EASTSIDE | 2014 Year in Review

MERCER ISLAND206.232.0446 weeklypropertyreport.com

an annual report on single-family

residential real estate activity

EASTSIDE YEAR IN REVIEW I 2014

©2011-2014 Windermere Real Estate/Mercer Island. For questions or comments, email julie@windermere.com.

WeeklyPropertyReport.com │ Residential and condominium data for Greater Seattle and the Eastside

The median sale price of single-family homes rose 9.7% on the Eastside. This follows a solid 12% increase in 2013 and is an indicator of continued market strength.

There were 7,909 homes sold in 2014. That’s down from 8,206 homes in 2013, but still well above the five year average. A shortage of homes for sale has dominated the headlines in the greater Seattle-Eastside region in past year.

Of the single-family home sales, 1,148 (15%) had a contract price above $1,000,000—a ten year high—as the Eastside continues to dominate the Seattle region’s luxury market. On the flip side, there were 2,536 homes sold on the Eastside priced below $500,000—the fewest number sold in the past five years. This is very much the result of continued appreciation in a market once plagued with post-boom price decreases and a very good sign of growth.

The average market time remained at 46 days for single-family homes—exactly the same as in 2013. Both years are down markedly from the 100+ days on the market of the several years prior to that. This market time average can be deceptive however, as the most desirable homes are still selling in under a week while more challenged properties may sit on the market for months.

$420,000

$460,000

$606,000

$664,000

$584,995

$510,000$539,000

$496,750 $500,000

$560,686

$615,000

5.84% 5.87%6.41% 6.34%

6.03%

5.04%4.69% 4.45%

3.66%3.98% 4.17%

3.00%

5.00%

7.00%

9.00%

11.00%

13.00%

15.00%

17.00%

$20,000

$120,000

$220,000

$320,000

$420,000

$520,000

$620,000

$720,000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Key Trend Analysis I 2004-2014

Median Closed Sale Price

30-Year Fixed-Rate Mortgage

Seattle Consumer Price Index

195200

208216

225 226 227233

239 242247

The highest sale of the year was an $11.3 million, 9,580 square foot home located on 118 feet of prime waterfront on Groat Point in Medina.

The lowest sale was a $70,000 cabin with 600 square feet on leased land located in the Denny Creek Recreational Area.

The average cost per square foot in 2014 increased 10% to $277 from $250 per square foot in 2013, continuing a four year upward trajectory.

Conventional 30-year fixed interest rates averaged 4.17% overall in 2014, but after spiking to a high of 4.43% in January, ended the year considerably lower at 3.86%.

East Side-South of I-90 2010 2011 2012 2013 2014Number Sold 712 764 963 1,104 1,072

Average Sale Price $627,585 $583,620 $607,891 $661,720 $769,339Average Sq Ft 2,861 2,829 2,893 2,822 2,987

Average Cost Per Sq Ft $219 $206 $210 $234 $258Average Days on Market 122 103 77 45 42

Mercer Island 2010 2011 2012 2013 2014Number Sold 225 260 297 353 338

Average Sale Price $1,129,564 $1,060,428 $1,215,391 $1,221,353 $1,401,028Average Sq Ft 3,116 3,125 3,228 3,240 3,368

Average Cost Per Sq Ft $363 $339 $377 $377 $416Average Days on Market 138 102 91 65 69

Bellevue-West of 405 2010 2011 2012 2013 2014Number Sold 331 359 375 354 373

Average Sale Price $1,257,442 $1,170,972 $1,389,114 $1,543,408 $1,778,045Average Sq Ft 3,105 3,103 3,246 3,450 3,364

Average Cost Per Sq Ft $405 $377 $428 $447 $529Average Days on Market 151 114 87 60 57

Bellevue-East of 405 2010 2011 2012 2013 2014Number Sold 570 558 703 790 716

Average Sale Price $550,767 $504,602 $524,017 $604,872 $676,404Average Sq Ft 2,327 2,320 2,353 2,372 2,402

Average Cost Per Sq Ft $237 $218 $223 $255 $282Average Days on Market 96 83 58 25 27

East of Lake Sammamish 2010 2011 2012 2013 2014Number Sold 1,374 1,400 1,900 2,303 2,227

Average Sale Price $547,227 $525,688 $523,752 $586,808 $634,542Average Sq Ft 2,681 2,716 2,688 2,655 2,675

Average Cost Per Sq Ft $204 $194 $195 $221 $237Average Days on Market 117 113 86 50 47

Redmond, Carnation 2010 2011 2012 2013 2014Number Sold 610 630 662 781 816

Average Sale Price $545,230 $504,967 $535,281 $591,131 $649,447Average Sq Ft 2,577 2,597 2,680 2,670 2,695

Average Cost Per Sq Ft $212 $194 $200 $221 $241Average Days on Market 107 107 86 53 54

Kirkland-Bridle Trails 2010 2011 2012 2013 2014Number Sold 557 620 655 736 690

Average Sale Price $684,236 $616,404 $662,522 $746,925 $854,277Average Sq Ft 2,616 2,586 2,579 2,575 2,612

Average Cost Per Sq Ft $262 $238 $257 $290 $327Average Days on Market 154 102 67 41 48

Juanita, Woodinville 2010 2011 2012 2013 2014Number Sold 1,098 1,292 1,671 1,785 1,677

Average Sale Price $470,233 $450,375 $459,310 $515,951 $547,817Average Sq Ft 2,631 2,508 2,474 2,460 2,401

Average Cost Per Sq Ft $179 $180 $186 $210 $228Average Days on Market 134 115 81 45 44

Bellevue, Bothell, Carnation, Duvall, Issaquah, Kirkland, Mercer Island, Redmond, Woodinville

©2011-2014 Windermere Real Estate/Mercer Island. For questions or comments, email julie@windermere.com.

206-232-0446 │ Windermere Real Estate/Mercer Island │ windermeremercerisland.com

$2,239

$3,598

$4,793

$1,937

$1,940

$2,094

$2,371

$1,625

$1,000$2,000$3,000$4,000$5,000

East Side-South of I-90

Mercer Island

Bellevue-West of 405

Bellevue-East of 405

East of Lake Sammamish

Redmond, Carnation

Kirkland-Bridle Trails

Juanita, Woodinville

Average Monthly Cost

$675,000

$1,084,750

$1,445,000

$584,000

$585,000

$631,250

$715,000

$490,000

$0$500,000$1,000,000$1,500,000$2,000,000$2,500,000

East Side-South of I-90

Mercer Island

Bellevue-West of 405

Bellevue-East of 405

East of Lake Sammamish

Redmond, Carnation

Kirkland-Bridle Trails

Juanita, Woodinville

Median Sale Price

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Bottom from left: Kelly Weisfield, Lis Brown, Kathryn Lerner, Anni Zilz, Marianne Parks, Cynthia Schoonmaker, Megan Hand, Van Anderson, Nancy LaVallee, Ina Bahner, Julie Wilson, Nicole Demers-Changelo. Second row: Jennifer Craven, Sharon Glatz-Scott, Valarie Kaye, Claire Dion, Lisa Dong, Wendy Chan, Anne Kaye-Jewett, Peni Schwartz, Karin Spencer, Julie Barrows, Michelle Rubin, Cherrie Lee, Denise Coe, Lisa Lewis, Andrea Iverson, Kathryn Buchanan. Third row: Paul Tiscornia, Larry Williams, Erin Ewing, Doug McKiernan, Daniel Marinello, Brian Rosso, Seamus Pelan, Allen Hovsepian, Terry Donovan, Andrew Jackson, Jay Agoado, Mary Lou Putman, James Laurie. Not pictured: Andrea Victor, Bonnie Sanborn, Cindy Galante, Daphne Donovan, Emily Roberts, Kristopher Herrell, Michael Lee, Molly Neary, Robert Craven, Sandy Yin, Susan Lettengarver-Stowell, & Tom Poole.

While having an historical perspective like this annual review is valuable, you may be looking for real-time information on today’s real estate market. If so, your search is over!

We publish weekly reports to WeeklyPropertyReport.com providing a summary analysis of what’s happening in 16 different micro-markets, including Mercer Island. You can find these reports on our website, subscribe to them as an RSS feed…or simply contact one of our helpful agents for additional details.

Interested in what’s happening with waterfront properties? We are too! That’s why we analyze waterfront sales each month. You’ll find that information at TheWaterfrontReport. com.

Supplementing those websites is MercerIslandPulse.com, our blog on all things Mercer Island–and beyond!

You can search for every property listed for sale–by any real estate company–on WindermereMercerIsland.com. While you’re there, check out our new INRIX drive-time feature, which allows you to estimate commute times before you buy!