Market Trends & Property Insights

In 2025, Spokane's real estate market remains robust, fueled by a growing population and steady job growth in sectors like healthcare and technology. Median home prices have climbed to approximately $425,000, a 5% increase from 2024. Low inventory continues to drive competition, particularly in desirable neighborhoods like South Hill and Kendall Yards, where homes often sell within a week.

Kendall Yards and Perry District are among the hottest areas. Kendall Yards offers modern condos and walkable amenities, attracting young professionals, while Perry District’s historic charm draws families. Spokane Valley is also gaining traction for affordable multi-family properties, with strong rental demand due to its proximity to employment hubs.

With interest rates stabilizing at around 6.5% in 2025, affordability remains a concern for some buyers. However, Spokane’s relatively low cost of living compared to coastal cities keeps it attractive. First-time buyers are increasingly turning to FHA loans, while investors explore cash-flow opportunities in rental properties.

New developments in West Plains and Eagle Ridge are addressing inventory shortages. However, rising construction costs are pushing new home prices upward, with some custom builds exceeding $600,000. Buyers seeking new construction should work with a realtor to navigate builder contracts and ensure quality.

Spokane’s city council is exploring zoning changes to increase housing density, particularly near transit corridors. These policies could boost property values in areas like North Spokane but may also spark debates over neighborhood character. Staying informed about local regulations is key for investors and homeowners alike.

Spokane’s rental market remains strong, with vacancy rates below 4%. Multi-family properties in Spokane Valley and near Gonzaga University are particularly lucrative. Investors should consider long-term appreciation potential, as Spokane’s population is projected to grow steadily through 2030.

Looking ahead, expect continued growth in suburban areas like Liberty Lake, where new amenities and schools are drawing families. Sustainable building practices, such as energy-efficient homes, are also gaining popularity, appealing to environmentally conscious buyers. Connect with our team to stay ahead of market shifts.