Port Angeles, WA Housing Market

Market Overview

Port Angeles, WA presents a weak market profile, with a PropertyIQ Score of 14 out of 100. The score is heavily influenced by home value momentum, median days on market, and the share of listings with a price cut. The 12-month home value momentum is 2.19%, but the 3-month momentum is -1.87%, indicating a recent pullback. The median days on market is 65 days, and 23.0% of listings have had a price cut. These metrics point to a market where demand is not keeping pace with supply.

Compared with state benchmarks, the market is mixed but generally challenged. The median home value of $493,361 is below the state average of $591,879, while the median household income of $70,370 is also below the state average of $98,141. Unemployment matches the state average at 5%. The rent index of $2,032 is above the state average of $1,760. In short, lower home values are offset by lower incomes and higher rents, leaving the market in a weak overall position.

Key Trends

First, price momentum is stalling. The 12-month home value momentum of 2.19% shows modest annual growth, but the 3-month momentum of -1.87% and a year-over-year home value change of just $3 indicate that prices have flattened or turned slightly lower in the near term.

Second, inventory and pace are building. There are 373 homes for sale, with a median of 65 days on market and 23.0% of listings showing a price cut. Nearly one in four sellers has reduced the asking price, and homes are taking more than two months to sell on average, which signals a buyer-friendly environment.

Third, affordability is tighter than the lower sticker price suggests. The median home value of $493,361 is below the state average of $591,879, but the median household income of $70,370 is also well below the state average of $98,141. This means the local market does not necessarily offer easier affordability for local residents than the state average does, even though home prices are lower.

Fourth, the rental market is comparatively strong. The rent index of $2,032 exceeds the state average of $1,760. Combined with a median home value below the state average, this may support stronger gross rental yields than the state benchmark. However, weak price momentum limits potential appreciation.

Who Is This Market For

Port Angeles may suit patient buyers and income-focused investors more than those seeking rapid appreciation. First-time buyers may be drawn to the median home value of $493,361, which is below the state average, but they should weigh the local median household income of $70,370 against the state average of $98,141. The rent index of $2,032 is also above the state average, which can make saving for a purchase harder for renters.

Investors may see an opportunity in the rent-to-price relationship. The rent index of $2,032 is above the state average, while the median home value is below the state average, potentially producing a higher gross rental yield than the state benchmark. The 65-day median time on market and 23.0% share of listings with price cuts give investors negotiating leverage. Move-up buyers may also benefit from price cuts and inventory, but sellers face weak price momentum and a year-over-year change of only $3, meaning limited equity growth.

Outlook

The near-term outlook is cautious. Negative 3-month home value momentum of -1.87%, a year-over-year change of only $3, 65 median days on market, and a 23.0% price-cut share all point to continued softness unless demand improves or inventory is absorbed. Unemployment at 5% matches the state average, so the labor market is not adding clear pressure, but population growth data is not available, leaving a key demand driver unknown. The relatively high rent index of $2,032 may support rental demand, but it does not offset the weak price momentum and slow sales. Overall, the data supports a flat-to-soft price environment in the near term, with buyers likely retaining negotiating power.