Published June 2002

Housing market feels impact of Boeing layoffs

By Mike Benbow
Herald Business Editor

Continued layoffs at the Boeing Co. literally hit home in April as Snohomish County suffered drops in home sales, pending sales and listings. Prices also began to level off.

The report issued in May by the Northwest Multiple Listing Service showed:

• The number of homes offered for sale in April in the county dropped to 4,316, about 4.2 percent fewer than a year ago.
• The number of pending sales — agreed-upon deals that hadn’t been through closing — tallied 1,126 in April, about 3 percent fewer than a year ago.
• Actual sales dropped to 958, about 13.6 percent fewer than a year ago.
• Prices, which had been posting increases from a year-ago in the 5 percent to 6 percent range, increased only 3.5 percent from April 2001. The combined median price for homes and condominiums was $205,000 in April, compared to $198,000 last year.
• While sales and price increases have slowed in recent months, homes are still spending less time on the market than they did last year at this time. The average home in the county took 53 days to sell this year, three days quicker than in April 2001.

The trend in Snohomish County was in marked contrast to King County, where listings were up 4.2 percent, pending sales rose 2.75 percent and prices were up 5.6 percent.

But actual sales in King County also fell — 5.6 percent — and the average time on the market increased from 43 days last year to 49 this year. The combined median price in King County was $258,750.

Until recently, Snohomish County home sales mirrored those in King County. Prices were lower here, and many people attracted to jobs in King County were buying homes here and commuting.

That’s likely still happening, but the economy here is much worse than in King County. Unemployment was at 7.5 percent in Snohomish County in March and at 6.3 percent in King.

It has been much tougher for Snohomish County to absorb continuing cutbacks at Boeing.

During the past year, the county has lost an estimated 3,200 aerospace jobs, according to the state Department of Employment Security.

As is usually the case, the more affordable homes were in north Snohomish County in April, with prices rising with proximity to the King County line.

Homes in the Stanwood, Arlington and Marysville areas had a median price of $179,950, the lowest in the county. The highest were in the Maltby area south of Snohomish, with a median price of $275,975.

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