Real Estate Market Trends around Puget Sound Q4-2023

During the initial quarter of 2024, the local real estate sector grappled with persistent challenges, notably elevated interest rates and constrained housing inventory. However, amidst these obstacles, a palpable anticipation surrounds the forthcoming spring sales season, offering a glimmer of optimism. For a comprehensive analysis of real estate statistics and trends across Seattle, Eastside, Mercer Island, Bainbridge Island, and neighboring counties, we invite you to explore our platform. Gain valuable insights into market dynamics and investment opportunities in this evolving economic landscape

Seattle I Single-Family Homes

Sellers who chose to sell their single-family Seattle residences in the first quarter of the year did so in a market that saw price growth and slightly less inventory, meaning fewer listings to compete with, than the previous year.

Seattle | Condominiums

Inventory moved at a faster rate than many of the other markets analyzed in our reporting, with a significant 34.6% increase in homes sold. The market was considered a seller’s market, but 2.7 months of supply put buyers in a better position than other communities where there was less than 1 month of supply to choose from as they navigated the market.

Eastside | Single-Family Homes

Inventory did not move as quickly as it did in the first quarter of 2023 when all markets saw extreme buyer interest, but it did move more quickly than it did in Q1-2023 where the average days on market was at 51 compared to Q1 of this year which yielded an average of 31 days on the market.

Eastside | Condominiums

Like the single-family home Eastside market, the Eastside condo market saw significant year-over-year price growth with a 15.2% increase in the median sales price, climbing from $538,000 to $620,000. There was similar growth in the average price per square foot with an average of $522 in Q1-2023 that jumped to an average of $585 a mere year later.

Mercer Island | Single-Family Homes

Mercer Island remains a highly sought-after community to reside in King County, just a bridge away from Seattle but boasting an entirely separate island feel and lifestyle. With only 1.1 months of inventory in Q1-2024, it’s clear that buyers are eager to purchase their Mercer Island homes even with the high interest rates.

Bainbridge Island | Single-Family Homes

Bainbridge Island draws new residents from all over the world with its waterfront residences and small-town island ambiance. So, how did one of the most desirable enclaves of the region perform during the first quarter of the year? The market data reveals that the island’s market maintains very similar numbers as it did a year ago.

Kitsap County | Single-Family Homes

(Excluding Bainbridge Island)

Excluding Bainbridge Island (which was analyzed separately in our reporting), analysis of the year-over-year data for Kitsap County reveals a steady market, largely unchanged and with slight price growth.

King County | Single-Family Homes

The median sales price was up 12.7% year over year to $930,000 from $825,000, after it had dipped 6.3% from Q1-2022’s median sales price of $880,000. There was similar growth in the average price per square foot with an 11.4% year-over-year increase from $483 to $539.

Pierce County | Single-Family Homes

In the first quarter of 2024, Pierce County saw very slight price growth, more inventory, and fewer sales than the county’s Q1-2023 market. The data with the largest yearly difference was the number of homes sold, which was down 14.8% from 2,272 to 1,925 homes.

Snohomish County | Single-Family Homes

Considering the year-over-year 20.5% decrease in homes listed for sale in Snohomish County, down from 625 homes in Q1-2023 to 497 homes in Q1-2024, it can be surmised that potential sellers were hesitant to list their homes and give up their current mortgage interest rates in favor of a new mortgage with a higher rate.

Skagit County | Single-Family Homes

Skagit County was considered a seller’s market with 2.3 months of inventory in the first quarter of 2024, and there was an 8.7% year-over-year increase in the median sales price as it went from $514,000 in 2023 to $556,000 in 2024.

Island County | Single-Family Homes

Activity slowed and prices dropped in the first quarter of the year for the market in Island County. With home sales down 25.4% year over year from 264 homes to 197 homes sold and 2.9 months of inventory (up from 1.9 months in Q1-2023), it appears that buyers were hesitant to make their purchases in the first quarter.

Whatcom County | Single-Family Homes

This northern community saw inventory move slightly quicker than it did in the previous year’s first quarter, with a change from an average of 60 days on the market to 55 days, but it appears that both buyers and sellers are still waiting to make their moves.

Cle Elum | Single-Family Homes

Although an increasingly popular city to purchase a home in for those looking to move out of the city and into a place renowned for its natural beauty, inventory proved hard to move during the first quarter of the year with homes spending an average of 135 days on the market and inventory sitting at 6.7 months.

Tacoma | Single-Family Homes

In the first quarter of the year, Tacoma’s home prices looked like data analyzed from the first quarter of 2023. Many potential buyers are still not ready to make their purchase with the current interest rates.

Gig Harbor | Single-Family Homes

The idyllic and charming city of Gig Harbor offered a market that looks almost the same as it did in the first quarter of last year. The median sales price saw a year-over-year difference of less than 3%, increasing from $750,000 in Q1-2023 to $770,000 in Q1-2024.