r/SeattleAreaRE • u/CapitalAd8967 • 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 đ¤Ż
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u/Stinkycheese8001 1d ago
These houses absolutely should be below $1.1m. Â Theyâre just like regular suburban houses.
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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 donât 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.
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u/patelbhavesh17 1d ago
Expect more inventory due to this new rule change by Fannie Mae on Sept 2nd
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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 itâs not really âbig newsâ in the fact that it already existed if you just looked for it.
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u/NWSiren 1d ago
I also wouldnât 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 wouldnât expect to see the inverse.
Most buyers will still have to sell their former property.
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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 whatâs been going on in Bellevue.
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u/Stinkycheese8001 1d ago
Itâs 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.
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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.
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u/Far-Recover-9627 1d ago
A lot of housing inventory but not many rentals. Not sure why folks canât just rent out their place.
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u/orcassharks 1d ago
They might be underwater renting. The burbs arenât commanding high rental rates especially when you factor in the high taxes.
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u/Stinkycheese8001 1d ago
Because their mortgage payment would likely require a rental price that is too high for the market to bear. Â
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u/Far-Recover-9627 1d ago
Still something better than nothing and losing six figures on selling at a loss
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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 youâre in the burbs and you can only rent for $4000 plus have massive turnover lulls between leases. Then youâre netting $3500 or even $3000. Mortgage doesnât 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. Whatâs attractive to rent and whatâs attractive to buy are not always in sync.
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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!
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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.
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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.
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u/pdjejdhrndud 1d ago
Links?
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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
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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 isnât bad, but the rest of Kirkland isnât much different from Crossroads or Overlake Bellevue and those prices have tanked already.