December 2024: December 2024 brought a quiet close to the year in the housing market, driven by two main factors: rising mortgage rates and typical seasonal slowdowns. Despite the Federal Reserve Bank implementing three interest rate cuts in 2024, mortgage rates rose to just above 7%, their highest level in six months. This increase, combined with the holiday season's usual pause in sales growth and new listings, contributed to a slower market last month.

As we enter 2025, there are reasons for cautious optimism. Signs of increased market activity are emerging, with sold transactions up 18% compared to the same time last year and active listening rates rising by 7% year-over year. Additionally, predictions suggest a gradual reduction in mortgage rates, which, alongside pent-up buyer demand, could bring renewed energy to the housing market in the coming year.

New Listings: It was a relatively slow month for new listings. There were only 31 new listings put on the market last month in our two combined zip codes. We have not had that low of added inventory to our market since last December when only 26 were listed.    

Active Listings: Due to lack of new inventory, the active listings available for sale were the lowest they have been since March. At the end of 2024, there were only 92 homes available to potential buyers, 31 in Stanwood and 61 on Camano Island. This number is 75 units higher than at the end of 2023.

Pending Listings: Only 20 properties found buyers, went under contract or pending, in December 2024.

Sale Price: The average sales price across our two markets remains about $800,000, roughly 11% higher than at the end of 2023.