Values increase for Grant County homeowners

Existing home sales slow, new homes increase

GRANT COUNTY - There's good news to be found in Grant County real estate market.

There's been a 2.7 percent increase for homes' holding values within Grant County, as opposed to home values decreasing, he explained.

There's only about eight counties statewide that are reporting positive holding values on the Multiple Listing Service, he said.

The Tacoma and Seattle areas have experienced negative holding values, he noted.

He also mentioned positive factors such as baby boomers coming to Grant County from Western Washington, REC Silicon's expansion near Moses Lake and a talks of a tire manufacturer coming to Ephrata.

If the tire company does build near Ephrata, Burgess said he expects property values will be driven up again and people will come to the area.

Sales

According to the Multiple Listing Service, Grant County existing home sales compared to last year for decreased by 174 units from January through October. There were 634 homes sold in 2008 and 808 homes sold in 2007, which is a 21.5 percent decrease.

But new home sales increased. There were 125 new homes sold this year, as opposed to 102 homes constructed last year. New construction of homes in the residential and condominium category is up by 23 homes as compared to same time period one year ago.

Moses Lake homes

Values for Moses Lake homes costing up to $200,000 increased by 4.9 percent from May through October from last year, said Moses Lake/Othello Association of Realtors President Jason Hall.

So a home that sold for $139,680 last year sold for $146,542 this year, he explained.

"The majority of homes we sell are in that range," Hall noted, who is also a realtor with Gary Mann Real Estate. "I think it's important for people to know home values haven't decreased," he said.

Total sales volume for that category increased by $825,346 this year, he said.

There were two less homes sold in that range this year, he said.

There were eight fewer homes sold this year in the $200,000 to $400,000 price range, six fewer homes sold in the $400,000, and three fewer homes in the $600,000 range and above.

Overall, Moses Lake sales decreased by 7 percent from May through October as compared to last year, he said.

There were 252 sales reported this year and 271 sales for last year, Hall noted.

Homes selling for $400,000 and up may spend 90 days longer on the market, Hall said.

Mark Fancher, owner and sales manager of Coldwell Banker Tomlinson Ranch and Home in Moses Lake said real estate boomed for a long time in the Columbia Basin

When the mortgage and lending institutions experienced problems, the market was affected because of the tighter credit and restrictions, he said.

"We're okay. We're not in bad shape by any means. We were just so good for so long," Fancher said.

Grant County and Moses Lake are strong with industrial growth and retail growth, he said.

Businesses are adding jobs and real estate should be solid for the next five to seven years, he added.

Fancher claimed credit rates are still great, he said. Wednesday, the 30 year mortgage interest rate was listed at 6-1/8 percent, according to Reuters. With an upfront point, the mortgage rate decreases to 5-/78 percent.

Ralph Kincaid, owner of Windermere/K-2 Realty in Moses Lake, said the upper end of the market is soft and the lower end to mid range is steady.

"I think it's just been steady lately," he said. "We haven't had a great upswing. It seems like buyers are waiting to see how things shake out with the stock market and economy in general."

Outlook

Terry Brewer, executive director of the Grant County Economic Development Council, said there may be a continued softening of the area's economy concerning companies that ship overseas.

He said the area's economic outlook isn't all "doom and gloom," as there's still significant amounts of construction in the area and talks of the tire company coming to Ephrata.

"There's some bright lights on our community economy, even if there's some dim lights," Brewer said. "There's still some new opportunities for folks this year."

Gene Donat, chairman of the business and economics department at Big Bend Community College, said the local economy hasn't been hit as hard as some economic systems.

But when people lose their jobs, the economy slows down when they quit spending money.

"I just tell them (his students) 'you're in it for the long haul'," he said.