Spokane Rooter
The housing market in Spokane and Coeur d’Alene is experiencing notable changes as we navigate through
2023. Recent trends indicate a shift from a highly competitive seller’s market to a softer landscape, influenced significantly by rising inventory levels and higher interest rates. As potential buyers pause to assess their options, homeowners are beginning to see a respite from the manic sales pace witnessed in recent years. In this article, we will explore the current market conditions in Spokane and Coeur d’Alene, analyze the impact of these changes on home prices and sales, and provide valuable insights for both buyers and sellers navigating this evolving market.
Key Takeaways
- The Spokane and Coeur d’Alene housing market is transitioning to a soft seller’s market due to increased inventory and buyer hesitance.
- Median home prices have stabilized, with Spokane at $425,000 and Kootenai County at $527,000.
- Despite rising inventory, the sales pace is slow, averaging 94 days on the market in Coeur d’Alene.
Current Market Conditions in Spokane and Coeur d’Alene
### Current Market Conditions in Spokane and Coeur d’Alene
The housing market in Spokane and Coeur d’Alene is currently navigating a unique landscape marked by increased inventory amid a tempered pace of sales. According to real estate expert Tom Hormel, this shift has led to what can be referred to as a ‘soft seller’s market.’ Higher interest rates have made prospective buyers more hesitant, contributing to the slowed transaction velocity that contrasts sharply with the rapid sales seen in the aftermath of the pandemic. As of the end of June, Spokane’s median home price has stabilized at approximately $425,000, with a noteworthy 31% increase in inventory, bringing the total number of homes for sale to 1,253. This accessibility means that selling off the current inventory would take around
2.4 months, a significant rise from only
1.5 months last year. Both Hormel and Michael Wendland, president of the Coeur d’Alene Regional Realtors, emphasize that a balanced real estate market typically operates with around six months’ worth of inventory, suggesting that current conditions still lean towards a seller’s advantage but are less urgent. Meanwhile, in Kootenai County, the median home price has edged up to $527,000, with homes averaging about 94 days on the market before being sold. While there has been a resurgence in market activity following a slow winter season, it is clear that the rhythm remains far from the hectic pace that defined previous years, indicating a shifting dynamic in the local housing landscape.
Impact of Rising Inventory on Home Prices and Sales
As inventory levels continue to rise in Spokane and Coeur d’Alene, the implications for both home prices and sales become increasingly significant. With a 31% increase in available homes, buyers now have more options, yet many remain cautious due to elevated interest rates. This hesitancy is evident in the median home prices, which have stabilized rather than skyrocketed, suggesting that the market may be cooling off after the frenzy seen during the pandemic. In particular, Spokane’s median home price holding steady at $425,000 reflects a more measured approach as potential buyers survey their choices carefully. Moreover, the rising inventory indicates a transition towards a more balanced market, even as it still shows characteristics of soft seller dynamics. Experts like Hormel and Wendland highlight that while the market isn’t overly burdened, it is imperative for buyers to navigate these waters with a strategic mindset. Understanding inventory trends and market conditions can empower buyers and sellers alike during this period of adjustment.
