Where is housing affordability improving in US? This Washington city made the list
Many Washington residents dream of owning a house, a piece of property they can call their own.
Unfortunately, achieving that dream can be difficult due to rising home prices and limited availability.
Zoocasa, an online property brokerage and real estate search portal, recently went in search of the places where housing affordability has improved the most in the United States.
“The U.S. housing market experienced record-high price growth over the past few years,” Zoocasa content marketing specialist Mackenzie Scibetta wrote in a Jan. 14 article. “But home prices aren’t accelerating in all markets.”
In fact, “prices are softening” in much of the South and West, she said, with “pockets of affordability ... emerging in the Midwest and Northeast. If you know where to look, you just might be able to score a deal in 2026.”
In Washington state, one major city saw a significant decrease in housing prices in 2025.
Here’s where — and how much you can expect to pay:
Where did housing affordability improve in Washington?
According to Zoocasa, housing markets in a number of Western cities experienced a “notable cooling trend” between 2024 and 2025, improving chances for prospective homebuyers.
“Falling prices aren’t just a signal of greater affordability; they also signal reduced competition,” Scibetta said. “For first-time buyers unfamiliar with the competitive real estate landscape, a relaxed buying experience can make all the difference between a well-thought-out purchase and an impulsive decision.”
Sacramento, California, experienced the biggest shift in housing prices year over year, according to the Zoocasa study.
The median price of a single-family home in Sacramento was $535,000 in 2025, the study found, a 2.82% decrease from 2024.
In contrast, Spokane’s median home price was $405,000 in 2025, Zoocasa said, down 2.7% from the previous year.
As of Thursday, Feb. 26, the average Spokane home value was $385,151, according to real estate website Zillow.
That’s about $200,000 less than average home value in Washington state, $585,669, according to Zillow.
The National Association of Realtors named Spokane as one of its top 10 homebuying hot spots in 2026, along with cities including Salt Lake City’ Raleigh, North Carolina, and Richmond, Virginia.
Where did home prices increase in Washington state?
While home prices dropped in Spokane, they rose in Washington state’s most populous city.
According to Zoocasa, the median price for a Seattle single-family home was $899,950 in 2025, an increase of 2.85% from the previous year.
As of Thursday, the average Seattle home value was $837,193 on Zillow, about $314,000 more than the statewide average.
Where did home prices decrease the most in the West?
According to Zoocasa, these cities saw the biggest year-over-year drops in home prices in the West:
- Sacramento, California: 2.8% decrease in single-family home prices
- Spokane, Washington: 2.7%
- Denver: 2.6%
- Bakersfield, California: 2.4%
- Billings, Montana: 1.7%
What can homebuyers expect in 2026?
“Housing is the most affordable it’s been since March 2022,” the National Association of Realtors said in a Feb. 12 news release.
Affordability is improving due to “wage gains outpacing home price growth and mortgage rates being lower than a year ago,” the Realtors association said. “However, supply has not kept pace and remains quite low.”
According to Zoocasa, an increase in housing inventory and decreasing home prices are “creating a more balanced environment for buyers in 2026.”
“If you’re planning to enter the market this year, the best strategy is to partner with a local real estate agent,” the real estate website said. “They can help you navigate these shifting conditions and ensure you find the right opportunity in an ever-changing landscape.”
How did Zoocasa create this list?
To determine where housing affordability is improving the most, Zoocasa said it “compared year-over-year median price changes for single-family homes” across 20 cities in each region based on the latest local real estate board data.
Zoocasa also took benchmark home prices into account when applicable, according to Zoocasa spokesperson Patti Cosgarea
“Cities were selected based on a combination of current market conditions and buyer demand,” Cosgarea told McClatchy Media in an email. “While it wasn’t possible to include every market in this analysis, we aimed to create a balanced list that reflects a mix of more affordable cities alongside higher-demand markets to provide a representative snapshot of the broader housing landscape.”
Zoocasa sources its data from the National Association of Realtors, according to Cosgarea.