Published March 7, 2025
March Market Update
Watch Full Market Breakdown with Jamie Reece HERE
March Market Update: Spring Kicks Off with Strong Growth
The February housing market data confirms what many expected: Spring is here early, and competition is heating up. Prices, pending sales, and absorption rates all indicate a strong seller’s market, though buyers still have opportunities if they navigate strategically.
Key Market Trends
- Price Growth: Home values rose between 4-7% annually, continuing the long-term appreciation trend.
- Faster Sales: Homes are moving off the market quickly, with marketing time dropping 9-11 days from last month.
- High Demand: 80-90% of new listings went pending in February, a sign of a highly active market.
- Competitive Offers: 35% of homes received multiple offers, while many buyers waived inspections and financing contingencies.
Three Primary Markets Today
Market activity is largely driven by three groups:
- Confident & Taking Action – Those leveraging financial stability to buy or sell now.
- Cautious & Waiting – Potential buyers and sellers observing trends before making a move.
- Satisfied & Staying Put – Homeowners who love their home, mortgage, and neighborhood, with no immediate plans to move.
King & Snohomish County Statistics
| Metric | King County | Snohomish County |
|---|---|---|
| Median Price | $852,531 (+4.09% YoYt) | $745,064 (+6.94% YoYt) |
| Inventory | 1.7 months (+0.5 YoY) | 1.1 months (+0.3 YoY) |
| Days on Market | 36 days (+2 YoY) | 32 days (+4 YoY) |
| List-to-Sell % | 100.4% (+0.1% YoY) | 99.3% (-1.4% YoY) |
Why Inventory Matters
Inventory remains well below a balanced market level (5-6 months). Current supply trends favor sellers, though buyers can find good deals on properties that sit for 7-10+ days without multiple offers.
Interest Rates & Market Momentum
- Current mortgage rates: 6.76% (down from 6.96% in January).
- Compared to the 7.79% peak in October 2023, rates have eased, fueling buyer demand.
- Outlook: While rates may gradually decline, sub-5% rates are unlikely in the foreseeable future.
Competitive Offer Trends
- Waived Inspections: 68% of buyers waived inspection contingencies.
- Waived Financing: 37% of buyers waived financing.
- Escalation Addenda: 16% of homes had offers with escalation clauses, down 2% from January.
What’s Next?
Unless we see rising unemployment or declining household income, home prices are unlikely to fall. When uncertainty clears or interest rates dip, expect a flood of sidelined buyers & sellers, driving prices higher.
- Buyers: Now is a great time to enter before competition intensifies.
- Sellers: With low inventory and strong demand, you’re in a prime position to maximize value.
