Seattle Housing Market Update January 2026

The Seattle housing market is kicking off 2026 with renewed momentum. Buyer activity is increasing, inventory is tightening, and competition is returning earlier than many expected. Here is a clear snapshot of what is happening right now across King County and Snohomish County.

Mortgage Rates and Market Impact

Mortgage rates have remained relatively stable as we transition from 2025 into 2026. After briefly dipping below six percent earlier this month due to speculation around government purchases of mortgage backed securities, rates have rebounded and are currently hovering around the low six percent range. While there is no confirmed policy change yet, even the conversation around rates has been enough to influence buyer behavior. For now, rates appear steady enough to support continued activity without slowing the market.

Greater Seattle Market Activity

Over the past week, there were 466 new listings across King County and Snohomish County, a significant increase from late December. This rise is expected as the market wakes up after the holiday slowdown. At the same time, 600 homes went pending, signaling strong buyer demand. Price reductions totaled 202 as sellers adjust pricing from listings that carried over from the end of last year. Sold listings reached 289, which is typical for January as closings reflect December activity.

Overall, inventory is still relatively low, buyer demand is increasing, and early signs of competition are already appearing.

King County Housing Market Trends

King County is leading the region in competitiveness. Thirty one percent of pending sales over the past week involved multiple offers, up from the low twenties at the end of 2025. Sixteen percent of those offers included escalation addendums, a notable increase from December.

The median sales price in King County last week was $937,000. Homes are now selling an average of one percent over asking price, a shift that has not been seen in recent months. Financing contingencies were included in seventy one percent of offers, while inspection contingencies dropped to forty three percent. These changes indicate growing competition, higher pricing pressure, and buyers becoming more aggressive to secure homes.

Snohomish County Housing Market Trends

Snohomish County continues to trail King County slightly but is following the same upward trajectory. The median sales price was $770,000, with homes selling at an average of ninety eight percent of list price. Thirty percent of pending sales had multiple offers, up significantly from the previous update. Ten percent included escalation addendums.

Financing contingencies were present in seventy nine percent of offers, while inspection contingencies dropped to forty four percent. While competition is not as intense as King County, the trend is clearly moving in that direction.

What This Means for Buyers and Sellers in 2026

For sellers, the data suggests that listing sooner rather than later may be advantageous. Inventory remains limited, competition is increasing, and homes are beginning to sell at or above asking price even before the spring market begins.

For buyers, preparation is critical. Multiple offer situations are becoming more common, and strong offers often require clean terms, solid financing, and strategic decision making. Every buyer’s risk tolerance and financial position is different, so having a clear plan matters more than ever.

If you are thinking about selling your home in 2026 or planning to buy in the Seattle area, now is the time to have a strategy. I am always happy to be a resource, answer questions, and help you navigate the market with confidence.