Seattle Real Estate FAQs – Buying, Selling & Investing

Welcome to your go-to resource for all things real estate in Seattle. Whether you’re buying your first home, selling a rental property, or looking to invest in cash-flowing real estate, this FAQ page answers the most common questions asked by buyers, sellers, and investors.

🏡 Buying a Home in Seattle

Is now a good time to buy a home in Seattle?

Yes — or maybe. It depends on your financial situation, desired neighborhood, and long-term goals. Mortgage interest rates have remained high, however more homes are coming on the market which is slowing price growth. While Seattle remains a competitive market to buy in, it has cooled off substantially from the post-COVID boom. Buyers today can benefit from reduced competition, builder incentives, and more housing inventory to choose from.

What are the best neighborhoods in the Seattle/ Puget Sound Region for first-time buyers?

Some of the most affordable neighborhoods that offer access to public transit, neighborhood amenities and a high quality of living for first-time buyers include:

🏙️ South Tacoma (Tacoma, WA)

  • Median home price: ~$425K

  • Transit: Tacoma Dome Station (Sounder + buses), future Link extension

  • Why it works: More affordable than north Tacoma, close to I-5, growing investment in infrastructure and public space

🛳️ Bremerton (Kitsap County)

  • Median home price: ~$420K

  • Transit: Fast ferry to Seattle (30 mins), local Kitsap Transit

  • Why it works: Waterfront views, navy base job center, walkable downtown, lots of parks, strong rental demand

🌲 Mountlake Terrace (Snohomish County)

  • Median home price: ~$570K (still cheaper than Seattle)

  • Transit: New Link light rail station (2024 extension), major bus lines

  • Why it works: 20–25 min light rail ride to Seattle, safe, quiet, family-oriented, with new mixed-use town center development

🚆 Kent (King County)

  • Median home price: ~$525K

  • Transit: Sounder train, RapidRide BRT, direct bus access to Seattle/Bellevue

  • Why it works: Diverse community, strong rental market, growing commercial base, access to Green River Trail & amenities

🚲 Burien (South King County)

  • Median home price: ~$570K

  • Transit: Bus Rapid Transit to Seattle, close to airport, future Link light rail expansion

  • Why it works: Urban/suburban mix, walkable downtown, great restaurants, waterfront access at Seahurst Park

🛤️ Everett – South or West End (Snohomish County)

  • Median home price: ~$500K

  • Transit: Sounder station, Amtrak, future Link extension, direct I-5 access

  • Why it works: High employment centers (Boeing, healthcare), historic charm, growing arts scene, waterfront redevelopment

🚉 Shoreline (Near 145th & 185th Stations)

  • Median home price: ~$670K (higher but offset by transit and schools)

  • Transit: Two brand-new light rail stations (opened 2024)

  • Why it works: Top-rated schools, parks, trails, solid long-term investment for car-light living

💡 Pro Tip for Investors or First-Time Home Buyers:

If you're priced out of Seattle proper, focus on areas near future or current Sound Transit light rail stops, or near major transit hubs like ferry terminals or freeway access. These areas are often in early-stage revitalization, making them ripe for appreciation or lower entry costs.

How much do I need for a down payment in Seattle?

In Seattle, down payments typically range from 3% to 20% depending on the loan type. First-time buyers may qualify for down payment assistance or FHA loans with as low as 3.5% down — this applies to owner-occupant single family homes, duplexes, triplexes and fourplexes.

What’s the average home price in Seattle right now?

As of 2025, the median home price in King County is approximately $1,000,000+. Prices vary widely depending on neighborhood, condition, and property type.

💼 Selling a Home in Seattle

Is now a good time to sell in Seattle?

If your property is priced between $500,000 and $2,000,000 this is a still a great time to sell. Most of the Seattle Metro is in a seller’s market, meaning more buyers looking for homes than there are available homes for sale. If your home is in a desirable location and priced right, it could sell quickly—even in today’s market with increasing inventory. Sellers currently benefit from an unbalanced housing market tilted somewhat in the seller’s favor, low days on market, and net-positive migration into the region.

How long does it take to sell a home in Seattle?

The average days on market in Seattle is approximately 10 days, but this can vary by price point and neighborhood.

How do I get the most money for my home in Seattle?

To maximize your home’s value hire a real estate agent who will:

  • Stage or virtually stage the home

  • Get professional listing photos

  • Price strategically based on recent comps (use active, pending, and sold comps)

  • Market across all platforms like Zillow, Redfin, Google, and their personal network.

We offer a free pricing strategy session — Click here to book a no-pressure meeting with our team.

💰 Investing in Seattle Real Estate

Is Seattle a good market for real estate investors?

Yes — the greater Puget Sound Region offers strong job & population growth, limited housing supply, and high demand for both long-term and mid-term rentals. Many investors focus on small multifamily (duplexes, triplexes, fourplexes), ADUs, and Co-living, Mid-Term Rentals, and Short Term Rentals for optimal returns.

What are the best neighborhoods in Seattle for rental property investors?

Seattle remains a top-tier market for long-term real estate investors, but success hinges on choosing the right location — one that balances rent growth, appreciation, tenant demand, and risk. Here’s a breakdown of Seattle’s best locations based on local insights, historical data, and real-world investor feedback.

🔝 Top Neighborhoods for Rental Property Investment

Capitol Hill

  • Price point: High (~$900K+ for homes)

  • Tenant base: Young professionals and urban renters

  • Why it works: Consistent rent growth, strong walkability, and vibrant nightlife keep demand high. Rents are stable even during market dips.

  • Considerations: Properties are expensive, but low vacancy risk offsets the upfront cost.

Ballard

  • Price point: High (mid-to-high $800Ks)

  • Rent potential: ~ $3,200/month for 2-bedroom units

  • Why it works: Popular with families and professionals. Demand is strong for both condos and single-family homes. A balanced mix of urban appeal and neighborhood charm.

  • Considerations: High prices, but long-term appreciation makes it worth it.

South Lake Union (SLU)

  • Price point: Very high — some of Seattle’s priciest real estate

  • Tenant base: Tech professionals (Amazon, biotech, startups)

  • Why it works: Top-tier rental rates and low vacancy due to its proximity to major employers.

  • Considerations: Premium pricing, but top-end rents support returns.

West Seattle

  • Price point: Mid to high ($850K–$870K average)

  • Rent potential: ~$1,700/month for 1-bedrooms

  • Why it works: Residential with improving access post-bridge reconstruction. Less competition from other landlords.

  • Considerations: Slightly lower rent growth than core Seattle, but great long-term hold.

Queen Anne

  • Price point: Mid to high

  • Why it works: Historic architecture, a stable tenant mix, and strong appreciation potential make this a favorite for both single-family and multi-unit rentals.

  • Considerations: Competitive market, but reliable returns.

Greenwood

  • Price point: Moderate (~$1,750/month rents)

  • Why it works: Steady demand from families and young professionals. It’s a lower-cost alternative to Ballard or Phinney Ridge with similar vibes.

  • Considerations: Less glamorous, but strong fundamentals and easier entry point.

North Delridge

  • Price point: Lower to mid-range

  • Why it works: Undervalued with room to grow. Investors are starting to pay attention to this area as infrastructure improves.

  • Considerations: May require more active management, but great upside if held long term.

Columbia City

  • Price point: Mid to high

  • Why it works: Gentrifying area with strong appreciation and direct light rail access to downtown. Diverse and culturally rich.

  • Considerations: Increasing popularity = rising prices, so the window for deep value is closing.

💡 Key Takeaways for Seattle Investors

  • Stick with in-demand neighborhoods

    • Higher-end properties in well-located areas tend to attract stable, high-income renters — especially important in a city with strong tenant protections.

  • Don’t underestimate appreciation.

    • Neighborhoods like Ballard and Columbia City have seen massive price increases over the past decade, and infrastructure improvements (like light rail) are continuing to drive value.

  • Be mindful of regulation.

    • Seattle laws protect tenants — including 180-day notice for rent increases and Just Cause eviction requirements. This makes it important to screen tenants well and avoid razor-thin margin properties.

  • Value neighborhoods still exist.

    • Areas like North Delridge and Greenwood offer investors a more affordable entry point without completely sacrificing demand or long-term growth potential.

What is the average rent in Seattle?

The average rent for an apartment unit in Seattle is currently $2,258.

What is the cap rate in Seattle right now?

The average cap rate for residential rental property in Seattle varies greatly by asset type, location, and management strategy.

Is Airbnb still legal in Seattle?

Yes, but short-term rentals are regulated. You'll need a short-term rental operator’s license, and some zones have additional restrictions. https://www.seattle.gov/business-regulations/short-term-rentals

⚒️ Real Estate Process & Tips

What should I look for in a Seattle real estate agent?

Choose an agent who:

  • Is responsive and always calls you back - try us! (425) 459-5206

  • Is familiar with your ideal property type (single family homes, rental properties, etc.)

  • Knows local zoning and rental regulations

  • Has experience negotiating in changing and unique market dynamics

How much are closing costs in Seattle?

Buyers usually pay 1–5% of the purchase price in closing costs. Sellers have often covered real estate commissions (typically 4–6%) and excise tax (1.28%–3%, depending on price), though there has been a recent push for buyers to cover their own agent’s commission whether negotiated through seller credits or paid out of pocket. Speak with an experienced agent to learn how to lower your out of pocket cost of purchasing a property.

📈 Local Laws, Taxes & Financing

What is the real estate excise tax (REET)?

Washington State REET ranges from 1.1% to 3%, depending on the property sale price. Home sellers have typically covered this fee. Seattle city does not add an additional city REET at this time.

Are there any property tax exemptions for investors or homeowners?

Yes, programs exist for:

  • Senior/disabled homeowner exemptions

  • Multi-family tax exemptions (MFTE) in some areas

🤝 Let’s Connect

Still have questions?
We specialize in working with:

  • First-time homebuyers

  • Out-of-state and local investors

  • House hackers and mid-term rental operators

  • Sellers who want to cash out for top-dollar with low stress

📞 Schedule a strategy call with us
📧 Book a time or call directly (425) 459-5206
📍 Serving Seattle, the Eastside, and the greater Puget Sound