Kitsap County Housing Market Update

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Kitsap County home prices rose again in the last year, although not nearly at the levels we saw in the boom of 2021-2022. New listings were up almost 50% and overall inventory is up more than 20% (see more details below). Despite higher interest rate fluctuations, this uptick in inventory could potentially stabilize price levels in the coming months. Buyers have more choices, and sellers have to work a little harder to make the sale. Demand for housing remains strong, however.

Kitsap County Housing Market Trends

Last Updated: September 2024
Residential Homes (excluding land/condos)

Kitsap Home Values & Current Inventory

Monthly Highlights

• The median sale price is $560,445 (down -1.7% compared to August 2023). Homes typically sell for 100.0% of the original list price (similar/flat compared to last year).
   
• There were 398 homes sold in August (up 16.4% compared to last year). 376 new listings came on the market (down -4.6% compared to last year).
   
• New listings are typically on the market for 15 days before an offer is accepted, compared to 10 days last year. Sellers might expect to have around 8 buyer showings before going under contract (down -11.1% compared to last year).
   
• There were 623 active listings in August (inventory was up 12.9% compared to last year). Kitsap County has 2.1 months supply of inventory (up 10.5% compared to last year).
  

A balanced market has 4-6 Months Supply of Inventory (MSI). If no new listings entered the Kitsap real estate market, we’d absorb the current inventory in just 2.1 months. That means sellers have more negotiating power than buyers.

Kitsap Housing Inventory

Estimated Mortgage Interest Rates for Kitsap County

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Kitsap Housing Market Predictions

The market has cooled down a bit compared to recent months. The U.S. housing market peaked a couple years ago. As mortgage interest rates rise, buyers are suddenly realizing that their money doesn’t go as far now. New listings haven’t been getting as many offers. And there’s been more listings with price reductions lately. While prices are still high, sellers should not expect their houses to sell for far more than they are worth.

Will the housing market crash?

Industry experts are not predicting a housing market crash. We have a real housing shortage, and it will take a few years for new construction to catch up to the demand.

In 2008, the market was doomed because of excessive borrowing (too much debt). But today’s mortgage standards are much stricter as a result. Most buyers are well-qualified and most homeowners have equity in their homes. So the risk of foreclosure is far less for most people. And the cost of rent keeps going up nationwide, making a fixed mortgage more and more attractive.

A shift is happening (as predicted!).

Rising interest rates, inflation, and an economic recession will help bring about a slowdown, or “market correction.” We are seeing a shift back toward a more balanced market. That means buyers will have more inventory to choose from, and homes may take weeks or months to sell. Home values in Kitsap County may flatten out or even decrease, but are unlikely to crash. In fact, during many previous economic recessions, home values still appreciated.

Real estate continues to be an excellent investment, especially if you are prepared to keep a home for at least a few years (and ride out any potential dips).

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Kitsap County Area Guides

Community Overview

• Bainbridge Island
• Bremerton
• Hansville
• Indianola
• Kingston
• Port Orchard
• Poulsbo
• Seabeck
• Silverdale
• Suquamish

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Kitsap Housing Market Reports

Real Estate Trends & Statistics

Use the map below to download the latest housing market statistics by region.