Seattle Real Estate Market Outlook for 2019: A Buyer’s Guide

If you are considering moving from the Midwest to Seattle, prepare for jaw-dropping price increases. Due to protected or scarce undeveloped land near Seattle, housing prices have risen dramatically. This trend is further compounded by the stringent climate change and earthquake safety regulations, which add to construction costs. The city's contemporary lifestyle and numerous employment opportunities attract a steady influx of residents, increasing demand significantly.

Speculations and Realities Surrounding Amazon HQ2

The announcement of Amazon HQ2 unleashed a storm of speculation about the impact on the Seattle real estate market. Would the city see a decline in property values? Would it still be a viable investment opportunity?

Despite the initial concerns, the exodus of Amazon employees to the new location is expected to be less significant than originally anticipated. High property prices remain the primary deterrent. While the new location offers slightly lower prices, the overall effect on the local market might be limited. Other factors contributing to the potential buyer's market include a surge in home listings due to the aforementioned constraints and a gradual rise in property prices.

A Shift in the Seattle Real Estate Market

The trend of rising home prices persists, but at a slowing pace. This moderation indicates a shift towards a more neutral market, possibly favoring buyers in 2019. The scenario might not fully transition into a buyer’s market, but it leans increasingly in that direction. This trend presents a relatively favorable climate for real estate investments, especially in rental properties.

Top Neighborhoods for Investment in Seattle

For those eager to invest in Seattle real estate this year, here are some top neighborhoods according to data from Mashvisor:

Alki: Median Property Price: $600,000 Price Per Sq/Ft: $435 Traditional Rental Income: $3,332 Airbnb Rental Income: $4,525 Traditional Cash on Cash Return: 3% Airbnb Cash on Cash Return: 4% Price-to-Rent Ratio: 15 Airbnb Occupancy Rate: 65% Maple Leaf: Median Property Price: $474,975 Price Per Sq/Ft: $357 Traditional Rental Income: $2,690 Airbnb Rental Income: $3,642 Traditional Cash on Cash Return: 2% Airbnb Cash on Cash Return: 3% Price-to-Rent Ratio: 15 Airbnb Occupancy Rate: 65% Fauntleroy: Median Property Price: $537,475 Price Per Sq/Ft: $362 Traditional Rental Income: $2,205 Airbnb Rental Income: $4,151 Traditional Cash on Cash Return: 2% Airbnb Cash on Cash Return: 5% Price-to-Rent Ratio: 20 Airbnb Occupancy Rate: 63% Roosevelt: Median Property Price: $725,000 Price Per Sq/Ft: $422 Traditional Rental Income: $2,817 Airbnb Rental Income: $6,178 Traditional Cash on Cash Return: 2% Airbnb Cash on Cash Return: 5% Price-to-Rent Ratio: 21 Airbnb Occupancy Rate: 61%

These neighborhoods offer a mix of traditional and Airbnb rental income, as well as varying property to rental ratios, making them appealing for investors looking to maximize returns.

Further Insights into the 2019 Seattle Housing Market

For more detailed analysis and insights into the Seattle real estate market, you can read the comprehensive guide:

2019 Seattle Housing Market: Still a Good Choice for Investment