What Is The Cost Of Living In Redmond, WA? (Taxes, Housing & More)
Redmond, Washington, is home to Nintendo and Microsoft. It’s also close to Seattle, so many of the job opportunities are tech-related. Money Magazine at one point ranked Redmond as one of their top small towns in America, and it’s also considered one of the safest places to call home in the Pacific Northwest.
The overall cost of living index for Redmond is 185, while the national average is 100. Everything, including food and groceries, is more expensive than the national average in Redmond. Housing, in particular, comes with a significant price tag. The median home cost in Redmond is $823,300.
So, could you afford to live in Redmond comfortably? How much money would it take to make that happen?
Housing Costs In Redmond, WA
The housing costs in Redmond are significantly higher than across the nation on average. The house cost of living index is 356.1, compared to the national average of 100. The median home cost in Redmond is $823,000. The average home sales price in Redmond is $909,000. The average sales price per square foot is $464.
Most homes sell for a significant amount over ask—around 3.7%. Homes only spend around six days on the market on average, meaning it’s very much a seller’s market. There’s a limited inventory in Redmond also.
In Demand Homes
For very in-demand homes, it’s not unusual for them to sell for 8% higher than the list price, and they often are pending within just a few days. More than 30% of the homes on the market sell for more than $1 million.
Redmond has one of the most expensive real estate markets in the entire country, as do many nearby cities and towns.
Median Home Prices In Redmond And Nearby Cities
|City||Median Home Price|
The homeownership rate is just over 50% in Redmond, while around 49.9% of residents are renters.
The average rent price in Redmond is $2,052 a month, and the average apartment size is 853 square feet. Around 45% of apartment rentals in Redmond are on the market for $1,501 to $2,000. Forty-five percent of apartments for rent are more than $2,000 a month.
Around 40.5% of homes in Redmond are apartment complexes, and 40.5% are single-family. Many of the homes are older, with nearly 59% having been built between 11970 and 1999.
Comparing Rent In Redmond To Nearby Cities And Towns
Taxes In Redmond, WA
The state of Washington doesn’t have a personal income tax, but they do have a comparatively high sales tax. Washington State has a 6.5% sales tax, and then Redmond adds another 3.6% to that, so you’re paying a minimum combined sales tax rate of 10.1%. There is no county sales tax.
Currently, Washington residents pay 49.4 cents per gallon of gas in state taxes and then 18.4% in federal taxes on gas. There is also a proposed bill in the state that would increase the price by 10 cents a gallon this year and then another 8 cents in 2022. If those measures pass, it will mean a total gas tax of 67.4 cents a gallon.
Redmond is located in King County, which has an effective average property tax rate of 0.93%. If you had a home in King County with an assessed value of $250,000, you would pay $2,325 in property taxes each year.
That is the same as the Washington State average and lower than the national average, which is 1.070% of the assessed value of a home.
In Redmond, if you had a household income of $78,800 and your filing status was single, you might expect to pay around $21,199 in taxes, including income tax, sales, fuel, and property taxes combined. That means someone in Redmond could pay around 27% of their income in taxes.
Utility Costs In Redmond, Washington
The cost-of-living index for utilities in Redmond is actually one of the few measures that is lower than the national average at 71.3, compared to the national average of 100.
You might estimate that the cost for basic utilities in a small apartment would be around $116 a month. The cost of internet could be around $71 a month.
The average amount paid per kilowatt-hour for electricity in Redmond is 10.36 cents, which is more than 21% higher than the Washington average but also 13% less than the national average. An average phone bill could be around $220 a month.
Cost Of Food In Redmond, WA
Groceries in Redmond are estimated to be as much as 27% higher than the national average. To go to a mid-range restaurant and buy a meal for two people, the average price could be anywhere from $40 to $80.
For a combo meal at McDonald’s, you might pay $9. For a regular cappuccino, expect to pay around $4.
Grocery Prices In Redmond, WA
|Grocery Item||Average Estimated Price|
|Gallon of milk||$2.95|
|Loaf of bread||$4.22|
|Bunch of bananas||$4.26|
|Pound of potatoes||$0.99|
|Pound of onions||$0.88|
Cost Of Transportation In Redmond, WA
On a cost-of-living index, transportation in Redmond is 127.9, which is again another measure where it’s well above the national average.
The price of gas in Redmond is on average $3.57 a gallon, compared to a national average of $2.59. Gas in Redmond is nearly 38% higher than in the rest of the country. The average car insurance rate in Washington is $1,160 a year, which is almost 19% lower than the national average.
To get your tires balanced in Redmond, you might pay $65.70, which is more than 34% higher than the national average.
To use the bus, Link light rail, Seattle Street Car, or other King County transit options you can use an ORCA Card. An ORCA regional day pass is $8 a day per adult.
For seniors, disabled riders, and youth, it’s $4 a day. Otherwise, it’s $2.75 for each ride for adults. For unlimited monthly rides, there is an access pass, which is $63 a month.
Education Costs In Redmond, WA
Recently, Washington State was ranked number six in the country for the least affordable childcare. According to that study, it costs on average $14,844 a year for infant care in a daycare center.
That is actually significantly less than the average cost of tuition at a public four-year university—which is $9,760. It’s estimated that single parents in Washington pay around 52% of their income for infant care at daycares.
The average private school tuition in Washington is $11,300 a year. The private elementary school average is $10,517 a year, and the private high school average is $13,054 a year. For higher education, the average tuition and fees in the area are $33,900 a year.
Healthcare Costs In Redmond, Washington
Redmond has a cost-of-living index of 85.2 for healthcare, so it’s below the national average.
Average Healthcare Costs In Redmond
Salaries In Redmond, Washington
While Redmond is a very expensive place to live, the salaries are also significantly above national averages. For example, the average salary in Redmond is $99,000.
A software engineer, on average, makes $114,000, while a senior software engineer makes an average salary of $142,000. A data scientist has an average salary of $120,000, and a program manager’s average salary in Redmond is $128,000.
The Microsoft Corporation is a major employer in Redmond, with average salaries ranging from $92,000 to $164,000 a year. The Stryker Corp is another big employer in the Redmond area, with average salaries ranging from $64,000 to $125,000 annually.
Entertainment And Miscellaneous Expenses
Redmond has frequently been named as one of the best places to live in the country, and it’s also a very safe place to call home.
It’s known as the bike capital of the Northwest. There is an abundance of bike paths and there are frequent competitive bike events. Bicycle lanes are nearly everywhere.
Some of the best places to go in Redmond if you love the outdoors include Marymoor Park and the Sammamish River Trail. There’s also Idylwood Beach Park, a number of breweries and cafes, and the outdoor mall, Redmond Town Center.
Miscellaneous Expenses In Redmond
|Activity||Average Cost in Redmond||National Average|
|Beauty salon visit||$47||$38|
Is Redmond, Washington Safe?
Redmond is considered a safe place to live. Crime has decreased year-over-year in Redmond, and it’s safer than 43% of other U.S. Violent crimes in Redmond are 73% lower than the national average.
How Much Money Do You Need to Live in Redmond?
The amount of money that you would need to live comfortably in Redmond is based on your individual expenses. However, the median income of homeowners in Redmond is $134,498 a year.The median income of renters annually is $88,364. That means that they are making $11,208 and $7,364 a month, respectively.It is a very expensive place to live. It is near Seattle, and there are a lot of high-paying tech jobs, but if you’re looking for affordability as far as a place to call home, Redmond is probably not the best option for you.Housing is incredibly expensive there, and it’s currently a difficult market for buyers. Beyond that, groceries, taxes, and miscellaneous expenses are all also well above the national average.
Ashley Sutphin Watkins studied journalism at the University of North Carolina. She now works as a full-time writer with an interest in all things real estate and interior design. She lives in East Tennessee and enjoys the nearby Smoky Mountains with her family.
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