The Issaquah housing market in April 2025 is showing signs of cooling off compared to the red-hot pace of recent years, though inventory is finally starting to bounce back. 

Issaquah homes for sale had a median home sale price last month of $1,030,000. That marks a 15.1% decline from April 2024, according to the latest Northwest Multiple Listing Service data. This shows a notable shift in affordability, suggesting buyers are gaining a bit more leverage after years of escalating prices. Contributing to this shift is a sharp rise in inventory: 134 new listings hit the market in April, up 31.4% from the same time last year, bringing the total number of homes for sale to 130, an increase of 32.7%.

Homes are still selling quickly, averaging just 6 days on market (up slightly from 5 days a year ago), but buyer competition may be easing. Showings per listing have dropped from 8.7 last April to 5.7 this year, possibly indicating less urgency among prospective buyers.

The months of supply of homes rose to 2.2, up from 1.8 in April 2024. While still a seller-favored environment (experts consider 4–6 months of inventory to reflect a balanced market), this uptick may signal a move toward more equilibrium as 2025 unfolds.

Meanwhile, mortgage rates are putting additional pressure on affordability. According to Zillow, the average 30-year fixed mortgage rate rose to 6.75%, and the 15-year rate increased to 5.99%. Many are waiting to see if the Federal Reserve will hint at more aggressive rate cuts later this year, but expectations for immediate relief remain low.

The Issaquah real estate market is showing some signs of softening, with declining prices, increasing inventory, yet homes are still selling within a week of their debut on the market. It may be a welcome change for buyers who’ve been sidelined by intense competition, though mortgage rates are tempering enthusiasm. As always, buyers and sellers alike should keep an eye on economic signals and Fed policy for clues about what’s next.