Spokane Real Estate Market Update: Why This Summer Could Be the Best Time to Buy

As Spokane wraps up its peak real estate season, there's a noticeable shift happening in the market. If you're considering buying or selling a home, now is the time to understand what's really going on beneath the surface of the 2025 housing landscape.

Home Prices Begin to Dip After the Peak

After hitting a peak high of $468,000 in May, Spokane's median home price dropped to $450,000 in June. This dip isn’t unusual—May and June are typically the highest price months before things begin to cool. But what makes this year's shift more noticeable is the sheer amount of inventory now available.

The Real Reason Summer Prices Drop

Contrary to the idea that buyers are simply vacationing and distracted, the real reason for the summer slowdown is inventory overload. Many homeowners who didn’t sell in spring are still holding out, while more listings continue to hit the market each week. This buildup creates a more competitive environment, pushing prices down as buyers have more options.

Listings Surge, But Sales Aren't Keeping Pace

So far in 2025, Spokane has seen a 9% increase in new listings compared to last year, but only a 4.1% increase in pending sales. That means more homes are stacking up unsold, slowing the market down. Year-to-date, there are about 700 more homes on the market than there were this time last year.

Inventory Hits a 7-Year High

Monthly inventory levels are the highest they've been since 2018. On a year-to-date basis, active inventory is 17.4% higher than in 2024. Buyers now have more choices than at any time in the past seven years.

Are Homes Still Selling Quickly?

Surprisingly, yes—but only the best ones. Well-prepped, competitively priced homes are still getting multiple offers within a week. Homes that are dialed in and marketed properly are standing out. But many other listings are sitting, especially if sellers are slow to adjust their pricing.

Sales vs. Closings: A Growing Gap

While pending sales are up 4.1%, actual closings are only up 2.5%. Some deals are falling through, and many homes are lingering unsold. The gap between supply and actual demand is widening.

Supply Levels Signal a Shift

Spokane now has a 3.5-month supply of inventory—a number that places it just outside a seller's market and into more balanced territory. This number climbed nearly 30% from the previous month. If it continues to rise, buyers will start gaining the upper hand.

What This Means for Buyers

If you're looking to buy, this is one of the best windows in years to explore your options. Sellers are beginning to chase the market down, but many aren't dropping prices fast enough. That creates opportunity for negotiation. Interest rates recently hit the lowest level in nearly three months, giving buyers a bit more breathing room.

A Caution for Waiting Too Long

Once fall hits, many sellers will pull their listings. July to September is that crucial window where inventory remains high and price drops are happening in real time. As rates fall, buyer competition could heat up again. Acting now could give you a strategic advantage.

This mid-summer market might just be the moment Spokane buyers have been waiting for. With more homes to choose from, softer pricing, and a touch of negotiating power, it's a rare alignment of factors that could benefit those ready to make a move.