Executive Summary

Tri-Cities pending home sales held at 815 contracts in June. That was even with May and 14.6% above June 2025. Almost all the annual gain came from the middle of the market. The brackets between $160,000 and $499,999 added 104 contracts, matching the region’s entire net increase. Entry-level was the only soft spot. Contracts under $160,000 fell 17.5% as affordable listings remained scarce. The high end grew, but at a slower pace. The pattern shows demand shifting up the price ladder. How many contracts reach closing will depend on financing, inspection and appraisal.

By DON FENLEY

For anyone buying or selling in the Tri-Cities this summer, June’s pending sales offer an early read on what is coming. Contract activity stayed strong. The sharper signal is in the mix. Buyers are chasing pricier homes, and the region’s most affordable listings are getting harder to land. That shift, more than the raw count, will shape the sales that close in the months ahead.

A high plateau, not a pullback

June matched May at 815 contracts. A flat month can look like a stall. It reads differently after a double-digit jump over last year. Demand is settling in at a higher level rather than falling back.

The middle market is doing the work

The two brackets from $160,000 to $499,999 added 104 contracts over last June. That equals the market’s total net gain. Growth above and below those brackets roughly canceled out. Buyers are clustering in the mid-price tiers.

The market is shifting up the price ladder

Share of contracts tells the same story from a different angle. The entry-level share fell while the two middle brackets gained ground. The buyer pool is slowly moving up in price.

Entry-level supply stays tight

The $100K to $159,999 bracket was the only one to lose volume, down 17.5%. Its share of all contracts dropped from 8.0% to 5.8%. The region remains short on affordable homes. Low inventory at the bottom limits how many deals can form there.

The high end grows, but cools

Contracts above $500,000 rose 9.8%. That was the slowest gain among the brackets that grew. The tier’s share of the market slipped from 15.8% to 15.1%. Luxury demand is still positive. It is no longer the fastest-moving part of the market.

Why pending sales matter

Pending sales are a forward-looking demand gauge. They count homes under contract but not yet closed. They tend to lead closings by a month or two.

Pending contracts are good early indicators of upcoming sales closings. However, the amount of time between pending contracts and completed sales varies and is influenced by issues such as buyer difficulties with obtaining mortgage financing, home inspection problems, or appraisal issues.

It is worth emphasizing that it is closing activity, not contract signings, that generates economic impact. Pending contracts are only suggestive of upcoming closed deals and do not align perfectly, due to fallout rates and contract contingencies.

The months ahead

Steady contract volume now suggests closings should hold firm through late summer. The open question is fallout. Financing, inspection and appraisal problems will decide how many of June’s 815 contracts reach the closing table.

Categories: REAL ESTATE