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Island County, WA

North Whidbey Island

RANK #604 / 996 NAT  ·  #9 / 21 WA  ·  POP 86,510

1YR FORECAST: +1.5%

5YR OUTLOOK: +21%

#27 Most Overvalued
Island County's housing market is projected to grow +1.5% over the next year, below the national average.

[01] Why Island County?

Island County, Washington, distinguishes itself through its unique geography, being composed entirely of islands, including the prominent Whidbey and Camano Islands. Located north of Seattle, Whidbey Island is about 27 miles from the city. The county seat, Coupeville, is a historic seaport town on Whidbey Island, known for its 19th-century architecture and views of Puget Sound and the Olympic Mountains. The community offers a mild, temperate climate due to the moderating effects of water and sheltering mountains, with Central Whidbey receiving notably less rain than Seattle. Outdoor recreation is a significant draw, with 54 park facilities across the islands, offering extensive trails for hiking, biking, and horseback riding, along with opportunities for boating, fishing, and beachcombing. Deception Pass State Park, with its cliffs, bluffs, and beaches, is a notable landmark.

Life in Island County is shaped by its island setting and the presence of Naval Air Station Whidbey Island in Oak Harbor, the county's largest city. The Naval Air Station is a major employer and economic driver, supporting thousands of direct and indirect jobs. While many residents are retirees or part-time residents drawn to the scenery and quality of life, others commute to jobs outside the county, often utilizing the ferry system. Island Transit provides fare-free bus service across Whidbey and Camano Islands, including connections to ferry terminals. The county's economy, while influenced by the military, also sees activity in tourism, service industries, and real estate. Public education is served by districts such as Oak Harbor, Coupeville, and South Whidbey.

[02] Market Snapshot

Housing Ratio
11.5x

Overvalued relative to economy

GDP Growth
+2.3%

Below national median

Home Prices
+0.6%

Well below national median

Climate & Terrain
3.4

Favorable climate & terrain

Price/Rent
19x

Above national median (13x)

Housing looks overvalued at 11.5x — home prices are high relative to local economic output. Climate and geography support a structural premium. The typical U.S. county is 4–6x.

[03] Top Employers

  1. 1
    US Navy (Naval Air Station Whidbey Island) Military
    5,000+
  2. 2
    Oak Harbor School District Education
    1,000+
  3. 3
    Boeing Manufacturing
    500+
  4. 4
    WhidbeyHealth Healthcare
  5. 5
    Island County Government Government
    250+
  6. 6
    Coupeville School District Education
  7. 7
    Walmart Retail
    100+
  8. 8
    City of Oak Harbor Government
  9. 9
    Safeway Retail
  10. 10
    South Whidbey School District Education

Estimated local headcount ranges. Larger employers shown as floor + "+"; smaller employers show exact counts where reported.

[04] Home Value Growth vs National

Island County U.S. National

The Numbers

DEMOGRAPHICS
Population
86,510
+0.67% YoY
Median Household Income
$82,850
Median Home Value
$480,800
+0.55% 12mo
Median Rent
$1,517
Average Annual Pay
$58,929
+6.9% YoY
Employment
18,271
+1.1% YoY
Income-to-Home-Value
0.1723
Less affordable than average
Migration Inflow
4.57%
of pop. from another state
Bachelor's Degree+
35.4%
of residents (national avg: 33%)

Market Activity

REAL ESTATE
Median Sale Price
$583,256
Days on Market
37
Active market
Months of Supply
2.3
Seller's market
Sale-to-List Ratio
99.1%
Near asking price
Sold Above List
46.7%
Listings w/ Price Drops
23.7%
Building Permits (2024)
402
Single-Family Permits
297

Source: Redfin · Census BPS — Browse sales on Redfin →

[05] Crime & Safety

A
SAFETY
GRADE
Homicide Rate
1.8
per 100K · nat avg 6.3
Firearm Fatalities
13.7
per 100K · nat avg 14.8
Injury Deaths
78.9
per 100K · nat avg 76.3
vs National Average
Well below national avg
based on homicide rate

Source: CDC/NCHS vital statistics via County Health Rankings (2020–2022 avg). Rates per 100,000 population. Grade based on homicide rate relative to national average (~6.3). Learn more →

[06] Score Breakdown

GDP Growth +2.3% 43 percentile
Population Growth +0.7% 60 percentile
Income Growth +9.6% 74 percentile
Vacancy Rate 1.3% 31 percentile
Home Price Change +0.6% 38 percentile
Rent Growth +5.0% 80 percentile
Price/Rent 19x 11 percentile

Bars show percentile rank among all 996 counties.

[07] Frequently Asked Questions

Is Island County, WA a good place to move to?

At 39/100, Island County faces headwinds that place it in the lower third of the 996 counties we track. Median income of $82,850 combined with job growth of +1.1% suggests the local economy is struggling to keep pace with national trends.

Is Island County affordable?

Island County leans toward the expensive side. A median home value of $480,800 against an income-to-home-value ratio of 0.17 means housing eats a bigger share of local earnings than the national norm. Renters face $1,517/month on average.

Is Island County growing or shrinking?

Island County is growing on multiple fronts. Population is up +0.7% year-over-year while employers added jobs at a +1.1% clip. Home values shifted +0.6% in the past year.

Are people moving to Island County?

There's a moderate stream of newcomers. About 4.57% of residents moved from another state, which is above average and suggests Island County has appeal as a relocation destination — though it's not among the highest-inflow counties nationally.

[08] Similar Counties by Size & Score

Pierce County, WA 41 Lewis County, WA 37 Snohomish County, WA 34 Grant County, WA 34 Whatcom County, WA 34 Grays Harbor County, WA 46 Walker County, TX 39 Garland County, AR 39