Seattle Housing Market Update – February 2026

King & Snohomish County Real Estate Trends

Spring may be rainy in the Pacific Northwest, but the Seattle housing market is heating up.

Here’s your February 25, 2026 snapshot of what’s happening across King County and Snohomish County single-family homes — including mortgage rates, inventory trends, competition levels, and what buyers and sellers should expect heading into spring.

Mortgage Rates Drop to 6% — Lowest in 3 Years

Mortgage rates are hovering around 6%, the lowest weekly average we’ve seen since early 2023.

While 6% isn’t “cheap” compared to the 3–4% era, it’s significantly better than the 7–8% rates many buyers locked in over the past few years. That drop is meaningful:

  • Lower monthly payments
  • Improved affordability
  • Increased buyer confidence
  • More refinancing conversations

If you currently have a rate in the high 7s or 8s, refinancing may be worth exploring.

Big takeaway: Lower rates are helping fuel buyer activity — but they’re not creating frenzy-level competition (yet).

Seattle Area Inventory Is Rising — Earlier Than Usual

Across King and Snohomish Counties (combined single-family data):

Weekly Activity (Late February 2026)

  • 689 new listings (up from 589 the week prior)
  • 768 pending sales
  • 489 closed sales
  • 309 price reductions

Inventory is increasing — and it’s rising earlier and slightly faster than last year.

However, buyer demand is still keeping pace. Homes are being absorbed at a steady rate, preventing inventory from ballooning (for now).

Year-Over-Year Comparison: February 2025 vs. 2026

Let’s look at how this market compares to the same week last year.

New Listings

  • 2025: 446
  • 2026: 689

Significantly more homes are hitting the market this year.

Pending Sales

  • 2025: 691
  • 2026: 768

Buyer activity is also stronger this year.

Price Reductions

  • 2025: 204
  • 2026: 309

More price adjustments suggest sellers are pricing more competitively.

King County Housing Market Trends

Median Sales Price

  • 2025: $940,000
  • 2026: $950,000

Prices are essentially flat year-over-year.

Competition Metrics

  • Homes sold 2% over asking last year
  • Homes selling at asking price this year
  • Multiple offers: 43% (2025) → 34% (2026)
  • Inspection contingencies: 37% → 44%
  • Financing contingencies: 62% → 68%

What this means:
Buyers have more leverage and are keeping protections in place. Competition exists — but it’s softer than last year.

Snohomish County Housing Market Trends

Median Sales Price

  • 2025: ~$799,950
  • 2026: $792,500

Again, prices are steady.

Competition Metrics

  • Multiple offers: 37% (2025) → 28% (2026)
  • Homes at asking: 100% last year → 99% this year
  • Inspection contingencies: 30% → 48%
  • Financing contingencies: 65% → 81%

Snohomish County is showing an even clearer shift toward balanced conditions.

Is the Seattle Market Shifting?

Not exactly.

This isn’t a crash or dramatic correction. What we’re seeing is:

  • More inventory
  • Slightly less competition
  • Buyers keeping contingencies
  • Stable home prices
  • Lower (but still moderate) mortgage rates

In short, the market is more balanced than February 2025 — and that’s healthy.

Seasonally, the Seattle market always heats up late winter and early spring. This year, that cycle appears to be starting a bit earlier — but without the same intensity as last year’s early spring surge.

What This Means for Buyers

2026 may offer a sweet spot.

  • More homes to choose from
  • Less bidding war pressure
  • Ability to keep inspection and financing contingencies
  • Stable pricing

If rates dip into the mid-5% range, competition could ramp up quickly. But right now, buyers have breathing room.

Late spring and summer may bring the most inventory — but getting prepared now is smart.

What This Means for Sellers

Timing matters more this year.

If you’re hoping for:

  • Faster sale
  • Multiple offers
  • Maximum competition

Listing sooner rather than later could work in your favor before inventory peaks.

As more homes hit the market this spring, buyer attention will spread out — and pricing strategy will become even more important.

2026 Seattle Real Estate Outlook

The biggest variable? Interest rates.

If rates fall further:

  • Buyer demand could spike
  • Sellers may list more freely
  • Competition could return quickly

If rates hold around 6%:

  • Expect a more normalized, balanced market
  • Healthy but not overheated conditions
  • Modest appreciation

Final Thoughts

February 2026 shows a Seattle housing market that is:

  • Softer year-over-year
  • More balanced
  • More buyer-friendly
  • Still seasonally active

It’s not a dramatic shift — just a healthier, more sustainable pace compared to last spring.

If you’re thinking about buying or selling in the greater Seattle area, understanding timing and strategy will make all the difference this year.