Event part of MBAKS’ ongoing engagement on HB 1110 & HB 1337 implementation

MBAKS recently hosted a Middle Housing Forum focusing on state law changes now being implemented that could transform the housing landscape in our region and state.

The March 25 learn-at-lunch style event drew nearly 100 attendees. It was designed to help MBAKS members navigate the coming changes related to middle housing and accessory dwelling units (ADUs) following the adoption of HB 1110 and HB 1337 in 2023.

Panelists included Lilith Vespier, Infill Housing Manager with the Department of Commerce; Adam Weinstein, Director of Planning & Building for the City of Kirkland; and Ryan Gillis, Founder and CEO of Gillis Real Estate. 

In case you missed it, members can find a copy of the presenters’ PowerPoint slides on our Middle Housing & ADU Resources page, which is part of the Resource Library on MBAKS Connect.

Following panel presentations, attendees also heard brief updates from a handful of other city representatives in attendance from Bellevue, Bothell, Kent, and Lynnwood. Many cities in our two counties are in the process of updating local codes to comply with the new middle housing and ADU state laws. Local jurisdictions have until June 30, 2025 to update their codes.

The forum ended with audience Q&A time. During this open discussion, some members reiterated a point Ryan Gillis made during his presentation--the importance of flexibility in local codes so that builders can better respond to market demand. Another member stressed the importance of ensuring floor area ratios and building heights are properly set so that more project types are feasible to build. 

Members also expressed concerns about affordable housing fees that some jurisdictions are adopting alongside middle housing codes, as they will create unnecessary barriers to adding more housing choices.

MBAKS Executive Director Jerry Hall closed by sharing MBAKS’ overarching suggestion for cities implementing middle housing and ADU changes – “keep it simple.” The easier and more cost-effective it is to build middle housing, the more likely it is to be built, and the more attainable it will be for those looking for a place to call home.

Thanks to all who attended the Middle Housing Forum! To keep up with our advocacy work and changes related to middle housing and ADUs, MBAKS members are encouraged to engage with our Builders Councils.

Homing in on Our Region's Housing Statistics

Despite headlines about a housing market cooldown and home prices dipping slightly compared to last month, median housing prices continue to rise year over year, with an 8.03% rise and a 22.29% rise in King and Snohomish counties, respectively, for combined single family and condo sales. Likewise, for-sale housing supply continues to drop, with both King and Snohomish counties—and much of the state—more accurately described as having weeks of supply, not months. Year over year, months of supply dropped 59% in King County and 37% in Snohomish County. There is at least some relief on the horizon, however, as year to date residential building permit activity is up 30% in our two-county region.

Please contact data@mbaks.com with questions or feedback. We want to know what data would be useful to you!

Months' Supply of Housing Inventory

As of November 2021

	King County had 0.38 months' supply of inventory (down from 0.93 months' of inventory a year ago).
	Snohomish County had 0.24 months' supply of inventory (down from 0.38 a year ago).

Many industry analysts consider a four-to-six-month level as an indicator of a healthy market.

Source: Northwest Multiple Listing Service

Median Home Price

November 2021

	The median price of single-family homes and condos was $740,000 in King County and $658,505 in Snohomish County.
	For single-family homes only, the median price in King County rose 12.25%, from $730,500 a year ago to $820,000. The median price in Snohomish County rose 22.79%, from $566,000 to $695,000.
	In Seattle, the median price of single-family homes and condos was $765,000. The median price for single-family homes only was $850,000, a 3.66% increase from $820,000 in November 2020.

Source: Northwest Multiple Listing Service

Building Permit Activity

Jobs

	The seasonally adjusted Washington unemployment rate for November 2021 is 4.7%; for Seattle/Bellevue/Everett, it is 4.4%.
	Construction employment in Washington increased by 1,800 between October 2021 and November 2021. Total construction employment is 229,400 statewide and 110,200 for Seattle/Bellevue/Everett specifically.

Source: Employment Security Department: WA Employment Estimates (Seasonally Adjusted), November 2021 and Bureau of Labor Statistics.

Population

The Puget Sound region's population as of April 1, 2021 was 4,330,400. Over the past year, the region added 66,200 people, as follows:

Source: Office of Financial Management

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By MBAKS Senior Policy Analyst Allison Butcher

December 2019 permit numbers show the Seattle metro area ended the year with a modest 3% decline in single-family permits and a 5% drop in multifamily permits compared to 2018. The overall decline for the metro area was driven by King County, which ended the year with 14% fewer single-family permits. However, Snohomish County saw an 11% uptick in single-family permits, and Pierce County was up 3%. For multifamily permits, the year-end decline for the metro area was driven by Pierce County, which saw permits drop 43%. Meanwhile, multifamily permits rose 13% in Snohomish County and remained flat in King County.

The Builder's Bulletin is intended to provide a convenient way to track housing in our market and includes information from the Northwest Multiple Listing Service, State of the Cities Data Systems, Office of Financial Management and the Washington State Employment Security Department.

Download this month's report: