The summer sales season began in June with the typical seasonality driven slowdown indicated by increasing inventory/supply with decreasing sales/demand for the greater Seattle-Bellevue metro area through most of July. However, the rapid decrease in the 10-year treasury yield and related decline in mortgage interest rates in late July through early August appear to have facilitated an increase in sales activity this month.

We entered the seasonal summer slowdown (slump) indicated by reduced buyer activity beginning in June for the greater Seattle-Bellevue metro area. The peak of the 2024 selling season was in May, as reported and forecasted last month. Thereafter, the quantity of single-family homes For Sale (supply) has continued increasing while the quantity of homes sold (demand) has decreased month over month.

It appears the peak of the selling season for the Seattle-Bellevue real estate market was in May 2024 based on current available data, which follows seasonal trends. Looking ahead, the supply of single-family homes on the market (For Sales) should continue increasing more than the quantity of properties going under contract (Pended) and Sold until about September when they begin to decrease until January.

The Seattle-Bellevue real estate market continues to follow seasonal trends into May, which is generally the peak of the selling season. The supply of single-family homes on the market (For Sales) month over month is increasing as is the quantity of properties going under contract (Pended) and Sold.

The Seattle-Bellevue real estate market entered April, Q2-2024, following seasonal trends with an increasing supply of single-family homes on the market (For Sales) month over month while the quantity of properties going under contract (Pended) and Sold also increased.

The Seattle-Bellevue residential real estate market continues to be a strong sellers’ market in Q1-2024 while overall market activity remains at historic +10 year lows as it did in 2023. This trend also coincides with historically high mortgage interest rates that have reverted closer to the long-term 30-year fixed mortgage rate average of 7.74% for over 50 years.

Many economists and market analysts had been forecasting the Federal Reserve would make 3 to 7 federal funds rate cuts in 2024 to respond to declining inflation and consumer demand together with a rise in unemployment and a slowing economy.  However, recent data released during the past two weeks, including the Consumer Price Index (CPI) and Producer Price Index (PPI), indicates unexpected economic growth, persistent inflation and labor market strength. Accordingly, the Federal Reserve is now expected to delay fed funds rate cuts until there is more data supporting economic slowing.

The 2023 residential real estate market in the United States, including Seattle, experienced the lowest sales activity in well over a decade. However, 2024 is appearing to be a year of recovery as interest rates for 30-year fixed rate mortgages decreased from the historic high of 8.6% in October 2023 to about 6.6% as of today. Despite low demand from Buyers, the lower supply of homes for sale in the Puget Sound area supported 6.25% home price appreciation in King County for single-family homes in 2023.

The birth of our daughter was "scheduled" for December 26th, but she decided to arrive on November 28th, which made things a bit hectic around here. Poppy was born healthy at 6 lbs. 4 oz. and my wife is also doing well, as she continues to recover. Our son, Otto, is getting used to not being the only child and is helping out, as best he can. We feel very blessed and grateful. We just had a happy Hannukah and are now looking forward to a Merry Christmas. We wish you the happiest of holidays and a healthy new year!