Spokane County Property Values Continue To Rise

In spite of national trends and statewide trends in Washington, Spokane continues to produce modest appreciation in property values according to several recent reports. However, the number of home resales has significantly dropped from the previous year. How long property values remain unaffected by slow sales remains to be seen.

Spokane's primary newspaper recently reported on the overall tax basis of the counties in our region.

An article in the May 30, 2008 edition of the Spokesman Review reports that while Kootenai County in Idaho expects property values to decrease by $500 million from last year, and while Bonner County expects property values to remain flat, Spokane County is projecting a 5.3% increase in the the taxable basis of property over last year.

Spokane County Tax Assessor, Ralph Baker said, "We're seeing fewer sales, but prices are still rising, albeit slower, the happy thing is that it hasn't gone negative yet." Happy indeed for current homeowners.

The assessor's view is seconded by the Washington Center for Real Estate Research at Washington State University. They also recently published findings that assert Spokane is bucking the wider trends of the state and nation. Their report, Washington State Housing Market Snapshot 2008Q1 aslo portends well for Spokane property values.

This Market Snapshot for the first quarter of 2008 show a dramatic drop in the volume of sales, down 32.1% from the previous year and down 4.1% from the previous quarter. On a positive note it shows an increase in the median price of resale homes of 2.7%. The county now has a median price of resale homes of $186,800.

Though the drop in sales volume means less in commissions for the average realtor, the slight increase in values is good for homeowners maintaining their equity positions. The housing affordability index also remains attractive, at 129.3 versus an overall state index value of 94.5. This indicates Spokane remains an attractive place to enter the ranks of homeowners.