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The Yakima real estate market has shown notable activity in early 2025. In January 2025, the median home sales price in Yakima reached $367,500, reflecting a 10.9% increase from January 2024’s $331,500. This growth is supported by a 13% rise in home sales, with 104 homes sold compared to 92 the previous year. Experts attribute this to strong demand reminiscent of pre-pandemic levels, though inventory remains tight. The number of homes for sale in January was 43, up slightly by 2.4% from December 2024, but sales volume was about 35% below the annual monthly average, typical for the slower January season. The absorption rate, which measures how quickly homes sell, dipped below 3%—indicating a continued seller’s market.
Price trends by bedroom type in January 2025 show variability: 1-bedroom homes dropped significantly by 43.4% year-over-year, 2-bedroom homes decreased by 6.4%, while 3-bedroom homes rose by 5.4%, and 4-bedroom homes surged by 25.9%. Meanwhile, 5-bedroom homes saw a slight decline of 1.9%. Inventory shifts also varied—2-bedroom home listings fell by 27.3% from December 2024, while 3- and 4-bedroom homes increased by 10% and 22.2%, respectively. The average time on market was 62 days in January, up from 34 days the previous year, suggesting a slight cooling in pace despite the competitive market.
Looking ahead into 2025, experts anticipate continued strength in home sales as spring approaches, driven by seasonal buyer demand. However, median prices might stabilize or dip slightly until then due to the current inventory constraints and higher mortgage rates, which started February around 6.89% for a 30-year fixed mortgage. Nationally, housing inventory is growing—up 24.6% in January 2025 from the prior year—but remains below pre-COVID levels, a trend likely mirrored in Yakima. This could ease competition slightly, though Yakima’s affordability (median prices below the national average of $390,000-$435,000 reported in various sources) and regional appeal may sustain demand.
Broader economic factors, like job growth (Yakima added 1,400 jobs in the last 12 months as of mid-2024 data) and a still-high unemployment rate of 9%, could influence the market. If mortgage rates drop closer to the projected 6.5% range, as some forecasts suggest, buyer activity might increase, potentially pushing prices up further. Conversely, persistent high rates could temper growth, encouraging more sellers to list and balance the market.
In summary, Yakima’s real estate market in 2025 appears dynamic, with strong demand, rising prices for larger homes, and a tight but slowly growing inventory. Spring could bring a rebound in activity, though affordability challenges and interest rate movements will be key variables to watch. For the most current local insights, checking real-time listings or consulting a Yakima-based residential appraiser, Jon Jensen of Consolidated Appraisal Services, would complement these trends.
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