My View of the Market – March, 2025

Our real estate market has still not resolved to be either a buyer or seller market given the low inventory and high interest rates. That said, it has been harder on some than others. A few facts to put things into perspective. January proved to be the lowest number of pending sales in the last twenty years. Considering the actual ‘market crash’ of 2008, that is saying a lot. But it is a real conundrum as average days on the market are up from last year, but the number of listings continues to grow. So, while buyer’s choices are up, they are apparently not happy with the choices they have. Unlike a couple of years ago, buyers are finding reasons not to buy as opposed to back then when they found any reason to buy a home.

For current homeowners, there is some good news. The lack of inventory has effectively protected our investments. Despite the persistently high interest rates, home values in our area have held steady or increased. Other parts of the country are seeing depreciation, like our “big sister” San Francisco, facing the worst depreciation in the country at 10% year-over-year. Unlike our neighbor to the south, our tech industry continues to carry our market for home sales up to $1.4M on the Seattle/Eastside market.

Are you looking to sell this spring? For sellers, as is true with any investment, timing is everything. Get your home ready to sell now if you are planning to list this spring/summer. The perfect time will be within a couple of weeks when we are crossing our fingers for a potential, meaningful rate drop – hopefully in May.

Buyers? Get pre-approved now. Know what you can qualify for before you start the hunt and be ready to go when rates drop. You will have a weekend or two before the media has blown your cover and everyone knows that “now is the time to buy”. Best opportunity, your “sweet spot,” is the first weekend of the drop to avoid the frenzy of multiple offers and escalation addendums that many have been scarred by in the past.

Bottom line, whether you are looking to sell or buy, call me ASAP so we can put a strategy in place to help you get the best value for your move.