Tacoma

WASeattle-Tacoma-Bellevue MSA

Real Estate Market Analysis

Q3 2025 Report
$491,064 (June 2025)
Median Home Price
~220,000
Population
$72,000 (2024 est.)
Median Income
Tacoma Public Schools: B (Niche 2025)
School District Rating

Market Overview

Property Values

$491,064 (June 2025)
Median Home Price
$319 (June 2025)
Price per Sq Ft
+4.6% (June 2025)
YoY Change

Market Performance

Days on Market8-21 days (June 2025)
Market TypeCompetitive, low inventory
Months of Supply~2.6 months (1,283 homes for sale, 495 sold in prior 2 months)

Sales Activity

Sales Volume182 homes sold (Feb 2025), down 6.7% YoY
Metro AreaSeattle-Tacoma-Bellevue MSA
Population~220,000

Economic Indicators

Employment & Growth

Unemployment Rate~4.5% (2025 est., Pierce County)
Job Growth Rate~1.2% (2025 est.)
Median Household Income$72,000 (2024 est.)

Major Employers

  • Joint Base Lewis-McChord
  • MultiCare Health System
  • CHI Franciscan Health
  • Tacoma Public Schools
  • State Farm Insurance

Demographics

~220,000
Population
36.3 years
Median Age
~0.5% annually (2024-2025)
Population Growth
31% bachelor's degree or higher
Education Level

Family Composition

Mix of families, singles, and young professionals

Key Industries

HealthcareMilitary/DefenseEducationInsurancePort/Logistics

Education

School District

Tacoma Public Schools: B (Niche 2025)
District Rating

Top Schools

  • Stadium High School
  • Science and Math Institute (SAMI)
  • Tacoma School of the Arts (SOTA)

Higher Education

  • University of Washington Tacoma
  • Pacific Lutheran University
  • Tacoma Community College

Infrastructure & Development

Major Projects

  • Tacoma Link light rail extension
  • Port of Tacoma modernization
  • Downtown waterfront redevelopment

Transportation

  • Sound Transit light rail expansion
  • I-5 corridor upgrades

Planned Developments

  • Mixed-use projects in downtown
  • Affordable housing initiatives

Lifestyle & Amenities

Recreation

  • Point Defiance Park & Zoo
  • Ruston Way Waterfront
  • Mount Rainier National Park (nearby)

Dining & Entertainment

  • 6th Avenue District
  • Downtown Tacoma restaurants
  • Tacoma Dome events

Cultural Attractions

  • Museum of Glass
  • Washington State History Museum
  • LeMay – America’s Car Museum

Investment Analysis

Investment Opportunities

  • Strong rental demand from military and students
  • Value-add multifamily properties
  • Downtown redevelopment zones

Growth Outlook

Moderate growth, steady demand, limited inventory

Market Risks

  • Rising interest rates
  • Slower price appreciation
  • Potential for increased property taxes

Rental Market

Strong; low vacancy, high demand, average rent ~$1,800/mo for 2BR

Marketing Intelligence

Target Demographics

  • First-time buyers
  • Military families
  • Young professionals
  • Investors

Marketing Channels

  • Zillow/Realtor.com
  • Facebook/Instagram ads
  • Local real estate events

Pricing Strategies

Price slightly below recent comps to drive multiple offers

Common Objections & Response Strategies

Objection: Homes are too expensive for my budget

Response Strategy:

Highlight lower cost vs. Seattle, discuss down payment assistance, and suggest emerging neighborhoods.

Objection: Homes sell too quickly to compete

Response Strategy:

Prepare buyers with pre-approval, flexible terms, and escalation clauses.

Objection: Older homes need too much work

Response Strategy:

Point out renovated listings and discuss renovation loans.

Professional Recommendations

1

Educate buyers on fast-moving market and prep for quick offers.

2

Leverage professional marketing and staging to maximize seller returns.

3

Target military and university-affiliated renters for investment properties.

4

Monitor infrastructure projects for future appreciation zones.

5

Stay updated on local policy changes impacting taxes and zoning.

Competitive Analysis

Comparable Markets

  • Everett, WA
  • Olympia, WA
  • Spokane, WA

Market Positioning

Affordable alternative to Seattle with urban amenities and growth potential

Competitive Advantages

  • Lower prices than Seattle/Bellevue
  • Strong rental demand
  • Proximity to major employers

Price Comparison

Tacoma median home price ~$491K vs. Seattle ~$850K (2025)

Investment Metrics

~5.0% for multifamily (2025 est.)
Cap Rates
~6-7% gross yield (2025 est.)
Rental Yields
~22-23
Price-to-Rent
Positive for well-located multifamily and SFR rentals
Cash Flow
2-3% annually (2025-2026)
Appreciation

Buyer Journey Insights

First-Time Buyers

Competitive; need pre-approval, flexibility, and quick decision-making.

Move-Up Buyers

Can leverage equity gains; face limited inventory for larger homes.

Downsizers

Strong demand for condos/townhomes; limited new construction.

Investors

Attractive rental yields, especially near military and university areas.

Relocators

Drawn by affordability vs. Seattle and access to transit.

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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