Seattle Foreclosures and Distressed Properties in King County
Most investors in Seattle chase the same bank-owned listings. ForeclosuresDaily.com tracks the earlier signals instead, such as probate filings, missed payments, and tax delinquency, so you can reach motivated sellers before your competition.
Seattle, Washington housing market at a glance
$849,000
Median listing price (down 1.3%)
10,719
Active listings in King County
45 days
Average time on market
$2,665
Median rent (down 9.3%)
Market data: Realtor.com King County housing market, October 2026. Zillow Home Value Index for King County: $835,385 (down 2% from a year earlier), August 2026. View homes on Zillow.
What is a distressed property?
A distressed property is a home whose owner is under pressure to sell. Usually, the cause is a life event, such as a missed mortgage payment, a death in the family, a divorce, unpaid property taxes, or repairs the owner cannot afford.
In Seattle, these owners matter more than ever. With a median listing price near $850,000, retail deals leave little room for profit. The discount comes from motivated sellers whose property is not publicly advertised for sale, is for sale privately, and is not listed on the Multiple Listing Service (MLS). As a result, there is less competition and room to negotiate wholesale pricing.
Seattle has about 784,777 residents and sits in King County, Washington. Also, the ZIP codes with the most homes for sale today are 98115, 98118, and 98125.
How to find distressed properties in Seattle
Foreclosure listing sites show homes after the bank or auction is involved. Therefore, to find a deal first, work earlier in the timeline:
- Pick your ZIP codes Initially, start with a few Seattle ZIP codes where you know values and have cash buyers ready.
- Choose lead types Next, pick your leads, because probate, pre-foreclosure, divorce, code violation, and tax delinquency leads each signal a different reason to sell.
- Use fresh data Then use ForeclosuresDaily fresh leads, which are updated daily, so that you reach owners before other investors mail them.
- Target your marketing In addition, data targeting your marketing means mail, calls, and texts go only to owners with a real reason to sell.
- Run the numbers After that, estimate the after-repair value (ARV) from nearby sales, and then apply the 70% Rule.
- Make a fair offer Finally, solve the seller’s problem with a quick, as-is cash close, then wholesale or flip the property.
Motivated sellers who want to liquidate fast
For this reason, ForeclosuresDaily.com’s off-market real estate platform covers every major distress signal in Seattle, cross-referenced with tax rolls and property appraiser records.
Probate leads
Executors who must sell before the estate can close. See probate leads →
Pre-probate leads
Families who may sell before a probate case is filed. See pre-probate leads →
Inheritance leads
Heirs who want to sell because they won’t keep the home. View inheritance leads →
Foreclosure leads
Owners behind on payments who want to sell before auction. Explore foreclosure leads →
Divorce leads
Couples who must sell when they divide shared assets. Find divorce leads →
Eviction leads
Tired landlords who want out because of problem tenants. Browse eviction leads →
Code violation leads
Owners facing fines and repairs they can’t afford. See code violation leads →
Tax-delinquent leads
Owners behind on property taxes who need cash soon. Target tax-delinquent owners →
Absentee owner leads
Out-of-area owners, especially those far from the property. Reach absentee owners →
Life leads and FSBO
Owners selling on their own rather than with an agent. Shop all lead products →
ARV and the 70% Rule for Seattle flips
Real estate flippers and wholesalers use the after-repair value (ARV) to set their maximum offer. For example, the 70% Rule says to pay no more than 70% of ARV, minus repairs. As a result, that margin covers holding costs, closing costs, and profit for property flipping, or your assignment fee when you wholesale.
For instance, here is the math using the King County median listing price as the ARV and an 8% repair budget.
70% Rule example
| Step | Amount |
|---|---|
| ARV | $849,000 |
| 70% of ARV | $594,300 |
| Estimated repairs | − $68,000 |
| Maximum offer |
Seattle ZIP codes to target
Each Seattle ZIP code has its own price point and pace. Next, open a ZIP code below to open its investing data, and then match the area to your strategy.
ZIP 98102 · Madison Valley · $849,950 · Negotiate
98102 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $849,950 ▼ 7.7% |
| Price per sq ft | $636 |
| Days on market | 44 days ▼ 16.4% |
| Median rent | $2,600 ▼ 13% |
| Active listings | 165 ▲ 9.6% |
| Gross rent yield | 3.7% |
In addition, the Zillow Home Value Index is $745,010 (down 2.6% from a year earlier) as of August 2026.
Prices per square foot run higher here than anywhere else on this list. Meanwhile, the median price is down 7.7% from a year earlier, and inventory is up 9.6%. As a result, softer pricing gives you room to negotiate with motivated sellers.
Max offer when the ARV equals the median price: $849,950 × 70% − $68,000 repairs = $526,965 max offer
Also see the full 98102 market report on Realtor.com →
Then view 98102 homes on Zillow →
ZIP 98107 · Ballard · $820,000 · Negotiate
98107 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $820,000 ▼ 1.1% |
| Price per sq ft | $563 |
| Days on market | 44 days ▲ 10% |
| Median rent | $3,100 ▲ 6.9% |
| Active listings | 148 ▲ 56.4% |
| Gross rent yield | 4.5% |
In addition, the Zillow Home Value Index is $830,412 (down 2.4% from a year earlier) as of August 2026.
Meanwhile, the median price is down 1.1% from a year earlier, and inventory is up 56.4%. Therefore, sellers here are adjusting to slower demand, so offers below asking get a hearing.
Max offer when the ARV equals the median price: $820,000 × 70% − $66,000 repairs = $508,000 max offer
Also see the full 98107 market report on Realtor.com →
Then view 98107 homes on Zillow →
ZIP 98109 · Queen Anne · $564,500 · Flip & wholesale
98109 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $564,500 ▲ 2.7% |
| Price per sq ft | $586 |
| Days on market | 60 days ▲ 11.1% |
| Median rent | $2,354 ▼ 0.7% |
| Active listings | 163 ▲ 5.5% |
| Gross rent yield | 5.0% |
In addition, the Zillow Home Value Index is $757,125 (down 2.4% from a year earlier) as of August 2026.
Entry prices are lower here than in the rest of the group, so it fits wholesaling and first flips. Meanwhile, the median price is up 2.7% from a year earlier, and inventory is up 5.5%. For this reason, lower prices keep your cash needs small for wholesale deals and light flips.
Max offer when the ARV equals the median price: $564,500 × 70% − $45,000 repairs = $350,150 max offer
Also see the full 98109 market report on Realtor.com →
Then view 98109 homes on Zillow →
ZIP 98115 · Wedgwood · $825,000 · Negotiate
98115 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $825,000 ▼ 8.3% |
| Price per sq ft | $562 |
| Days on market | 45 days ▲ 21.6% |
| Median rent | $2,422 ▼ 28.3% |
| Active listings | 210 ▲ 29.7% |
| Gross rent yield | 3.5% |
In addition, the Zillow Home Value Index is $1,021,372 (down 0.5% from a year earlier) as of August 2026.
Largest inventory on the list, so there are more owners to reach. Meanwhile, the median price is down 8.3% from a year earlier, and inventory is up 29.7%. Because of this, use the extra time on market to negotiate repairs into your price.
Max offer when the ARV equals the median price: $825,000 × 70% − $66,000 repairs = $511,500 max offer
Also see the full 98115 market report on Realtor.com →
Then view 98115 homes on Zillow →
ZIP 98118 · Seward Park · $745,000 · Wholesale
98118 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $745,000 ▲ 0.2% |
| Price per sq ft | $471 |
| Days on market | 46 days ▲ 0.9% |
| Median rent | $2,875 ▼ 5.7% |
| Active listings | 193 ▼ 3% |
| Gross rent yield | 4.6% |
In addition, the Zillow Home Value Index is $717,985 (down 2.2% from a year earlier) as of August 2026.
Meanwhile, the median price is up 0.2% from a year earlier. Consequently, prices sit near the area median, so focus on deep discounts from off-market sellers.
Max offer when the ARV equals the median price: $745,000 × 70% − $60,000 repairs = $461,500 max offer
Also see the full 98118 market report on Realtor.com →
Then view 98118 homes on Zillow →
ZIP 98119 · Queen Anne · $685,000 · Flip & wholesale
98119 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $685,000 ▲ 3.4% |
| Price per sq ft | $564 |
| Days on market | 46 days ▼ 17.9% |
| Median rent | $3,000 ▲ 30.4% |
| Active listings | 156 ▲ 44.2% |
| Gross rent yield | 5.3% |
In addition, the Zillow Home Value Index is $1,025,232 (down 0.2% from a year earlier) as of August 2026.
Meanwhile, the median price is up 3.4% from a year earlier, and inventory is up 44.2%. As a result, entry prices here leave room for an assignment fee or a quick flip.
Max offer when the ARV equals the median price: $685,000 × 70% − $55,000 repairs = $424,500 max offer
Also see the full 98119 market report on Realtor.com →
Then view 98119 homes on Zillow →
ZIP 98122 · Madison Valley · $742,000 · Negotiate
98122 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $742,000 ▼ 5% |
| Price per sq ft | $591 |
| Days on market | 45 days ▲ 2.1% |
| Median rent | $2,400 ▼ 4.8% |
| Active listings | 167 ▼ 1.6% |
| Gross rent yield | 3.9% |
In addition, the Zillow Home Value Index is $806,276 (down 2.3% from a year earlier) as of August 2026.
Meanwhile, the median price is down 5% from a year earlier.
Max offer when the ARV equals the median price: $742,000 × 70% − $59,000 repairs = $460,400 max offer
Also see the full 98122 market report on Realtor.com →
Then view 98122 homes on Zillow →
ZIP 98125 · Lake City · $750,000 · Wholesale
98125 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $750,000 |
| Price per sq ft | $490 |
| Days on market | 32 days ▼ 27.3% |
| Median rent | $2,202 ▲ 15.8% |
| Active listings | 179 ▲ 24.3% |
| Gross rent yield | 3.5% |
In addition, the Zillow Home Value Index is $790,152 (down 2.5% from a year earlier) as of August 2026.
Homes sell faster here than anywhere else on the list. Also, inventory is up 24.3% from a year earlier. Therefore, balanced pricing makes this area a steady source of wholesale deals.
Max offer when the ARV equals the median price: $750,000 × 70% − $60,000 repairs = $465,000 max offer
Also see the full 98125 market report on Realtor.com →
Then view 98125 homes on Zillow →
ZIP 98133 · Shoreline · $686,000 · Negotiate
98133 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $686,000 ▼ 6.3% |
| Price per sq ft | $463 |
| Days on market | 45 days ▲ 2.3% |
| Median rent | $1,754 ▼ 41.5% |
| Active listings | 145 ▲ 34% |
| Gross rent yield | 3.1% |
In addition, the Zillow Home Value Index is $732,332 (down 2.2% from a year earlier) as of August 2026.
Smallest inventory on the list, so an off-market lead faces little competition. Meanwhile, the median price is down 6.3% from a year earlier, and inventory is up 34%.
Max offer when the ARV equals the median price: $686,000 × 70% − $55,000 repairs = $425,200 max offer
Also see the full 98133 market report on Realtor.com →
Then view 98133 homes on Zillow →
ZIP 98144 · Beacon Hill · $754,475 · Wholesale
98144 market snapshot
| Metric | Value |
|---|---|
| Median listing price | $754,475 ▲ 7.1% |
| Price per sq ft | $499 |
| Days on market | 51 days ▼ 3.2% |
| Median rent | $3,395 ▲ 2.9% |
| Active listings | 168 ▲ 16.6% |
| Gross rent yield | 5.4% |
In addition, the Zillow Home Value Index is $760,403 (down 3.3% from a year earlier) as of August 2026.
Rents are high compared with prices here, especially for buy-and-hold investors. Meanwhile, the median price is up 7.1% from a year earlier, and inventory is up 16.6%. For this reason, work off-market leads here to find the discount that retail listings lack.
Max offer when the ARV equals the median price: $754,475 × 70% − $60,000 repairs = $468,133 max offer
Also see the full 98144 market report on Realtor.com →
Then view 98144 homes on Zillow →
Open a ZIP code below to see its investing data, then compare markets. Market data: Realtor.com, October 2026, and Zillow Home Value Index, August 2026. Also, gross rent yield is 12 months of median rent divided by the median listing price; the 70% Rule example assumes repairs of 8% of the median price.
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Seattle foreclosure and distressed property questions
How do I find distressed properties for sale in Seattle?
Initially, start with public-record signals such as pre-foreclosure, probate, divorce, and tax delinquency. ForeclosuresDaily.com gathers these records daily, so that you can contact Seattle owners before the home is listed or sent to auction.
Where can I find foreclosed homes in Seattle?
Bank-owned and auction homes appear on sites like Realtor.com, Zillow, and Auction.com. However, off-market pre-foreclosure leads let you reach owners earlier, while they can still sell on their own terms.
Which ZIP codes have the lowest entry prices?
Among the ZIP codes in this guide, the lowest median listing prices are in 98109 (Queen Anne) at $564,500, 98119 (Queen Anne) at $685,000, and 98133 (Shoreline) at $686,000, based on Realtor.com data from October 2026.
Where do homes sell fastest?
ZIP code 98125 has the shortest average time on market in this guide, at 32 days. As a result, fast markets reward investors who can reach owners before a home is listed.
How do I find distressed properties for wholesale profit?
First of all, focus on owners with equity and a reason to sell quickly. Then run the 70% Rule, and finally line up cash buyers before you sign a contract you plan to assign.
Get Seattle distressed property leads today
Fresh, targeted, off-market data for Madison Valley, Ballard, Queen Anne, and beyond.