Are you curious about the current state of the Walla Walla housing market? The Walla Walla housing market in 2024 is showing signs of a moderately competitive environment. Home prices have seen a 9.3% increase year-over-year, with the median sale price reaching $410,000.
While there's been a slight increase in the time it takes for homes to sell, the market still reflects a relatively strong seller's market. In this article, I'll delve deeper into the specifics of the Walla Walla housing market trends to help you better understand the current situation.
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Walla Walla Housing Market Trends in 2024: What You Need to Know
Home Sales
The number of homes sold in Walla Walla has also experienced a positive trend. According to Redfin, in September 2024, there were 39 homes sold, which represents an 18.2% increase compared to the same period last year. This indicates that despite the slight uptick in days on market, the demand for housing in Walla Walla remains fairly robust.
From my personal experience working with buyers and sellers in the Walla Walla area, I've observed that many people are drawn to the area because of the beautiful natural scenery, the vibrant agricultural community, and the charming downtown. This combination of factors contributes to a consistent demand for housing, which keeps the market active, even in the face of slight shifts in inventory or market timing.
Home Prices
As mentioned earlier, the median sale price of homes in Walla Walla is currently at $410,000, representing a 9.3% increase year-over-year. This increase is a reflection of the overall upward trend in the housing market, both locally and nationally. However, the rate of increase has slowed slightly in recent months, which suggests a potential leveling off of price appreciation.
The median sale price per square foot in Walla Walla is currently at $231, reflecting a 1.8% increase since last year. This provides a valuable point of comparison when evaluating different properties within the market. You can take this metric into account when comparing the value proposition of homes with different square footages.
The price range of homes selling in Walla Walla caters to a variety of budgets, from entry-level starter homes to luxury estates. While the overall market has experienced appreciation, the price point increases have not been uniform across all property types.
Housing Supply
While the number of homes sold has increased, the availability of homes on the market has remained relatively consistent. The average number of days a home remains on the market has increased to 27 days, up from 21 days last year. This suggests a slight shift from the intensely competitive market seen in the past.
However, even with this slight increase, we are still seeing properties that sell quickly, especially well-priced and well-maintained homes in desirable neighborhoods. This slight increase in the time to sale could be seen as a good opportunity for buyers to consider if they are more comfortable in a slightly less competitive environment than what we have seen previously.
Market Trends
The Walla Walla housing market trends suggest a moderately competitive market with consistent demand and a slight increase in the time it takes for homes to sell. While home prices have seen a notable increase, the rate of appreciation seems to be stabilizing.
One of the most notable trends is the growing interest in Walla Walla from buyers outside the immediate area. This is evident in the migration data. I've seen a significant increase in the number of homebuyers from larger metropolitan areas such as Seattle, Portland, and Houston searching for properties in Walla Walla.
From a personal perspective, I feel this trend is driven by people looking for a more relaxed and affordable lifestyle in a charming community. Walla Walla offers a great balance of city amenities and a connection to the outdoors, which appeals to individuals from urban areas.
Is It a Buyer's or Seller's Housing Market?
While the increase in days on the market and slight stabilization in home price appreciation indicates a softening of the intensely competitive seller's market of the past, the Walla Walla housing market currently favors sellers more than buyers.
The Redfin Compete Score for Walla Walla is 68, which classifies it as “somewhat competitive.” This score considers factors such as the number of homes that get multiple offers and the time it takes for homes to sell.
Based on the data, I'd characterize the current market as leaning toward a seller's market but not as extreme as in the past. This implies that sellers can generally expect a strong return on their investment, but buyers still need to be prepared to face competition for desirable properties.
Are Home Prices Dropping?
While home prices have increased in Walla Walla, there's no evidence of a significant drop in prices at this time. In fact, we've seen a slight increase in the number of homes sold above the asking price and a continued appreciation of values.
However, we are observing some indicators that the pace of home price appreciation is slowing. In the long term, factors like interest rates and economic conditions can influence the direction of home prices. Therefore, while prices are not dropping significantly at this moment, it's a good idea for buyers and sellers to stay informed of market trends and to work with a real estate professional to make the best decisions for their specific circumstances.
Here's a table summarizing the key trends:
| Metric | September 2024 | Year-Over-Year Change | Trend |
|---|---|---|---|
| Median Sale Price | $410,000 | +9.3% | Increasing, but the rate of increase is slowing |
| Homes Sold | 39 | +18.2% | Increasing |
| Median Days on Market | 27 | +6 | Increasing |
| Sale-to-List Price | 97.8% | -0.42 pt | Slightly decreasing |
| Homes Sold Above List Price | 23.1% | +1.9 pt | Increasing |
To sum up, the Walla Walla housing market in 2024 is demonstrating moderate competitiveness, with home prices increasing and the number of homes sold also on the rise. While the market is experiencing a shift away from the extremely competitive environment of the past, it still favors sellers. I believe that Walla Walla remains a highly desirable area for many reasons. Its natural beauty, its agricultural heritage, and its small-town charm appeal to a wide range of people.
Walla Walla Housing Market Forecast 2024-2025
The good news is that while the market has seen some ups and downs, it's expected to see a modest increase in home prices in the coming months and years. Specifically, the Walla Walla housing market forecast predicts a 0.2% increase by the end of October 2024, a slight dip of -0.1% by the end of December 2024, and a positive 0.5% increase by September 2025 (Zillow). Let's dive into what this means for you.
The Walla Walla housing market has been influenced by a variety of factors, including population growth and changes in the local and regional economy. Over the past few years, the area has shown steady, albeit modest, growth. The population in Walla Walla County grew at an average of 0.4% per year from 2010 to 2022. However, there are signs of a slowdown. The city of Walla Walla saw a decrease of 2.5% from 2020 to July 2023.
While the economic growth in Walla Walla County is forecast to be 0.4% annually through 2024 and 0.8% from 2024 to 2029, it's important to remember that this growth is not necessarily a strong indicator of housing price increases.
Walla Walla Housing Market Forecast: 2024-2025
I've been following the Walla Walla housing market forecast closely. The data suggests a cautious optimism in the near-term future.
| Timeframe | Projected Home Price Change |
|---|---|
| October 31, 2024 | +0.2% |
| December 31, 2024 | -0.1% |
| September 30, 2025 | +0.5% |
As you can see, the projections are for small increases. The regional economy is expected to contribute to this, as increased consumer confidence and higher wages often lead to greater housing demand. But, you should also remember that the population growth has slowed.
Looking Ahead to 2026 and Beyond
Predicting the future is never easy, but I believe the Walla Walla housing market will continue to experience steady, if not slight growth, in 2026 and beyond. The region has a stable economy, a growing agricultural sector, and a quality of life that many find appealing. However, it's also worth noting that the housing market is affected by many variables, from interest rates to overall economic conditions.
Ultimately, the Walla Walla housing market seems poised for relatively stable growth over the next few years. It’s a good idea to talk to a real estate agent in the area for the most up-to-date information about your specific situation.
Should You Invest in the Walla Walla Real Estate Market?
Population Growth and Trends
Investing in real estate requires a deep understanding of the local population and its trends. In Walla Walla, the population has seen steady growth in recent years. Here's why it matters for investors:
- Steady Population Growth: Walla Walla's population has been on the rise, driven by factors like the city's livability, economic opportunities, and its appeal as a place to call home.
- Increased Housing Demand: A growing population often translates into a higher demand for housing. For investors, this means the potential for consistent rental income and property appreciation.
Economy and Jobs
The economic health of an area is a critical factor in real estate investment decisions. Walla Walla's economy is showing promise for investors:
- Diverse Economy: Walla Walla's economy is diverse, with a range of industries, including agriculture, healthcare, and education. This diversification can create job stability and attract a diverse workforce.
- Job Opportunities: The presence of institutions like Whitman College and healthcare facilities contributes to job opportunities. A stable job market can attract residents, which bodes well for investors looking to fill rental properties.
Livability and Other Factors
Livability is a crucial aspect of a real estate investment destination. Walla Walla offers several elements that make it an attractive place to live:
- Cultural Attractions: The city is known for its cultural attractions, including wineries, art galleries, and historic sites. These amenities enhance the quality of life and make the area more appealing to potential tenants.
- Outdoor Recreation: Walla Walla's proximity to outdoor recreational activities, such as hiking, biking, and the scenic Blue Mountains, contributes to its livability.
- Community Engagement: The city has a strong sense of community, with local events and festivals that create a welcoming atmosphere for residents.
Rental Property Market Size and Growth
For real estate investors, the size and growth potential of the rental market are key considerations:
- Steady Rental Market: Walla Walla's rental market has been steady, driven by the local demand for housing. The growing population and stable job market contribute to the need for rental properties.
- Student Rental Market: The presence of Whitman College means a potential student rental market, with consistent demand for student housing.
Other Factors Related to Real Estate Investing
In addition to the factors mentioned, investors should also consider:
- Property Appreciation: Historically, Walla Walla has seen moderate property appreciation. Investors can benefit from this steady growth in property values over time.
- Local Regulations: Understanding local real estate regulations, including zoning laws and landlord-tenant regulations, is crucial for a successful investment strategy.
- Market Research: In-depth market research is vital to identify the most promising neighborhoods for investment, taking into account factors like proximity to amenities, schools, and public transportation.
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