The Local Investors Guide to Seattle Real Estate

If you’re keen to hold property in a city with super strong demand for rentals, Seattle is a great place to look. Renters already outnumber owner-occupied properties in the Emerald City and The Seattle Times reports that since 2010, Seattle’s renter population has grown at twice the rate as the owner population — 34% vs. 17% rate of increase. 

With a diverse cultural scene, close proximity to spectacular national parks, and a strong job market fuelled by big employers like Microsoft, Amazon, Costco, and Starbucks, life in Washington state is enviable one. If you own a home that is marketed well and taken care of by good residents, you should enjoy great returns on an investment home in Seattle. 

To get the most out of a real estate investment in the Seattle area, this guide brings together all the resources you need to decide where to invest and how to manage a rental home in Seattle. 

Is Seattle a good place to invest in real estate?

According to a recent Redfin analysis, a typical home in Seattle was 88% more expensive to buy than rent. So even though Seattle prices have started to cool, homeownership remains out of reach for many Seattleites. This will continue to fuel the need for long-term rentals, keeping vacancy rates low and demand high. 

If you own a home in Seattle or have received an inheritance, long-term renting could prove more lucrative than selling in 2023. Sale prices are coming back down to earth after recent records, but single family homes in Seattle consistently attract good rents and opportunities for consistent returns and appreciation. 

As for would-be investors, a drop in housing prices also isn’t going to put Seattle in the “affordable” category any time soon! But a lack of bargains doesn’t mean that there aren’t opportunities to be had for those who do their homework. Check out this video from investment experts, BiggerPockets, for a deeper dive on investing in the Seattle real estate market. 

Read More: Is It Worth Owning a Rental Property in Seattle in 2023?

Where are the best places to buy an investment property in Seattle?

If you’ve got your sights set on the Greater Seattle area for real estate investment, the next step is to choose a neighborhood to invest in. Picking a desirable location will ensure your demand stays hot and can weather the ebb and flow of the housing market. 

Top-rated school districts, for example, can have a big impact on the return you can expect on your home — especially for detached homes that attract families. This article uncovers the six of the best-rated school districts in the Seattle area, as well as the top-20 neighborhoods with the best public schools. 

Read More: 6 of the Best Seattle School Districts To Own a Rental Home

The great outdoors is another pull factor for residents looking to make themselves at home in Seattle. Increasingly people are realizing how important it is to spend time in nature. Investing in a neighborhood that has plenty of parks and access to the water, or is within walking distance to local attractions, can be a great option for long-term returns and attracting health-conscious residents to your home. 

Read More: Most Walkable Neighborhoods in Seattle

How much property tax will I pay in Seattle?

The average property tax rate for Washington state is 0.94% (accurate as of May 2023). This means Seattle falls into one of the 26 states with a property tax rate below 1%.  

King County collects property taxes from Seattle homeowners on behalf of Washington state, the county, cities, and taxing districts and distributes the revenue to these local governments. If your Washington property is outside of Seattle, you can view the full list of County assessor and treasurer websites here.

To look up an assessed value for a property in Seattle, King County has the eReal Property tool. You can search by address, parcel number or tax account information. You can also visit King County Home & Property services to view property tax assessments or apply for permits related to residential property. 

How much rent should I charge in Seattle?

Once you’ve selected your neighborhood and home, you need to make sure it’s priced accurately for a profitable investment. With a strong demand for rentals in the Greater Seattle area, do you keep rents high or create fairer pricing to attract reliable residents that want to stay long-term? To find the sweet spot for pricing your home, check out this article. 

Read More: How to Find the Sweet Spot of Rental Pricing For Your Seattle Home

Who are the best property management companies in Seattle?

The best way to ensure your new investment home is well-kept and profitable is to find the best company to help you manage it. But when comparing property management companies in Seattle or across Washington state, you’ll be looking at a handful of differences between them all. How much do they charge for management fees and how often you are going to get slogged for more (if they even tell you!). 

With Belong, there’s no comparison. Because Belong isn’t a property management company, it’s a completely unique experience that is humanizing the rental market. 

Belong is flipping the script on property management in Seattle with:

1. Guaranteed Rent: Receive your rent on time, every month, regardless of when it’s paid by residents.
   
   
2. 24/7 Concierge Support: Both homeowners and residents have access to real-time support, going beyond emergency maintenance requests.
   
   
3. Transparent fees: No hidden costs like setup fees or lease renewal charges.
   
   
4. Modern-day marketing: Virtual tours and video marketing is included in listings.
   
   
5. User-friendly app: Belong's app provides convenient access to documentation, cash flow insights, and financial and insurance solutions. 
   
   
6. Long-term residents: Belong takes a personalized approach to match the right people, so they stay longer and feel at home.
   
   
7. Innovative financial solutions: Homeowners can manage cash flow effectively, even splitting the cost of maintenance and placement fees.
   
   
8. Eviction protection: Owners are shielded from legal costs if we ever place the wrong people.
   
   
9. Extensive vendor network: Belong connects homeowners with a vetted network of over 10,000 professionals for repairs and renovations.
   
   
10. Comprehensive insurance solutions: Belong offers insurance options that protect homeowners, their properties, and residents.
    
    
11. Market-driven insights: Belong utilizes market data and real-time interest to maximize the value of your home.
    

Even though Belong topped the list when we compared Seattle’s top-ranked property managers, it became clear we were comparing apples with oranges. Find out if your Seattle property is eligible for Belong here. 

Read More: Find Out Who Outshines The 7 Top-Rated Property Managers in Washington

Discover why Seattle loves Belong

From the historic Capitol Hill to scenic Alki Beach, Belong goes out of its way to find residents that will love your Seattle home as much as you do. But don’t take our word for it, here is what homeowners are saying about us…

If you own a rental home in Seattle, now is the time to find out if you’re eligible to ditch property management forever and join the Belong residential network. We specialize in single-family homes and condos, helping individual homeowners to achieve their financial goals in the rental market.

Own a home somewhere else in Washington state? We also offer home management services in Spokane, Kent, Redmond, and many more.