The Madrona real estate market (picture above: Madrona home for sale) like most of Seattle has improved greatly over the last two years. While the Seattle real estate market has improved, Seattle area homes are still only up to what the real estate prices were in 2006 (with mid-2007 being the peak). According to the most recent Case-Schiller index, Seattle area prices are just over 160 for the home price index while in the summer of 2007 the home price index was over 192. Since the index puts prices at the beginning of 2000 at 100, that means the Seattle home values nearly doubled from 2000 to 2007 before the real estate market bubble burst. Prices in February 2012, saw the post-bubble low with a home price index of 129 before the local real estate values started to recover.
I wrote a blog back in March 2012 about the Madrona real estate market and the flaws of Case-Shiller. One of the bigger flaws is Case-Shiller defines “Seattle” as King, Snohomish and Pierce counties which does not tell the story about Madrona real estate. In fact, in a recent Seattle Times article it discussed the strength of Central Seattle’s real estate market and noted that we can say something that no other area in “Seattle” can say:
Central Seattle, which includes Capitol Hill, Washington Park and Madrona, is the only area where the 2013 median price — $619,000 — surpassed the level set during the 2007 housing bubble and saw a new high.
So while Case-Shiller index still shows Seattle prices as below 2007 prices, it does not show that Madrona homes are really selling for more than they ever have.
If you want to know what your house is worth, I am happy to prepare a market analysis for you. Please feel to reach out to me through my company website: Kristine Losh.