Spokane Real Estate Market: A Shifting Landscape in July 2024

The Spokane real estate market experienced notable changes in July 2024, with inventory levels rising and sales dynamics shifting. The market saw 1,493 homes available for sale, marking an 8.6% increase from the previous month. This surge in inventory suggests a potential easing of the tight housing supply that has characterized many markets across the country in recent years.

Despite the increase in available homes, the Spokane market remained competitive. The median sold price for homes stood at $395,243, with a price per square foot of $202. These figures indicate that while more options are becoming available for buyers, prices remain robust. Interestingly, 37.1% of homes sold above the asking price, underscoring the continued competitiveness of the market.

Inventory Dynamics and Sales Trends

A closer look at the inventory breakdown reveals significant increases in specific segments of the market. Two-bedroom homes saw a substantial 22.7% increase in availability, while homes with five or more bedrooms experienced a 21.2% rise. These shifts could signal changing preferences among buyers or an influx of diverse property types entering the market.

The sales volume in Spokane experienced a downturn, with 311 homes sold in June 2024, representing a 21.3% decrease from the previous month. This decline in sales, coupled with the average time to sell a home increasing to 18 days (up 28% from the previous year), suggests a potential cooling of the market’s rapid pace. However, it’s worth noting that 83% of homes still sold within 30 days, indicating that well-priced properties continue to move quickly.

Market Balance and Future Outlook

The distribution of sales prices in relation to asking prices provides further insight into the market’s dynamics. Of the homes sold, 95 went for under asking price, 100 at asking price, and 115 over asking price. This relatively even spread suggests a market that, while still favoring sellers, is showing signs of balancing.

Looking ahead, lower interest rates are expected to increase competition for entry-level and workforce housing, potentially benefiting first-time home buyers. This factor, combined with rising inventory levels and the current sales pace, points towards a transition to a more balanced market in Spokane. As the market evolves, buyers and sellers alike will need to stay informed and adaptable to navigate these changing conditions effectively.