Market Analysis

Spokane, WA Housing Market 2026: Prices, Trends and Forecast for Eastern Washington's Largest City

The Spokane, WA housing market in 2026: current prices, neighborhood price tiers, inventory, taxes, and a realistic forecast for buyers and sellers into 2027.

Spokane, WA Housing Market 2026: Prices, Trends and Forecast for Eastern Washington's Largest City

Spokane, WA spent the early 2020s as one of the fastest-appreciating markets in the country, as remote workers from Seattle, Portland and California discovered they could buy a house with a yard for half what they would pay on the west side. That rush is over. What remains is a steadier market where prices have held most of their gains, inventory has loosened and buyers have more room to negotiate than they did a few years ago.

For anyone buying or selling this fall, the Spokane, WA housing market in 2026 looks less like a race and more like a normal market again. Below is where prices stand, how the different parts of the metro compare, what is driving supply and what to expect through the rest of this year and into 2027. All figures here are approximate and move month to month, so treat them as a starting point before you check current listings with a local agent.

Where Spokane Prices Stand This Fall

The median sale price for a single-family home in Spokane County has been sitting roughly in the $400,000 to $440,000 range, depending on the month and which data source you check. That is well above where prices were before 2020, when a typical Spokane home sold for closer to $250,000, but year-over-year changes have flattened into low single digits.

For context, that median is still less than half of what a comparable house costs in King County. It is also noticeably below Coeur d'Alene, ID, about 30 miles east, where lake-area demand has pushed prices higher. Spokane remains the value option for the Inland Northwest.

Price growth has slowed because mortgage payments caught up with local incomes. When rates climbed, the pool of buyers who could afford a $450,000 house shrank, and sellers had to adjust. My read: Spokane is fairly priced for the region right now, not cheap and not in bubble territory.

The North Side, the South Hill, and the Valley

Spokane's prices split along fairly clear geographic lines, and knowing them matters more than the metro median. A buyer with $375,000 and a buyer with $600,000 will be shopping in almost entirely different neighborhoods.

The Spokane River and Interstate 90 divide the city into zones with different housing ages, lot sizes and prices. The metro also stretches well beyond city limits into Spokane Valley, Liberty Lake, Airway Heights, Cheney and the northern suburbs around Mead.

The South Hill and Downtown Edges

The South Hill has long been the city's most expensive in-town area. Streets around Manito Park, Rockwood and Comstock are lined with early 1900s Craftsman and Tudor homes, many on basements, and well-kept houses there often sell above the metro median. Kendall Yards, the newer mixed-use development along the river north of downtown, commands some of the highest prices per square foot in the city.

Older South Hill homes come with older-home questions. Buyers should expect inspectors to look at knob-and-tube wiring, original plumbing, foundation drainage and oil tanks from past heating systems.

North Spokane and the Northside Neighborhoods

North of the river, neighborhoods like Audubon/Downriver, Garland, Northwest Spokane and Hillyard hold much of the city's more attainable inventory. Mid-century ranches and bungalows here often sell below the county median, and the North Division corridor has most of the retail.

Farther north, around Mead, Nine Mile Falls and Wandermere, newer subdivisions offer larger lots and newer construction at prices closer to or above the median. The North Spokane Corridor highway project has improved access and will keep pulling development north.

Spokane Valley and Liberty Lake

Spokane Valley is its own city, with a mix of 1950s through 1990s homes and newer infill. Prices generally sit near the metro median, and many buyers like the quick access to I-90 and the Idaho border.

Liberty Lake, at the far east end, has newer master-planned neighborhoods and tends to price above the Valley. It appeals to commuters who work in Spokane but split time across the state line.

The Idaho Line and the Tax Math

Spokane's location 20 minutes from Idaho shapes a lot of decisions. Washington has no state income tax on wages, while Idaho has a flat income tax. Washington has higher sales tax, with combined rates in Spokane near 9%, while Idaho's sales tax is lower.

That combination has made living in Washington and shopping in Idaho a familiar habit. It also means buyers comparing a house in Liberty Lake with one in Post Falls, ID should run the numbers on income tax, sales tax and property tax together, not just purchase price.

Sellers have one more Washington expense to plan for. The state charges a graduated real estate excise tax on home sales, starting around 1.1% on the portion of the price below roughly $525,000. On a $450,000 sale, that is close to $5,000 due at closing.

Inventory and How Fast Homes Sell

Active listings in Spokane County have climbed from the extreme lows of 2021 and 2022, when homes often sold in a weekend with multiple offers. Days on market have stretched out, and price reductions are common on homes that listed too high.

Seasons still drive this market hard. Listings peak from April through July, then thin out once school starts and nearly dry up after the first snow. Winter buyers face less choice but often more motivated sellers, while spring sellers face more competition from neighbors listing at the same time.

Well-priced, updated homes in good locations still move quickly, sometimes with more than one offer. Homes that need work or sit on busy streets are where buyers now have leverage for price cuts, repair credits or rate buydowns.

What a Monthly Payment Looks Like

Mortgage rates have a bigger effect on Spokane affordability than list prices. On a $400,000 home with 10% down and a 30-year rate near 6.5%, principal and interest come to roughly $2,275 a month. Add property taxes, insurance and mortgage insurance, and many buyers land closer to $2,800 or more.

Spokane County property taxes typically run around 1% of assessed value per year, though levies vary by school district and city. That puts the tax bill on a $400,000 home somewhere near $4,000 a year.

Rents tell the other half of the story. A three-bedroom house in Spokane often rents for somewhere around $1,800 to $2,300 a month, so buying costs more each month than renting for many households. That gap narrows if rates fall, and it is a big reason some would-be buyers are waiting.

New Building and Zoning Changes

Spokane has been one of the more aggressive cities in Washington on housing supply. The city loosened zoning in 2022 to allow duplexes, triplexes and fourplexes in many neighborhoods that once allowed only single-family homes, and state middle-housing legislation has pushed in the same direction.

The results show up slowly. Small infill projects are appearing in older neighborhoods, and Airway Heights, the West Plains and Liberty Lake continue to add subdivisions. New apartment supply downtown and near Kendall Yards has also given renters more options and softened rent growth.

For buyers, more supply means more choice at the entry level over time. For owners of older single-family homes, it means some neighborhood change as lots get redeveloped.

Risks Buyers Should Price In

Wildfire is the most visible one. Summer smoke has become a regular event, and homes in the wildland areas around Nine Mile Falls, Elk and the West Plains face real fire risk, as the 2023 Gray and Oregon Road fires showed. Ask about defensible space, roof materials and whether insurers are writing policies in that area.

Winter is the second. Spokane gets a meaningful amount of snow in a typical year, and ice dams, frozen pipes and heating costs are part of owning here. Older homes with poor insulation can have surprisingly high winter utility bills.

Radon is worth testing for too. Eastern Washington has areas with elevated radon levels, and a basement home should get a radon test during the inspection period. Mitigation systems usually cost a few thousand dollars or less.

The Forecast for the Rest of 2026 and Into 2027

Barring a sharp change in mortgage rates, Spokane prices look likely to stay flat to modestly higher through the end of this year. Low single-digit appreciation, somewhere between 0% and 4%, is a reasonable expectation for 2027.

Rates are the swing factor. A meaningful drop would bring sidelined buyers back quickly, and Spokane's inventory could tighten again within one spring season. A rise would keep the current slow pace going and put more pressure on sellers to price accurately.

Local employment adds some stability. Fairchild Air Force Base, the regional hospital systems, Gonzaga and Eastern Washington University, and a growing health sciences sector downtown provide a steady base of jobs that is less tied to tech cycles than the west side of the state.

What Buyers and Sellers Should Do Now

Buyers have more leverage than they have had in years, especially on homes that have sat for three weeks or more. Ask for seller-paid rate buydowns or closing cost credits, which can do more for your monthly payment than a small price cut. Get pre-approved with a local lender who knows the Washington excise tax and county levy differences.

Sellers should price to the most recent comparable sales, not to what a neighbor got in 2022. Fixing obvious issues before listing, such as an old roof, a failing furnace or peeling exterior paint, helps a house stand out in a market where buyers have choices. If you are weighing a move this fall, our blog has more market updates and agent guides to help you compare options.

Frequently Asked Questions

Is Spokane, WA a good place to buy a house in 2026?

For many buyers, yes. Prices have leveled off, inventory is up and sellers are more willing to negotiate than they were a few years ago. A home near the $400,000 to $440,000 median still costs far less than in the Seattle or Coeur d'Alene markets.

Will Spokane home prices drop in 2026?

A major drop looks unlikely. Most signs point to flat or slightly rising prices, with individual homes that are overpriced or need work seeing reductions. Mortgage rates will have more influence than any other single factor.

Which Spokane neighborhoods are the most affordable?

Northside areas like Hillyard, Garland and parts of Northwest Spokane tend to have the lowest prices in the city, often below the county median. Parts of Spokane Valley and Airway Heights also offer options under $400,000. The South Hill and Liberty Lake generally cost more.

How much does it cost to sell a home in Spokane?

Beyond agent commission, Washington sellers pay a real estate excise tax that starts around 1.1% on most of the sale price. On a $450,000 home, that is close to $5,000. Title fees, escrow and any repair credits add to the total.

Is it better to live in Spokane or across the border in Idaho?

It depends on your income and spending. Washington has no state income tax on wages, while Idaho does, and Idaho's sales tax is lower. Higher earners who work in Washington often come out ahead living on the Spokane side.