Issaquah, WA 98027 Real Estate Market Report

ZIP Code: 98027
Report Date: April 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of April 2026, the real estate market in Issaquah is characterized by a median sold price of $1,300,000, reflecting a cooling trend in home values. This marks a significant shift from previous years, as the market has experienced a downward trajectory in prices, indicating a potential adjustment in buyer expectations and market dynamics. The median listing price stands at $1,795,000, suggesting a notable gap between seller expectations and actual transaction values, which may lead to pricing friction in the coming months.

Transaction activity appears to be moderating, with median days on market extending to 244 days. This prolonged duration indicates slower sales velocity and suggests that buyers may be exercising more caution in their purchasing decisions. The current market temperature is classified as neutral, reflecting a balance between supply and demand, although elevated inventory levels may contribute to a more competitive environment for sellers.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.

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Property Taxes

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Liquidity & Velocity

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

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Key Findings

1. The median sold price of $1,300,000 indicates a significant gap from the median listing price of $1,795,000, suggesting potential pricing friction in the market.

2. With median days on market at 244, the market is experiencing slower sales velocity, indicating that properties are taking longer to sell compared to previous periods.

3. The year-over-year trend for home prices is down, reflecting a cooling market and potentially impacting buyer sentiment.

4. Rental demand remains stable, but the year-over-year rent trend is also down, suggesting a broader softening in the housing market.

5. The property tax rate is 0.76%, which may influence buyer affordability and overall market activity in Issaquah.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.