A recent headline based on a Zillow report would again lead you to believe someone has placed a bomb underneath your house and that it's going to blow up tomorrow. There is truth to some of the information provided, though it's the manner in which it's reported that irks me simply because it sounds a heck of a lot worse than it is. In the consistent efforts to beat a dead horse, the news failed to mention some of the positives, or even why the numbers look the way they do.

And I'm not even going to get into the veracity of Zillow's information... if you're curious about that then you can just ask the hoards of homeowners misled by Zillow based on the completely inaccurate and overly generalized value information they found about their home on Zillow's website... I'm sure you or your neighbor is one of them.

So, here's a little more depth to what's going on with Bellevue real estate based on actual MLS sales of sold, single family homes…

Yes, the median price of sold homes in our area is generally down over the last year, but this is due primarily to the fact that "distressed sales" (foreclosure sales and short sales) are making up a larger portion of the total volume of sales:

This April, distressed sales represented 25.4% of all sales of single family homes in Bellevue. Foreclosures, for example, accounted for 17.46% of Bellevue sales, while the median selling price of these foreclosures was $415,000.

The overall median price of sold homes in Bellevue for April 2011 was $553,000… so, the effect of nearly 1 out of 5 sales selling at $415,000 is rather obvious.

This begs the question that "if over ¼ of Bellevue sales were distressed sales that sold at deep discounts, what is going on with the traditional sales?" That's funny you should ask, but not so funny how the media/news doesn't seem to care.

As it turns out, the median price of traditional sales in Bellevue for April 2011 was $645,000, which easily surpassed April 2010's mark of $500,000… by a lot. Additionally, and to smooth out bumps, the three month average of median sales prices ending April 2011 was $587,656 compared to $534,009 in the three months ending April 2010.

To add some more depth as to why the prices are doing what they are doing, then a quick look at supply and demand helps. Analysts believe that a supply of six months is one that favors neither the buyer or seller, and a supply of less than 6 months leads to increasing prices as buyers compete for homes ("supply" in the real estate world means the amount of months it would take to sell all listings, if no new listings came on the market, based on the current pace of sales). So what has been going on with the supply of homes in Bellevue?

Prices have risen over the last couple months as the supply of homes available has dropped. The supply of homes in March 2011 for Bellevue was only 4.15 months and a little higher supply of 5.7 months in April 2011. Having a supply of less than six months signals and mirrors growing prices as buyers compete for homes.

BOTTOM LINE: The information I have provided above is a rather stark contrast to what the headlines and articles in the news would lead you to believe. The importance of knowing what's going on with your particular market cannot be stressed enough, and this is where your trusted real estate professional comes into play. If you are considering selling your home then it is an absolute must to equip yourself with the necessary information that will allow you to make an intelligent choice as to whether now is the right time for you to sell or not.

Equipping you with the pertinent information is at the core of our duties as real estate professionals, and we would be happy to shed some light on your particular market if you would like to contact me feel free to reach me at www.RainCityRealtor.com