Local Market Update – September 2025 - Windermere Capitol Hill

Local Market Update – September 2025

August Market Update: Prices Shift, Inventory Grows, and Rates Drop

As summer winds down, the housing market is sending mixed signals. Prices in some areas are holding firm, while others are starting to soften. Inventory is on the rise, and mortgage rates just hit a 10-month low, landing at 6.35% for a 30-year fixed loan in early September.

That’s good news for buyers who’ve been waiting on the sidelines. More listings and lower rates could open the door for those ready to make a move this fall. But with economic uncertainty still in the mix, it’s hard to say how much activity we’ll actually see.

King County: Prices Up Year Over Year, Inventory Keeps Climbing

King County’s median single-family home price rose 4% year over year to $990,000 in August. Month over month, though, prices dipped slightly from July’s $1,000,000. Active listings were up 32% from last year, giving buyers more options than they’ve seen in a while.

Condos saw a 4% annual price bump to $549,000, even as inventory grew 29%.

Seattle: Holding Strong but Starting to Shift

Seattle’s single-family median price hit $1,000,000 in August, up 8% from last year but down 1% from July. Inventory rose 17% year over year, offering a bit more breathing room for buyers.

Condos climbed 7% annually to $595,000, with active listings up 24%. Despite more choices, Seattle remained one of the region’s more competitive markets this summer.

Eastside: Buyers Gain the Upper Hand

On the Eastside, home prices cooled. The median single-family price fell 1% year over year to $1,537,500 and 3% from July. Inventory jumped 69%, and closed sales were down 16%.

Nearly 70% of Eastside homes sold below list or after a price drop—compared to fewer than half a year ago. On the condo side, things were hotter: prices surged 17% to $717,500, and listings increased 48%.

Snohomish County: Trending Toward Balance

Snohomish County saw slower activity in August. Pending sales were down 12%, and closed sales dropped 11% compared to last year. Inventory rose 47%, creating more options for buyers.

Single-family home prices edged up just 1% year over year to $790,000 but dipped 2% from July. Condos saw a steeper shift: prices fell 15% to $500,000, while listings climbed 64%.

Looking Ahead: Fall Could Be a Turning Point

With more homes on the market and rates easing, the fall season could bring fresh energy—but it all depends on how buyers respond. For sellers, smart pricing and flexibility are key. For buyers, this might be the window they’ve been waiting for.

Thinking about your next move?
Whether you’re buying, selling, or just exploring your options, our Windermere team is here to help. We’ll work with you to make sense of the market and find a strategy that fits your goals.