Seattle Housing market
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Seattle is a seaport city on the West Coast of the United States. With an estimated population of 755,745 people, it is the largest city in both the state of Washington and the Northwestern U.S. The Seattle metropolitan area has a population of over 3.9 million residents, making it the 15th largest metro area in the nation. 

The Seattle real estate market benefits from the fact that Seattle is one of America’s fastest growing cities (ranked #2 by Forbes in 2018), with a population growth rate twice the national rate. This is particularly due to the strong annual net migration that the city experiences. Also, according to NeighborhoodScout, more than 53% of the population are renters rather than homeowners, making the Seattle real estate market a top location for rental property investments.

The “Emerald City”, as it is famously known, enjoys a thriving and diverse economy. It is home to eight Fortune 500 companies, including some of the biggest tech companies in the world. Software giant Microsoft, internet retailer Amazon, and warehouse store Costco all have their headquarters in and around the city.  The aerospace industry remains a major contributor to Seattle’s economy after the local Boeing company established the city as a center for aircraft manufacturing nearly a century ago; Boeing is the largest private employer in the Seattle area with about 80,000 employees. International trade is another leading industry in Seattle due to its strategic location: The port of Seattle is a major gateway for trade with markets in Asia and serves as a departure point for cruises to Alaska. Seattle is also a hub for startups, particularly in eco-friendly building and clean technologies.   Other industries based in the city include transportation equipment manufacturing, finance, biotechnology, healthcare, insurance, tourism, agriculture, construction, and retail. 

Due to the healthy employment market, Seattle is witnessing a big influx of young techies moving into the city, increasing the demand for the city’s real estate, especially when it comes to traditional rental properties. The multiple economic sectors, together with the strong economic growth, make the city a magnet for real estate investors.


Seattle was the #1 hottest real estate market in 2018 but slipped to #16 in this year’s Emerging Trends in Real Estate: United States and Canada 2019 report by PWC. Nonetheless, it is still viewed as an attractive place in which to invest; According to the report, real estate investor demand in Seattle is still the highest in the U.S. Pacific region.

Seattle Realtors and Real Estate Agents

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Seattle  Real Estate Investment Performance
Facts and Market Trends in Seattle
Homes For Sale
98
Airbnb Properties
1,974
Rental Properties
3,639
Traditional Vacancy rate
5.50%
Airbnb Occupancy Rate
63.68%
Mashmeter
66.08%
Median Price
$714,544
Median Rent Price
$2,243
Price/sqft
$539
Median Days on Market
67
Price to Rent Ratio
25.5
Average Cap Rate
Airbnb
1.58%
Traditional
1.05%
Average Rental Income
Airbnb
$2,939
Traditional
$2,333
 
Median Household Income
$82,133
Population
724,745
Transportation in Seattle
73 / 100
Very Walkable
60 / 100
Good Transit
70 / 100
Very Bikeable
Seattle  Rent Prices
RENTAL STRATEGY STUDIOS 1 ROOM 2 ROOMS 3 ROOMS 4 ROOMS
Airbnb$2,057$2,093$2,688$3,612$3,242
Traditional$1,570$1,477$2,024$2,775$3,345
Seattle, WA - Homes for Sale - Newly Listed
Investment Properties for Sale
$750,000
MLS 1519303
2607 Western Ave #301
Seattle, WA 98121
Belltown
Condo/Coop
2 beds2 baths1,212 sq.ft.
CAP RATE
Trad. 1.53%Airbnb 3.57%
Investment Properties for Sale
$640,000
MLS 1518829
13019 Meridian Ave N
Seattle, WA 98133
Haller Lake
Single Family Residential
3 beds1 baths1,400 sq.ft.
CAP RATE
Trad. 0.77%Airbnb 1.06%
Investment Properties for Sale
$749,000
MLS 1518117
7513 33rd Ave Ne
Seattle, WA 98115
Wedgwood
Single Family Residential
3 beds2 baths2,000 sq.ft.
CAP RATE
Trad. 0.95%Airbnb 0.38%
Investment Properties for Sale
$749,000
MLS 1508655
309 23rd Ave
Seattle, WA 98122
Garfield
Townhouse
3 beds3 baths1,590 sq.ft.
CAP RATE
Trad. 1.48%Airbnb 3.85%
Top Performing Seattle Properties
Investment Properties for Sale
$514,000
MLS 1482320
12029 35th Ave NE #B
Seattle, WA 98125
Cedar Park
Townhouse
3 beds3 baths1,350 sq.ft.
CAP RATE
Trad. 0.26%Airbnb 5.14%
Investment Properties for Sale
$619,950
MLS 1478416
717 E. Denny Way #2B
Seattle, WA 98122
Cascade
Condo/Coop
2 beds2 baths1,107 sq.ft.
CAP RATE
Trad. 0.79%Airbnb 4.90%
Investment Properties for Sale
$599,000
MLS 1480939
3836 25th Ave W #2A
Seattle, WA 98199
Ballard
Single Family Residential
3 beds3 baths1,690 sq.ft.
CAP RATE
Trad. 1.92%Airbnb 4.27%
Investment Properties for Sale
$330,000
MLS 1513809
1105 Spring St #1302
Seattle, WA 98104
First Hill
Condo/Coop
1 beds1 baths540 sq.ft.
CAP RATE
Trad. 3.29%Airbnb 4.20%
Recently Sold Homes in Seattle, WA
Investment Properties for Sale
$507,000
MLS
426S 189TH ST
Seattle, WA 98148
Arbor Heights
Single Family Residential
4 beds2 baths1,490 sq.ft.
CAP RATE
Trad. 1.43%Airbnb N/A
Investment Properties for Sale
$419,829
MLS
6913 25th Ave SW
Seattle, WA 98106
High Point
Single Family Residential
3 beds2 baths1,430 sq.ft.
CAP RATE
Trad. 2.36%Airbnb N/A
Investment Properties for Sale
$341,252
MLS
6513 24th Ave NW Apt 2
Seattle, WA 98117
Loyal Heights
Condo/Coop
2 beds2 baths811 sq.ft.
CAP RATE
Trad. 1.98%Airbnb 3.52%
Investment Properties for Sale
$810,000
MLS 1494608
1919 11th Ave E
Seattle, WA 98102
Montlake
Single Family Residential
3 beds2 baths1,520 sq.ft.
CAP RATE
Trad. 1.17%Airbnb N/A
Property Value Changes and Real Estate Appreciation in the Seattle Housing Market

Seattle real estate prices are among the most expensive in the U.S. It is therefore natural to see that property appreciation has been significant over the years. Since the beginning of 2000, Seattle properties have experienced a total appreciation of 169.55% according to NeighborhoodScout, which is an average annual home appreciation rate of 5.29%. 

However, Zillow reports that Seattle property values have declined by 4.5% over the past year and are predicted to fall 3.8% within the next year. It is believed that the Seattle real estate market is cooling down due to a decrease in hiring at Amazon’s Seattle headquarters in recent months. In fact, Seattle housing prices rose to record levels in recent years, fueled largely by the success of Amazon. Since that peak, however, they have started to cool down. Now, real estate properties are selling at the market price, which is a good sign for future Seattle real estate investors. 

The Seattle housing market is currently a buyer’s market as there are more homes for sale on the market than people looking to buy. It is possible that the Seattle housing market cool down is just a sign that buyers reached their limit after years of incessant sales. As a real estate investor, you should take advantage of this state and buy an investment property in Seattle.

Seattle, WA Top Multi Family Homes
Investment Properties for Sale
$699,900
MLS 1478696
5120 S Roxbury St
Seattle, WA 98118
Dunlap
Multi Family
9 beds6 baths3,480 sq.ft.
CAP RATE
Trad. 1.21%Airbnb N/A
Investment Properties for Sale
$1,379,999
MLS 1516536
1235 3rd Ave N
Seattle, WA 98109
Lower Queen Anne
Multi Family
4 beds2 baths3,100 sq.ft.
CAP RATE
Trad. 1.09%Airbnb N/A
Homes Below Median Price in the Seattle, WA Real Estate Market
Investment Properties for Sale
$514,000
MLS 1482320
12029 35th Ave NE #B
Seattle, WA 98125
Cedar Park
Townhouse
3 beds3 baths1,350 sq.ft.
CAP RATE
Trad. 0.26%Airbnb 5.14%
Investment Properties for Sale
$619,950
MLS 1478416
717 E. Denny Way #2B
Seattle, WA 98122
Cascade
Condo/Coop
2 beds2 baths1,107 sq.ft.
CAP RATE
Trad. 0.79%Airbnb 4.90%
Investment Properties for Sale
$599,000
MLS 1480939
3836 25th Ave W #2A
Seattle, WA 98199
Ballard
Single Family Residential
3 beds3 baths1,690 sq.ft.
CAP RATE
Trad. 1.92%Airbnb 4.27%
Investment Properties for Sale
$330,000
MLS 1513809
1105 Spring St #1302
Seattle, WA 98104
First Hill
Condo/Coop
1 beds1 baths540 sq.ft.
CAP RATE
Trad. 3.29%Airbnb 4.20%
Seattle Airbnb Growth and Regulations

The last few decades have seen the “Emerald City” blooming and turning into a top destination for people from all around the world. With it being such a tourist-friendly location, Seattle short-term rental properties are a great real estate investment. The monthly Airbnb rental income reported in 2018 for the city of Seattle was $3,225 on average.  

The City of Seattle has enacted a number of regulations governing short-term rental businesses in the last couple of years. All Airbnb Seattle investors planning on hosting short-term stays (less than 30 nights at a time) must obtain a Short-Term Rental Operator’s Licence through the Department of Finance and Administrative Services (FAS), in addition to a Business Licence Tax Certificate.  This licence costs $75 per unit and must be renewed each year. Airbnb Seattle investors are allowed to operate up to two dwelling units they own, one of which must be their primary residence. If the Airbnb listing is a secondary home (non-owner occupied), hosts are required to register the rental property with the city’s Rental Registration and Inspection Ordinance Program, for a fee of $70. 


There is however an exception to this particular Airbnb regulation: Hosts already operating a short-term rental in the Downtown Urban Center will not be subject to any limits on the number of units they can rent out.

Seattle, WA Top Airbnb Homes
Seattle Airbnb
$77 per night
Entire home/apt · 2 beds
Beautiful, Private Spot in Quiet Ballard
753
Seattle Airbnb
$67 per night
Entire home/apt · 1 bed
Beautiful Guest Suite for 2 in Ballard
751
Seattle Airbnb
$88 per night
Entire home/apt · 1 bed
Cottage in the Heart of the City
600
Seattle Airbnb
$84 per night
Entire home/apt · 1 bed
Cottage in the Heart of Ballard
550
Seattle, WA Homes for Rent
Investment Properties for Sale
$2,600
MLS 1513229
12254 58th Place S
Seattle, WA
Rainier View
Single Family
4 beds2 baths2,130 sq.ft.
Investment Properties for Sale
$2,360
MLS 1493985
4757 36th Ave S #1
Seattle, WA
Columbia City
Apartment
1 beds1 baths760 sq.ft.
Investment Properties for Sale
$2,199
MLS 1424873
1616 25th Avenue
Seattle, WA
Central Seattle
Multi Family
2 beds1 baths920 sq.ft.
Investment Properties for Sale
$292
MLS 1410502
6915 Flora Ave S
Seattle, WA
Georgetown
Other
2 beds0 baths1,080 sq.ft.
Seattle, WA Open Houses
Investment Properties for Sale
Open 11:30 AM to 1 PM
$640,000
MLS 1518829
13019 Meridian Ave N
Seattle, WA 98133
Haller Lake
Single Family Residential
3 beds1 baths1,400 sq.ft.
CAP RATE
Trad. 0.77%Airbnb 1.06%
Investment Properties for Sale
Open 11 AM to 2 PM
$749,000
MLS 1518117
7513 33rd Ave Ne
Seattle, WA 98115
Wedgwood
Single Family Residential
3 beds2 baths2,000 sq.ft.
CAP RATE
Trad. 0.95%Airbnb 0.38%
Investment Properties for Sale
Open 1 PM to 4 PM
$749,000
MLS 1508655
309 23rd Ave
Seattle, WA 98122
Garfield
Townhouse
3 beds3 baths1,590 sq.ft.
CAP RATE
Trad. 1.48%Airbnb 3.85%
Investment Properties for Sale
Open 1 PM to 4 PM
$749,000
MLS 1508644
307 23rd Ave
Seattle, WA 98122
Garfield
Townhouse
3 beds3 baths1,590 sq.ft.
CAP RATE
Trad. 1.48%Airbnb 3.85%
Best Seattle Neighborhoods for Buying Investment Property
87%
Mashmeter
property price
$750,000
Median
cap rate
6.12%
Traditional
6.98%
Airbnb
rental income
$3,824
Traditional
$4,359
Airbnb
homes for sale
0
occupancy rate
68%
Airbnb
87%
Mashmeter
property price
$1,049,950
Median
cap rate
4.26%
Traditional
4.42%
Airbnb
rental income
$3,729
Traditional
$3,863
Airbnb
homes for sale
0
occupancy rate
68%
Airbnb
89%
Mashmeter
property price
$844,725
Median
cap rate
4.71%
Traditional
6.18%
Airbnb
rental income
$3,315
Traditional
$4,349
Airbnb
homes for sale
0
occupancy rate
67%
Airbnb
87%
Mashmeter
property price
$639,975
Median
cap rate
5.95%
Traditional
8.70%
Airbnb
rental income
$3,174
Traditional
$4,640
Airbnb
homes for sale
2
occupancy rate
70%
Airbnb
82%
Mashmeter
property price
$598,500
Median
cap rate
6.86%
Traditional
9.06%
Airbnb
rental income
$3,423
Traditional
$4,521
Airbnb
homes for sale
0
occupancy rate
69%
Airbnb
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