Over the past year, there has been more new construction for apartments than over the past two decades, but rental rates in Seattle seem to be unaffected. According to the Seattle Times, vacancy rates continues to remain low, and while the price retention doesn’t sit well with renters, the nearly 2,000 new apartments that filled quickly over the past year indicates a healthy rental market. Over the past few months the average rental rate rose to $1,190, and the vacancy rate in the city is set at 4.41%. Many are concerned that the overbuilding will affect rates, as a percentage of current renters are expected to become home buyers in the near future, but that didn’t seem to happen this year.
Many attribute this to the influx of employment opportunities in the city with Amazon Microsoft, and Google, setting the bar higher for an increase in employee housing, thus creating a greater need in Seattle’s rental market. The influx of new employees, combined with homes being taken off the market and put up for lease, has created a very healthy, thriving market, and it will be interesting to see where this next year takes us. For more information on Seattle rentals, contact your local real estate agent today.