February 2025 Greater Seattle Real Estate Market Recap

March 7th, 2025
Article by Debra Teal

Overall, there’s good news. Inventory is still low, which means that buyers are still able to buy homes. The only thing still inhibiting buyers ability to purchase a home, are rates. Although rates were ticking down at a healthy pace, it appears we may not see another rate reduction. This may be a bit harmful to the Real Estate sector.

In my recent visits to escrow offices around the Puget Sound, they are telling me numbers are low. Offices are still bare. It’s still a bit of a shock, being that just 5 years ago, where escrow worked past closing time and agents until 2 am, there was limitless business and a most outstanding economy. Everyone in the industry would love to get back to that place.

The good news is there are more homes coming on the market. In some areas, the homes are going much faster than others. Homeowners with a 2% rate don’t want to lose it. With that being said, we have definitely seen an uptick of both buyers and sellers! Currently, we have a lot of pre-listings sitting in escrow about to list.

Typically in the Seattle and Greater Puget Sound area, we see a huge uptick in closings in February and March, as we get out of the wet and into the dry. Let’s see how things play out. With that, let’s take a look at what happened in February!

Median Prices Still increasing

The median price for residential homes and condos in February 2025 reached an impressive $630,000—a noteworthy 3.6% increase from $608,111 in February 2024. But wait, there’s more! Compared to January 2025, which saw a median price of $615,000, we’ve observed a solid uptick of 2.4%.

Curious about where the most expensive homes are? Look no further than these three counties leading the pack:

• San Juan: $880,000
• King: $820,000
• Snohomish: $734,975

On the flip side, if you’re hunting for more budget-friendly options, check out these counties with the lowest median prices:

• Columbia: $224,000
• Pacific: $292,500
• Okanogan: $322,500

Active Listings: A Surge in Choices

We experienced a whopping 39.4% increase in active listings year-over-year! As of the end of February 2025, there were 10,448 properties on the market, a significant rise from 7,495 last year. Even compared to January 2025, we saw an increase of 207 listings (+2%).

Counties across the NWMLS coverage area are buzzing with new opportunities! 24 out of 26 counties experienced double-digit growth in active inventory. The standout stars with the highest increases in active listings include:

New Listings: A Slight Dip

In February 2025, NWMLS brokers introduced 6,346 new listings—a 2.6% decline from 6,513 in February 2024. Compared to January 2025, when 6,693 new listings were added, this represents a 5.2% drop.

Pending Sales: A Mixed Bag

There were 5,863 residential and condo units under contract in February 2025, marking a slight decline of 1.4% from 5,945 in February 2024. However, month-over-month, we saw a 5.4% increase from January’s 5,564 pending listings.

The changes in pending sales tell a tale of contrasts: while nine counties celebrated double-digit increases, another nine faced declines. The remaining counties are somewhere in between, showcasing the market’s dynamic nature!

Closed Sales: A Positive Turn

Closed sales nudged up by 1.9% year-over-year, with 4,268 transactions in February 2025 compared to 4,189 in February 2024. Compared to January 2025, where there were 3,727 closed sales, this is a robust 14.5% increase! Notably, 12 out of 26 counties reported an uptick in closed sales year-over-year.

Low Inventory Continues: A Seller’s Market

Experts suggest a balanced market exists within a 4 to 6 month inventory range. Currently, with the pace of sales, it would take less than two and a half months (2.45) to sell every active home in the NWMLS inventory. It’s a seller’s paradise out there if your home is priced right.

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Wrap Up

The February 2025 real estate market is buzzing with activity, showcasing both challenges and opportunities. Whether you’re a buyer, seller, or simply a market enthusiast, there’s plenty to watch as we move forward. Stay tuned for more updates, and happy house hunting! 🏡✨

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