Interest rates predicted to drop in Washington 2023

Market Update - August 2023

Over these past few, summer months Pierce County has been seeing the number of available homes increase but not by as much in comparison to this time last year. The difference is about 1,000 homes from July 2022 to July 2023!

A big reason we suspect this is happening is because of the high-interest rates that are dissuading buyers & sellers alike.

Key Takeaways

⚡️ Amount of available homes increased by only around 70 homes (totaling 1,293 homes available which is almost 1,000 less than in July 2022 - 2208 homes available)

⚡️ Average price per sqft increased from $300 in June to $308 in July

⚡️ Average days on market stayed around the same from June to July (20 days on average)

⚡️ Months of inventory slightly increased from 1.2 months of inventory to 1.5 months of inventory

The housing market is still in a gridlock with home buyers feeling deterred from locking in a high-interest rate, and sellers feeling stuck with the lower interest rate they locked in years prior.

Homes For Sale VS Under Contract VS Homes Sold

Average Price Per SQFT

Average Days On Market

Sold Price/Original List Price %

Months Of Inventory

What we do know is that Fannie Mae & Freddie Mac both project for interest rates to go down through the remainder of 2023 & 2024.

If that happens, depending on how much rates go down, home buyer demand will SPIKE & home prices will likely INCREASE (Again)!

Looking to get a market report in a specific city in Pierce County? We do market reports for Puyallup, Bonney Lake, Lake Tapps, Sumner, and Tacoma.