Washington State brings in over $22 billion in tourism dollars every year, and it’s the 3rd richest state in the nation. The real estate market is competitive and high-priced, and smart investors know that there’s a lot to gain by buying rental homes in the right Washington communities.
Where are the best neighborhoods for your investment dollars? We’re taking a look in today’s blog.
Why Invest in Washington Rental Homes
There’s plenty of opportunity for investment in Washington, but why buy here when real estate prices are so much lower in other markets? Here are some good reasons:
- A growing local economy. The statewide economy has been growing by twice the national average in the last five years.
- High wages. A lot of the industry in Washington is tech, which attracts highly skilled and well-paid tenants.
- Housing costs are still lower than other west coast regions. Living in Washington State is still more affordable than California, particularly when we measure Silicon Valley costs of living to those in Seattle and surrounding areas.
- Inventory is low and demand is high. With the population in Washington growing and the real estate market competitive, there’s a high demand for great housing and an inventory that cannot quite meet that demand. Rental rates, therefore, are rising.
King County Real Estate Investments
King County is an ideal spot to buy rental investments because it includes Seattle, which is where a lot of people want to live. Some of the suburban communities outside of the city are also ideal, mostly because of their proximity to Seattle and the high quality of life provided to residents.
Here are some of the areas you might want to consider when you’re buying a King County investment property:
- Bellevue
Just across Lake Washington from Seattle is Bellevue, which is often listed as a top place to live in the U.S. Rents average around $2,500, and there’s a strong pool of well-qualified tenants looking for homes. Parks, museums, and lots of hiking and outdoor recreation keep people coming to Bellevue when they’re looking for new homes to rent.
- Redmond
Lately popular with tech professionals, Redmond is another King County community that’s attractive to investors because of the potential for high rents, long-term residents, and a generally positive rental experience. Microsoft employs more than 50,000 people at its Redmond corporate location.
- Issaquah
Issaquah is on our list for a lot of reasons, but for investors, here’s why we like it: the median home value has increased by 42% over the last 5 years. It’s a suburban area with well-maintained homes and an easy 20-minute commute into Seattle. Renters appreciate the great schools and neighborhoods.
Snohomish County Real Estate Investments
Snohomish County borders King County, putting residents and investors close to Seattle, Tacoma, and Bellevue. There’s a high quality of life, a fantastic educational system, and prices that are a bit lower than those you might find in Seattle and larger cities. Here’s where to look:
- Everett
Everett has a good mix of single-family homes and multi-family properties. Investors will find historic districts, port-adjacent neighborhoods, and properties close to schools. It’s possible to buy a reasonably-priced home and collect rents that move you towards your investment goals quickly.
- Lake Stevens
Parks, trails, excellent schools, and a commute into Seattle that’s just about half an hour are all good reasons to invest in Lake Stevens. It’s always been a desirable area for tenants, and housing values have grown dramatically over the last few years.
The best place to invest will depend a lot on what your unique investment goals happen to be. Talk to us about what those are, and we’ll make some personalized recommendations based on our experience managing properties throughout King County and Snohomish County. Contact our team at Real Estate Gladiators.
