Education • Market Update • NWMLS Press Release • March 18, 2025

March 2025 Seattle Housing Market Update

by Evan Richards

Affordability and inventory remain challenges for the market

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of February):

Traditionally a quiet month, February’s market activity reflected consumer sentiment in two important areas: affordability and available inventory.
Although the number of active listings is significantly higher than a year ago (39.4% greater), the annual growth in the number of transactions is much smaller (only 1.9%).
Overall, inventory levels remain stubbornly low.
Homebuilders are bracing themselves for increases in construction costs following the White House’s announcement of tariffs on imports from Canada and Mexico. “The prices of materials will have a major impact on affordability, and increases in construction costs will affect the prices of existing homes in addition to new homes.”
“CoreLogic has estimated that the tariffs might increase the cost of home construction by 4% to 6% across the country, while household fixtures, such as appliances and cabinets, could increase in price by 10% to 20%.”
30-year mortgage rates dropped slightly from 6.95% to 6.76%.

To read the full press release, click here.

Education • Finance • Market Update • NWMLS Press Release • February 11, 2025

February 2025 Seattle Housing Market Update

by Evan Richards

Market activity is increasing, but affordability remains questionable

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of January):

Activity was up in January, both month-over-month compared to December and year-over-year compared to January of last year.
The number of closed sales increased by 10.8% year-over-year. This shows that demand from buyers has increased, despite rising interest rates.
The number of homes for sale increased 44.6% year-over-year throughout the entire NWMLS.
Keyboxes located at listed properties were accessed 40% more than in December (January is usually a lot more active than December), but keybox activity also increased by 10% compared to last January.
Questions still abound regarding affordability, and the political and economic factors that influence it.
When either prices or interest rates increase (both of which have), affordability goes down.
New immigration policies and tariffs on imports from Canada and Mexico would have an inflationary impact on home construction costs.
“All of this suggests that the affordability of homeownership, which has been declining, will continue to do so.”

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • January 7, 2025

January 2025 Seattle Housing Market Update

by Evan Richards

Mortgage rate increase throws curveball into market

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of December):

Despite hopes and predictions, the Federal Reserve Bank’s three interest rate cuts in 2024 have not led to reduced mortgage rates or a significant boost in the housing market.
The 30-year mortgage interest rate was actually higher at the end of 2024 (6.85%) than at the end of 2023 (6.61%).
“We may well be experiencing the pains of adjusting to a new normal, with persistent interest rates of 6% or higher.”
Rising rates have been accompanied by a 4.3% increase in home prices over the past year (for the NWMLS as a whole).
Active listings and sales transactions were up by 25% and 19.8%, respectively, in December 2024 compared to the previous year, suggesting that buyers and sellers may be adjusting to higher borrowing costs.
On the supply side, the 3-county Seattle Metro area (King, Pierce, and Snohomish counties) had about 22% more active listings to end the year than there were at the end of 2023. That could give buyers more options as they start their house hunt in Q1, and could help keep price growth in check.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • October 8, 2024

October 2024 Seattle Housing Market Update

by Evan Richards

Lowered mortgage rates provide boost but affordability remains elusive

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of September):

The further reduction of interest rates in September by the Federal Reserve provided a positive end-of-the-summer boost to the market. However, without deeper cuts to interest rates, housing affordability will remain an issue for many.
“Interest rates remain over double what they were just three years ago (6.08% at the end of September versus 3.01% at the same time in 2021 for 30-year fixed rate mortgages).
The number of homes for sale increased throughout the NWMLS coverage area, with 22 out of 26 counties seeing a double-digit year-over-year increase.
There was a 31.4% increase in the total number of properties listed for sale.
Overall, the median price for residential homes and condominiums sold in September 2024 increased 5.8% when compared to September 2023.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • June 12, 2024

June 2024 Seattle Housing Market Update

by Evan Richards

While interest rates remain high, an increase in inventory and closed sales transactions signal that buyers and sellers are adjusting

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of May):

The real estate market has continued to pick up in accordance with typical seasonal patterns, with further increases in activity expected as we move fully into the summer months.
The overall number of homes sold and the median sales price of those homes increased year-over-year.
Interest rates have only slightly decreased over the past month, and are right around 7%.
For-sale inventory levels have increased dramatically year-over-year, which should help to stabilize home prices.
Across the NWMLS, there was a 41% increase in active property listings compared to June 2023.
The median sale price for King County was $890,000, up 9% compared to June 2023. The median means that half of all homes sold for less than that price and half sold for more than that price.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • Uncategorized • April 9, 2024

April 2024 Seattle Housing Market Update

by Evan Richards

Decreased mortgage rates have yet to influence the market

Here are the bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of March):

Interest rates have decreased by 0.15% over the past month to 6.79%, and while the rate decrease is encouraging, it has yet to have a significant impact on prospective buyers’ purchasing power or prospective sellers’ willingness to give up low interest rate mortgages.
March 2024 saw an 11.2% decrease in the number of closed sales year-over-year, although median sales prices have continued to steadily rise with a year-over-year increase of 7.5%.
“With new listings picking up the pace from 2023 lows, potential home buyers have more options to choose from.”
“Still, there seems to be more buyers in the market than the available inventory. As a result, home prices continue to rise despite elevated mortgage rates and constrained affordability.”
There were 2,954 new listings in King County in March, almost exactly the same as March of 2023.
The number of pending sales in King County was up about 8% compared to last year.
The median price for residential homes and condominiums in King County was up almost 12% year-over-year to $850,000.
Of all the residential homes and condos that closed in King County in March, 41% sold above the list price, indicating multiple offers. About 20% sold at list price, 17% sold below list price, and 22% had to drop the price before getting an offer.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • March 6, 2024

March 2024 Seattle Housing Market Update

by Evan Richards

Cautious market optimism as seasonal changes take shape

Here are my bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of February):

Interest rates ticked back up by about a quarter of a percent to 6.94%. This continues to limit buyer purchasing power and sellers’ desire to sell and give up their own low mortgage rates.
New listings in King County increased about 34% compared to February of 2023. This is good news for buyers competing for limited inventory.
Despite the increase in new listings, the number of pending sales in King County didn’t change much, up only about 4% compared to last year, and closed sales saw no change.
The median price for residential homes and condominiums in King County was up almost 13% year-over-year to $820,000.
Condos continue to show strong growth in sales, with an area-wide year-over-year increase of more than 9% for units sold. The median sale price of condos increased more than 15% compared to last year.
Of all the residential homes and condos that closed in King County in February, 34% sold above the list price, indicating multiple offers. About 20% sold at list price, 18% sold below list price, and 28% had a price change before selling.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • February 7, 2024

February 2024 Seattle Housing Market Update

by Evan Richards

Prices and number of sales increased despite reduced inventory

Here are my bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of January):

Interest rates held steady through the month of January to end at 6.69%.
The number of closed sales transactions was up 3% year-over-year.
The median price of single-family homes and condos combined was up 6.5% compared to January 2023.
The volume of homes on the market for sale has continued to decline throughout Washington. There was a decrease of about 14% compared to January of last year.
Despite the decrease in available inventory, many areas have seen an increase in the number of homes sold.
Overall, seller reluctance has led to low inventory levels and, coupled with buyer demand, competition and bidding wars has led to higher prices.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • January 8, 2024

January 2024 Seattle Housing Market Update

by Evan Richards

Signs of optimism despite reduced inventory

Here are my bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of December):

Interest rates proceeded to drop through the month of December to a current rate of about 6.61%.
Inventory levels are typically low this time of year. However, they was a 20% decrease in the number of active property listings compared to December 2022. Part of the reason for the low inventory is that current owners with lower mortgage rates are reluctant to sell.
The low inventory levels continue to keep home prices from falling, and they were actually up about 5% year-over-year.
Condos seem to be faring better at the moment, with a 6% decrease in the number of sales (compared to 11% for single-family homes), but a 7% increase in median price compared to last year.

To read the full press release, click here.

Education • Market Update • NWMLS Press Release • December 8, 2023

December 2023 Seattle Housing Market Update

by Evan Richards

Reduced inventory motivates increased home prices

Here are my bullet points from the newest press release from the Northwest Multiple Listing Service (data is from the full month of November):

A slight decrease in interest rates has raised cautious optimism – interest rates had fallen to around 7.2% as of December 1, 2023, in comparison to 7.8% in October 2023.
The decline in seasonal inventory continues to drive home prices upward, spurring an increase of 4.6% in prices from November 2022.
Closed sales are down about 16% compared to November 2022. This is due to less homes for sale in general.
Number of sales and housing inventory usually drop in the fall and winter months, but the seasonal trend is lower than usual because of the high interest rates.
“With the 30-year fixed mortgage rate currently just over 7.2%, the purchasing power of prospective buyers remains stunted relative to a few short years ago.”
“Current owners with low-rate mortgages continue to be reluctant to sell.”
Expect new listings to start increasing slowly in the new year. Buyers will beat sellers to the market and be out shopping before the inventory can keep up, increasing competition and prices.

To read the full press release, click here.