SEATTLE (KOMO) — If you’re waiting for a break in home prices, a new report from Seattle-based Redfin might convince you to get what you can.
According to their data, the U.S. housing market gained $2.4 trillion in value over the last year. The total value now is $47.5 trillion.
That’s based on more than 90 million residential properties nationwide. Mortgage rates may drop this year, but buyers still face limited supply.
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“If you look at national listings across the U.S., we have 40% fewer listings today than we had in 2019. So if you’re trying to shop for a home, don’t think that you’re going to be flush with options,” said Ali Wolf, Chief Economist with Zonda.
Areas seeing the biggest price jump are cities in the Northeast and Midwest. Homes in urban areas are also more expensive than a year ago, but residential properties in the suburbs saw a bigger boost.
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“What we are seeing in the housing market is right now we are living through a record housing affordability shock,” said Zonda.
In Seattle, the entire housing market is now worth more than $911 Billion, up 4.6% from last year.
Tacoma saw an even bigger jump, gaining 5.6% in total value.
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If you’re watching mortgage rates, hoping a break will help you compete, hold on.
Interest rates could be cut three times this year and economists said that could start as early as May.
Welcome to Seattle’s real estate market, where luxury knows no bounds. This city stands out as one of the most vibrant, diverse, and notably expensive cities in the United States, particularly when it comes to buying and selling homes.
Nestled amid the stunning Pacific Northwest landscape and stunning neighborhoods, the Emerald City is no stranger to high-priced real estate. In fact, the median sale price for homes in Seattle reached $800,000 in September, nearly doubling the national median. However, these figures merely scratch the surface, as the top 5 neighborhoods boast an average median sale price of $1,867,500.
So, what makes Seattle’s most expensive neighborhoods so desirable? From the breathtaking waterfront mansions of Laurelhurst to the secluded elegance of Madison Park, Seattle’s most expensive neighborhoods offer beautiful craftsmanship architecture, unparalleled views, and lavish amenities. Join us on a journey through Seattle’s most luxurious and expensive neighborhoods, where your dream home awaits.
1. Denny Blaine
Homes for sale in Denny Blaine
Median sale price: $2,200,000
Nestled on the eastern shore of Lake Washington, this neighborhood is renowned for its stately homes, tree-lined streets, and historic architecture. The neighborhood showcases a mix of architectural styles, ranging from grand historic mansions to luxurious contemporary estates, and even modern condominiums with panoramic lake views.These homes are complemented by lush, meticulously landscaped properties, which often feature spacious yards and gardens that provide a serene retreat from the urban hustle and bustle.
What makes Denny Blaine particularly desirable is its prime location on the shores of Lake Washington, offering picturesque waterfront views, easy access to the lake’s recreational opportunities, and beautiful green spaces. The neighborhood’s leafy streets and quiet ambiance create a sense of seclusion while being just a short drive from downtown Seattle. This balance of tranquility and proximity to the city’s amenities, coupled with its stunning architecture and waterfront lifestyle, make Denny Blaine a highly sought-after community.
While Denny Blaine tops the list for most expensive neighborhood in Seattle, its median sale price is nearly 40% lower than 2022. If you’ve been eyeing a property in Denny Blaine, consider taking advantage of this opportunity.
2. Madison Park
Homes for sale in Madison Park
Median sale price: $2,050,000
Madison Park offers a blend of natural beauty and urban sophistication. Known for its proximity to Lake Washington and the inviting Madison Park Beach, this area attracts residents seeking a laid-back yet lively lifestyle. The neighborhood showcases a diverse range of home types, from historic Craftsman-style residences to modern waterfront estates, providing housing options that cater to a variety of tastes. With its tree-lined streets and an array of boutique shops, restaurants, and cafes, Madison Park exudes a friendly, small-town ambiance within the bustling city of Seattle.
Residents can enjoy a range of amenities, including lakeside activities like swimming and kayaking at Madison Park Beach, while the scenic Arboretum nearby offers walking trails and opportunities for outdoor exploration. The quaint Madison Street has a selection of charming boutique shops, renowned restaurants, and cafes.
With a limited supply of available properties, the demand from buyers looking to own a home in this lakeside neighborhood is high, pushing the median sale price up 12.3% YoY, to $2,050,000. Consequently, this surge in demand creates intense competition, multiple offers, and an upward trend in prices.
3. Portage Bay
Homes for sale in Portage Bay
Median sale price: $1,750,000
Coming in at number three for the most expensive neighborhood in Seattle is Portage Bay, a charming and picturesque neighborhood in Seattle. Nestled on Lake Union’s eastern shore, this waterfront community offers residents a unique opportunity to live in the heart of the city while enjoying a serene, waterside lifestyle. The neighborhood offers a diverse range of home types, from classic Craftsman and Tudor-style houses to modern townhouses and iconic floating homes, creating a vibrant residential tapestry.
Residents enjoy lush green spaces, including Portage Bay Park, and Lake Union’s tranquil waters for kayaking, paddleboarding, and boating, offering a dynamic juxtaposition to the city’s urban hustle. Nearby, Montlake Playfield provides additional options for outdoor activities. The neighborhood’s central location grants easy access to the University District and Capitol Hill, making shopping, dining, and cultural attractions conveniently close. Portage Bay’s city life and waterfront living makes the neighborhood an appealing choice for those who seek the best of both worlds, where the excitement of urban living coexists with lakeside relaxation and outdoor adventures.
The median sale price of Portage Bay is $1,750,000 million, up 15.5% from a year earlier. The area’s blend of urban conveniences, serene waterside living, and limited housing inventory contribute to elevated property values, attracting buyers willing to pay a premium for this unique lifestyle.
4. Laurelhurst
Homes for sale in Laurelhurst
Median sale price: $1,670,000
Laurelhurst, a prestigious and sought-after neighborhood in Seattle, is distinguished by its waterfront elegance and a strong sense of community. Perched on the shores of Lake Washington, this idyllic locale offers an array of home types, from historic Tudor and Colonial Revival mansions to modern luxury estates, all exquisitely designed to capture the natural beauty of the area.
The Laurelhurst Beach Club stands as the neighborhood’s primary attraction for those seeking a strong sense of community and the opportunity to connect with their neighbors. The club not only provides residents access to a private beach, swimming, and water sports, but it also serves as a vibrant hub for waterfront activities and community events. The proximity to the University Village shopping center and the University of Washington (often drawing UW alumni who seek to establish their roots in this welcoming community), offers convenience in daily living. The Burke-Gilman Trail is also close by and provides an opportunity for scenic walks, jogs, and bike rides.
What makes Laurelhurst particularly desirable is its serene lakeside setting, where residents can enjoy spectacular waterfront views, a strong sense of community, and an abundance of recreational opportunities.
This desirable neighborhood comes at a premium median sale price of over $1.6 million. The limited inventory and historical prestige of the area also contribute to the neighborhood’s expensive real estate market, further driving up prices.
5. Hawthorne Hills
Homes for sale in Hawthorne Hills
Median sale price: $1,667,500
Located in the northeastern part of Seattle, the Hawthorne Hills neighborhood is a secluded community known for its residential charm and scenic surroundings. Homes in Hawthorne Hills represent a mix of architectural styles, from classic mid-century designs to contemporary luxury residences, offering a variety of housing options to cater to different preferences and needs.
Residents can enjoy nearby parks, including Dahl Playfield and the scenic Magnuson Park, where families can engage in outdoor activities, picnics, and sporting events. The nearby Sand Point Country Club provides golf enthusiasts with opportunities to perfect their game on a well-regarded golf course. The University Village shopping center, located a short drive away, offers an array of shopping and dining options, making everyday conveniences readily accessible. Magnuson Park’s vast green spaces and Lake Washington’s shores provide opportunities for boating, swimming, and jogging.
Limited housing inventory plays a role in the competitiveness of Hawthorne Hills. The neighborhood’s popularity has led to a high demand for properties, leading to a median sale price of $1,667,500. Prospective buyers often face bidding wars and the need to act quickly to secure a desired property.
How to buy a home in a luxurious and expensive neighborhood in Seattle
If a home in these neighborhoods has been well maintained, has attractive outside spaces and landscaping, has been updated or maintains that vintage charm, and most importantly, is priced correctly – it will sell quickly. To secure a home in any of these neighborhoods, prospective buyers should schedule a house tour promptly, be aware of any review dates and seller inspections, and prepare an offer with good terms, only a few contingencies, and a quick close.
Understanding your competition is also a key factor for ensuring your offer stands out from the rest. Sellers often have specific needs and preferences, whether it’s prioritizing a quick close over the offer price or requiring a rent-back arrangement to secure their next home. By tailoring your offer to align with the seller’s motivations and crafting terms that cater to their unique circumstances, you can significantly enhance your chances of securing the home you desire in these highly competitive neighborhoods.
To maximize the likelihood of winning the home your heart is set on, it’s crucial to hire a dedicated real estate agent who can help you through the buying and process and who has your best interest in mind.
Buying a luxury home in Seattle, WA: final thoughts
The Seattle real estate market, while undeniably expensive, reflects the city’s unparalleled charm and beauty of life in Seattle that’s second to none, making every investment worth it. It’s true the housing market is fiercely competitive and the cost of living can be quite expensive, however, the rewards of owning a luxury home in Seattle is immeasurable — a place to call your own in one of the Pacific Northwest most luxurious neighborhoods.
If you’re buying a luxury home in Seattle, partnering with a seasoned real estate agent becomes essential in navigating the intricacies of the homebuying process. Whether you’re a seasoned Seattleite or a newcomer to the Emerald City, a Redfin Premier Agent brings invaluable knowledge and expertise to the table, guiding you through the complexities of the luxury market, including specific neighborhoods, market trends, and property values – ensuring you find a place to call your own in this extraordinary city.
Methodology: Rankings based on median home sale price data sourced from the Redfin Data Center during September 2023. Only neighborhoods with a minimum of three homes sold between July 1- September 30, 2023, were included.
Seattle, WA, is a gem of the Pacific Northwest – home to the Space Needle, views of Mount Rainier and the Puget Sound, the birthplace of Starbucks, and the iconic cherry blossom trees throughout the city. When it’s not raining, and even when it is, Seattle is a great place to live, whether you’re renting an apartment in Seattle or a new homeowner.
There’s no doubt that Seattle is an incredible city, but it may not be for you. So even if your job is in the city, you don’t necessarily have to live in Seattle. There are many great cities near Seattle that you may want to buy or rent instead this year.
We’ve gathered 9 of those cities near Seattle, so you can decide just where you want to live. Let’s check them out.
#1: Bellevue, WA
Miles from Seattle: 10
Population: 146,000
Median home sale price: $1,450,000
Average 1-bed rent: $2,974
Walk Score: 41
Bike Score: 37
Transit Score: 42
Bellevue is a great place to live for those who want an upscale lifestyle and to be close to everything Seattle has to offer. Depending on where you live, you can find stellar and picturesque views of downtown Seattle, Mercer Island, or Lake Sammamish.
If you live in Bellevue, you can enjoy the outdoors by hiking or biking in one of the many parks like Mercer Slough Nature Park. You can also explore the city by visiting the Bellevue Arts Museum or the Bellevue Botanical Garden. There are also many restaurants and cafes to enjoy, as well as shopping at Bellevue Square.
Homes for sale in Bellevue, WA
Apartments for rent in Bellevue, WA
#2: Kirkland, WA
Miles from Seattle: 11
Population: 91,000
Median home sale price: $1,000,000
Average 1-bed rent: $2,148
Walk Score: 51
Bike Score: 40
Transit Score: 48
Kirkland, just east of Seattle, is known for its waterfront parks, stunning views, and art galleries. An interesting fact about the city is that Kirkland was the first home of the Seattle Seahawks.
There are many things to do in Kirkland, no matter your interests. You can enjoy the outdoors by hiking or biking on one of the many trails or picnicking in one of the beach parks. There are also several lakeside activities, such as swimming, fishing, or kayaking. There are many boutique shops and malls for those who enjoy shopping. And for those who want a night out, there are several bars and restaurants in the area. You can also find lots of wineries in nearby Woodinville.
Homes for sale in Kirkland, WA
Apartments for rent in Kirkland, WA
#3: Renton, WA
Miles from Seattle: 12
Population: 102,000
Median home sale price: $670,000
Average 1-bed rent: $2,520
Walk Score: 40
Bike Score: 34
Transit Score: 35
Renton is one of the close cities near Seattle that will give you the feeling of a larger city without nearly as many people. It’s close to the SeaTac Airport for your next adventure and has easy access to Seattle and Bellevue.
Renton has something for everyone, whether you’re looking for a quiet place to call home or a vibrant community to be a part of. You can find lots to do in Renton, from exploring the local parks and trails to visiting the many shops and restaurants. There are also various events and activities to enjoy throughout the year.
Homes for sale in Renton, WA
Apartments for rent in Renton, WA
#4: Redmond, WA
Miles from Seattle: 15
Population: 68,000
Median home sale price: $1,115,000
Average 1-bed rent: $2,403
Walk Score: 33
Bike Score: 39
Transit Score: 51
Redmond is the headquarters of Microsoft and Nintendo of America and is located east of Seattle. Redmond is known for Marymoor Park, a 684-acre park where you can find outdoor concerts, an off-leash dog park, and stunning views of Lake Sammamish.
In Redmond, you can also go hiking or biking in one of the many parks, shop at the Redmond Town Center, or dine at one of the many restaurants. Many events and activities occur throughout the year, such as the Redmond Derby Days and the Redmond Farmer’s Market.
Homes for sale in Redmond, WA
Apartments for rent in Redmond, WA
#5: Kent, WA
Miles from Seattle: 20
Population: 130,000
Median home sale price: $644,000
Average 1-bed rent: $1,711
Walk Score: 40
Bike Score: 35
Transit Score: 44
Kent is another one of the cool cities near Seattle that you may want to live in. The city of Kent is known for the Boeing Space Center, where the Lunar Roving Vehicle was tested.
If you move to Kent, you can explore the many parks and trails in the area. You can also visit the Kent Farmer’s Market, shop at the Kent Station shopping center, and enjoy a meal at one of the many delicious restaurants in town. If you’re looking for a little more excitement, you can check out the Go Kart Racing track or the paintball course. There’s something for everyone in Kent.
Homes for sale in Kent, WA
Apartments for rent in Kent, WA
#6: Sammamish, WA
Miles from Seattle: 21
Population: 65,500
Median home sale price: $1,520,000
Average 1-bed rent: $1,992
Walk Score: 13
Bike Score: 16
Transit Score: 28
Sammamish is one of the lakefront cities near Seattle that also has easy access to both Bellevue and downtown Seattle. The city is strategically located near several major employers, such as Microsoft, and borders the communities of Issaquah to the south and Redmond to the North.
There are plenty of things to do in Sammamish, especially if you’re an outdoor enthusiast. You can find plenty of trails for hiking, biking, and running. And not to mention, Lake Sammamish is a great place for swimming, fishing, and boating. The city also has several parks perfect for picnics, playing sports, or just relaxing. If you’re looking for some indoor activities, there are plenty of shopping and dining options and a movie theater.
Homes for sale in Sammamish, WA
Apartments for rent in Sammamish, WA
#7: Auburn, WA
Miles from Seattle: 26
Population: 81,000
Median home sale price: $600,000
Average 1-bed rent: $1,480
Walk Score: 33
Bike Score: 25
Transit Score: 41
Auburn is a historic city in Washington, located just south of Seattle. The city is home to several historic buildings and sites and is surrounded by beautiful nature preserves and rivers.
Auburn has a number of parks and trails to explore. You can also check out a concert at the White River Amphitheatre or stop by Emerald Downs to watch a horse race. Downtown Auburn is home to a variety of shops and restaurants, as well as the Auburn Performing Arts Center.
Homes for sale in Auburn, WA
Apartments for rent in Auburn, WA
#8: Everett, WA
Miles from Seattle: 29
Population: 111,000
Median home sale price: $624,990
Average 1-bed rent: $1,797
Walk Score: 49
Bike Score: 39
Transit Score: 55
Everett, the largest city in Snohomish County, is 25 miles north of Seattle. It’s a significant business hub, including Boeing’s massive jumbo jet assembly plant. The city is also home to the Port of Everett Marina, the largest public marina on the west coast.
If you live in Everett, there’s plenty to keep you busy. You can visit the Imagine Children’s Museum, the Schack Art Center, the Cascades Casino, or the Everett Naval Station. There are also a variety of parks and trails to explore, as well as many restaurants and cafes, whether you’re looking for a taste of the Pacific Northwest or a vegan option.
Homes for sale in Everett, WA
Apartments for rent in Everett, WA
#9: Tacoma, WA
Miles from Seattle: 31
Population: 216,000
Median home sale price: $495,000
Average 1-bed rent: $1,927
Walk Score: 54
Transit Score: 48
Tacoma is located about 31 miles southwest of Seattle and is a major port city in the state. Situated on Puget Sound, you’ll have spectacular views of the water and nearby islands. You can even catch a glimpse of Mount Rainier on a clear day.
There’s a lot to do in Tacoma, no matter your interests. The city is home to the Museum of Glass, the Point Defiance Aquarium, and the Tacoma Art Museum. There are also a number of parks, including Point Defiance Park, Wright Park, and Titlow Beach. For those interested in the outdoors, there are also many hiking and biking trails in the area.
Homes for sale in Tacoma, WA
Apartments for rent in Tacoma, WA
Methodology: All cities must have a population of more than 50,000 and be less than 50 miles away from Seattle. Median home sale price data from the Redfin Data Center during August 2022. Average rental data from Rent.com during August 2022. Walk Score, Bike Score, and Transit Score from Walkscore.com during August 2022. Population data sourced from United States Census Bureau.
Learn more about Seattle:
12 Fun Seattle Facts: How Well Do You Know Your City?
What is Seattle Known For? 22 Ways to Get to Know The Emerald City
10 Affordable Seattle Suburbs to Consider Buying a Home In
14 Unique Things to do in Seattle That Every Seattleite Should Know About
People Leaving Seattle Are Looking to Move to These 10 Cities