There were no immediate reports of injuries.
The Red Cross has opened an emergency shelter for those affected by the tornado in Port Orchard, about 15 miles west of Seattle, USA Today reported.
According to NOAA, the last tornado to hit Kitsap County was in 1991, when a twister struck Tracyton, pelting the area with record-setting hail.
Calls to 911 reporting trees into houses started at about 1 :55 p.m. Tuesday. The worst damage hit near the Port Orchard Walmart on Bethel Road.
Some areas have been isolated by knocked down trees and emergency responders are going door-to-door checking on residents. As the tornado struck, 911 dispatchers received word of trailers being knocked over.
Officials are planning to go to the area Wednesday and conduct a storm survey to gauge the strength of the tornado.
As the wind raged, rain fell in torrents nearby.
The timing of the incident delayed all South Kitsap School District buses, district spokeswoman Amy Miller said. As high school students prepared to leave the building the storm hit. Students were held at school until officials there could assess the safety of routes.
The following aerial video obtained from Associated Press shows the destruction caused by the tornado in Port Orchard, Washington:
