2025 Year in Review | NW Real Estate Market Update

2025 NW Residential Real Estate Market Update

Let’s dive into how the local real estate market shaped up in 2025 across some of our neighboring counties for residential real estate.

But first, a note about 2026:

With interest rates dipping below 6% for the first time in a long time, there are a lot more home buyers out shopping. Lower rates = more buying power.

Buyers have a lot more negotiation power than they have in years and we have been experiencing it first-hand. We are seeing lower negotiated sales prices as well as seller concessions given (a credit from seller to buyer to pay for the buyer's closing costs and/or interest rate buy downs).

In addition, buyers are getting sellers to do costly repairs during their inspection period which is a huge win for buyers.

But don't feel bad for sellers. Sales price have either remained steady or gone up in most areas. According to many economists and several online sources home prices are expected to increase.

Redfin expects home prices to increase 1%

Realtor.com expects home prices to increase 2.2%

Zillow expects home prices to increase 1.2%

Fannie Mae expects home prices to increase 1.3%

Median Sales Prices

Median Sales Prices

Snapshot of the median sales prices across the NW counties in 2025:

Thurston County: $535,000 (+3.88%)
Lewis County: $424,995 (+1.19)
Pierce County: $575,000 (+1.77%)
Mason County: $424,925 (+1.17%)
Grays Harbor: $350,000 (-1.41%)
King County: $974,900 (+2.62%)

Definition of Median Sales Price: A comparison of median sales prices each year, for residential homes only. The median is the “middle” price, meaning that there are an equal number of sold units at a higher and lower value, the middle value being the median.

Example: If you wanted to find the median sales price for 5 listings with sales prices of $100,000, $200,000, $250,000, $300,000, and $600,000 - the price in the middle of the list is $250,000.

New Listings

New residential listings in the NW in 2024 was 79,156 and went up to 86,012 in 2025.

Over the past 11 years, the average has been 92,495.

Thurston County: 4,392 (+10.21%)
Lewis County: 1,510 (+12.52%)
Pierce County: 13,208 (+5.69%)
Mason County: 1,495 (-1.84%)
Grays Harbor County: 1,805 (+11.35%)
King County: 27,284 (+10.45%)

Closed Sales

The number of closed sales in 2025 varied quite a bit across the counties:

Thurston County: 3,333 (+.51%)
Lewis County: 1,014 (+13.55%)
Pierce County: 9,822 (+.74%)
Mason County: 1,046 (+.19%)
Grays Harbor County: 1,044 (+4.5%)
King County: 17,421 (-2.91%)

In the Northwest, there were 58,751 residential transactions in 2024, which is almost identical from 2025 at 58,729 transactions.

List Price to Sale Price Ratios

Homes are generally selling very close to their list prices across the board. Here’s the breakdown:

Thurston County: 99.6%
Lewis County: 98.2%
Pierce County: 99.9%
Mason County: 98.6%
Grays Harbor County: 97.6%
King County: 100.3%

But here’s something that doesn’t show up in the stats—seller concessions. These are not typically published but can make a BIG difference in the final deal. Buyers are often getting some or all of their closing costs covered, and in some cases, a good chunk of money is going towards buying down their interest rates. The sales price also does not disclose what repairs were negotiated (new roof, flooring, new HVAC, etc).

For example, a $500,000 transaction could have no concessions, and another $500,000 transaction could have $25,000 concessions going to the buyer (for closing costs and buying down the interest rate). The sale price still shows up the same in the stats, but the buyer’s and seller’s experience is dramatically different.

We believe this is a crucial piece of information that should be tracked for more transparency in the market. It is currently an optional piece of information that agents can add in, but it is not currently a tracked stat.

Want to take a Deep dive into the numbers? Click the Image Below for more data

Alan & Jana Have an Exclusive Partnership with Zillow & Listing Showcase to Help Elevate Your Listing

We are the FIRST agents in the area to give our clients

priority exposure! This is a completely new listing experience made available to only a select number of agents!

Click the image below for more information on this awesome program!

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We are a husband and wife real estate team, both born & raised right here in Western Washington. We have 2 young boys and we all love getting outside to take advantage of everything the Northwest has to offer! Some of our favorite activities are hiking, fly-fishing, skiing, going to Mariners, Kraken, Seahawks and Sounders games - and perhaps our very favorite pastime is to take short trips to the ocean to fish, crab, clam and play in the sand with the boys!

We have been assisting clients with buying and selling real estate for over 12 years and feel such a passion for it! We strongly believe both our professional and personal lives helped prepare us for and led us to this career.

Alan has worked in the sales field most of his professional life with a huge emphasis on customer service and building a relationship with clients utilizing the skills he gained at Washington State University. And I, (Jana), earned my marketing degree from Central Washington University and have been utilizing my sales and marketing degree throughout my professional life.

We love helping sellers prepare their home with staging and putting my marketing degree to work! I pride myself on high-end marketing from professional photos, quality virtual tours, social media marketing, YouTube marketing, Google/PayPerClick, direct marketing, you name it - I love doing it! And once we find the perfect buyer for your home, we work diligently to negotiate on your behalf to get you both top dollar and the best terms possible.

We also love helping buyers find the ideal home for their family that is something they love and a great investment. One of Alan's passions with this job is working with buyers who are not familiar with the area. He absolutely loves showing buyers around to find them the perfect area that works best for their needs and lifestyle.

We would be honored to have the opportunity to work alongside you to reach your real estate goals.

~ Jana Sherwood, Windermere Real Estate

If you are working with another real estate broker,

please do not consider this a solicitation.