Seattle rents slowing down while condos begin to surge
The rise in rents is slowing, and at the same time Seattle can expect a surge in condos hitting the market.
KIRO 7 reports that rent is still going up in the Seattle area, however, at a slower pace — 4.3 percent at current levels, compared to 7.7 percent a year ago. This is according to a recent HotPads report that states the median rent for a two-bedroom apartment in Seattle is $2,225 (up 4.3 percent from last year). Median rent for a one-bedroom apartment is $1,760 (up 3.1 percent from last year).
Rents are still rising nationally, too, according to HotPads.
While rents may be leveling off, condos are playing a bigger role in the region’s housing mix. The Seattle Times reports that Seattle and Bellevue are experiencing a “condo comeback.” Only 2,000 condos came to Seattle over the past decade. But about 6,000 are expected to come online over the next few years in Seattle and Bellevue. The Times notes that more than two-dozen projects will add 5,000 units in Seattle alone.
The reason for the uptick in condos could be that developers have pivoted from initial plans to build apartments.
The difference, of course, is that people rent apartments and they buy condos. According to Zillow, the Seattle market is still considered “very hot.” The median home value in Seattle is $752,400. Though many condos go for much more than that, such as this Queen Anne condo built within a converted school gym. It’s listed for $2.8 million.
Zillow also says Seattle home values have risen 7.1 percent over the past year. The real estate website believes values will continue to go up by 6 percent over the coming year.