Lynnwood, Washington’s real estate market continues to gain attention for its strong growth and lasting value. From detailed price trends and ZIP code insights to a closer look at schools, transit access, and local regulations, Lynnwood offers more than just homes—it offers a lifestyle that continues to attract buyers and investors alike. With growing demand, promising appreciation potential, and convenient connections to Seattle and Everett, this market is evolving fast. Whether you’re purchasing your first home, selling for top dollar, or expanding your investment portfolio, Lynnwood stands out as one of the most strategic and rewarding real estate choices in the region.

Lynnwood Real Estate Market Overview

Lynnwood, Washington, remains a highly desirable location for homebuyers, sellers, and investors due to its strategic position between Seattle and Everett, excellent schools, strong community vibe, and continuous growth in infrastructure. The real estate market here balances suburban comfort with urban conveniences, offering opportunities for various property types.

Overall Real Estate Market Performance

• Average Home Value: Around $800,000–$820,000. Lynnwood homes consistently appreciate due to demand from both local and out-of-state buyers.
• Median Sale Price: Approximately $750,000–$770,000, reflecting a stable and competitive market.
• Average Days on Market: 10–18 days. Well-priced, updated homes often sell quickly, sometimes attracting multiple offers.
• Inventory Levels: Typically 350–420 active listings at a time, offering a good mix of single-family homes, townhouses, and condos.
• Price Growth: Historically 1–3% annual appreciation, showing a strong, steady market over time.
• Market Sentiment: A balanced market leaning toward sellers, with premium homes moving fast and mid-range properties seeing healthy competition.

Local Market Insights by ZIP Code

98037 (Primarily covers the Alderwood Manor area, near Alderwood Mall and surrounding neighborhoods):

• Average Value: ~$830,000
• Median Price: ~$760,000
• Neighborhood Traits: Known for established communities, access to Alderwood Mall, and quick connections to I-5. Great for families looking for quiet neighborhoods close to amenities.

98036 (Covers the city center and extends toward Brier and parts of unincorporated Snohomish County):

• Average Value: ~$870,000
• Median Price: ~$880,000
• Neighborhood Traits: Often features larger homes and lots, proximity to highly rated schools, and strong resale potential.

98087 (Covers Martha Lake, Lake Stickney, and surrounding suburban communities in Snohomish County):

• Median Price: ~$700,000
• Market Traits: More affordable than other Lynnwood areas, with a variety of newer townhomes and starter homes popular with first-time buyers and investors.

Key Market Trends for Home Buyers, Sellers & Property Investors in Lynnwood

Lynnwood’s real estate market remains dynamic, offering opportunities for all players from first-time buyers to seasoned investors. While home prices are holding relatively strong, shifting supply levels and market activity patterns are reshaping the landscape. Here’s what you need to know:

For Buyers:

The increase in housing inventory, paired with a slightly slower pace of sales, creates a favorable environment for homebuyers. Negotiation leverage has improved, especially on properties that need cosmetic upgrades or are priced above market value. With more homes to choose from, buyers can take their time to compare neighborhoods, evaluate school districts, and secure properties that meet long-term goals without facing intense bidding wars.

For Sellers:

Home prices in Lynnwood are still competitive, but success in this market requires a strategic approach. Overpricing can lead to extended days on the market, increased carrying costs, and potential price reductions. Sellers who invest in staging, professional photography, and accurate pricing are more likely to attract motivated buyers and secure top-dollar offers in a timely manner.

For Investors:

With Lynnwood’s proximity to Seattle, Everett, and major employment hubs, rental demand continues to be strong. Rising inventory opens doors for investors to acquire properties with favorable terms, especially in neighborhoods with future development plans or upcoming transportation expansions. Multi-family properties and single-family homes near schools and public transit hubs remain particularly attractive for long-term returns.

Looking Ahead:

If inventory continues its upward trend, especially in areas like the 98087 ZIP code, home prices may soften slightly in the coming months. However, Lynnwood’s growing infrastructure, planned light rail connections, and access to shopping, parks, and reputable schools are expected to keep long-term housing demand strong. Both residential buyers and investors stand to benefit from securing property while interest rates remain stable and supply is more abundant than in recent years.

Municipal Rules & Investor Regulations

• Unified Development Code: Lynnwood’s updated development code consolidates zoning regulations for residential, commercial, and mixed-use areas, including the Alderwood City Center zones (ACC-CC, ACC-W). These zones support medium to high-density developments, especially near transit nodes.
• Residential Zoning Types: Single-family zones include RS-8, RS-7, and RS-4, while RML, RMM, and RMH accommodate multi-residential housing options, allowing flexibility for developers and investors.
• Brokerage Requirements: Washington State law requires a written brokerage services agreement and buyer/seller-specific consent for limited dual agency transactions.
• Seller Disclosures: Sellers must provide a completed seller disclosure statement for improved residential properties under RCW 64.06.020, unless both parties agree to waive the requirement.

Benefits of Buying, Selling, or Investing in Lynnwood With Karrie Kelley

Located between Seattle and Bellevue, Lynnwood has emerged as one of the most strategic and desirable cities in the Puget Sound region. With Karrie Kelley as your trusted real estate guide, you can take full advantage of its unbeatable location, growing transit options, and diverse housing choices. Whether you’re a first-time buyer, a long-term investor, or a seller aiming for top returns, Karrie Kelley ensures you navigate Lynnwood’s market with confidence. From finding your dream home to building wealth through real estate or preparing a property for sale, she provides the insight and strategy you need to achieve your goals.

1. Prime Location and Connectivity

Lynnwood sits at the intersection of I-5 and I-405, providing direct access to major job hubs, retail centers, and entertainment. Its growing transit network, including the upcoming light rail extension, makes commuting easier, boosts property value, and attracts residents seeking convenience.

2. Transit-Oriented Growth

The light rail project and surrounding mixed-use developments are fueling property appreciation. Areas near stations are seeing rising demand, making them high-potential zones for buyers and investors.

3. Thriving Local Economy

Home to Alderwood Mall, parks, quality schools, and vibrant community events, Lynnwood blends economic opportunity with lifestyle perks. This balance supports steady home sales and strong rental markets year-round.

4. Diverse Housing Options

From single-family homes and condos to multi-family investments and ADUs, Lynnwood’s housing variety meets different budgets and strategies. Buyers enjoy choice, investors benefit from flexibility, and sellers tap into a broad pool of potential buyers.

5. Investor-Friendly Zoning

City Center and transit corridors offer medium to high-density zoning, allowing for infill projects, rental developments, and mixed-use opportunities—perfect for those seeking long-term equity growth.

6. Seller-Friendly Market Conditions

Well-presented homes in attractive neighborhoods receive competitive offers, even in a balanced market. Sellers can still capitalize on historically strong prices while buyers enjoy fair negotiation opportunities.

Our Lynnwood Real Estate Services

At Karrie Kelley Real Estate, we offer full-service guidance to match your goals:

• Home Buying – Find your ideal property with expert negotiation support.
• Selling Your Home – Targeted marketing to secure top offers.
• First-Time Home Buyers – Step-by-step guidance for a confident purchase.
• Luxury Real Estate – Exclusive listings and high-end property expertise.
• Relocating – Smooth transitions for in-state or cross-country moves.
• Real Estate Investment – Strategies to build equity and passive income.
• Condos and Townhomes – Low-maintenance living with modern amenities.
• Senior Housing – Accessible homes designed for comfort and convenience.
• Family-Friendly Homes – Close to schools, parks, and community hubs.
• Free Home Valuation – Know your property’s market value before you list.

Buy, Sell, or Invest in Lynnwood Property With Confidence

From first-time homebuyers to seasoned investors, our tailored market approach gives you clarity, confidence, and results. At Karrie Kelley Real Estate, we guide you through Lynnwood’s evolving market whether you’re buying, selling, or planning an investment. Stay informed with local zoning, institutions, transit, and neighborhood trends. Reach out today to get your personalized Lynnwood market strategy call (425) 218-4178 or visit us online to start your real estate journey with confidence.

Buy, Sell, or Invest in Lynnwood Property With Confidence

From first-time homebuyers to seasoned investors, our tailored market approach gives you clarity, confidence, and results. At Karrie Kelley Real Estate, we guide you through Lynnwood’s evolving market whether you’re buying, selling, or planning an investment. Stay informed with local zoning, institutions, transit, and neighborhood trends. Reach out today to get your personalized Lynnwood market strategy call (425) 218-4178 or visit us online to start your real estate journey with confidence.