May is here, and with it comes a fresh wave of listings and a little more elbow room for Seattle homebuyers. After a fast-paced start to the year, the housing market is showing signs of leveling out—just a bit. We’re seeing inventory rise to around 2.1 months of supply, up from April’s 1.8. That means buyers aren’t having to make snap decisions quite as fast, and sellers are adjusting to a market that’s still active, but not quite as turbocharged as earlier this spring.

The Sales Activity Indicator, which tells us how many homes go pending in the first 30 days, has dipped to 50.5%. That’s a signal that while demand is still strong, buyers now have more options—and time—to find the right fit. Interest rates are holding steady near 6.95%, which, in today’s market, counts as good news. That kind of rate stability brings a bit of calm to what’s usually a hectic season.

This month’s report picks up where The Madrona Group’s April update left off, keeping the same trusted format while layering in all the latest data, trends, and insights for May 2025. Whether you're planning to buy, sell, or just keep a close eye on what’s happening, we've got you covered.

Sales Activity Indicator: Still Competitive, But Slowing the Pace

This spring, we’re seeing the Seattle housing market take a small step back from the breakneck speed of March and April—but make no mistake, it’s still moving. In May 2025, 50.1% of resale homes sold within the first 30 days. That’s down from April’s 57.7%, signaling a shift from “Surge Mode” to a more measured, yet still competitive, pace.

So, what’s changed? Inventory is up. Seattle saw 1,647 new listings hit the market, with 2,367 total homes for sale during the month. Buyers now have more options, which means they’re not jumping quite as quickly. Homes are still going pending in about 23 days on average, but that’s a few more days than we saw earlier in the season.

Here’s another sign of the cooling—but still healthy—tempo: it now takes about 14 showings to get to pending, and each listing is averaging 5.3 showings. Compare that to last month’s 15-to-pending and 6.8 showings per listing, and you can see buyers are taking a bit more time before making moves.

But don’t be fooled—this market still has teeth. The average home is selling for 102% of its list price, meaning multiple offers are still in play for homes that are priced and prepped right.

📌 What This Means:

• For Buyers: You’ve got a little more breathing room than you did last month, but the clock’s still ticking. Pre-approval and a sharp eye for value are your best tools.

• For Sellers: The spring surge brought more competition. To stand out, focus on curb appeal, smart pricing, and getting your home show-ready from day one.

Bottom line? The pace has eased just a bit—but in Seattle, homes that shine still move fast.

Monthly Inventory Levels: More to See, But Still Tight

May brought a welcome bump in housing supply across Seattle, with 2,367 homes on the market—up from April’s 1,929. Inventory is sitting at 2.1 months, which is a noticeable rise from the 1.6 months we saw last month. That’s good news for buyers who’ve been waiting for more choices, but we’re still well below the 4-6 months considered a balanced market.

What’s happening here is classic spring surge: 1,647 new listings rolled out, just as buyers stayed active, putting 909 homes under contract and closing on 843. The demand hasn’t cooled off—it’s just running neck and neck with supply.

Compared to earlier in the year, buyers are getting a little more breathing room. Homes are averaging 23 days on the market, giving folks a chance to tour, think, and maybe even sleep on it. But in a city like Seattle, if a home is priced right and shows well, it’s still moving fast—often with multiple offers.

📌 What This Means:

• For Buyers: There’s more to look at this month, which is a relief. But don’t get too comfortable—well-priced homes still go quick. If one fits most of your needs, it’s better to act than wait for perfect.

• For Sellers: The window’s still wide open. With inventory low by historical standards, a clean, well-presented home that’s priced strategically can stand out and sell fast.

In short: May’s bringing more homes to the table, but Seattle’s market is still moving with purpose. If you’re in the game, you’ll want to stay sharp.

Interest Rates: Holding Steady in the High Sixes

As of mid-May, mortgage rates are averaging 6.81%—a slight uptick from March’s 6.71%, but still comfortably under the highs we saw earlier this year. It's not what most folks would call a bargain, but it's become the new normal, and buyers are learning how to work with it.

Rates have been hovering in the 6.7% to 7% range for months now, and that kind of consistency is helping both buyers and sellers plan with a bit more confidence. It's not a market fueled by cheap money anymore—but it's one where motivated buyers are still showing up.

📌 What This Means:

• For Buyers: 6.81% might not make your heart sing, but it’s manageable—especially with smart strategies like rate buydowns or locking in early. Look at the big picture: building equity still beats throwing rent down the drain.

• For Sellers: Don’t underestimate the power of incentives. A 2-1 buydown or covering part of the buyer’s closing costs could be the edge that gets your home noticed—and sold.

Bottom line? Rates aren’t crashing, but they’re not climbing much either. That’s as close to stable as we’ve seen in a while, and it’s keeping the market moving.

Overall Market Trends: Spring Momentum is in Full Swing

Seattle’s housing market is cruising into late spring with steady momentum. Inventory is up, homes are still selling fast, and both buyers and sellers are making moves with a clearer sense of the game. Those who sat on the sidelines in late 2024 are back—wiser, more prepared, and ready to play ball, even with rates hovering around 6.81%.

The average home is still selling above asking at 102%, and with 843 homes sold this month, it’s clear that activity hasn’t let up. Rising prices and a bit more inventory are adding urgency for buyers, while sellers are capitalizing on the seasonal rush before summer vacations and market slowdowns kick in.

Buyers: You’re back—and a bit bolder. You know what you want, and you’re moving with purpose.

Sellers: You’ve still got the edge—just remember, smart pricing and solid presentation are key to making it count.

Key Takeaways: What You Need to Know This May

May 2025 is shaping up to be one of those classic Seattle spring markets—more listings, active buyers, and just enough inventory to keep things moving without tipping into chaos. Whether you're selling, buying, or just keeping tabs on the trends, here's what really matters this month.

🔑 For Sellers:

✔ List now while the momentum’s strong — Inventory is creeping up, but demand’s still steady. The sooner you list, the less competition you’ll face.
✔ Nail the first impression — Homes are averaging just 23 days on market, so that first weekend counts. Stage it, price it right, and invest in pro photography.
✔ Be flexible and strategic — With buyers watching their rates and monthly payments, sweetening the deal with a 2-1 buydown or closing cost help can make your home stand out.

🔑 For Buyers:

✔ Get your ducks in a row — Pre-approval is a must. The average home is selling at 102% of list price, so sellers expect strong, clean offers.
✔ Move fast when it’s right — With over 50% of homes pending in the first 30 days, hesitation can mean losing out.
✔ Be smart with your terms — Flexible closings, fewer contingencies, or even personal touches in your offer can give you the edge in a multiple-offer situation.

Residential Resale Snapshot (Seattle)

• Avg. Sale Price: $1,053,527

• Avg. Days on Market: 23

• Sold-to-List Ratio: 102%

• Homes Pending in First 30 Days: 50.1%

• Total Closed Sales Volume: $888M

Condo Market: A Solid Option for First-Time Buyers

Condos are gaining traction again, especially with more buyers priced out of single-family homes. They offer lower entry points—but don’t forget to factor in those HOA dues.

• Avg. Sale Price: $686,359

• Avg. Price/SqFt: $601

• New Listings: 553

• Closed Sales: 230

• Avg. Days on Market: 36

• Sold-to-List Ratio: 99.5%

📌 Heads-up: Buyers love updated units in walkable neighborhoods. If you’re selling a condo, highlight lifestyle perks like transit access, rooftop views, and included amenities.