Market Update

Think the Eastside housing market is slowing down? Think again! We're starting 2025 with a BANG! The market is hot, with homes selling quickly and receiving multiple offers at all price points. We're seeing this across the board, from $500,000 homes all the way up to $3.5 million properties in Kirkland.

Now, you might be thinking, "But Sinan, interest rates are high! Shouldn't things be slowing down?" And that's the biggest misconception about real estate in our area. Our market doesn't follow the typical spring/summer surge. We don't have those long winters that keep people indoors. Our "spring" market starts January 1st, and things go crazy from there!

Here's the deal:

• Inventory is UP: We've seen a 52.2% increase in for-sale listings compared to January of last year. Sellers have been holding back, waiting for rates to drop, but they're realizing that those rates are likely here to stay.

• Prices are UP: The average price per square foot is up 6.6% compared to last year. Don't wait for prices to fall – they're going to keep rising!

• Homes are selling FAST: The average time a home stays on the market is down 18.9% compared to last year. Buyers are out there, ready to make a move.

So, what does this mean for you?

If you're a buyer, be prepared for competition. Get your financing in order and be ready to act quickly when you find the right home.

If you're a seller, now is a great time to list! Make sure your home is in top condition and priced correctly to attract those offers.

No matter what your real estate goals are, I'm here to help. Reach out anytime for a free consultation. There's no obligation, and I'm always happy to give you my honest advice.

Let's make 2025 your year for real estate success!

Call or Text me at 425.434.3300

Mortgage Rates

Mortgage rates rose this week as hotter than expected inflation data sent rates higher. Both CPI and PPI came in higher than expected, CPI being the gauge of consumer inflation (PCE is the Fed's favorite measure of inflation). With the higher-than-expected inflation data, the market is now roughly pricing in one Fed rate cut this year. The market will continue to monitor President Trump's tariff plans, but for this week nothing substantial has come out, which helped keep rates from climbing higher. For the time being, the market is looking at an economy that is still growing with inflation potentially being an issue. Until inflation comes down the Fed will be on the sidelines, which does not help us with lower rates.

• U.S. 10-year Treasury: 4.53% (Thursday afternoon)

• Initial Jobless Claims: 219k (higher than expected)

• CPI: 0.5% m/m (higher than expected)

• Core-CPI: 0.4% m/m (higher than expected)

• PPI Index: 0.4% m/m (higher than expected)

• Mortgage Applications: Rose by 2.3%

Home Inventory Forecast

Great news for homebuyers! In 2024, the number of existing homes on the market increased by 22%, providing more opportunities for buyers. Experts predict an additional 11-15% increase in inventory this year, meaning even more options to explore. With a growing selection of homes, you have a better chance of finding one that suits your needs, preferences, and budget. Now could be the perfect time to start your search!

Featured Listings

Looking to buy, sell or invest in real estate?

Don’t hesitate to reach out to me 😊

Sinan Abbasi, Realtor®

🌐 s360homes.com | 📱 (425) 434-3300 | 📧 [email protected]