How Do I Know If This Neighborhood Will Go Up or Down in Value?

The Question Every Smart Buyer Asks

When you’re buying a home, you’re not just investing in four walls — you’re investing in a community.

One of the toughest questions I hear from buyers is:

“How do I know if this neighborhood will appreciate — or lose value — over time?”

While no one has a crystal ball, there are very real indicators that can help you predict whether a neighborhood is on the rise, holding steady, or trending down.

Let’s walk through what I look at when helping my clients in Snohomish and King Counties evaluate long-term potential.

1. Follow the Growth: New Infrastructure and Development

New roads, schools, shopping centers, and transit projects are some of the best signs of future appreciation.

When cities invest in infrastructure, it increases accessibility and attracts new residents — which in turn boosts demand for housing.

Example:

Areas around the new Lynnwood Light Rail Station and Northgate Link Extension have already seen noticeable appreciation because commuting to Seattle just became easier.

Before you buy, check your city’s website for approved projects and zoning plans — or ask me to pull upcoming development maps for your area of interest.

2. Watch for “Gentrification Markers”

Neighborhood transformation isn’t just about buildings — it’s about people and businesses.

When you start seeing:

• Local coffee shops and restaurants opening,

• Renovated homes replacing long-vacant ones,

• Rising school ratings and community events…

…it’s often a sign that private investment is flowing in.

In Everett, for example, the Downtown Waterfront Revitalization and Riverfront projects have drawn new retail and residential demand that’s already improving home values nearby.

3. School District Quality

Even if you don’t have kids, school quality directly impacts resale value.

Homes in highly rated districts consistently sell faster and for more money. Tools like GreatSchools.org can give you an overview, but I also provide a local-level report that compares how districts in King and Snohomish Counties perform over time.

4. Inventory and Turnover Rates

Low inventory (fewer homes for sale) with steady demand means prices are likely to climb.

Conversely, high turnover — where homes sit for long periods or prices are being reduced — can signal a softening market. I use MLS data to help buyers understand how quickly homes sell in a particular zip code and whether demand is trending up or down.

5. Demographic and Employment Trends

Follow the jobs.

When major employers expand nearby (like Boeing, Amazon, or healthcare systems), housing demand almost always rises. On the other hand, if major industries are relocating or downsizing, it could signal slower appreciation.

Snohomish County’s tech spillover from Bellevue and Seattle has been driving job growth north for years — one reason why communities like Mill Creek, Mukilteo, and Bothell have remained strong markets.

6. Neighborhood Maintenance and Community Engagement

Take a drive. Look for:

• Well-kept yards and streets,

• Active HOA or community events,

• Parks that are clean and in use.

Neighborhood pride tends to equal stable or rising property values. If people care about their area, they’re protecting their investment — and yours.

7. Historical Sales Data

Numbers tell the truth.

When you work with me, I can show you five to ten years of home price data for any neighborhood — showing appreciation rates, average days on market, and how that area performed during past market shifts.

A neighborhood that held steady during downturns is a good sign of long-term stability.

8. Talk to Locals

One of the simplest (and most overlooked) strategies is to talk with neighbors. Ask how long they’ve lived there, what they like or dislike, and whether they’ve noticed new people moving in or long-time residents selling. Locals often sense change before statistics catch up.

Final Thoughts

Predicting neighborhood value isn’t about guessing — it’s about paying attention to signals.

When I evaluate neighborhoods with buyers, I look at both data and experience: future zoning, job growth, schools, and the “feel” that tells you a community is thriving.

If you’d like a Neighborhood Appreciation Report for a specific city or zip code — like Bothell, Everett, or Renton — I’ll create one for you. It includes:

• 5-year home price trends,

• Local development projects,

• Nearby school and commute data.

No obligation — just information to help you make a confident decision.

John Merrell

📍 Keller Williams Realty Everett

📞 (425) 480-6864

📧 jmerrell@kw.com

WA Broker License #25025188