Spokane-area home sales, prices down

Average prices of Spokane County homes declined just 2.6 percent in 2008, and the median sales price was almost unchanged from 2007, the Spokane Association of Realtors reported Wednesday.

Also, the inventory of unsold homes this week was less than the same week in January 2007, a first for probably the last two years, association Executive Officer Rob Higgins said.

While home prices in Spokane haven’t taken the same hit as other markets in the state – the median price was down nearly 5 percent in King County in December alone – the number of houses sold fell sharply last year.

Sales volume in 2008 sagged 31 percent, to $1.01 billion, compared with the previous year. There were 4,911 houses sold compared with 6,935, a nearly 30 percent decline. New home sales were off 35.4 percent to 804 from 1,245 in 2007.

Despite the slowdown, Higgins said there are 2,488 homes listed for sale in Spokane County this week, down from 2,553 a year ago. Normal inventory is 1,700 to 1,800 homes, he said, and the number dropped to 1,500 during 2005.

He said market activity has picked up as the snow has melted, with buyers mindful of interest rates at or near record lows.

The average sales price of a single-family home in Spokane County last year was $206,291, compared with $211,872 in 2007. The median price, the one halfway between the least and most expensive homes, was $184,000. The 2007 median was $185,400.

Higgins is cautious about 2009. Association membership fell about 10 percent in 2008, and he is budgeting for more slippage as more discouraged Realtors leave the industry.