Seattle Housing Market Update – September 23, 2025

As Seattle enters the fall season, the housing market is showing the typical late-season activity, with a mix of stabilization and emerging competition in both King and Snohomish counties.

Inventory and Listings

  • New Listings: Slight decline to 775 homes over the past week (down from 930 the previous week).

  • Price Reductions: Remained steady at 611 homes, reflecting ongoing adjustments for lingering inventory.

  • Pending Sales: Held steady at 888 homes versus 861 the previous week, keeping pace with the new listings.

The market is starting to see more multiple-offer situations, signaling rising competition as buyers respond to limited inventory and mortgage rates.

Mortgage Rates and Market Influence
Mortgage rates have been relatively stable in the 6.25–6.4% range. While earlier in 2025 rates were above 7%, recent Fed rate cuts, inflation data, and government actions like quantitative easing have contributed to a modest decline. There is no direct correlation between Fed rate cuts and mortgage rates, but market expectations and interventions can create movement.

King County Market

  • Median Sales Price: ~$950,000, largely unchanged week-over-week.

  • Sale-to-List Ratio: ~99%, indicating homes still sell very close to asking prices.

  • Competition:

    • 29% of pending sales had multiple offers.

    • Escalation clauses are increasing, reflecting buyers paying more than the list price to secure homes.

  • Contract Contingencies:

    • Slight decline in financing contingencies (from ~70% to ~69%).

    • Slight decline in inspection contingencies (from ~50% to ~48%).

Overall, King County shows a slightly hotter market, with buyers feeling pressure to compete, particularly in areas like Seattle, Bellevue, and the Eastside.

Snohomish County Market

  • Median Sales Price: ~$757,000, slightly lower than previous week (~$778,000).

  • Sale-to-List Ratio: 98%, slightly lower than King County.

  • Competition:

    • 24% of pending sales had multiple offers.

    • Only 4% included escalation clauses, indicating less price pressure.

  • Contract Contingencies:

    • Financing contingencies increased to 81%.

    • Inspection contingencies increased to 49%, suggesting buyers are still using protections in offers.

Snohomish County is less competitive than King County but may see increased activity as buyers shift focus outward due to limited inventory in the core city areas.

Buyer Considerations

  • Buyers are weighing location versus house features. There’s a trend of prioritizing proximity to work and lifestyle over larger homes with extra amenities, reflecting a shift back toward city and closer-in suburban living.

  • The fall market offers buyers the chance to secure homes before the winter slowdown, with more inventory and slightly less competition than the spring.

Seller Considerations

  • King County sellers are in a strong position due to ongoing competition and high sale-to-list ratios.

  • Snohomish County sellers still have opportunities but may see slightly longer negotiation periods due to lower competition.

Market Outlook
The Seattle housing market is showing signs of late-season stabilization with pockets of increased competition, particularly in King County. Buyers should focus on strategic timing and location priorities, while sellers can capitalize on sustained interest in the market.

This week reflects a “tale of two markets”, with King County remaining hotter and more competitive, while Snohomish County offers more negotiating flexibility. Both buyers and sellers should tailor their strategies based on location, inventory, and seasonal trends.