Hat Island's housing market is defined by scarcity and seclusion. The island functions as a vacation and second-home destination, with single-family homes and cottages clustered along its lanes and shoreline rather than a conventional suburban housing stock. Ferry dependence and limited buildable land keep inventory naturally constrained, and ownership carries a community-association structure that maintains the marina, golf course, and shared facilities. Buyers are typically seeking a private waterfront retreat within reach of Everett and the greater Seattle area. Because the island has only a small year-round population, homes often serve as seasonal getaways rather than primary residences.

Hat Island is small enough to function as a single cohesive community rather than a collection of distinct neighborhoods. The island's lanes and home sites wrap around the marina, the nine-hole golf course, and the shoreline, with properties spread between wooded interior lots and water-facing positions. Named areas and roads, including references to Orca, Maple, and Madrona lanes, reflect the island's maritime and forested character. The compact layout means residents and guests can walk between the docks, golf course, beaches, and clubhouse, reinforcing the sense of a shared, self-contained enclave rather than a town with separate districts.

Life on Hat Island revolves around the water and a shared set of community amenities. Residents describe it as a private, gated community with the sound itself acting as a natural moat. Days center on boating from the island marina, golf on the nine-hole course, clamming and crabbing along the beaches, and whale watching from the shoreline. The clubhouse and yacht club anchor social life, and the small size of the island fosters a close-knit, neighborly atmosphere. Everything on the island is walkable, and the pace is deliberately quiet, appealing to those who want a true retreat rather than a mainland suburb.

Hat Island is accessible only by water. A private ferry connects the island to Everett, a crossing of roughly 15 minutes, and there is no bridge or roadway link to the mainland. Access is reserved for residents, property owners, and their guests, with visiting boaters from reciprocal yacht clubs able to use the docks on a limited basis. Once on the island, movement is primarily on foot or by golf cart along the compact network of lanes. On the mainland side, Everett lies about 11 miles from the ferry terminal, and Seattle-Tacoma International Airport is approximately 52 miles away, making the island a ferry-dependent but regionally connected retreat.

Recreation on Hat Island is built around the water and the community's own facilities. The nine-hole Hat Island Golf Club winds through the island's forested interior, while the marina provides a base for boating across Puget Sound. Beaches along the shoreline support clamming and crabbing, and the surrounding waters offer fishing, swimming, and seasonal whale watching. Tennis and pickleball courts, a basketball court, and an island library round out the amenities, all within walking distance for residents. The island's natural setting also lends itself to bird watching and quiet shoreline walks, making it a retreat oriented to the outdoors.