Updated 2026 · Based on median market data for Spokane, WA
Home values in Spokane, WA have appreciated at 3% per year. Appreciation is modest, meaning total returns will be driven primarily by cash flow rather than equity gains. This is actually preferred by many investors who want predictable, income-based returns.
If Spokane continues appreciating at 3% annually, the current median of $340,000 would reach approximately $394,153 in 5 years — an equity gain of $54,153 on a property purchased at the median. With a 20% down payment of $68,000, that represents a 80% return on invested equity from appreciation alone. Combined with 5 years of NOI totaling approximately $54,780, the projected total return is $108,933 — a 160% cumulative return on the initial investment.
Spokane's population growth of 1.2% is moderate and positive, supporting steady but not explosive demand for housing. Markets with this growth profile tend to appreciate consistently without the boom-bust cycles of hyper-growth metros.
Smart investors evaluate both cash flow AND appreciation. In Spokane, the 3.22% cap rate provides modest ongoing cash flow, while 3% annual appreciation adds an equity component. Conservative underwriting is essential. Focus on deals where the cash flow stands on its own, and treat any appreciation as a bonus.