In 2025, Pierce County's median listing price hit $558,807 with homes selling in about 33 days. By December, the median sale price was $560,000 and days-on-market lengthened to 43. Statewide inventory jumped 23%, giving buyers more options. As interest rates begin to ease, what should sellers expect in 2026?
Pierce County has seen dramatic shifts over the last 12 months. Early in 2025, buyers competed fiercely for a limited number of homes—median asking prices hovered near $558,807 and properties were under contract in about 33 days. By year-end the market cooled slightly; the median sale price settled at $560,000 and the median time on market lengthened to 43 days. These figures still represent a healthy seller’s market, but they hint at the start of a more balanced environment.
Several factors contributed to last year’s mini‑cooldown. Mortgage rates climbed above 7% by mid‑2025, discouraging some buyers and forcing them to reevaluate budgets. Meanwhile, inventory began to recover from pandemic lows—statewide listings increased 23% compared with December 2024. In Pierce County active residential listings climbed to roughly 1,510 in December 2025 while pending sales only ticked up modestly. Although price appreciation slowed, the county remained a seller’s market because demand still exceeded supply. Understanding how this shift unfolded provides important context for 2026.
Rising inventory doesn’t automatically translate into falling prices, but it does change market psychology. Pierce County’s median price essentially held steady at $560,000 last December even as statewide prices dipped about 1.8%. The months of residential inventory increased to 2.0, signalling that the extreme seller’s market of 2021‑2022 is easing.
If you plan to sell in 2026, pay close attention to micro‑markets. Homes in Tacoma and the tideflats may still draw multiple offers, while properties in more rural areas could linger longer. Pricing too aggressively can lead to a stale listing; pricing competitively invites more foot traffic and may spark a bidding war. Consider recent comparable sales and the condition of your home before setting a list price, and be prepared to adjust if the first two weeks don’t generate sufficient interest.
Interest rates are one of the biggest variables influencing buyer demand. According to Redfin’s economists, the average 30-year fixed rate is expected to dip to around 6.3% in 2026, down from about 6.6% in 2025. This modest decline should improve affordability compared with 2025 while still remaining well above the record-low rates of the pandemic era.
Several forces will drive rates lower. A softer labor market could prompt the Federal Reserve to cut its benchmark rate, bringing mortgage costs down gradually. At the same time, lingering inflation risk and bond market expectations will prevent rates from collapsing. Sellers should not count on a sudden surge of buyers due to sub‑5 % mortgages; instead, they should plan for a steady trickle of new entrants who were previously priced out. Buyers who secure a rate in the low 6 % range may find monthly payments manageable, particularly if wages continue to rise.
Redfin forecasts that U.S. home prices will grow about 1% in 2026 while existing-home sales rise 3%. This is good news for sellers: prices are expected to inch higher, but not at a pace that will squeeze out buyers. The combination of moderating rates and modest price growth should lure some home seekers back into the market.
Affordability will improve because wages are projected to grow faster than home prices for the first time since the Great Recession. Sellers may need to adjust expectations, however. A 1 % increase is not a windfall; it means that properly prepared homes will attract fair offers, but overpriced properties will likely sit. If you’re considering a move later in the year, think about when you’ll need to list and whether you can make strategic improvements now to capitalize on the spring and summer selling seasons when demand peaks.
With a more balanced market on the horizon, both buyers and sellers must adapt. Buyers should obtain a full pre-approval and consider locking in rates when they drop to the low 6% range. Sellers should emphasize presentation—fresh paint, decluttered spaces and minor repairs often yield a strong return. Pricing realistically based on comparable sales will keep your listing from becoming stale.
One tactic is to review your home through a buyer’s eyes. Does the curb appeal reflect the price? Are there inexpensive upgrades (like modern lighting or landscaping) that could make a big impact? Working with an experienced local agent can help you identify which improvements matter most in your neighborhood. Buyers, meanwhile, should remember that interest rates may fluctuate; staying in close contact with a lender will allow you to act quickly when rates dip. It may also be beneficial to explore mortgage buydowns or adjustable‑rate options to reduce initial payments.
No forecast can guarantee how your specific home sale will unfold, but aligning with professionals who understand Pierce County’s micro-markets dramatically increases your odds of success. Local agents monitor shifts in inventory, pricing and buyer behavior weekly, not just annually, giving you real-time insight. They can also connect you with trusted contractors, stagers and photographers to ensure your home looks its best.
At OnSite Real Estate Group, we live and work in Pierce County—our team has helped countless sellers navigate everything from competitive bidding wars to slower buyer pools. Whether you plan to list in the spring, summer or fall of 2026, we can provide a tailored strategy that reflects current market data and your personal goals. Reach out for a complimentary home valuation and let’s chart a course for your next chapter.
