Seattle Home Price Growth Is Moderating – Here’s Why That’s Good for You

Over the past few years, home prices skyrocketed, making it challenging for buyers to enter the market. Many have wondered if they’d ever have a chance at homeownership. But here’s some good news for home buyers—the rapid surge in housing prices is finally slowing down. With a more stable real estate market, now may be the perfect time to explore your options and make your move toward owning a home.

Home Prices Are Rising at a Healthy Pace

Home prices are still rising, but at a much slower and more stable pace. In November, the year-over-year home price increase was 3.8% nationally, according to Case-Shiller—a significant shift from the double-digit home price spikes seen in 2021 and 2022. This moderate housing market growth offers buyers a better opportunity to plan their purchase without the rapid price surges of previous years. If you’re considering buying a home, now may be the right time to take advantage of this more balanced real estate market (see graph below):

The slower, more stable home price growth is making buying a home feel more attainable for many buyers. With moderate home price increases, you won’t experience the sticker shock or rapid price jumps that made homeownership challenging in recent years. This cooling housing market offers a better opportunity to plan your purchase and secure a home at a more predictable price. If you’re looking to buy, now may be the perfect time to enter the market.

With steady home price growth, the home you buy today is likely to appreciate in value over time. Investing in real estate now means you can build long-term equity while benefiting from a more stable housing market. If you’re considering buying a home, this could be a smart time to enter the market and secure your financial future.

Prices Vary from Market to Market

While national home prices are experiencing moderate growth, it’s essential to remember that real estate is local. Some housing markets are seeing stronger price increases, while others are cooling down or even experiencing slight declines. Understanding your local real estate market trends is key to making informed buying or selling decisions. Partnering with a local real estate expert can help you navigate market shifts and find the best opportunities. As Selma Hepp, Chief Economist at CoreLogic, notes:

“Regionally, variations persist, as some affordable areas – including smaller metros in the Midwest — remain in high demand and continue to see upward home price pressures.”

Meanwhile, other regions saw slight month-over-month declines in November, according to Federal Housing Finance Agency (FHFA) data (see graph below):

What does this mean for you? Understanding your local real estate market is crucial, as national home price trends don’t tell the whole story. Housing markets vary by location, and working with a local real estate agent gives you expert insights into home prices, market trends, and the best time to buy or sell. A knowledgeable agent has the tools and expertise to help you navigate your area’s market and make informed decisions for your next move.

Bottom Line

Home prices are rising at a steady, more manageable pace, making it easier for buyers to enter the market. However, real estate trends vary by location, and working with a local real estate agent can help you navigate the ups and downs of your specific housing market.

Have changing home prices affected your home-buying plans? Let’s connect and discuss your best options in today’s market!