Seattle’s housing market softened in February 2026 as home sales declined, inventory expanded, and prices showed early signs of stabilization. According to the latest Homes.com report, the median home sale price in Seattle reached $725,000, down 1.4% year over year, while active listings rose 23% to 9,718.
For buyers and sellers, this shift points to a more balanced market than the inventory-starved conditions seen in prior years. It also means pricing strategy, presentation, and timing matter more than ever in Seattle’s competitive housing landscape.
Seattle Home Prices
Seattle’s median home sale price rose modestly in February from a recent winter low, but annual pricing remains under pressure. Homes.com reports that Seattle ranked 33rd out of the top 40 U.S. markets for annual home price appreciation, placing it among the weaker large markets nationally.
Price trends also vary by property type. Detached single-family homes were relatively resilient, down just 0.9% year over year, while condo prices fell 6% and attached home prices also dropped 6% from the prior year.
Seattle Inventory Trends
Inventory increased sharply in February, giving buyers more options and creating more competition among sellers. Active listings climbed to 9,718, up 23% from a year earlier, and Seattle ranked sixth among the top 40 U.S. markets for inventory growth.
The strongest inventory growth came from condos, which increased 22.6% year over year, followed by detached homes at 19.5% and attached homes at 14.3%.
Seattle Home Sales
Home sales remained subdued in February, with 2,668 closed transactions, a 10.3% decline from the same month last year. Homes.com notes that Seattle ranked 33rd out of the top 40 U.S. markets for annual sales growth, reflecting a slower pace of activity than many peer metros.
Sales weakness was most pronounced in denser housing types. Condo sales fell 22% year over year, attached home sales declined 20.8%, and detached home sales were down 6.8%.
What This Means for Buyers and Sellers
For sellers, Seattle’s current market rewards accurate pricing and strong marketing. With inventory rebuilding and sales volumes below historical norms, homes that are positioned well are more likely to attract attention early in the listing period.
For buyers, the increase in active listings creates more choice and slightly more negotiating room, especially in condo and attached-home segments where price declines and sales softness have been more pronounced.
Seattle Market Outlook
Seattle remains a long-term demand market, but February’s data shows a near-term shift toward greater balance. With prices flattening, inventory rising, and sales volume still soft, the spring 2026 market is likely to favor prepared buyers and sellers who align with current conditions.
Source - Homes.com
