Lake Sammamish Housing Market Prices, Trends, & Forecasts 2023

As housing markets in Los Angeles and San Francisco become more crowded each day, the Pacific Northwest stands out as an attractive region for investors and families alike. The Census Bureau's City and Town Population findings rank Seattle as the 18th most populous city in the country, and its population will only grow.

As tech giants like Amazon, Meta, and Microsoft continue to expand their footprint in the area, it is no surprise that Seattle’s surrounding suburbs are experiencing a similar population bump and greater housing demand.

Only 30 minutes east of the Emerald City, Lake Sammamish is a crown jewel in Washington's Puget Sound and flanks some of the most sought-after suburbs for tech workers. These waterfront suburban paradises are some of the most affluent in King County and even the nation, so it's no surprise that people from across the country continue to identify Lake Sammamish as the perfect neighborhood to buy an investment property or put down roots.

Circling Lake Sammamish's 24 miles of shoreline, several stunning communities exist to consider. On the lake’s eastern edge sits the town of Sammamish, which faces Bellevue on the opposite shore. Redmond, home to Microsoft and Nintendo, is to the northwest. Issaquah is a smaller suburb on the lake's southern edge.

Here are some tips and resources to help you succeed if you’re considering investing in the Lake Sammamish real estate market.

Lake Sammamish’s housing market has followed national trends, particularly in the fall out of COVID-19. Here are Lake Sammamish’s housing market forecasts that are most likely to emerge:

The Lake Sammamish real estate market has a high point of entry. According to a study from Property Shark, Lake Sammamish is home to two of the nation’s most expensive zip codes, with Bellevue ranking 88th and Sammamish not far behind at 90th place.

The real estate surrounding Lake Sammamish is up from 2021, with condos in Bellevue up 27.5 percent. Since this summer's market cooldown, all properties in Bellevue's east side have seen a steady price growth compared to last year.

There is little chance the steady increase in home value will reverse due to factors like high-paying jobs and investor interest in rentals. Even so, buyers in Lake Sammamish will still have stiff competition for the foreseeable future, despite high prices.

Since interest rates have gone up and fear of a recession looms, the Lake Sammamish real estate market has slowed down. Buyers are having difficulty entering this market due to high-interest rates with a steady climb in home values.

Sellers and buyers in King County made 42% fewer deals this November than last year, and more than three times as many King County homes sat on the market as did in November 2021.

Renters in Lake Sammamish and other suburbs of Seattle need to earn a lot more to live comfortably than those in many other major cities. According to a SmartAsset report, Seattle landed among the top 10 priciest, ranking 8th on the list, unchanged from last year.

Year-over-year comparisons in Redmond and Bellevue show a steady increase in rent prices at 4.1 percent and 3.2 percent, respectively.

While investors are often reluctant to enter liberal markets, Washington has many advantages for landlords over its neighbors, Oregon and California. For example, Washington outlaws rent control so landlords will be able to raise rent in order to keep up with inflation.

Over the next 30 years, Washington can expect a tremendous wave of growth in the form of an additional 1.5 million people and 1.1 million jobs, all of which will affect the communities along Lake Sammamish, which is a popular destination for out-of-state transplants.

The influx is transforming the once-quiet suburb of Sammamish, where a seller's market is quickly developing along with all that comes with it - higher prices and low inventory. Bellevue is also bracing for additional workers as Amazon and Meta consider growing their workforce there.

As government assistance expires, foreclosure filings will start to pick up. Due to pandemic assistance, lenders haven’t been allowed to foreclose on distressed owners for the past two years, but that grace period is likely to end soon, so be prepared to see an uptick.

The overall picture of Lake Sammamish’s housing market is mixed, with some communities experiencing high appreciation increases and others depreciating. Still, some quaint Seattle suburbs have witnessed remarkable year-over-year growth. One example is Issaquah, just south of the lake, where the October 2021 median sale price of $871,000 climbed nearly 19% to surpass $1 million in October of this year.

All trends point to an increasing slowdown of home buying in Lake Sammamish’s neighborhoods. While mortgage rates may fall if the Fed loosens its aggressive rate hikes, there is a lot of chatter about a recession in 2023, which would likely cause a cooling in the area’s housing market.

High mortgage rates and the economic downturn have already pushed many would-be buyers out of this market, all compounding factors that continue slowing market activity.

That said, Seattle and Lake Sammamish’s markets are resilient compared to other similar-sized markets in the nation. It’s unlikely that a severe housing crash looms, but buyers and investors should consider the possibility of a soft-to-medium landing.

With a location that offers the spectacular beauty of Washington’s Puget Sound and convenient access to downtown Seattle, it's likely that Lake Sammamish’s real estate market will continue to be an attractive choice for buyers.

Whether you’re an investor or looking to buy a family home, if you’re considering Sammamish real estate, there’s no better area expert than five-star broker Margo Allan. Margo is well-connected within Lake Sammamish’s waterfront communities and will be a valuable resource in your property search.

_{*Header photo courtesy of Unsplash}