County home sales buck trend

Months-long streak of double-digit decreases ends as 316 residences are sold in October

By Rolf Boone | The Olympian • Published November 07, 2008

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Thurston County home shoppers apparently were unfazed by turmoil on Wall Street last month and bought more than 300 homes in October, nearly matching total sales for October 2007, the Northwest Multiple Listing Service reported Thursday.

Last month, 316 condominium and single-family residences sold in the county, down 4.8 percent from the 332 units that sold in October 2007, combined figures show.

That reverses a recent trend in Thurston County for condo and single-family house sales. Until October, year-over-year home sales had fallen at least 18 percent every month since January. Condo and single-family prices also remained relatively stable year over year in October, falling just 1.13 percent to $254,000 from $256,895.

Year-over-year home prices in King, Pierce and Snohomish counties fell more than 7 percent, with Pierce home prices down nearly 10 percent, the data show. Inventory levels continued to fall on a year-over-year basis in Thurston County.

Condo and single-family listings dropped more than 10 percent to 2,002 units from 2,228 units, according to the listing service data.

Bob Jorgenson, a real estate agent with Coldwell Banker Evergreen Olympic Realty, said the county's housing market remains stable because so many jobs here are tied to state and local governments.

"People are realizing they still have jobs and still have the ability to buy a house," he said.

However, the Thurston County job market has taken a hit in recent months. Gov. Chris Gregoire announced a state hiring freeze in August, and Olympia and Thurston County are hiring at slower-than-usual rates.

Jorgenson also thinks that consumer budgets have been helped by a drop in fuel prices.

Since this time last year, the average price for a gallon of regular unleaded gasoline in the Olympia area has dropped to $2.40 from $3.20, according to AAA data.

Although the current housing market is considered a buyer's market, Jorgenson cautioned home sellers to be well-informed about the slower market. If not, their house can be on the market for up to a year, he said. If the price is right, homes will sell quickly and attract multiple offers, Jorgenson said.

Still, the market isn't ideal.

Last month, 316 home sales were divided among 1,107 active real estate licensees in Thurston County, including agents, associate brokers and designated brokers, according to state Department of Licensing data. That's one home sale for every 3.5 real estate professionals.

Brian Fowler bought a house last month, paying about $230,000 for a three-bedroom, two-bathroom house in Olympia. Fowler said he wasn't concerned about the economy. Instead, he was tired of paying rent and needed to accommodate his growing family, he said.

He also took his time. He and his wife researched homes during the time they rented, then spent two months looking for a house when they decided to buy. They also took advantage of the current buyer's market and paid less than the asking price for the house. Fowler couldn't recall the listing price but said it was between $235,000 and $250,000.

"I was paying rent for something that wasn't mine," Fowler said about his time as a renter.

Rolf Boone covers business for The Olympian. He can be reached at 360-754-5403 or rboone@theolympian.com.