Want to buy a home in Tri-Cities? Record-shattering year shows you better move quick

Even amid a pandemic and economic uncertainty, Tri-Cities homes sales shattered records across the board.

Not only did more homes sell in a single year than in the past 40-plus years, they also were snatched up almost immediately after going on the market — and for all-time high prices.

Last year, the median price for a single-family home was $335,000.

That’s up from $300,000 the year before and nearly doubled in 10 years when the 2010 median price was $177,000.

The monthly price peak hit in October at $339,000, according to the year-end report from the Tri-Cities Association of Realtors.

Even at those prices, 5,000 homes sold last year.

That’s 500 more than in 2019.

Ten years ago, nearly 3,300 houses were sold in a year.

And since last spring, most homes only need to listed for a week before a buyer snaps them up.

While historical data was not immediately available for before 2020, over the past year the median number of days a house was on the market fell from 23 days to just the single digits since May.

In December, most homes were on the market for just four days, according to association’s data.

“Nothing on the horizon says it is going to change any time soon, and it’s frustrating for buyers,” said Dave Retter of Sotheby’s, who has been in the real estate business in the Tri-Cities for more than 40 years.

“This is the toughest market from a buyers and sellers standpoint during any point in my career,” he said.

Low inventory, low interest

Last year, an average of 284 homes were on the market at any given point.

Real estate professionals like Retter say a healthy market for buyers and sellers should offer about 1,300 active home listings.

Retter points to a robust job market in the Tri-Cities combined with historically low interest rates that are prompting people to purchase home.

And few people are moving out of the area keeping occupancy high and inventory low.

And the COVID-19 pandemic is has people moving here from higher cost of living areas like Seattle and Portland after they realized they can work remotely from anywhere — including the Mid-Columbia that has consistent high rankings of overall quality of life.

With so many people working and doing school remotely, many families were evaluating what they wanted from a home after spending so much time in them.

Many buyers took advantage of the low interest rates to upgrade their home and find something with more space for activities that used to be done in offices or classrooms.

While those interest rates below 3 percent got people more house for their dollar, it still wasn’t enough for some people who remain priced out of the housing market.

In fact, last fall the Tri-Cities was ranked No. 6 in the U.S. for all metro areas where home pricing outpaced wages, said Construction Coverage, a company that does research and reviews for the construction industry. Tri-Cities was second among all small metros.

“We have so much diversity and people come from all parts of the county,” Retter said. “We have a lot of positive things but unfortunately 2021 will be the same of what we’ve experienced in the housing market. Everyone just needs to keep hanging in there.”

This story was originally published January 25, 2021 at 5:00 AM.