The story of this market
The typical home in ZIP 98040 sells for about $2,270,000, or $817 per square foot.
Prices are roughly flat from a year ago (+0.03%), a market in balance. Homes take about 34 days to sell. HUD's fair market rent for a two-bedroom is $2,502 a month.
ZIP 98040 — Mercer Island
The Mercer Island housing market remains one of the most expensive in the nation, characterized by high-value luxury inventory and stable pricing. Demand remains consistent among affluent buyers, though the market is currently seeing a balanced pace of sales with limited new construction.
This ZIP is ideal for affluent families and professionals seeking high-quality schools, a quiet suburban environment, and convenient access to major Seattle-area employment centers.
Median prices moved up 0.0% year over year.
Homes spend a median of 34 days on market with 0.0 months of supply — a fast-moving market.
0% of listings have cut prices · homes sell at 0% of asking — demand is holding steady.
no recorded foreclosure-ledger notices (0.0 per 10,000 residents) · unemployment 3.0% · poverty 3.8% — a stable, low-distress profile.
versus the prior ACS vintage
in-migration and out-migration balanced
ZCTA 98040, King County WA
ACS 2024 5-year estimates. Aggregate published statistics for this ZIP — never individual records, and never an attribute of any individual property or resident.
Mercer Island is served by the Mercer Island School District, which is highly regarded and consistently ranks among the top-performing districts in Washington state.
The island is subject to standard Pacific Northwest seismic risks and localized wind events, with insurance premiums influenced by proximity to the waterfront and regional wildfire-mitigation requirements.
The area is a mature, affluent residential community with limited new land for development, focusing primarily on high-end infill projects and luxury residential renovations.
Property taxes are assessed by King County based on local levies, school district requirements, and state mandates; there are no specific local income taxes, but residents are subject to standard Washington state property tax structures.
Residents benefit from direct access to I-90, providing a central transit corridor that connects the island to both downtown Seattle and Bellevue employment hubs.
The island features extensive green spaces including Mercerdale Hillside Park and South Mercer Playfield, with significant waterfront access and proximity to regional shopping and dining in the Town Center.
The rental market is characterized by high-end single-family home leasing with limited inventory, reflecting the island's status as a predominantly owner-occupied, affluent community.
The local economy is primarily residential, with residents largely employed in the broader Seattle-Bellevue tech and professional services sectors.
The island is served by I-90, which acts as the primary artery for commuters traveling between Seattle and the Eastside.
Development is largely restricted to residential infill and luxury home redevelopment within the existing urban footprint.
Parcels are subject to King County property tax levies and the Mercer Island School District tax base.
Data sourced from US Census Bureau ZCTA 98040 profiles.
Public schools whose reported address is in this area (NCES). Not attendance boundaries — schools that serve residents may sit outside it. Check the district's address locator for assignment.
- Remlinger Farms4.315.9 mi
- Sky Zone Trampoline Park4.19.1 mi
- Tukwila Family Fun Center & Bullwinkle's Restaurant4.38.1 mi
- Sky Zone Trampoline Park4.114.2 mi
- Round1 Bowling & Arcade48.5 mi
- T-Mobile Park4.74.7 mi
- Climate Pledge Arena4.56.3 mi
- Lumen Field4.64.7 mi
- Paramount Theatre4.75.1 mi
- Topgolf Renton4.16.2 mi
- Space Needle4.66 mi
- Pike Place Market4.65.4 mi
- Westfield Southcenter4.48.6 mi
- Woodland Park Zoo4.68.1 mi
- Gas Works Park4.76.4 mi
- Pike Place Market4.65.4 mi
- Gas Works Park4.76.4 mi
- The Museum of Flight4.85.3 mi
- Chihuly Garden and Glass4.76.1 mi
- Museum of Pop Culture4.56 mi
- Gas Works Park4.76.4 mi
- Kerry Park4.86.7 mi
- Golden Gardens Park4.710.9 mi
- Discovery Park4.810.2 mi
- Marymoor Park4.77.7 mi
- Pier 664.55.8 mi
- Seattle Yacht Club4.65.6 mi
- Mercer Island Beach Club4.53.9 mi
- Gasworks Park Marina4.66.4 mi
- Seattle Boat Company - Newport4.82.2 mi
- Topgolf Renton4.16.2 mi
- Willows Run Golf Complex48.4 mi
- Interbay Golf Center4.58 mi
- Bill Wright Golf Complex At Jefferson Park4.33.6 mi
- The Golf Club at Newcastle4.45.3 mi
- Bellevue Square4.52.7 mi
- Pike Place Market4.65.4 mi
- Westfield Southcenter4.48.6 mi
- University Village4.66.3 mi
- Uwajimaya Seattle4.64.5 mi
- Paine Field4.722.6 mi
- Seattle-Tacoma International Airport (SEA) Parking Garage3.410.1 mi
- King County International Airport - Boeing Field4.54.6 mi
- Kenmore Air - Lake Union4.65.9 mi
- Kenmore Air - Lake Washington4.512.1 mi
Theme parks, venues, golf, airports, museums, water and shopping across the area from Google Maps, ranked by popularity within the radius shown.
A central community park featuring trails and open green space.
A major local facility for youth and adult sports leagues.
Key-figure check: no independent anchor retained yet — first-researched cycles establish the anchor baseline this pass.