Inventory remains very low, leading to higher prices for Whatcom homes for sales
Even with restrictions on open houses, Whatcom County real estate agents are selling homes this spring.
During the first full month of restrictions, real estate agents sold 219 houses and condominiums in April, according to data from the Northwest Multiple Listing Service. That is down 22% compared to April 2019, but still better than the first two months of 2020.
Real estate agents have had to take a variety of steps during this pandemic. Along with limiting showings, social distancing practices, masks and booties have quickly become the norm.
The dynamics of the local real estate market remain in place even with the coronavirus pandemic. Inventory remains very low, which is leading to higher prices for homes. The median price for houses and condos sold last month in Whatcom County was $420,000, an 8.4% increase compared to April 2019.
Whatcom County had 324 new listings last month, down 27.4% compared to a year earlier. Troy Muljat of Muljat Group Realtors noted that Bellingham had just 126 active listings during what’s usually the busiest time of the year.
In a Zoom presentation for the Bellingham Regional Chamber of Commerce on Wednesday, May 6, Muljat, Mary Kay Robinson of Windermere Real Estate and Leena Kirschman of Calibar Home Loans weighed in on the current market, with each noting that local real estate remains healthy early on in this pandemic.
“This has been a health crisis, not a housing crisis,” Robinson said, noting that buyers are not only looking for the right home, but hoping to lock in the low interest rates currently in place.
As of now, it’s the homes priced at under $500,000 that are drawing the most interest and are most likely to get multiple offers, she said.
Lending activity is also very busy with many lenders working from home, said Kirschman. While the paperwork can be completed with the current social distancing restrictions, the sudden job losses that have hit the local economy require lenders to keep a close eye on clients’ employment.
Along with home loans, lenders are busy with refinancing and helping those who are struggling to make mortgage payments.
It’s become more important for buyers to be pre-approved for a home loan. With house showings limited, real estate agents and sellers are only showing a house to buyers who at least have started the lending process.
“Even more so you have to have the financing lined up,” Robinson said, adding that it also helps to be pre-approved if an offer needs to be made quickly.
Sellers have also had to make adjustments, working more closely with agents to make sure everything is cleaned before and after a showing. But given how low inventory is, Robinson said new listings will draw interest even during the pandemic.
“We can do business, it’s just a little different,” Robinson said in phone interview.
