October activity showed a 40% drop in active listings compared to the same month a year ago, an increase of 16% in pending sales (mutually accepted offers), and a yearover-year (YOY) jump of nearly 30% in closed sales. The median price of single family homes and condominiums that sold last month was $500,000, up 19% from the same period a year ago.  We have never seen so many buyers needing to write multiple offers before securing a home. Interest rates are incredibly low. Inventory is incredibly low. And anxiety is incredibly high among buyers. Sellers are struggling, too. They worry they’re leaving money on the table by accepting an offer within days of their property coming on the market. But brokers know that in this market, if a seller doesn’t receive an offer within a short time after the property is listed, the home is most likely overpriced.

October’s 11,039 pending sales surpassed the number of new listings. Yet again, the four-county area of King, Snohomish, Pierce, and Kitsap counties broke the record for the month of October for the number of homes going under contract. The MLS reported 7,934 pending sales for the four-county region. The biggest concern continues to be the ongoing lack of homes for sale in the Central Puget Sound area. A  four month supply of homes for sale is a sign of a balanced housing market, but in 14 counties, including the King/Pierce/Snohomish region, there is currently less than one month of supply. This is what is allowing home prices to escalate at double digit rates.