Seattle’s housing market is showing new signs of strain as Amazon’s latest round of layoffs deepens uncertainty among potential homebuyers across the Puget Sound region.
Even before the company confirmed plans to eliminate more than 2,300 local jobs, single-family home price growth had already slowed, signaling a cooling trend in one of the country’s most competitive real estate markets.
According to the latest figures from the Northwest Multiple Listing Service, October’s housing data shows mixed results. The median sales price on the Eastside remained unchanged year over year at $1.55 million, while prices dipped nearly 3% in Southwest King County. Seattle stood out as an exception, recording an 8% jump in its median price to $1.05 million.
Across the city, nearly every neighborhood experienced some level of price increase, lifting King County’s overall median home price to $997,000, a 3.9% rise from last year. Analysts suggest that return-to-office requirements and more competitive pricing within city limits are drawing buyers back into Seattle.
“Seattle has become something of a value play compared to the Eastside and northern suburbs,” said Windermere Chief Economist Jeff Tucker. “It will be worth watching whether these city price gains hold in the months ahead.”
But the optimism is tempered by growing anxiety in the job market. Between August 2024 and August 2025, the Seattle-Bellevue area shed nearly 15,000 jobs. Amazon’s job cuts were followed closely by workforce reductions across several other sectors, including energy, life sciences, and government contracting.
Economists warn that the ripple effects could significantly weaken buyer confidence. “For every person laid off, there are ten others now worrying about their own job security,” Tucker explained. “That uncertainty directly affects the willingness to take on a new mortgage.”
Inventory levels are up 21% compared to last year, but both pending and closed sales have fallen by nearly 9%. While mortgage rates declined slightly in October, averaging 6.17% for a 30-year fixed loan, the lowest level since late 2024, the easing rates have done little to offset the nervous mood in the market.
Housing experts believe the next few months will be critical in determining how deep the slowdown goes. With layoffs rippling through the region and hiring freezes in major tech firms, the Seattle housing market may face a winter of hesitation before any rebound takes hold.
