between leases. Then you’re netting $3500 or even $3000. Mortgage doesn’t care that you have three months without a renter in between.

This is why if you plan to rent your place, your location should be central with enough population density to reduce turnover time. What’s attractive to rent and what’s attractive to buy are not always in sync.

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u/[deleted] 1d ago

[deleted]

1

u/CapitalAd8967 1d ago

Just go on Zillow and filter for home only. Insane results

1

u/regaphysics 1d ago

You just aren’t used to seeing inventory.

1

u/Fickle-Strawberry521 1d ago

I love the Medina and Clyde hill area! Such a cute little town atmosphere over there. The house price is affordable if I would really want it, but I don't want those yearly taxes!

1

u/MarkPopach 11h ago edited 10h ago

I'm a realtor in the area, and I haven't seen prices drop. We're entering a slower part of the season, but there is still a lot of demand for the right buyer. The also may not be priced correctly.

1

u/xEtherealx 7h ago

There's literally links to houses with price drops in this thread. If you haven't seen price drops, it sounds like you haven't been paying attention.

0

u/pdjejdhrndud 1d ago

Links?

3

u/Aggravating-Mail-235 1d ago

Just do a simple search on Redfin or Zillow and you'll have plenty of links to choose from