Washington · 203rd largest metro area

Buying a home in Bellingham, Washington

In Bellingham, the median value of owner-occupied homes is $627,500, Whatcom County's effective property tax rate is 0.7%, a purchase mortgage carried a median $7,051 in total loan costs in 2025, and median gross rent is $1,577 a month.

Data as of : Census ACS 2020-2024, Census Vintage 2024, HMDA 2025, HUD FY 2027. Sources

Bellingham home costs, fact by fact

About Bellingham

Bellingham has 95,860 residents and is the first-named place in the Bellingham, WA metro area, ranked 203rd nationally. Median gross rent is $1,577 monthly, while HUD's Fair Market Rent for a two-bedroom is $1,872.

Reading the Bellingham figures

Bellingham's estimated median of $627,500 is above the Washington statewide figure of $605,600, though far below Bellevue's $1,340,300 and Kirkland's $1,115,400. Seattle reports $938,600 and Renton reports $672,600, while Kent falls lower with $587,800. These are owners' estimates, not sale prices.

Tenants pay a median of $1,577 a month, lower than Seattle's $2,030 and Everett's $1,740, and HUD's benchmark for the Bellingham area is $1,872. Only 44.6% of homes are owner-occupied, close to Seattle's 43.7%. Whatcom County's rate is 0.7% on a median value of $585,800, a $4,087 annual tax, and 1,732 loans in 2025 cost a median $7,051.

Calculate for Washington

If you buy

Washington state transfer tax

Real estate excise tax (REET): Sales through Dec 31, 2026: 1.10% up to $525,000, 1.28% from $525,000 to $1,525,000, 2.75% from $1,525,000 to $3,025,000, 3.00% above; farm, agricultural and timber land pay a flat 1.28%. Change the price: the amount is recalculated instantly.

Price$605,600
State transfer tax$6,806.68
Share of the price1.12% of the price
Who paysThe seller

Default price: the Washington median value of owner-occupied homes, $605,600 (Census ACS 2025). Rule: Graduated like an income tax: each rate applies only to the slice of the price inside its bracket. These thresholds apply to sales dated through December 31, 2026; from January 1, 2027 they become $551,000, $1,551,000 and $3,051,000. Farm, agricultural and timber land pay a flat 1.28%. The sale date decides which column applies. Plus a local real estate excise tax of 0.50% of the whole price in Seattle (Washington Department of Revenue, rates effective May 1, 2026). Who pays: The law makes the tax the obligation of the seller (RCW 82.45.080). If the seller does not pay, the buyer is responsible and unpaid tax can become a lien on the property. Not included: other county and city transfer taxes, recording fees, title insurance and lender charges. Washington transfer tax guide · all 50 states.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Washington state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

Questions about buying a home in Bellingham

How much is property tax in Bellingham?

Homeowners in Whatcom County pay a median $4,087 a year in property tax, 0.7% of the county median home value of $585,800 (Census ACS 2020-2024). Your bill depends on your assessed value and local rates.

What are closing costs on a mortgage in Bellingham?

Home-purchase mortgages in Whatcom County carried median total loan costs of $7,051 in 2025; half of the 1,732 loans fell between $4,506 and $11,946 (HMDA). Total loan costs are the lender and settlement-service charges of the Closing Disclosure; transfer taxes and prepaid items come on top.

Is there a transfer tax when you buy a home in Bellingham?

Washington taxes each sale with a graduated state real estate excise tax of 1.1% on the first $525,000, 1.28% up to $1,525,000, 2.75% up to $3,025,000 and 3% above that for sales through December 31, 2026, plus a local tax such as Seattle's 0.5%. The law makes it the seller's obligation.

Is it cheaper to rent or buy in Bellingham?

It depends on your mortgage rate, down payment and how long you stay. As a benchmark, the median value of owner-occupied homes in Bellingham ($627,500) equals 33.2 years of the median gross rent ($1,577 a month), both from Census ACS 2020-2024.

What natural hazards affect home insurance in Bellingham?

Across Washington, the main hazards for home insurance are earthquake, landslide, flood and wildfire. In Washington, Seattle's Office of Emergency Management calls earthquakes the most serious hazard facing Seattle and says the Seattle region ranks first in the country for the number of hazards it faces.

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Sources

Washington · All states · Federal guides