ZIP 98040 - 860Z200US98040 — Demographic Snapshot (2023)

Overview

If you’re considering a move, investment, or business opportunity in ZIP 98040, located in the heart of Mercer Island, Washington, this demographic and housing snapshot offers a clear picture of the area in 2023. With a population of over 25,000 and a median household income exceeding $200,000, this ZIP code stands out as an affluent, stable community. Whether you’re a homebuyer, real estate investor, small-business owner, or analyst, these insights will help you understand the local landscape and make informed decisions.

Population & Households

ZIP 98040 is home to 25,282 residents, making it a moderately sized community with a tight-knit feel. These individuals are distributed across 9,893 households, reflecting a mix of family and individual living arrangements. The total number of housing units in the area is 10,454, indicating a slight surplus of available homes relative to current household demand. This balance suggests a stable housing market with room for growth or turnover, which could be appealing to buyers and investors alike.

Income & Housing Costs

One of the standout features of ZIP 98040 is its economic strength. The median household income is an impressive $202,359, positioning this area as a high-income enclave. This financial stability is mirrored in the housing market, where the median house value reaches $1,884,200. For renters, the median monthly rent is $2,464, reflecting the premium cost of living in this desirable location. These figures underscore the exclusivity of the area, catering to those with significant purchasing power or investment capacity.

Race & Ethnicity

The demographic makeup of ZIP 98040 offers a glimpse into its cultural diversity. The population is predominantly White at 65.28%, followed by a significant Asian population at 22.19%. Black residents account for 1.36% of the population, while Hispanic individuals make up 2.33%. This composition suggests a community with a strong multicultural presence, particularly among White and Asian groups, which may influence local culture, businesses, and community dynamics.

Key Facts

• Total population: 25,282 residents in 2023.
• Total households: 9,893, indicating a mix of family and solo living.
• Total housing units: 10,454, suggesting moderate availability.
• Median household income: $202,359, reflecting high earning potential.
• Median house value: $1,884,200, a marker of a premium market.
• Median rent: $2,464 per month, aligning with upscale living costs.
• Racial composition: 65.28% White, 22.19% Asian, 1.36% Black, 2.33% Hispanic.

What This Means for You

For homebuyers, ZIP 98040 represents a high-end market with substantial barriers to entry due to the $1.88 million median home value. However, the area’s high median income of over $200,000 suggests a financially secure community, likely with excellent schools, amenities, and infrastructure—key factors for families or long-term residents. If you’re in this income bracket, this could be an ideal place to invest in a forever home.

For real estate investors and agents, the slight surplus of housing units (10,454 vs. 9,893 households) hints at potential opportunities for sales or rentals, though the high price points mean your target market will be affluent buyers or renters. The stable population size also indicates low turnover risk, making this a safe bet for long-term investments.

For small-business owners, the high disposable income of residents in ZIP 98040 is a major draw. With a median household income exceeding $200,000, there’s potential for businesses offering premium goods, services, or experiences. However, high rents of $2,464 suggest that commercial space may come at a steep cost, so plan your budget accordingly.

For analysts, the demographic breakdown and economic metrics point to a stable, upscale community with a diverse cultural base. This data can inform market studies, policy recommendations, or investment strategies tailored to high-net-worth areas.

Run This Study Yourself

• Curious about other ZIP codes or want to dive deeper into ZIP 98040? Start by visiting ZipcodeGPT for a user-friendly platform to explore demographic and housing data.
• Enter any ZIP code to access up-to-date metrics on population, income, housing, and more, tailored to your needs.
• Use the insights to make data-driven decisions for your next home purchase, investment, or business venture.