September 14, 2018
Although it is home to Amazon and has seen soaring home prices in recent years, Seattle has been experiencing a huge slowdown in rental rates. What’s more is that this trend isn’t unique to Seattle.
Across the nation, rents in cities like Nashville and Portland have been falling. Overall, July’s national average gain was just .5%, which marks the lowest increase since 2012. In July, Seattle’s rates didn’t move, after increasing by 5% last year and 10% the year before.
The market is turning in tenants’ favor, as owners are being forced to offer concessions because while experts believe there is high long-term demand, there is also an inundation of current supply. Many projects that have just opened were in their inception when rental rates were at their hottest at an annual gain of 6.6%.
Rising home prices and mortgage rates mean the cost of homeownership has increased, but at the same time, there’s been a rise in millennials owning homes. All of these factors are contributing to a rental slowdown across the U.S.
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