What's interesting to me in re-reading my market summary from this time last year, is that not much has actually changed, on paper. But there are nuances that the media has not reported on.
Last October interest rates hit their lowest since 2022, down to 6.1%, and then steadily rose again all the way to 7% before dropping to 6.1% again last month, And now, in early November, rates have started to rise again. We are at 6.2% as we speak.
My prediction that rates would remain high through 2025 also proved to be true, Similarly that the late Winter into early Spring market would be the optimal time to sell; it was. Yet this year, overall we saw the slowest market in more than a decade. Even our typical Spring flurry was weaker than anticipated.
Buyers have been cautiously quiet for the most part, primarily because high interest rates have led them to really question price vs. value. As such, consumers have focused on properties that have been updated, well maintained and priced correctly. In fact, the age-old equation of a well presented home, in a great location, priced to sell, has led to a handful of multiple offers this year, despite the slower market.
Location has really mattered and Seattle saw a surge in sales this late Spring through Summer, with tech employees looking to reduce their commute. Similarly, Microsoft's back-to-work mandate has led many buyers to consider moving closer to the office. That's the conversation I am having at open houses.
This buyer caution has led to much longer days on market - the Eastside average currently stands at 47 days. And that's impacted the amount of properties for sale; more inventory automatically means greater choice and therefore less buyer competition. The result of which have been aggressive price reductions across the board, 5-6% on average.
While this sounds indicative of a buyer's market, the months of supply tell a different story - currently we're seeing about 3.3 months of housing supply, which is representative of a market still slightly skewed in favor of the seller. As the Holiday season approaches, many real estate agents are pulling stagnant listings in order to re-list early 2026. With only a handful of new homes hitting the market, available inventory will naturally constrict, favoring both motivated sellers and savvy buyers looking for the opportunity to snag a home before the competition heats up again early next year.
When is the right time to sell? Year over year data shows that our market is strongest from end of January into early April and then slowly freezes up ahead of Summer. My advice is to start prepping your home to sell now if you intend to list next year.
To find out my full market insights for 2026, you're going to have to wait until next month, but in the meantime my message to buyers seeking to move, NOW is a REALLY good time to buy with lower interest rates than we saw for most of this year and at very preferential prices. Your time is now - ask any investor.
