The Surprising List of Washington’s 10 Hottest Real Estate Markets [2025]

2025 brings us a new year for fresh starts. Many will look to relocate to Washington State this year. You might be surprised to find out the hottest growing real estate market for 2025. I'll reveal the top 10 markets in the photo gallery below.

Everett, Washington, is one of the hottest real estate markets in Washington for 2025.

It seems many people have been moving into the Tri-Cities area consistently over the past several years. We can tell when it comes to the traffic, we still have nothing compared to the Westside of the state.

"The real estate market in the Tri-Cities has always stood out from the rest of the state. There's a lot of pent-up demand as many people have been waiting for interest rates to drop...but higher rates [will become] the new normal. The low rates we experienced during the Covid era were far from typical."- Melinda Robinson Realtor Windermere Group One 

I'm also noticing the number of homes currently for sale in Benton City, WA. I don't know if I've ever seen so many for sale on Zillow.com.

Median Home Prices Worth Noting

The Median home price currently in the United States is $612,000. Analysts predict that median home prices could increase by 3% to 4% annually over the next two years.

Seattle is expected to remain an attractive market for both homeowners and investors and is one of the hottest housing markets in 2025, but it's not in the top 10.

In January 2025, the median home price in Seattle was $825,000, which is a 7% increase over the previous year.

This is due to a combination of factors, including:

● Home price increases; Seattle housing costs are expected to rise, though at a slower rate.

● Buyer demand; Homes are selling faster than usual.

● Limited housing supply; This contributes to high home prices.

● High interest rates: Rates are expected to continue to rise in 2025

According to Redfin.com: The direction and pace at which home prices are changing are indicators of the strength of the housing market and whether homes are becoming more or less affordable.

How do interest rates look for 2025?

Yahoo Finance reports that mortgage rates are currently rising.  A recent study by Zillow says the 30-year fixed mortgage rate is up two basis points to 6.74%, and the 15-year fixed mortgage rate has increased by five basis points to 6.03%.

The Federal Reserve Is Set to Weigh in on the Current State of Mortgage Rates

The Federal Reserve meets this week and is set to release statements about the federal funds rate on Wednesday. (I have a feeling the funds rate will stay the same.)

If you decide to relocate somewhere in Washington State, there are plenty of very nice places and prices to choose from. Happy House Hunting!

Send me an app chat and tell me where you land.

Get our free mobile app