Seattle Housing Market Watch – July 31, 2025

As July comes to a close, the Seattle housing market is showing subtle but meaningful shifts. With vacations, travel, and a lighter summer schedule, I adjusted this month’s updates to focus on two-week snapshots instead of weekly reports. These larger samples offer a clearer picture of how King and Snohomish counties are behaving as we head into August.

Inventory Begins to Shrink as New Listings Slow

One of the most notable trends this month is a slight decrease in overall inventory. While summer typically brings fewer active buyers—thanks to vacations and seasonal travel—this year is also bringing fewer new listings compared to the spring and early summer surge.

Last week recorded 698 new listings, compared to 994 during the week of July 15. Price reductions also dropped to 579, down from 756 two weeks prior. While reductions remain common, the slowdown in new inventory is beginning to tighten supply.

The cooling pace has also opened the door for more contingent purchases, which rose from 14 two weeks ago to 28 this past week. When homes sit on the market longer, sellers become more willing to work with buyers who need to sell before they purchase—a scenario that’s almost unheard of during peak competition.

Pending sales remained steady at 792, just slightly below the 810 pendings earlier in the month. With buyer activity stable but new listings slowing, total inventory is naturally beginning to contract.

Mortgage Rates Edge Slightly Lower

Mortgage News Daily reported an average 30-year fixed rate of 6.75% as of July 30. Rates are still hovering in the upper-6% to low-7% range, but this slight decline may be contributing to steady buyer activity. Future shifts will depend heavily on inflation data, which remains the strongest indicator of where mortgage rates are headed next.

King County: Slight Increase in Sales Activity

Over the second half of July, King County saw:

  • Median sales price: $999,975 (up slightly from $975,000 earlier in the month)

  • Average sale-to-list price: 101%, compared to 99% earlier in July

  • Multiple offers: 24%, down from 25%

  • Escalation clauses: 8%, down from 9%

  • Financing contingencies: 65%, down from 70%

  • Inspection contingencies: 40%, nearly unchanged from 41%

While competitive metrics show continued softening, the uptick in sale-to-list ratio suggests that certain homes—likely in popular areas like Seattle, Bellevue, and other close-in neighborhoods—are still selling at strong prices and occasionally driving up the countywide averages.

Snohomish County: Slightly More Competitive Than Early July

Snohomish County saw similar patterns but with a notable increase in multiple-offer situations:

  • Median sales price: $800,000, up from $764,900 earlier in the month

  • Sale-to-list price: 99%, up from 98%

  • Multiple offers: 24%, up from 20%

  • Escalation clauses: 6%, unchanged

  • Financing contingencies: 77%, slightly down from 80%

  • Inspection contingencies: 47%, unchanged

Though still less competitive than King County overall, Snohomish County did see a modest uptick in bidding activity. Inventory has also dipped slightly, contributing to this mild increase in competition.

What to Expect Moving Into August

July brought fewer new listings, stable buyer demand, and a modest reduction in inventory across both counties. These shifts have slightly increased competition, but the market remains far less intense than what we saw during the peak of the spring season.

Unless mortgage rates or inflation data change dramatically, August is likely to mirror July—steady buyer activity, fewer new listings, and mild pressure on prices in select neighborhoods.

Have Questions About the Seattle Area Market?

Whether you’re exploring a move in King County or Snohomish County, I’d love to help you understand how current conditions affect your plans. Reach out anytime—and if you enjoy following these updates, be sure to subscribe so you don’t miss future market insights.