Navigating the Real Estate Market: October Market Update

The recent real estate landscape in Snohomish and King Counties held steady in October in spite of significant developments in our local and broader economy, and political worlds.

At the end of September, the Fed cut its lending rates by 0.5% as it appeared we were coasting into an economic soft landing after the storm of post pandemic inflation. While this initially helped mortgage rates achieve their lowest rates since February 2023 at 6.09%, the very positive economic growth, employment numbers and consumer confidence reports combined with angst & uncertainty over the election drove treasury bonds & mortgage rates higher throughout the month with rates closing out at 6.72%. While this is lower than the peak we experienced in November 2023 at 7.79%, it’s unwelcome news to see rates spike 0.6% in just a few weeks.  This put pressure on buyers and sellers and cooled the market a bit with some pressing pause on their plans to see how things develop.

Market Snapshot: Key Statistics

• Median Home Prices... steady month to month with substantial annual growth.

• King County: $865,000… Up 8.13% since last year.

• Snohomish County: $750,000… Up 8.70% since last year.
  
  

• Inventory Levels… still low & steady.

• King County: 2.40 months… Down 0.4 months from last month, up 0.6 months versus October 2023.

• Snohomish County: 1.80 months… Down 0.1 months since September, up 0.4 months versus October 2023.
  
  

• List Price to Selling Price Ratios… showing more market balance in spite of low inventory.

• King County: 98.8%... Up from 98.6% last month and equal to October 2023.

• Snohomish County: 98.6%... Up 0.10% from last month and down from 98.8% this time last year.
  
  

• Days on Market… typical seasonal rise though also indicated more market balance.

• King County: 28 days...Up 2 days from last month and 3 days from this time last year.

• Snohomish County: 29 days... up 5 days from last month and 6 days from last year.

  
  

What This Means For:

BUYERS: while interest rates are challenging, the moderating list to sale price ratios and longer marketing times are showing a more balanced market which provides opportunities especially for those who understand they can refinance to lower rates in the future.

SELLERS: low inventory is keeping the market strong for sellers, though moderating conditions are providing expanded opportunity for those seeking to sell & buy up, down or across town 

HOMEOWNERS: significantly rising values are increasing equity and economic security, and moderating inflation is making ownership costs lower resulting in a great return on investment.

Stay Informed and Engaged

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