Snohomish County Home Prices are SKYROCKETING Here's Why | Mukilteo Real Estate Update

Mukilteo Real Estate Market Report — Q2 2025

The second quarter just wrapped, and Mukilteo continues to outperform the rest of Snohomish County in both appreciation and stability. While higher interest rates and national economic pressure are weighing on the broader market, Mukilteo remains one of the strongest cities in the region.

Let’s break down the latest numbers, look at the trends, and talk about what this means for buyers, sellers, and investors heading into the second half of the year.

Home Prices Are Up Across the Board

Mukilteo’s average sale price for June 2025 hit $1,037,975. That’s a 17.4% increase over last year. While that monthly number may have been boosted by a few luxury sales, the broader trend holds. Rolling 12-month data shows the average home price at $953,000 and the median at $933,000. That’s 11% and 10% appreciation, respectively.

This growth rate is stronger than what we’re seeing in most other Snohomish County cities right now. Mukilteo is proving its long-term value and continuing to attract serious buyers.

Inventory Is Up, but Not Out of Control

The number of homes for sale in Mukilteo is up 40% compared to this time last year. That sounds dramatic, but keep in mind it’s a rebound from historic lows. This is not a flood of inventory. It’s a return to something closer to pre-COVID normal. For context, current inventory levels are still below what we saw in 2019 and just slightly above 2020.

New listings have actually dropped compared to earlier in the year. So while active inventory is higher, we’re not seeing a major influx of new homes hitting the market.

Sales Activity Slowing Under Pressure

Pending sales in June were flat year over year. Closed sales, however, were down 8.3%. This drop is part of a larger trend we’re seeing across Snohomish County and most of the U.S. Interest rates, which hovered around 6.85% in June, continue to create drag on buyer activity.

There is a key tipping point around 6.5%. Once rates dip below that level, the market tends to pick up again. But for now, many buyers are sitting on the sidelines, especially in higher-priced cities like Mukilteo.

Supply and Speed Are Returning to Normal

Days on market in Mukilteo averaged 21 days last month, which is about three weeks. That’s still quick by historical standards. Months of supply jumped to 3.4, which might sound like a big leap, but again, it’s only catching up to normal.

Remember, anything under 6 months of inventory is technically a seller’s market. Mukilteo is no longer in the frenzy of 2021 and 2022, but it’s far from slowing to a crawl. The pace is simply more balanced.

Pricing Strategy Matters More Than Ever

The average home sold for 96.7% of original list price in June. That’s down from the historical average of around 98%, and it tells us sellers are starting to negotiate more. In many cases, sellers listed too high and had to adjust. That’s common in markets where affordability is tightening.

This also reflects the premium price point of Mukilteo. Some listings came to market with wish pricing rather than reality-based strategy. Well-positioned homes are still selling fast, but overpricing leads to stale listings.

Price Per Square Foot and How to Spot a Deal

The average price per square foot in Mukilteo was $476. If you're trying to identify buying opportunities, sort by lowest price per square foot and highest days on market. Homes that fall into both of those buckets often represent potential deals.

Buyers looking for leverage need to focus on value metrics, not just list price. A high price per square foot with low traffic likely signals room for negotiation.

Showings Reveal Buyer Hesitation

The average property needed 13 showings to go pending. The average listing only received 4 showings. That delta tells the story: fewer buyers are actively touring, and only the best-priced, best-presented homes are converting quickly.

If a listing is not getting traffic and not generating offers, and the marketing and condition are solid, price is usually the issue.

What to Expect Moving Forward

Sellers should understand this is still a strong market, but it requires discipline. Presentation, pricing, and strategic marketing matter more than ever.

Buyers should be prepared to pay premium prices in Mukilteo, especially for turnkey homes in desirable pockets. However, with inventory building and days on market rising slightly, some opportunities are starting to appear.

Investors may want to look elsewhere in the county for stronger margins. Mukilteo's pricing and appreciation are excellent, but that also means fewer deals and tighter cap rates.

While this data reflects citywide trends, real estate is always hyper-local. If you want a breakdown specific to your property, your street, or your goals, let’s run the numbers and figure out the best move for your situation.

Want more reports like this one? Stay tuned for city-by-city breakdowns across Snohomish County and beyond.