Seattle Housing Market Watch – March 18, 2025

By Zach McDonald, Real Property Associates

We’re halfway through March and quickly approaching the official start of spring. But in Seattle, the spring housing market is already well underway. New listings are hitting the market in strong numbers, yet buyer demand—especially around the median price point—continues to outpace supply. The result is a competitive environment for many single-family homes across King and Snohomish County.

Inventory Climbs, but Not Fast Enough for Buyers

This past week brought 621 new listings, nearly identical to 623 the week before. Even with steady inventory, demand remains strong, particularly among first-time and mid-price buyers.

Price reductions dropped to 218 from 283, but still represent roughly one-third of active listings—showing that not every home is selling instantly or receiving multiple offers.

Pending sales came in at 813, slightly down from 854, while closed sales increased to 486 from 459. Overall, week-over-week numbers remain remarkably stable.

Mortgage Rates Hold Steady with No Market Impact

Mortgage News Daily reported the average 30-year fixed rate at 6.81%, almost unchanged from 6.79% last week. These minor shifts aren’t influencing buyer behavior at the moment.

Although rates remain elevated compared to recent years, the market has already absorbed the impact. Until we see significant movement in either direction, mortgage rates are not expected to meaningfully cool or accelerate the Seattle housing market.

Stock Market Volatility Creates Some Buyer Hesitation

While mortgage rates stayed stable, the stock market experienced a sharp sell-off over the past week. There is no hard data to quantify its impact on real estate, but high-end buyers may be taking a brief “pause” as portfolios fluctuate. Historically, stock volatility affects luxury buyers more than median-price buyers, and that seems to be playing out again this spring.

King County: Competition Intensifies Into Spring

Competition rose noticeably in King County this past week.

• Multiple offers: 41% (up from 37%)

• Inspection contingencies included: 32% (down from 36%)

• Financing contingencies: 59% (unchanged)

• Escalation clauses: 19% (unchanged)

• Median sale price: $935,000

The decline in inspection contingencies closely mirrors the increase in multiple-offer situations. As bidding wars intensify, buyers are removing the inspection contingency more frequently—or conducting pre-inspections prior to submitting an offer.

The average home sold 1% over asking price, up from 0% last week, aligning with the rise in competition.

Snohomish County: Similar Pricing, Higher Competition

Snohomish County saw almost identical pricing week-over-week but experienced a strong jump in buyer competition.

• Median sale price: $818,275 (vs. $820,000 last week)

• Sold-to-list price ratio: 1% above asking (same as last week)

• Multiple offers: 42% (up from 35%)

• Inspection contingencies: 28% (down from 35%)

• Financing contingencies: 66% (vs. 70% last week)

• Escalation clauses: 14% (vs. 13% last week)

As competition increased, inspection contingencies dropped—again matching what we’ve seen in King County. Buyers are clearly adjusting their strategies to win in competitive mid-price segments.

Single-Family Homes vs. Condos: Two Very Different Markets

Single-family homes in the median price range continue to draw the most intense buyer activity. These homes often receive strong early interest, multiple offers, and minimal contingencies.

Condos, on the other hand, remain significantly slower. Even well-located units may see:

• fewer showings

• longer days on market

• more price reductions

• less competition overall

Higher-priced homes—whether single-family or condo—are also experiencing slower movement compared to median-priced homes.

What Buyers Should Expect This Spring

The data is clear: the spring market is competitive, especially at the median price point in both counties. Buyers should expect:

• faster sales

• more multiple-offer scenarios

• fewer inspection contingencies

• increased use of escalation clauses

• the need for pre-inspections in competitive areas

If you’re shopping for a home priced near the local median, be prepared with a strong strategy and a fast-moving approach.

What Sellers Can Expect Right Now

Sellers with homes priced near the median can expect:

• strong early interest

• high showing activity

• multiple offers in many cases

Homes priced above the median or condos may require more patience, strategic pricing, and stronger marketing to attract qualified buyers.

Have Questions About Your Situation?

The Seattle housing market is dynamic, competitive, and heavily influenced by price point and property type. If you’re thinking about buying or selling and want to understand how today’s conditions impact your specific goals, I’d love to be a resource.