By MBAKS Senior Policy Analyst Allison Butcher

Housing Demand Continues to Outpace Supply

The September Builder's Bulletin shows signs that our region's housing supply and demand continues to be out of balance, with housing inventory for sale hovering around one-month's supply in King and Snohomish counties and home prices still on the rise. The median price of single family homes in King County rose 18.56 percent year-over-year in July to $658,000. The median price in Snohomish County rose 11.87 percent to $453,085.

The Builders' Bulletin is intended to provide a convenient way to track housing in our market and includes information from the Northwest Multiple Listing Service, U.S. Census Bureau, Office of Financial Management and the Washington State Employment Security Department.

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Contact: data@mbaks.com

King County recorded a 1.5 months' supply of housing inventory as of June 2023, indicating a slight increase from the 1.34 months' supply reported in June 2022. Similarly, Snohomish County saw its inventory supply rise to 1.07 months, up from 1.34 months a year earlier. These figures illuminate the ongoing challenges of supply and demand dynamics in the area's housing market. According to many industry analysts, a four- to six-month inventory level is often deemed indicative of a healthy real estate market. Despite the increase, the current supply falls notably short of this benchmark, underscoring the continued pressure on prospective homebuyers and the need for further market adjustments. Read the full August Builders Bulletin.

Read the full August Builders Bulletin:

This year’s housing solutions breakfast highlighted local permitting changes to make home happen now. We’re thankful to have hosted Senator Mullet as our keynote speaker and a panel of local leaders including North Bend Mayor Rob McFarland,  Auburn Director of Community Development Jeff Tate, and Mill Creek Mayor Brian Holtzclaw, moderated by Snohomish County Executive Director Ken Klein.

The discussion focused on the important role a timely, predictable and fair permitting review process plays in our region’s ability to respond to the housing crisis. In recognition of its importance, on May 8, 2023 Governor Inslee signed into law  Senate Bill 5290 (sponsored by Sen. Mullet) aimed to reduce permit review timelines and facilitate swifter, more predictable construction. This new law will streamline the permit review process by requiring local governments to adopt and report timelines. To help jurisdictions comply, it also established grant programs and permit processing enhancements. This address historically slow permit processes that have elevated housing costs.

MBAKS is ready to serve as a resource with tools and best practices jurisdictions can implement now to comply with the new requirements.  The Housing Toolkit is intended to serve as a guide for local governments, listing specific code updates and process improvements jurisdictions can take to help provide more diverse, affordable housing. As an additional resource specific to SB 5290, MBAKS developed an overview of requirements and best practices to consider when implementing.