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Seattle, Northgate, and Tacoma: Purchase Demand Reaches Highest Levels Since Early 2023

Published on Nov 24, 2025

Homebuyers in Seattle, Northgate, and Tacoma are showing renewed energy this fall, with purchase demand climbing to some of the strongest levels seen since early 2023. Even though mortgage rates nudged slightly higher last week, overall application activity still managed to rise — a promising sign for the upcoming winter housing season.


Purchase Activity Strengthens Despite Higher Rates

According to the Mortgage Bankers Association’s latest survey, mortgage application volume increased 0.6% on a seasonally adjusted basis for the week ending November 7. Unadjusted volume slipped by just 1%, which is mild compared to recent volatility in the market.

Purchase applications jumped 6% (seasonally adjusted) and 3% unadjusted. More importantly, they landed 31% higher than the same week last year, giving buyers in the Puget Sound region fresh momentum.

MBA Deputy Chief Economist Joel Kan noted: “Purchase applications picked up almost six percent over the week to the strongest pace since September… Buyers continue to shop around, particularly in markets where inventory has increased and sales price growth has slowed.”

This is exactly what we’re seeing on the ground in:

  • Seattle, where more inventory and slightly softer price growth are helping buyers re enter the market.

  • Northgate, where improved affordability and expanded transit options continue to attract first-time homebuyers.

  • Tacoma, where competitive pricing and growing inventory remain major draws for both new buyers and families moving south from King County.


Refinancing Pulls Back, but Still Exceeds Last Year’s Levels

The Refinance Index dipped 3% from the previous week, but it remains 147% higher than last year — a massive year-over-year increase.

While rising rates cooled conventional and VA refinances, FHA refinances held firmer, and overall refi volume is still significantly stronger than anything seen in 2023 and 2024. Even with week-to-week fluctuations, refinance activity sits deep into post-2020 recovery territory.

Larger loan balances continue to dominate the refinance category, especially in higher-priced housing areas like Seattle and parts of Northgate. However, the recent rate uptick caused the average refinance loan size to dip to its lowest point in over a month.


Rate and Program Breakdown

Here’s where mortgage rates landed for the week:

  • 30-Year Fixed: 6.34% (up slightly from 6.31%)

  • 15-Year Fixed: 5.70% (from 5.65%)

  • Jumbo 30-Year: 6.46% (from 6.43%)

  • FHA 30-Year: 6.14% (from 6.13%)

  • 5/1 ARM: 5.50% (from 5.56%)

Market share set-up:

  • Refinance share: down to 55.6% of all applications

  • ARM share: decreased to 7.8%

  • FHA share: rose to 19.4%

  • VA share: slightly down to 14.8%

  • USDA share: steady at 0.2%

Even with rates drifting a bit higher after the recent Fed meeting, they’re still well below the highs seen in 2023. This has kept purchase demand firm and refinance interest elevated compared to last year.


What This Means for Seattle, Northgate, and Tacoma Buyers

Seattle

The city’s competitive market is still alive, but improving inventory and slowed price growth are giving buyers more breathing room than they’ve seen in years. Strong purchase activity suggests buyers are stepping in before winter.

Northgate

With major transit access and pockets of more approachable pricing, Northgate continues to draw first-time buyers and urban commuters. The strong start to November could signal more movement here in the months ahead.

Tacoma

Tacoma remains one of the most appealing affordability plays in Western Washington. As King County buyers look for cost savings, Tacoma continues to see steady buyer demand — even in weeks where rates rise slightly.


The Bottom Line

Purchase demand is near its best level since early 2023, refinance activity is far higher than last year, and the housing market in Seattle, Northgate, and Tacoma is showing clear signs of seasonal strength.

If rates stabilize — or even edge slightly lower — we could see an even stronger wave of buyer activity heading into the winter and early 2026.

Whether you’re buying, refinancing, or planning ahead, now is a great time to explore your options and get pre-approved while demand builds and the market gains momentum.

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