he following data and charts represent monthly data from January 2020 to March 2023. The analysis is focused mainly on trends from April 2022 to the current month.
1. Average Sales Price
In Snohomish County the Average Sale Price hit a peak in April 2022 at $882,000.
For March, we saw a big jump in average sales price in Snohomish County to $730,000 from February's average sale price of $675,000. I would expect this trend to continue as we progress toward the peak listing / selling season (March to June).
Average sales prices is a lagging indicator. These prices in most cases were agreed to about two months ago (when an offer was accepted). Additionally, the fall and winter months are historically slower and prices tend to decline. We will likely see these lower prices trend down for the next couple of months. I would expect to see April 2023 sales price data continue to trend up.
2. Average Days on Market
Average Days on Market (DoM) indicates how many days a house is listed for sale (“on the market”) before an offer is accepted. When Days on Market increases, it indicates home buying demand is softening. This normally result in less offers, more buyer contingencies, increased housing supply, and ultimately, decreasing home prices.
Looking back to January 2019, Average Days on Market was over 40 (considered a healthier and more balanced market). As of March 2023, the average days on market was 31 days. This is down from February 2023 of 41 days as home demand continues to warm up.
If you're looking to buy, you should be rooting for the below trend to sustain around 30 to 40 to ensure a more balanced market (where sellers don't have all the leverage).
3. Pending Sales
Pending Sales can be a leading indicator of what home sales will be within the next 30 to 60 days (the average time to close on a home once an offer has been accepted). Not all pending sales will close, however on average, 80% make it through closing and become a finalized home sale.
For March 2023 data, Pending sales hit 413 for Snohomish County. This is up from February Pending Sales of 399 (previously reported as 406 - as some pending sales fell through).
4. Quantity of Homes For Sale (in MLS)
This metric indicates how many homes are listed for sale within the MLS in Snohomish County. It’s also referred to as housing inventory or supply. You can see from the chart that as of approximately May 2022, the number of homes for sale has dramatically increased from 2021. The acceleration coincides with mortgage rate increases (see chart 8).
We peaked in July 2022 with 1,200 homes for sale on the MLS. For March 2023 we've finally bucked the trend and have an increase to 291 from February's 243. January was 338.
The quantity of homes (or perhaps lack thereof) listed for sale is likely due to (1) seasonality and (2) the mortgage lock-in effect. We should see the quantity of homes for sale trend upward as we move out of the holiday's and winter months.
There are still potential sellers, sitting on the sidelines waiting to list until when they hope they can sell for a higher price. However, if they need to move within the same area, they may be waiting until prices become more affordable (which is a catch 22 if they need to sell their home to afford a new one), or mortgage rates decrease (see mortgage lock-in effect).
5. New Listings
The New Listings data can help shed light on the health of our local housing market and whether we're trending toward a more healthy and balanced market relative to housing inventory / supply.
New listings is also influenced by the time of year - the peak season to list a home for sale is generally from about March to June, however we normally see an increase of new home listings starting in January - we've made it through the hectic holidays, and people are ready to start the new year with their resolutions and selling a home!
As can be seen from below chart, we witnessed another big increase in March to 492. This is up again from February at 344. We should see this trend continue likely into the May / June timeframe.
6. Average Percent of Last List Price
This chart indicates the final sales price of a home over or under the original list price on the MLS. As you can see, Snohomish County hit a peak in March 2022 of 115%. This means, on average, in Snohomish County, homes were selling for 15% above the listed price. Example: A home was listed for sale at $700,000 and sold for $805,000.
For March 2023, we saw another increase to 99.1%. February 2023 was 97% (an increase from January's 94.9%). Home are selling for less below the original list price than December and January.
7. Average Shows per Listing
The average number of people physically visiting and viewing homes for sale.
The upward trend continues of people getting out more to view homes. For March 2023, we saw an increase to 12.5 viewings per home on average.
In November 2022, we saw a low of 5.2 showings per listing. December inched up to 6.5, and then January jumped to 10. February popped again to 11 showings per listing. Expect this trend to continue into at least the early summer. This is when demand for purchasing a home is highest.
Further house showing data details for all regions of US available here from ShowingTime.com
8. Housing Affordability - Snohomish County
Housing Affordability has been decreasing since the start of 2021. Affordability has worsened recently due to continued high home prices coupled with mortgage interest rates that have doubled from the lows in 2020 and 2021.
The Housing Affordability Index (HAI) is updated quarterly and uses three key variables:
Median Home Prices
Median Household Income
Mortgage payment Cost (and assumes a 20% down payment).
Per the AWB Institute, the HAI is calculated by the Washington Center for Real Estate Research (WCRER) at the University of Washington. The HAI helps illustrate the ability (or inability) of middle-income households to make a mortgage payment on a median priced home.
"Affordable" in the space of this index equates to a household not paying more that 25% of their income toward the mortgage (principal and interest only).
A Housing Affordability Index of 100 is considered "affordable" (and a mortgage payment is exactly 25% of income). Below 100 is considered less affordable (or not affordable as you sink toward 0). Above 100 is considered more affordable.
The latest data from Quarter 4 of 2022 shows a slight improvement in home affordability within Snohomish County (and WA State). This can likely be attributed to decreasing home prices, and perhaps even to growing wages.

Last Updated December 2022. Source: AWB Institute
9. Mortgage Rates
Mortgage rates have risen aggressively since the end of 2021 (and even looking back to January 2019). This has significantly affected home affordability due to low housing supply and home prices that remain high, coupled with these rising mortgage rates.
The following trend chart from Mortgage News Daily shows the 30 year fixed mortgage rate from January 2020 to early April 2023.
Elevated rates have been bouncing around the last several months hitting a high of 7.35% October 20th. The 7% rates were the highest in 20 years! Fortunately we've trended down and over the last several months, and bouncing around the low to mid-6% range. Recently we've seen go as low as 6.16% in early April, but are now trending back toward the mid-6's.
It's not known at this point when (or if) rates will trend back down to 3 or 4 percent (5% actually sounds pretty good now!). Much will depend on inflation and the Fed's action to battle it with the Federal Funds Rate and how the bond and mortgage markets react.
Higher mortgage interest rates directly affect home affordability and therefore housing supply and prices - no doubt a very important metric to keep an eye on if looking to buy, sell, or refinance.
Average mortgage rate trend data for 30 year fixed mortgage from January 1, 2020 through April 7, 2023:

Source: Mortgage News Daily
To gain a broader sense on the health of our local housing market and economy, following is some data and perspective on unemployment data along with new single family home construction permits. Such data can show signals and trends on the health of the economy, and ultimately the housing market.
Unemployment
This data is provided monthly by the Washington State Employment Security Department, and has a two month lag.
Since April 2022 unemployment increased, but stabilized in through fall and winter into the low 3's. For the most current data, February 2023, the unemployment rate reduced to 2.6% (from 3.7%).
According to the Fed, they want to see the national unemployment rate reach at least 4%, as they feel this will help to slow the economy and help curb inflation. However this does not mean the Snohomish County Unemployment will hit that mark.
As of Feb 2023, Snohomish County Unemployment was at 2.6%
January 2023 = 3.7%, December 2022 = 3.2%, November 2022 = 3.1%, October 2022 = 3.3%, September 2022 = 3.3%, August 2022 = 3.4%, July 2022 = 3.3%, June 2022 = 3.1%, May 2022 = 2.9%, April 2022 = 2.3%)
Source: esd.wa.gov
New Residential Housing Permits
This data is not provided by county, but rather metropolitan area. In the case of Snohomish County, I’m relying on the “Seattle Metro Area” which is Snohomish, King, and Pierce County data. This data has a two month lag. Residential housing permits authorize new housing units to be built, but does not indicate if construction has started, or whether it will ever start, or complete (see below for a national and regional perspective on "Starts" and "Completions").
Data from the US Census Bureau has a two month lag.
Seattle Metro area as of February 2023, new housing permits for Single Family Residential (this is 1 unit, also denoted as "SFR"): 352 permits issued (January 2023 = 359, December 2022 = 364, November 2022 = 357, October 2022 = 427, September 2022 = 459, August 2022 = 611, July 2022 = 564, June 2022 = 649).
Year to date there have been 715 SFR permits issued (2022 total = 7,037). Total SFR permits issued for Seattle Metro area through February 2023 is the 36th highest (was the 31st as of January 2023) compared to the other 384 major cities and metro areas monitored.
The top US market for the most New Residential Housing Permits (1 unit) in February 2023 is the Houston-The Woodlands-Sugar Land, TX metro area with 3,565 new housing permits.
For national and regional data and trends on Housing Permits, Starts, and Completions, check out this summary from the US Census Bureau on Monthly New Residential Construction. Source: United States Census Bureau
Additional Reading
For additional reading and market insight, check out the following resources. The data is national, and not localized to the Seattle Metro area. Nonetheless, this is great information to consider in a comprehensive analysis to gain a better understanding of the current, and future health of housing markets - locally, regionally, and nationally.
Home Mortgage Application (and refinance) data. This weekly survey data from the Mortgage Bankers Association (MBA) provides a forward looking indicator on the housing market by examining the number of people applying for home mortgage loans. The numbers are released weekly on Wednesday morning. Tip: Scroll down about halfway on the Mortgage Application Survey page to find the current, as well as previous releases.
NAHB / Wells Fargo Housing Market Index (HMI) is a monthly survey based on responses from NAHB member home builders focused on new single-family residential homes. The survey solicits builders' sentiment on the current housing market, as well as their take on the single family housing market looking outward six months. The survey also provides home traffic numbers. The data provides both a national and regional breakout.
That's A Wrap for March 2023!
I hope this monthly snapshot provides some helpful and relevant information and opinion about our local Snohomish County real estate market and economy.
Please let me know in the below comments (or email) if this information is helpful and if you’d like to continue to see it monthly.
If you have any feedback I’d love to hear your thoughts. For those interested, I can also pull data beyond Snohomish County, or drill down by zip code or even neighborhood if you're looking for additional or more specific data.
Thank you for taking the time to read!
Cheers!
-Joe
Comentarios