August 2026 Market Stats: More Choices for Buyers, More Competition for Sellers

The Northwest Multiple Listing Service (NWMLS) publishes monthly housing statistics, while the National Association of REALTORS® (NAR) reports on national and regional trends. Those numbers are useful, but there is one thing I always remind people:

Real estate is local.

Location matters. So do the neighborhood, condition of the home, property type, price, and the motivations of both the buyer and seller. A single-family home in one neighborhood can be experiencing a very different market from a condominium just a few miles away.

General statistics can help us understand the direction of the market, but they do not tell you exactly what is happening on your street or in your neighborhood.

If you would like more specific information, subscribe to my Neighborhood News or contact me directly. As your REALTOR®, I have access to detailed local market data that can help us look beyond the headlines.

WHAT HAPPENED IN AUGUST?

For this update, I am using August 2026 statistics from across the NWMLS service area so we can get a broader picture of what is happening in Western Washington.

This month’s report is particularly interesting. To borrow a line from The Perfect Storm, it feels a little like:

“Everything comes together in a bad way.” (1)

That may sound dramatic, but several factors are coming together at the same time: more homes for sale, fewer buyers, longer market times, affordability challenges, and economic uncertainty.

Still, remember that these are broad trends. Individual neighborhoods, price ranges, and properties can perform very differently.

SELLERS ARE FEELING THE CHANGE

The Seattle Times recently published an article titled “Home sellers seek to ‘stop the bleeding’” on September 4, 2026. (2)

The article discussed the changing local real estate market, including homeowners who purchased relatively recently and are now facing the possibility that their homes may be worth less than they paid. The graphics accompanying the article were based on NWMLS data. (3)

Homeowners who purchased before the pandemic generally have substantially more appreciation and equity to work with. Buyers who purchased during the period of rapidly increasing prices, or more recently, may have a different situation depending on when they purchased, their neighborhood, and the property itself.

Every home is different. If you are wondering what your home may be worth today, contact me through my website and I can look at your property and neighborhood specifically.

Real estate values have historically tended to recover over longer periods, but the timing can vary considerably from one market and neighborhood to another.

ARE WE MOVING INTO A BUYER’S MARKET?

From a broader economic perspective, the market continues to move in the buyer’s direction.

I am hearing more conversations among REALTORS® about a shortage of active buyers. For people who are financially prepared and want to purchase a home, that can create opportunities.

Depending on the property and the seller’s situation, buyers may be able to negotiate for things that were much harder to obtain during the highly competitive markets of the past few years, including:

• Interest-rate buydowns
• Seller-paid closing costs
• Repairs or repair credits
• More favorable contract terms

This comes back to basic supply and demand. We have more homes competing for fewer buyers.

Does the NWMLS data support that? I believe it does.

WHAT THE NUMBERS ARE TELLING US

August data shows several important changes compared with last year:

Active listings are up 22% year over year.

At the same time, new listings are up 9.4% year over year, adding even more inventory to the market.

Months of inventory increased 32% year over year to 4.21 months. For comparison, inventory was only 1.71 months in 2023.

Meanwhile, median closed-sale prices are down 2.3% year over year, and the number of sales going under contract is down 6.5% year over year.

We are seeing similar trends in new construction.

There is another important part of the story: homes that are priced correctly are still selling. The sold data indicates that well-positioned homes can sell within approximately 21 days.

That is why pricing and strategy matter so much in today’s market.

BUYING STRATEGY

For buyers, today’s market may provide more time and more negotiating opportunities, but buying a home should still begin with a plan.

Start by looking for a home and neighborhood that work for you, while also looking carefully at what the financing looks like today. Interest rates may come down in the future, which could create an opportunity to refinance, but your purchase should make financial sense based on the circumstances you have now.

Then ask yourself the most important questions:

Do I love the home?
Do I like the neighborhood?
Can I comfortably afford it?

A good buying strategy is not simply about trying to time the market. It is about finding the right home, understanding your financing options, and making a decision that works for your individual situation.

SELLING STRATEGY

For sellers, this is a market where pricing and positioning matter.

A well-priced, well-prepared, and properly marketed home can still sell. This is not the ideal market to simply put a high price on a home and “test the market.” Buyers have more choices, and an overpriced home can sit while competing properties sell.

If you are thinking about selling, start the conversation with a REALTOR® early. We can look at your neighborhood, recent sales, competition, condition of the home, and your goals. From there, we can develop a plan to position your property for a timely sale while working to maximize its value.

Getting a home ready to sell takes time. Repairs, improvements, staging, photography, pricing, and marketing all work better when they are planned rather than rushed.

Find a REALTOR® who is willing to put in the time, understand your goals, and walk with you through the entire process.

WATCH THE MARKET SNAPSHOT

The NWMLS has a video slide deck in its August Market Snapshot video:

NWMLS Market Snapshot Video:

WHAT COMES NEXT?

Rising inventory increases supply. When supply grows faster than buyer demand, upward pressure on prices tends to moderate, and in some areas prices may decline.

There are also larger forces influencing the housing market.

In the short term, employment, interest rates, consumer confidence, and federal economic policies can all influence buyer and seller behavior.

There are also longer-term issues, including demographic changes that may affect housing demand over the next five, ten, or even twenty years.

That is a subject worth exploring on its own, and I will be writing more about it in a future post.

The important thing to remember is that the headline is not your neighborhood.

Whether you are thinking about buying, selling, or simply wondering what all these numbers mean for your home, I am happy to help you look at the data that actually matters to you.

#KingCountyRealEstate #EastsideRealEstate #SeattleRealEstate #SeattleHousingMarket #EastsideHousingMarket #WashingtonRealEstate #MarketUpdate #MarketTrends #RealEstateUpdate #KirklandRealEstate #RedmondRealEstate #BellevueRealEstate #HomeValues #HomeBuyers #HomeSellers

REFERENCES

(1) Petersen, W. (Director). (2000). The Perfect Storm [Film]. Warner Bros. Pictures.

(2) Groover, H. (2026, September 4). “Home sellers seek to ‘stop the bleeding.’” The Seattle Times, p. A1. Available through NewsBank: America’s News: https://infoweb-newsbank-com.us1.proxy.openathens.net/apps/news/document-view?p=NewsBank&docref=news/1AA6B44E255363B0.

(3) Northwest Multiple Listing Service. August 2026 statistics and reports.
[www.nwmls.com](http://www.nwmls.com)