As we move into September, the latest market stats for August 2024 are now available for the King County real estate market. Let’s dive into what’s happening, and what it means for both buyers and sellers.

Key Takeaways From August 2024:

• Mortgage rates are at their lowest since March 2023, sitting at 6.35% as of August 29th.

• Inventory is increasing, with a 34.1% jump in active listings compared to August 2023.

• Median home prices rose in 20 out of 26 counties in the Northwest Multiple Listing Service (NWMLS).

• The number of closed sales remained steady year-over-year.

Is Now a Good Time to Buy or Sell?

August 2024 Market Recap:

• Mortgage rates are improving, encouraging more buyers to consider entering the market.

• More homes are being listed, giving buyers more options and creating increased competition for sellers.

1. Mortgage Rates Are Dropping

As of the end of August, mortgage rates have dropped to 6.35%, the lowest we’ve seen since March 2023. Lower rates can improve affordability for buyers, allowing them to purchase homes with lower monthly payments.

What does this mean? More buyers are likely to enter the market as rates continue to decline, increasing demand in the months to come.

2. Inventory Is Increasing

In August, the number of active listings jumped by 34.1% compared to last year. This means there are more homes for buyers to choose from, but it also means sellers are facing more competition.

Stats:

• Number of new listings: Increased year-over-year, giving buyers more options.

• Pending sales: Remained steady, showing that demand is keeping up with supply.

• Closed sales: Stayed virtually unchanged from last year.

3. Median Home Prices Continue to Rise

Despite more inventory, home prices are still on the rise. The median sales price for residential homes and condos increased by 4.9% in August 2024.

Why are prices rising?

Even though more homes are on the market, there is still a lack of overall supply. Limited new construction, especially of single-family homes, continues to push prices higher.

4. King County: Detailed Market Breakdown

Active Listings:

• August 2024 had the most active listings in five years, second only to July 2022. This increase gives buyers more power to negotiate as they have more choices.

New Listings:

• King County saw more new listings in August 2024 than in August 2023. However, this number is still lower than in previous years like 2020.

Pending Listings:

• The number of pending listings (homes under contract but not yet closed) is about the same as last year. However, the demand is significantly lower than in 2020, 2021, and 2022.

5. What Does This Mean for Buyers and Sellers?

For Buyers:

• More inventory means more options and room for negotiation.

• Lower interest rates could lead to increased competition in the coming months, so acting now may secure a better deal before the market heats up again.

For Sellers:

• With 34% more homes on the market than last year, competition is fierce.

• Pricing your home right and presenting it well is crucial to stand out in this market.

6. Median Sales Price & Inventory Trends

Months of Inventory:

• 2.08 months of inventory in August 2024, which is the highest in the past five years. This indicates that the market is moving towards balance, favoring neither buyers nor sellers.

Median Sales Price:

• The median price in King County reached $860,000 in August 2024, the highest it has been in five years, aside from a brief peak in 2022.

Conclusion: What Should You Do Next?

The Seattle real estate market is showing signs of increased buyer power with more listings and lower interest rates. For buyers, this is a unique opportunity to find a deal and negotiate better terms. For sellers, competitive pricing and proper presentation are key in a market with growing inventory.