Seattle home prices remain high, but the latest data points to modest recent softening. According to Zillow, the average home value in Seattle is $851,471 as of July 31, 2026, down 1.8% over the past year.
Below, we look at what that trend says about the city’s housing market, how Seattle compares with some lower-cost nearby options, and what it could mean for buyers and homeowners.
We hear a lot about home-price changes from year to year. But what about the long term? Sometimes, it’s interesting to see how much home values rise during a 5-, 10-, or even 20-year period.
Among other things, this allows us to calculate the average appreciation rates without them being overly influenced by short-term spikes or dips. We can also compare one city to another, to determine where prices have risen the most over time.
We’re taking a current snapshot of Seattle housing conditions using Zillow home-value data.
According to Zillow, the typical home value in Seattle, WA was $851,471 as of July 31, 2026.
This article uses a few different data sources that measure different parts of the market. Zillow home value data reflects a typical home value estimate for the city of Seattle. Redfin data is used for market activity indicators such as competition, offers, days on market, and median sale price trends. U.S. Census Bureau QuickFacts provides the household income figure referenced below. Because these sources use different methodologies, their numbers are best read as complementary signals rather than one-to-one equivalents.
The median household income in Seattle city, Washington was about $123,860 for the 2020-2024 period, according to U.S. Census Bureau QuickFacts.
However, income increases are not as marked over the past 5 years as compared to the past 10 or 20. That said, incomes have increased at a very healthy rate over the years in Seattle, and much faster than home prices in the city.
This appears to be an anomaly in the US. While home prices have increased over the past few years, they have dropped over the past 12 months. In fact, the Seattle housing market has been considered one of the cooler ones in the US, according to an article in The Seattle Times.
Related: Most affordable housing markets in Seattle Metro Area
For many years, home-price growth in Seattle was roughly on par with the nation as a whole. But a housing shortage, coupled with strong demand from buyers, sent home values in the Seattle area skyrocketing for a few years. Home price appreciation eventually stalled and even tumbled.
That said, home prices, overall, have risen in Seattle over the past decade.
Seattle’s recent price movement looks softer than the national market, but conditions on the ground still show meaningful buyer competition. Redfin reports that homes in Seattle receive 3 offers on average and sell in around 11 days, which suggests well-priced homes are still moving quickly.
At the same time, Redfin shows that over the three months ending June 2026, Seattle home prices were down 2.3% compared to the same period last year, with a median sale price of $890K. Nationally, Redfin reports that in June 2026, U.S. home prices were up 2.2% year over year, with a median sale price of $408,776. That contrast helps explain the current picture in Seattle: prices are still elevated, but local momentum has cooled relative to the broader U.S. market.
For buyers and homeowners, that points to a market that could move in different directions depending on property type, neighborhood, pricing, and mortgage-rate conditions. Continued competition and fast selling times can help keep prices firm, while recent year-over-year declines show that buyers are not bidding up the market as aggressively as they did in hotter periods.
Home prices in Seattle are still some of the highest in the state of Washington. There are plenty of other markets nearby that offer much lower real estate prices, such as Tacoma and Federal Way.
As of July 31, 2026, Zillow shows Tacoma’s typical home value at $496,203, down 0.1% year over year. In Federal Way, Zillow shows the typical home value at $598,030, down 0.7% year over year. These nearby markets still offer lower home values than Seattle, which could make them worth a look for buyers hoping to buy a home at a lower price point.
In practical terms, modest price softening in a high-cost market can create a little more negotiating room without making homes broadly inexpensive. Buyers may find more opportunity to compare listings carefully, negotiate on terms, or avoid stretching as far above asking as they might in a faster-rising market.
But affordability in Seattle is still highly sensitive to mortgage rates. A small shift in rates can change the monthly payment much more than a small change in price, especially at Seattle price points. For borrowers, that makes down-payment planning, payment estimates, and pre-approval strategy especially important.
Thanks to these large increases in home prices over time, homeowners who got into the market earlier have realized significant gains in home equity. Along with regular mortgage payments, Seattle homeowners have been able to build equity through long-term home-value appreciation.
That doesn’t mean that it’s too late to get into the market for homebuyers looking to buy a home. There’s still opportunity to benefit from homeownership and the wealth-building potential that can come with it.
Mortgage rates can have a major impact on affordability, and they can move up or down over time. Keeping an eye on current rate trends can help you estimate what you may be offered when you apply for home financing.
That’s where online tools come in handy, like an instant rate quote tool in Seattle or a mortgage calculator to help you estimate the cost of your home loan.
Sammamish Mortgage can help. We serve clients across Washington, Idaho, Colorado, Oregon, and California. Since 1992, we’ve been providing several mortgage programs and products with flexible qualification criteria to borrowers across the Pacific Northwest. Visit our website to get an instant rate quote or to use our online mortgage calculator. Or, reach out to us if you are ready to get pre-approved for a mortgage.
Zillow reported that the typical home value in Seattle, Washington was $851,471 as of July 31, 2026.
Recent data points to modest softening rather than a dramatic drop. Zillow shows Seattle home values were down 1.8% over the past year, and Redfin reported that Seattle home prices were down 2.3% over the three months ending June 2026 compared to the same period a year earlier.
Redfin reported a median sale price of $890K in Seattle for the three months ending June 2026. That metric is different from Zillow’s typical home value estimate, so the two numbers should be read as complementary rather than identical.
Seattle remains much more expensive than both nearby markets. As of July 31, 2026, Zillow showed a typical home value of $851,471 in Seattle, compared with $496,203 in Tacoma and $598,030 in Federal Way.
Yes. Redfin reports that homes in Seattle receive 3 offers on average and sell in around 11 days, which suggests that well-priced homes are still attracting meaningful buyer competition.
Seattle shows signs of both. Year-over-year price trends have softened, which can give buyers a bit more negotiating room, but homes are still getting multiple offers and selling quickly, which reflects ongoing competition.
Only to a degree. A modest price decline can create more room to compare listings and negotiate, but Seattle remains a high-cost market and affordability is still heavily influenced by mortgage rates.
Both matter, but mortgage rates can have an especially large impact on affordability at Seattle price points. Even a small rate change can shift the monthly payment more than a small change in home price.
They measure different parts of the market. Zillow home value data reflects a typical home value estimate for Seattle, while Redfin data is used for market activity indicators such as competition, offers, days on market, and median sale price trends.
Many longtime Seattle homeowners have built substantial equity through a combination of regular mortgage payments and long-term home-value appreciation. Even with recent softening, home prices overall have risen over the past decade.
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