Seattle market sees rise in home listings, higher prices

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SEATTLE - Northwest Multiple Listing Service (NWMLS) released its August market report, revealing significant year-over-year increases in active and new listings, as well as pending sales, driven by lower mortgage rates. The number of closed sales, however, remained virtually unchanged, while median home prices rose in the majority of the 26 counties covered by NWMLS.

In August, mortgage rates dropped to their lowest levels since March 2023, with the 30-year fixed rate at 6.35% as of Aug. 29. The Federal Reserve is expected to further reduce rates in September, potentially encouraging more buyers to enter the market.

Keep reading for more August market insights, including listings, sales and inventory trends in Seattle and Washington state.

Active listings surged in August

According to NWMLS, the total number of active listings increased by 34.1%, with 15,453 properties available at the end of August 2024, compared to 11,525 in August 2023.

Double-digit increases in active inventory were reported in 25 of the 26 counties, with Douglas County leading the rise at 65.1%, followed by Mason (49.2%), Lewis (49%), Pacific (48%) and Pierce (43%) counties.

Closed sales in Washington remained steady in August

Closed sales remained relatively steady with 6,727 transactions in August 2024, compared to 6,734 the previous year. Fifteen counties in Washington saw an increase in closed sales, while 11 experienced a decline.

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Months of inventory

According to real estate industry experts, a balanced market is considered to be 4 to 6 months.

The six counties with the lowest months of inventory in August 2024, according to the NWMLS report, were Snohomish (1.41), Kitsap (1.61), Thurston (1.7), King (2.08), Pierce (2.08) and Skagit (2.23).

Median sale prices in August increased

The median sale price for residential homes and condominiums in August 2024 was $645,000, a 4.9% increase from August 2023’s median of $615,000.

San Juan, King and Snohomish couties reported the highest median sale prices at $905,000, $860,000 and $762,500, respectively. Ferry, Adams and Pacific counties had the lowest median prices, ranging from $282,500 to $332,500.

"Mortgage interest rates have already started to moderate, dropping to 6.35% (for 30-year terms) at the end of August from this year’s high of 7.22% at the beginning of May," said Steven Bourassa, director of the Washington Center for Real Estate Research (WCRER) at the University of Washington. "Unfortunately, lack of supply is going to continue to be an issue affecting house prices. Single and multi-family permitting dropped off noticeably in 2022 as interest rates ramped upwards, and single-family home prices will likely continue to increase as interest rates drop."

Increased consumer and broker activity

Consumer activity also picked up in August, with key boxes at listed properties accessed 159,239 times, a 2% increase from July 2024. Property showings scheduled through NWMLS-provided software rose to 119,927 in August, up 2% from July. Additionally, 18,028 properties were eligible for the Down Payment Resource program, marking a 3% increase over July 2024.