Summary
With spring’s arrival to the Pacific Northwest, optimism in the housing market improves.
- Home Prices Continue to Increase: The median sales price of homes increased in 19 out of 26 counties relative to February 2023. The three counties with the highest median sale prices continue to be King ($820,000), Snohomish ($715,000), and San Juan ($671,000)
- Selection Increases Slightly: Overall, there was a nearly 4% year-over-year increase in active property listings throughout the region. Good news for buyers.
- Condominium Sales Continue to Grow: 636 units sold in February 2024, a year-over-year increase of more than 9%. The median sale price has increased more than 15% year-over-year to $496,500.
- Declining Interest Rates May Be a Reality: Some good news is that interest rates continue to hold steady, with projections of declining rates later this year. If rates do decline, we could see additional selection available for purchase as sellers holding low rate mortgages re-enter the housing market.
Details
The real estate market has remained slow in accordance with typical seasonal patterns, with expected increases in activity as winter transitions into spring.
Interest rates have increased by a quarter percent over the past month to 6.94%, continuing to inhibit prospective buyers’ purchasing power as well as prospective sellers’ willingness to give up low rate mortgages.
For the Washington counties covered by NWMLS, February 2024 saw a nearly 2% decrease in closed sales transactions year-over-year, although median prices have continued to rise with a year-over-year increase of nearly 6%.
The median sales price of homes increased in 19 out of 26 counties and decreased in 7 counties relative to February 2023. The three counties with the highest median sale prices were King ($820,000), Snohomish ($715,000), and San Juan ($671,000). The three counties with the lowest median sale prices were Grant ($300,425), Pacific ($236,025), and Columbia ($174,500).
The number of homes on the market increased throughout Washington with 17 out of 26 counties seeing a year-over-year increase. Overall, there was a nearly 4% year-over-year increase in active property listings in Washington counties covered by NWMLS.
Ten of the 26 counties included in the report saw an increase in the number of homes sold year-over-year, while 14 counties saw a decrease in the number of homes sold year-over-year. Two counties, King and Pacific, saw relatively no change in the number of year-over-year sales transactions.
Condominium sales continue to show strong growth throughout the NWMLS service areas, with 636 units sold in February 2024, which is a year-over-year increase of more than 9%. The median sale price of condominiums increased more than 15% year-over-year, from $430,000 at the end of February 2023 to $496,500 in February 2024.
Although seller reluctance has continued to stifle inventory levels, year-over-year inventory levels have improved slightly – an increase of 4% – relative to February 2023,” said Mason Virant, associate director of the Washington Center for Real Estate Research at The University of Washington. “Despite the year-over-year transaction volume decline of 2% over February 2023, low levels of for-sale inventory have led to increased competition amongst buyers, producing a nearly 6% year-over-year increase in median home prices across the Washington counties covered by NWMLS.”
With interest rates holding steady and projected to decline a bit more later in the year, we continue to predict an increase in home purchase and sale activity throughout 2024.
Whether buying, selling, or investing in real estate, be sure to utilize the expertise, talent, and professionalism of our trusted real estate team. Let us know how we can help you achieve your real estate Wants, Needs, and Dreams.
*Information and statistics compiled and reported by the Northwest Multiple Listing Service.
