Increase in home sales predicted for the Peninsula
Published 1:30 am Wednesday, March 18, 2026
The 11 consecutive year increase of the median home sale price in Sequim and Port Angeles finally came to an end in 2025. The median sale price of $550K in Sequim and $435K in Port Angeles were still the second highest on record behind the record high numbers of 2024.
The number of home sales has remained relatively low the past four years correlating right along with the higher mortgage interest rates. Average rates on a 30-year mortgage have come down slightly recently and sit at 6.14% today. The number of Sequim home sales in 2025 rose just slightly to 532 whereas the 402 sales in Port Angeles was the fewest since 2012.
Port Angeles prices have consistently stayed around 24% lower than the Sequim home prices for various reasons with the most significant factors being the larger average parcel size in Sequim and the average age of the housing stock being newer in Sequim. This past year, however, the Port Angeles prices were only 21% lower than those in Sequim.
Low sales volume normally equates to lower prices but it’s our limited inventory that is keeping the prices high. The lack of inventory was caused in large part by sellers not wanting to trade out of their historically low interest rates. The fact that Sequim saw a small increase in sales volume compared to the lowest in 13 years in Port Angeles can be attributed to a few new developments in Sequim and very little new construction in Port Angeles. Another factor limiting our inventory that will always remain is the lack of buildable lands given our shared geography — the beautiful Strait to our north and the pristine Olympic National Park to our south.
With interest rates predicted to come down slightly along with a four-year backlog of people wanting to sell under the right conditions, we anticipate an increase in sales volume here on the Peninsula and nationally. We anticipate median sale prices to stay fairly steady.
Along with the traditional steady stream of retirees, the demand on the buyer side continues. Younger professionals who can work remotely assuming the property has high-speed internet are giving both Sequim and Port Angeles a closer look especially now that school bonds finally passed in both towns.
We anticipate some demographic changes over the next few years but the fact remains that buying a starter home is out of reach for most working class people in our area. Hopefully local wages will rise in our area to help bridge that gap.
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Michael McAleer is managing broker at Team McAleer, RE/MAX Prime.
