Spokane, WA Real Estate Market Update - September 2025

A Tale of Six Suburbs, One Plot Twist, and Where the Real Opportunity Lies

As the heat of summer fades, the Spokane housing market is sending mixed signals. Depending on where you live—or want to live—your neighborhood could be holding steady, slowing down, or quietly heating up again.

So is Spokane cooling off or gearing up for a strong fall? A closer look at the August numbers across six major submarkets—Spokane, Spokane Valley, Liberty Lake, Deer Park, North Spokane (Colbert, Mead, Chattaroy), and the West Plains—helps separate facts from headlines. What we found might just surprise you.

A Quick Market Snapshot

Across Spokane County, total inventory has reached 4.7 months of supply. While that technically puts us into balanced market territory, the reality varies significantly by area and price point. For years, Spokane operated in a tight seller’s market. Now, we're edging toward a more level playing field—though a few neighborhoods are bucking that trend entirely.

Spokane (City Limits)

The median sale price in Spokane rose slightly to $403,000 in August, a 0.8% increase year-over-year. At the same time, inventory levels rose by 44% compared to this time last year, reaching 3.5 months of supply. New listings are up 8.7%, but closings fell by 10%, signaling a market where buyers have more leverage. Homes under $500K continue to perform well, but the higher-end market tells a different story. Properties priced between $750K and $1M have ballooned to over seven months of inventory, while homes above $1.5M are moving relatively faster, likely due to their unique offerings and limited competition.

Spokane Valley

Spokane Valley saw its median price dip to $435,000, a 3.2% decrease year-over-year. Despite that softening, demand remains strong in specific price ranges. Homes priced between $600K and $750K are moving quickly, while properties in the $750K to $999K segment face increased competition. Surprisingly, luxury homes above $1M are outperforming expectations with stronger buyer interest than anticipated.

Liberty Lake and Greenacres

This area delivered the biggest surprise of the month. While the median price dropped to $470,000—a 21.3% decrease from last year—the market remains tight. Inventory is down to just 1.8 months, suggesting that homes are being absorbed faster than new ones are hitting the market. Buyers should expect competition, especially for anything under $600K. For sellers in the $1M to $1.5M range, the demand is strong enough to justify bold pricing strategies—if the home is properly presented and marketed.

Deer Park

In Deer Park, the median price jumped to $440,000 from $373,000 year-over-year. Homes on standard lots are still moving well with about 2.5 months of inventory. However, larger acreage properties—especially those priced between $600K and $750K—are facing challenges. With over 11 months of inventory in that segment, buyers have the upper hand and are taking their time unless the home is pristine and well-updated.

North Spokane (Colbert, Mead, Chattaroy)

North Spokane’s median price for August came in at $626,000, but the year-to-date median is lower at $513,000, still marking a 10% rise year-over-year. Inventory remains tight at 2.5 months, and buyer demand is strong. These neighborhoods are benefitting from limited supply and a reputation for quality schools and newer homes, pushing prices upward and keeping days on market low.

West Plains (Cheney, Airway Heights, Medical Lake)

The West Plains region saw a median price of $420,000 in August, reflecting an 8% year-over-year increase. Inventory levels climbed slightly from 1.5 months earlier this year to 2.3 months now, but the market is still tight. In fact, pending sales are outpacing new listings, which indicates buyer demand is still healthy, especially for homes under $500K.

Where Is All the Inventory Coming From?

While the total 4.7 months of inventory might sound high, it’s important to understand what that includes. Raw land has 14.2 months of inventory and is moving slowly unless it’s utility-ready and well-located. Condos are hovering around 5.5 months, and manufactured homes on land sit at about 4.5 months. Homes on acreage county-wide are seeing an average of 5.6 months of supply. These types of properties are driving up the overall numbers, but not necessarily reflecting what’s happening in the core residential market.

Final Takeaways

Buyers should recognize that while there’s still competition in key price points, they’re finally seeing more room to negotiate—especially on properties sitting above market value. For sellers, pricing and presentation matter more than ever. The days of listing high and watching the offers roll in are behind us. And for landowners, unless your property is ready for development or has a unique hook, the current market is sluggish.

Spokane’s real estate market is transitioning. That doesn’t mean it’s slow—it just means strategy matters more than ever, no matter which side of the deal you’re on.