Katrina Eileen Real Estate Market Update – February 2025
February is typically a quieter month in the real estate market, but this year, it provided important insights into affordability, inventory, and shifting market conditions across King, Pierce, and Snohomish Counties.
Market Trends & Insights
Mortgage rates saw a slight decline from 6.95% to 6.76%, yet affordability remains a challenge for buyers as home prices continue to rise. The median home price increased 2.4% from $615,000 in January 2025 to $630,000 in February 2025 for the total area the NWMLS encompasses.
The number of active listings continues to grow, marking a 39.4% increase year-over-year. However, despite more homes hitting the market, the number of closed transactions only rose by 1.9% annually. This suggests that while sellers are more willing to list their homes, buyers remain cautious due to affordability concerns.
At the current pace of sales, it would take just 2.45 months to sell all available homes—a sign that inventory remains tight. A balanced market typically requires 4 to 6 months of inventory, meaning demand continues to outpace supply in many areas.
Adding to market uncertainty, the recent announcement of tariffs on imports from Canada and Mexico is expected to raise construction costs. Industry analysts predict this could increase home construction costs by 4% to 6%, with household fixtures like appliances and cabinets seeing price jumps of 10% to 20%.
King, Pierce & Snohomish County Market Snapshot
Active Listings
King County saw a 52% increase in active inventory year-over-year.
Snohomish County had one of the largest jumps, with a 65.3% increase in available listings.
Across the NWMLS, total active inventory rose by 207 listings (+2%) compared to January 2025.
Closed Sales
February saw 4,268 closed sales, a 1.9% increase from February 2024.
The total sales volume for residential homes and condos reached $3.32 billion, up 5% year-over-year.
Median Sales Price
King County's median sale price reached $820,000, among the highest in Washington.
Snohomish County followed closely with a median sale price of $734,975.
The overall NWMLS median sale price for February 2025 was $630,000, reflecting a 3.6% increase from a year ago.
New Construction
Sales of new construction homes dropped 12.1% year-over-year, with 745 new homes sold.
The median sales price for new builds rose to $773,420, a 5.9% increase from February 2024.
Consumer & Broker Activity
Showings and property access remained stable, with keyboxes being accessed 115,611 times in February.
Scheduled property showings saw a slight dip from January, down 2.7%.
The number of listings eligible for the Down Payment Resource program increased by 14.3% from February 2024, offering more financial assistance opportunities for buyers.
What This Means for Buyers & Sellers
For buyers: Despite rising prices, an increase in available listings means more opportunities. While mortgage rates remain high, strategic financing options and down payment assistance programs can make purchasing more feasible.
For sellers: A growing number of listings means increased competition, but low overall inventory keeps demand strong. Pricing competitively and presenting homes well remains key to attracting buyers.
At Katrina Eileen Real Estate, we’re here to guide you through the ever-changing market. Whether you're buying, selling, or investing in King, Pierce, or Snohomish County, our expert team is ready to help. Contact us today to explore your real estate options.