2026 May Housing Market Update

By Matt Stark

Matt Stark is a top 1% REALTOR® in Seattle with over 19 years of experience. A Seattle native, he began his career in 1999 as an investor before transitioning to full-time real estate.

If you’re trying to make a smart real estate decision right now, the hardest part is cutting through the noise. There’s more inventory, fewer closed sales, and everybody seems to have an opinion on what that means for prices.

So at the end of every month, I like to actually look at the numbers and walk through what I’m seeing, not just for the month, but compared to the same time last year.

Inventory is up about 40% over last year. This is the one I track every single week. Last year, in the last week of May, there were about 1,234 active listings. This May, we’re at 1,714. That’s almost 40% higher, and it’s been a pretty consistent trend all year, running anywhere from the high 30s to low 50% more inventory than the same time in 2025.

We’ve already passed last year’s peak, and we’re only in May. The peak inventory we hit in any given year usually lands in the mid to late summer. Last year, that peak came in the third week of August at 1,661 listings, and that was the highest week of all of 2025. We’re already past that number. If we keep climbing on this same trend as we move deeper into summer, it’s very likely we end up somewhere in the 2,100 to 2,300 range as a peak for this year. Those aren’t small numbers, and that’s not a small percentage of year-over-year growth.

Homes are still moving at about 38 days. For sellers, that’s encouraging. Days on market is still pretty reasonable. We’re at about 38 days right now, which honestly isn’t bad for this time of year, especially considering how much inventory is out there. We’re not sitting at 100 or 120 days.

County-wide, prices are only down about 2.6%. The big question everybody’s asking is how all of this equates to price. We know there’s more inventory and fewer sales, so how’s that really showing up in what homes are selling for? When I look at the county year to date, it’s only down about 2.6%, which really isn’t that bad.

But the declines look completely different block by block. The more interesting part is what happens when you zoom in, because different parts of the market are seeing dramatically different drops. I pulled two areas that make a good example, both in Bothell. One is the 98011 ZIP code, which is South Bothell, and the other is 98012, just to the north. Year to date, South Bothell is down 17% on average sale price. That is no small number. North Bothell, on the other hand, is down 3.7%, which is much more in line with what we’re seeing across the whole county.

The areas that ran up the most are correcting the hardest. So why the gap? The areas that saw a lot of appreciation on the way up, like South Bothell, tend to be the ones coming down the farthest now. That actually makes sense when you think about it. At a lower price point, there’s less room to fall, and more buyers can afford that range, so those areas stay steadier. The headline number tells you one thing about the market, but the reality can vary a lot depending on your local area.

That’s exactly why I always say the county-wide number is just a starting point. If you have any questions about your property, your city, your zip code, or what any of this means for your specific situation, please feel free to reach out anytime. I’m always happy to do some research and share some good information with you. Call or text me at 206-940-4557, email me at matt@mattstarkrealestate.com, or visit searchhomesnw.com.

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