State Buyer Guide

First-Time Home Buyer Guide
for Washington

Down payment assistance, Washington housing programs, closing cost estimates, and what to know before buying — including from FSBO sellers.

Step 1 — Do This First

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$565,000
Avg Home Price
0.93%
Property Tax Rate
~$12,995
Est. Closing Costs
REET paid by seller (1.1–3% tiered)
Transfer Tax

Washington Housing Finance Agency Programs

The Washington State Housing Finance Commission (WSHFC) is your primary source for below-market mortgage rates and down payment assistance in Washington. Programs are available through approved lenders — not directly through the HFA.

WSHFC Home Advantage Program
DPA up to 4% of loan amount; competitive rates

Below-market first mortgage plus DPA for first-time buyers.

Income limit: $180,000 (varies by household size and area)
Learn more at Washington State Housing Finance Commission (WSHFC)
WSHFC Opportunity Program
Up to $10,000 at 1% interest

Extra assistance for lower-income first-time buyers in Washington.

Income limit: $90,000–$105,000 (varies by household)
Learn more at Washington State Housing Finance Commission (WSHFC)
High Value — $240/funded loan

Credible

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Closing Costs in Washington

Typical Closing Cost Range
2.3% of purchase price

On a $565,000 home: approximately $12,995

Transfer Tax
REET paid by seller (1.1–3% tiered)

Washington's Real Estate Excise Tax (REET) is paid by the seller at graduated rates: 1.1% on amounts up to $525K, rising to 3% above $3M. As the buyer, your closing costs are relatively modest.

Attorney at Closing?
No — title company state

Washington is an escrow/title-company state. An attorney is not required at closing, but for FSBO transactions, hiring one to review the purchase agreement is a smart investment.

Key Tips for Buying in Washington

  • Washington has no state income tax — a major long-term financial advantage.
  • Earthquake and volcanic hazard is real in the Puget Sound region — standard homeowners insurance does not cover earthquakes.
  • The Seattle market has cooled from 2021 peaks — buyers have more negotiating room, especially above $800K.
  • Rain and moisture intrusion are common concerns — inspect roofs, crawl spaces, and window seals carefully.
Home Inspection

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Legal Help for Washington Buyers

While Washington doesn't require an attorney at closing, FSBO buyers should strongly consider having one review the purchase agreement and title work.

Legal Help for FSBO Buyers

Nolo

Nolo has been the go-to legal resource for DIY buyers since 1971. Their real estate guides explain purchase agreements, contingencies, and closing in language anyone can understand.

Browse Legal Guides
LegalZoom

Get a real estate attorney to review your purchase agreement or help you draft an offer letter — often for a fraction of traditional legal fees.

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US Legal Forms

Download state-specific purchase agreements, addenda, and disclosure forms — written by attorneys, ready to use in your state.

Browse Real Estate Forms

Frequently Asked Questions

What first-time buyer programs are available in Washington?

Washington first-time buyers can access programs through the Washington State Housing Finance Commission (WSHFC) (https://www.wshfc.org/), including the WSHFC Home Advantage Program (DPA up to 4% of loan amount; competitive rates) and the WSHFC Opportunity Program (Up to $10,000 at 1% interest). Federal programs like FHA loans (3.5% down) and USDA loans (0% down in eligible areas) are also available.

What are typical closing costs in Washington?

Closing costs in Washington typically run 2.3% of the purchase price. Transfer tax: REET paid by seller (1.1–3% tiered). Washington's Real Estate Excise Tax (REET) is paid by the seller at graduated rates: 1.1% on amounts up to $525K, rising to 3% above $3M. As the buyer, your closing costs are relatively modest.

Do I need an attorney to buy a home in Washington?

Washington is an escrow/title-company state. An attorney is not required at closing, but for FSBO transactions, hiring one to review the purchase agreement is a smart investment.

What is the average home price in Washington?

The median home price in Washington is approximately $565,000. Property taxes average 0.93% of assessed value annually.

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