Often when we see real estate information on the media whether it be national or local it doesn’t touch the area we really live in. Usually we can find real estate market data for Seattle very easily but not much data for the cities of the West or South Sound. Over the next several weeks I thought I would look into some real estate market data for the cities of the West and South Sound and share it with you here.
Today, I have looked at Auburn in the South Sound. The information is for all homes that list Auburn as the city in the address option. So, these homes could be in the incorporated area and the area outside the city limits. These properties are residential only and do not include vacant land or condominiums. The data does include town-homes.
The first graphic below is a year to year comparison of some basic information such as how many homes sold, what the average price was, the median price and the corresponding days on market. I used 2006 as the starting point because it was a year well before things started to trend downwards in 2008 and 2009.
Before you look at the real estate market data read the definitions of average price and median price here.
Median Price –
The median is not the average. The median value is the middle price in a series of sales, where half of the sales are of lower value and half are of higher value. For example, if 15 sales are recorded in Auburn and arranged in order from lowest to highest value, the eighth sale price is the median price.
Median prices are used rather than average prices because median prices are unaffected by a few unusually high or low prices, making them more accurate.
Average Price –
The averages are determined by grouping together all of the Auburn properties, adding together all the numbers (X) and dividing by another set of numbers (Y) to arrive at (A). If X = the total dollar volume and Y = the total number of homes sold, then A is the average. The problem with averages is, it incorporates all the unusually high or low values which causes the skew of the average.
When looking at a neighborhood’s home prices, the median price is usually the best reflection of a typical price since it won’t be affected by a few very expensive or cheap homes.
So what does all of this mean? What does the year to year real estate market data show us? When we compare the year of 2006 to the year of 2010 we find that the homes sold with Auburn addresses have decreased in price of 25% for both average home sold price and median home sold price. When you look at the sales volume from year to year you can see the significant decrease.
There were 1277 homes sold in 2006 and only 605 homes sold in 2010. As of today – September 28th there have been 518 homes sold with Auburn addresses. So how do you feel about loosing 25% of value? If you purchased in 2006 you most likely are upside down in your mortgage unless you put a substantial amount down at closing. I made a home purchase in 2006 and know that I am underwater with my mortgage.
I know we are almost done with the year 2011, so with just the 9 months figures in and comparing them to 2010 we are down 13% for average home sale price and 10% down for median home sale price compared with 2010. That would be minus 35% average and minus 32% median from 2006 with 3 more months to go in 2011. It should be interesting to come back in January and make an update to this news.
Of course if you are looking to sell your home in Auburn your bottom-line depends on what year you purchased in. If you would like more detailed information about your Auburn home, just fill out the contact form below and we will get it to you.
“Statistics not compiled or published by NWMLS.” “Equal Opportunity Housing” ” All information deemed reliable, but not guaranteed.”