Home values continue to rise in Whatcom County, but the market is changing
The pace of home appreciation continues to slow in Whatcom County, with the real estate market getting closer to a more typical pattern.
Whatcom County home values rose 6.3% in the third quarter, according to the latest data from the Federal Housing Finance Agency. While still higher than historical norms, the pace is slower than the double-digit percentage jumps seen in recent years.
The increase was the 38th highest among the 231 metro areas studied. Three Washington communities remained on the top 20 list in terms of home appreciation: Spokane (ranked fifth with a 10.4% increase), Kennewick (seventh, 8.5%) and Tacoma (11th, 7.4%). The agency looks at purchased and refinanced mortgages to determine changes in home values.
Whatcom’s increase was higher than the national average of 4.9%. Nationally home values have increased every quarter for the past eight years, according to the agency. Whatcom was also higher than the state average of 5.6%
Even though home appreciation has slowed in Whatcom, this rate of increase will still impact home affordability.
In the second quarter Whatcom County’s Home affordability index was 88.1, seventh-worst for potential home buyers among the Washington counties, according to the Washington Center for Real Estate Research at the University of Washington. The affordability index measures the ability of a typical family to make payments on a median-priced home. Anything below 100 means it is less affordable for a typical middle-income family.
