The Seattle Times reported March 7, 2009 that "Affordability hits 40-year high in housing market".   When home prices were at their national peak in the summer of 2005, the national median sales price of a home was nearly 8 times the average per capita after-tax income of Americans.  In January of 2009, with incomes up and prices sharply down, that factor fell to less than 5.

In King County, the average home sales price for January 2009 was $375,000; the lowest since May 2005.  That average is more than double the national average; while income levels are nearly 60% more.

Seattle was slower than many cities to see its property values increase after the slowdown of 2001-2002.  Seattle's values continued going up when many parts of the country, which are now stabilizing, were on a downhill slide.  Seattle appears to be slightly behind parts of the country in stabilization of our real estate values.

In similar news, according to MSN's Market Watch,  home prices are closer to stabilizing today than at any time in the past nine years.  Further information can be reached at this link.

http://realestate.msn.com/article.aspx?cp-documentid=18279824&gt1=35000