Supply and demand continue to drive the real estate market. Record low interest rates have increased purchasing power with mortgage programs such as FHA 3.5% down payments. The availability of funds has allowed record refinancing for purchasing second homes and investment properties. Home prices increasing indicates strong jobs and lifestyle demand and it raises questions about whether our market is underpriced. The lack of listings and the extremely low interest rates are two of a growing number of reasons why buyers are looking. They’re beginning to see flight from larger cities as more and more jobs can be done remotely. Strong traffic at open houses were also reported since the Governor announced in early October that limited open houses would be permitted in all counties with strict adherence to occupancy restrictions and other safety guidelines. Now that we can hold homes open again, we are seeing anywhere from five to 20 small groups coming through, with showings often resulting in multiple offers. It is good to see both brokers and buyers working together plus the stringent use of masks, social distancing, hand sanitizer and other tools to ensure safe and healthy showings.

Kitsap County continues to enjoy brisk activity, but not without the frustration of having historically low inventory. Although new listings are on the rise, they are being stripped from the market at a stunning pace. Buyers are bidding up properties as demand stays steady and inventory continues to dwindle. Northwest MLS data show Kitsap has only about two weeks of supply (0.57), with inventory plummeting more than 41% from a year ago. October reflected a continuation of the summer market well into autumn and puts sellers in a great position. We’re seeing buyers snapping homes up almost as fast as they’re listed with interest rates remaining at record lows and employment in major tech industries very strong, this is a good indication that we may well skip the usual slowing in the winter market altogether.