{"id":60712,"date":"2017-12-21T04:45:36","date_gmt":"2017-12-21T12:45:36","guid":{"rendered":"https:\/\/redfindevelop.wpengine.com\/blog\/?p=60712"},"modified":"2020-10-06T20:09:36","modified_gmt":"2020-10-07T03:09:36","slug":"redfin-ranks-2017s-most-competitive-neighborhoods-for-homebuyers","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/news\/redfin-ranks-2017s-most-competitive-neighborhoods-for-homebuyers\/","title":{"rendered":"Redfin Ranks 2017\u2019s Most Competitive Neighborhoods for Homebuyers"},"content":{"rendered":"

The 2017 housing market was the most competitive we have seen since 2013, when 65 percent of offers written by Redfin agents faced bidding wars. This year, just over half of all offers written by Redfin agents encountered competition, up from 49 percent last year. The pace at which homes went off the market made the competition more intense this year. Homes found buyers after a median 45 days on market, six days fewer than 2016. Forty-one percent of homes that were listed in 2017 were <\/span>Redfin Hot Homes<\/span><\/a>, a designation earned by homes with 7\/10 or higher odds of going under contract within their first 14 days on the market, as determined by Redfin\u2019s proprietary algorithm.<\/span><\/p>\n

\"Home-Buying<\/figure>\n

Grass Lawn<\/span><\/a> in Redmond, Washington earned the distinction of most competitive neighborhood in 2017. Redfin\u2019s ranking is based on several indicators of competition, including the percentage of homes that sold for more than their asking price, how quickly homes went under contract and annual price growth in 2017. <\/span><\/p>\n

Nineteen of the 25 most competitive neighborhoods of 2017 were in the Seattle metro area, where 67 percent of homes listed this year were Hot Homes–the highest share of any market–and 62 percent of offers written by Redfin agents faced bidding wars. Competition was strong across the Seattle market, both in more suburban neighborhoods like Grass Lawn and <\/span>Crossroads<\/span><\/a> (#3) and more urban neighborhoods like <\/span>Lower Queen Anne<\/span><\/a> (#13). Several neighborhoods in North Seattle made the ranking, including <\/span>Pinehurst<\/span><\/a> (#2), <\/span>Victory Heights<\/span><\/a> (#10) and <\/span>Licton Springs<\/span><\/a> (#11). \u00a0<\/span><\/p>\n

In Grass Lawn, 73 percent of homes sold for over asking price and the typical home found a buyer in just six days. The average sale-to-list price ratio was 108.4 percent, an indication that many homes were bid up well above asking price.<\/span><\/p>\n

\u201cGrass Lawn is so super-competitive because it\u2019s very close to the Microsoft and Google campuses, and tech companies such as Google and Oracle are expanding their footprints in the area. It is a suburban area with mostly older homes,\u201d said Redfin Agent <\/span>Gina Madeya<\/span><\/a>. \u201cThe area offers easy access to one of only two freeways that can get you across Lake Washington and into downtown Seattle and it\u2019s also a short drive from the shops and restaurants in downtown Redmond and Kirkland.\u201d<\/span><\/p>\n

 <\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Rank<\/b><\/td>\nNeighborhood (City)<\/b><\/td>\nMetro<\/b><\/td>\nMedian Sale Price <\/b><\/td>\n2017 Price Growth<\/b><\/td>\nAvg Sale-to-List Price Ratio<\/b><\/td>\nHomes Sold Above Asking <\/b><\/td>\nMedian Days on Market<\/b><\/td>\nShare of Listings that were Hot Homes<\/b>\u2122<\/b><\/td>\n<\/tr>\n
1<\/span><\/td>\nGrass Lawn <\/span><\/a>(Redmond)<\/span><\/td>\nSeattle<\/span><\/td>\n $665,000<\/span><\/td>\n35.7%<\/span><\/td>\n108.4%<\/span><\/td>\n73.1%<\/span><\/td>\n6<\/span><\/td>\n83.2%<\/span><\/td>\n<\/tr>\n
2<\/span><\/td>\nPinehurst<\/span><\/a> (Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $530,000<\/span><\/td>\n36.6%<\/span><\/td>\n108.0%<\/span><\/td>\n74.1%<\/span><\/td>\n7<\/span><\/td>\n85.2%<\/span><\/td>\n<\/tr>\n
3<\/span><\/td>\nCrossroads<\/span><\/a> (Bellevue)<\/span><\/td>\nSeattle<\/span><\/td>\n $559,900<\/span><\/td>\n47.3%<\/span><\/td>\n104.3%<\/span><\/td>\n60.8%<\/span><\/td>\n6<\/span><\/td>\n60.6%<\/span><\/td>\n<\/tr>\n
4<\/span><\/td>\nNorth Cambridge <\/span><\/a>(Cambridge)<\/span><\/td>\nBoston<\/span><\/td>\n $760,000<\/span><\/td>\n29.3%<\/span><\/td>\n106.4%<\/span><\/td>\n73.6%<\/span><\/td>\n7<\/span><\/td>\n67.6%<\/span><\/td>\n<\/tr>\n
5<\/span><\/td>\nRainier View<\/span><\/a> (Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $411,000<\/span><\/td>\n26.5%<\/span><\/td>\n108.0%<\/span><\/td>\n72.4%<\/span><\/td>\n7<\/span><\/td>\n70.6%<\/span><\/td>\n<\/tr>\n
6<\/span><\/td>\nNewport<\/span><\/a> (Bellevue)<\/span><\/td>\nSeattle<\/span><\/td>\n $813,000<\/span><\/td>\n24.1%<\/span><\/td>\n107.0%<\/span><\/td>\n66.9%<\/span><\/td>\n6<\/span><\/td>\n84.6%<\/span><\/td>\n<\/tr>\n
7<\/span><\/td>\nOrtega\/Panama Park <\/span><\/a>(Sunnyvale)<\/span><\/td>\nSan Jose<\/span><\/td>\n $1,673,100<\/span><\/td>\n28.7%<\/span><\/td>\n113.8%<\/span><\/td>\n93.4%<\/span><\/td>\n8<\/span><\/td>\n88.4%<\/span><\/td>\n<\/tr>\n
8<\/span><\/td>\nSanta Clara North Central<\/span><\/a> (Santa Clara)<\/span><\/td>\nSan Jose<\/span><\/td>\n $ \u00a01,175,000<\/span><\/td>\n22.4%<\/span><\/td>\n112.1%<\/span><\/td>\n89.1%<\/span><\/td>\n8<\/span><\/td>\n81.8%<\/span><\/td>\n<\/tr>\n
9<\/span><\/td>\nPalo Alto<\/span><\/a> (Palo Alto)<\/span><\/td>\nSan Jose<\/span><\/td>\n $2,620,000<\/span><\/td>\n32.5%<\/span><\/td>\n107.7%<\/span><\/td>\n69.1%<\/span><\/td>\n9<\/span><\/td>\n81.8%<\/span><\/td>\n<\/tr>\n
10<\/span><\/td>\nVictory Heights <\/span><\/a>(Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $625,000<\/span><\/td>\n29.5%<\/span><\/td>\n108.0%<\/span><\/td>\n62.9%<\/span><\/td>\n7<\/span><\/td>\n77.0%<\/span><\/td>\n<\/tr>\n
11<\/span><\/td>\nLicton Springs <\/span><\/a>(Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $599,950<\/span><\/td>\n20.0%<\/span><\/td>\n108.5%<\/span><\/td>\n72.3%<\/span><\/td>\n6<\/span><\/td>\n82.0%<\/span><\/td>\n<\/tr>\n
12<\/span><\/td>\nDowntown Redmond <\/span><\/a>(Redmond)<\/span><\/td>\nSeattle<\/span><\/td>\n $567,000<\/span><\/td>\n19.1%<\/span><\/td>\n107.4%<\/span><\/td>\n79.1%<\/span><\/td>\n6<\/span><\/td>\n82.1%<\/span><\/td>\n<\/tr>\n
13<\/span><\/td>\nLower Queen Anne <\/span><\/a>(Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $565,000<\/span><\/td>\n32.9%<\/span><\/td>\n105.4%<\/span><\/td>\n62.0%<\/span><\/td>\n7<\/span><\/td>\n72.2%<\/span><\/td>\n<\/tr>\n
14<\/span><\/td>\nUpper West Ridge <\/span><\/a>(Woodinville)<\/span><\/td>\nSeattle<\/span><\/td>\n $625,000<\/span><\/td>\n21.4%<\/span><\/td>\n103.5%<\/span><\/td>\n73.2%<\/span><\/td>\n5<\/span><\/td>\n80.5%<\/span><\/td>\n<\/tr>\n
15<\/span><\/td>\nOlympic Hills <\/span><\/a>(Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $525,000<\/span><\/td>\n23.5%<\/span><\/td>\n106.1%<\/span><\/td>\n70.1%<\/span><\/td>\n7<\/span><\/td>\n76.5%<\/span><\/td>\n<\/tr>\n
16<\/span><\/td>\nOverlake<\/span><\/a> (Redmond)<\/span><\/td>\nSeattle<\/span><\/td>\n $820,000<\/span><\/td>\n19.4%<\/span><\/td>\n107.9%<\/span><\/td>\n71.4%<\/span><\/td>\n6<\/span><\/td>\n79.3%<\/span><\/td>\n<\/tr>\n
17<\/span><\/td>\nColumbia City <\/span><\/a>(Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $667,000<\/span><\/td>\n30.8%<\/span><\/td>\n107.3%<\/span><\/td>\n58.9%<\/span><\/td>\n7<\/span><\/td>\n72.9%<\/span><\/td>\n<\/tr>\n
18<\/span><\/td>\nBitter Lake<\/span><\/a> (Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $510,000<\/span><\/td>\n34.6%<\/span><\/td>\n105.1%<\/span><\/td>\n59.5%<\/span><\/td>\n7<\/span><\/td>\n75.3%<\/span><\/td>\n<\/tr>\n
19<\/span><\/td>\nWoodridge<\/span><\/a> (Bellevue)<\/span><\/td>\nSeattle<\/span><\/td>\n $865,000<\/span><\/td>\n22.9%<\/span><\/td>\n106.6%<\/span><\/td>\n66.7%<\/span><\/td>\n7<\/span><\/td>\n76.7%<\/span><\/td>\n<\/tr>\n
20<\/span><\/td>\nGreenwood Point<\/span><\/a> (Issaquah)<\/span><\/td>\nSeattle<\/span><\/td>\n $500,000<\/span><\/td>\n23.6%<\/span><\/td>\n105.2%<\/span><\/td>\n59.5%<\/span><\/td>\n6<\/span><\/td>\n83.3%<\/span><\/td>\n<\/tr>\n
21<\/span><\/td>\nCedar Park<\/span><\/a> (Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $586,000<\/span><\/td>\n21.3%<\/span><\/td>\n107.4%<\/span><\/td>\n68.7%<\/span><\/td>\n7<\/span><\/td>\n73.5%<\/span><\/td>\n<\/tr>\n
22<\/span><\/td>\nWallingford<\/span><\/a> (Seattle)<\/span><\/td>\nSeattle<\/span><\/td>\n $875,000<\/span><\/td>\n21.9%<\/span><\/td>\n108.5%<\/span><\/td>\n65.2%<\/span><\/td>\n7<\/span><\/td>\n81.0%<\/span><\/td>\n<\/tr>\n
23<\/span><\/td>\nWest Campbell<\/span><\/a> (Campbell)<\/span><\/td>\nSan Jose<\/span><\/td>\n $1,316,000<\/span><\/td>\n25.3%<\/span><\/td>\n110.1%<\/span><\/td>\n83.8%<\/span><\/td>\n9<\/span><\/td>\n80.0%<\/span><\/td>\n<\/tr>\n
24<\/span><\/td>\nQueensborough, Brentwood, Crystal Springs<\/span><\/a> (Bothell)<\/span><\/td>\nSeattle<\/span><\/td>\n $522,500<\/span><\/td>\n21.5%<\/span><\/td>\n104.8%<\/span><\/td>\n63.3%<\/span><\/td>\n6<\/span><\/td>\n72.1%<\/span><\/td>\n<\/tr>\n
25<\/span><\/td>\nAthmar Park<\/span><\/a> (Denver)<\/span><\/td>\nDenver<\/span><\/td>\n $308,072<\/span><\/td>\n16.7%<\/span><\/td>\n104.0%<\/span><\/td>\n76.9%<\/span><\/td>\n4<\/span><\/td>\n83.7%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Looking for the most competitive areas in your metro? Download metro-level data here<\/a>. <\/span><\/i><\/p>\n

Madeya helped a family purchase a home in Grass Lawn earlier this year. The home, which Madeya says came on the market slightly underpriced at $860,000, was bid up to over $1 million. Her clients were absolutely in love with the home. Their offer wasn\u2019t the highest, but they won over the sellers by waiving all contingencies, working with a reputable lender and providing a $100,000 earnest money deposit.<\/span><\/p>\n

\u201cThis sounds extreme, but that\u2019s what it takes in some neighborhoods because demand is so high,\u201d says Madeya. \u201cMy advice to a Seattle buyer is to get really clear about your full financial capability and your risk tolerance. Find out what you can truly afford and start looking at homes well below that amount, so that when that bidding war inevitably happens, you have some leverage to work with. Get clear early in the search so you and your agent can be more deliberate and strategic.\u201d \u00a0<\/span><\/p>\n

She says that buyers who are hesitant about getting into a competitive situation or waiving contract protections can consider new construction homes, which are typically less competitive, or look for the rare property that doesn’t fly off the market. Those homes are often slightly overpriced or may have a funky layout, but they represent opportunities for buyers to negotiate.<\/span><\/p>\n

North Cambridge (#4) just outside of Boston is highly desirable given its proximity to Harvard and MIT, the T station and all of the stores and restaurants in Porter Square, says Redfin agent <\/span>Haley Fehling<\/span><\/a>. Fehling says properties are routinely bid up between $50,000 and $100,000 over the asking price. With many international buyers who are able to offer all cash, buyers who need financing often decide to waive contingencies to compete.<\/span><\/p>\n

In North Cambridge, financed buyers of Fehling\u2019s recently won a bidding war with a <\/span>personalized letter<\/span><\/a>. \u201cMy buyers just closed on a North Cambridge condo. They waived contingencies and offered above the asking price, but the seller said their letter made the difference.\u201d<\/span><\/p>\n

Fehling says it\u2019s not enough to simply say that you like the home. The letter should tell your story and explain in detail how you connected to the home. \u201cMy buyers shared how the seller\u2019s bar stools reminded them of their home in Vermont, which helped show who they are as people instead of numbers on a page.\u201d <\/span><\/p>\n

She advises taking cues from the home. Do the sellers have a pet, a beautiful garden or a quaint reading nook? Find a way to connect with the seller using your observations in the home.<\/span><\/p>\n

Bidding war strategies often come with risks for the buyer, so we recommend speaking to a Redfin agent in your neighborhood to determine the right strategy for you. Below are links to more information about how to successfully buy a home in a competitive market.<\/span><\/p>\n