Liberty Lake was officially incorporated on August 31, 2001. The lake itself is located outside of the city limits as it is outside the urban growth boundary.
At the 2010 census there were 7,591 people in 2,893 households, including 2,019 families, in the city. The population density was. There were 3,344 housing units at an average density of. The racial makeup of the city was 91.3% White, 0.7% African American, 0.5% Native American, 3.5% Asian, 0.2% Pacific Islander, 0.8% from other races, and 3.0% from two or more races. Hispanic or Latino of any race were 3.0%. Of the 2,893 households 40.0% had children under the age of 18 living with them, 56.9% were married couplesliving together, 9.2% had a female householder with no husband present, 3.7% had a male householder with no wife present, and 30.2% were non-families. 24.6% of households were one person and 8% were one person aged 65 or older. The average household size was 2.62 and the average family size was 3.15. The median age was 35.2 years. 30.4% of residents were under the age of 18; 5.8% were between the ages of 18 and 24; 29.3% were from 25 to 44; 23.8% were from 45 to 64; and 10.6% were 65 or older. The gender makeup of the city was 48.3% male and 51.7% female.
At the 2000 census, there were 4,660 people, 1,771 households, and 1,347 families in the CDP. The population density was 1,091.8 people per square mile. There were 1,894 housing units at an average density of 443.7 per square mile. The racial makeup of the CDP was 93.69% White, 0.71% African American, 0.28% Native American, 2.60% Asian, 0.15% Pacific Islander, 0.56% from other races, and 2.02% from two or more races. Hispanic or Latino of any race were 2.23% of the population. Of the 1,771 households 39.6% had children under the age of 18 living with them, 68.4% were married couples living together, 5.3% had a female householder with no husband present, and 23.9% were non-families. 19.7% of households were one person and 4.7% were one person aged 65 or older. The average household size was 2.63 and the average family size was 3.05. The age distribution was 29.1% under the age of 18, 4.8% from 18 to 24, 33.1% from 25 to 44, 24.7% from 45 to 64, and 8.4% 65 or older. The median age was 36 years. For every 100 females, there were 98.5 males. For every 100 females age 18 and over, there were 94.8 males. The median household income was $60,854 and the median family income was $66,985. Males had a median income of $57,425 versus $30,828 for females. The per capita income for the CDP was $29,105. About 1.3% of families and 3.2% of the population were below the poverty line, including 2.7% of those under age 18 and 6.4% of those age 65 or over.
Community
The Liberty Lake area includes the incorporated city, with a 2018 population of 10,594, and an unincorporated area with more residents. The city was incorporated on August 31, 2001, and operates with a mayor–council government. There are seven members on the city council who are elected to four-year terms.
