A slower market despite lower rates
Buyers and sellers are both feeling the shift as we settle into fall: rates, inventory, and prices have come down, and homes are still taking longer to sell.
Median price: $992,500 in August (+2% YoY, ↓ from July)
Inventory: 4,113 homes (39% above last year, ↓ from July)
Rates: Fell to ~6.1% before rising after last week's Fed meeting; today they sit around ~6.4%
Days on market: rose from 10 in July to 14 in August
Lower prices + slower sales
The median price for King County single-family homes dropped to $992,500 in August, a modest decline from July but still 2% higher than the same time last year.
Homes are also taking longer to sell: the average time to sell went from 10 days in July to 14 days in August. To buyers, it feels fast; to sellers, it feels slow.
Reality is somewhere in the middle—is this what a balanced market looks like?
39% more listings than last year
There were 4,113 homes for sale in August, 39% above last year's level but down from the likely peak in July. September often brings a small bump before activity slows heading into the holidays.
Lowest rates in a year
Mortgage rates dipped to 6.1% earlier this month but bounced higher after the Fed’s quarter-point cut. Why? Because mortgage rates track the 10-year Treasury, not the Fed—and markets had already priced in the move weeks ago.
The drop is good news for buyers who locked in at 7%+ a year or two ago, with refinance activity picking up last week. But with 71% of mortgages at 5% or less, it will take time—and major life changes—before lower rates motivate many homeowners to sell.
“When there are notable reasons for pessimism … people may delay big purchases and major life decisions even if interest rates do come down.” – The Sunday Morning Post
Wrapping up ✌️
For my part, I've been busy reconnecting with friends and past clients! :)
I've been working, too! I just listed and sold this sweet mid-century rambler in West Seattle, a home that’s near and dear to us. Ash and I brought our first daughter home there almost ten years ago. After a weekend on the market, we received a full-price, contingency-free offer and closed just a week later.
I've also been busy prepping a charming Craftsman bungalow on a great lot near the West Seattle Junction, and hope to be able to show it off in the coming days!
Follow me on Instagram for more updates from the field!