Real Estate Investing in Seattle, Washington (98116)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 98116 (Seattle, WA)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
- High price-to-rent: Price-to-rent ratio 35.3 — hard to cash-flow at these prices.
What’s happening in Seattle, WA (98116)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 98116 Seattle
The 98116 ZIP covers a section of Seattle that demands careful diligence. Prices near $1.0M look accessible, but the work to make a deal cash flow is real.
Distressed does not mean uninvestable. It means the margin for error is thinner. ZIP 98116 rewards the prepared, punishes the overconfident, and leaves the math unchanged either way.
Statewide comparisons place 98116 among WA's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
Employment concentration in 98116 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
appears to the ZIP is not uninvestable, but it is unforgiving. Section 8 landlords, local operators, and specialized value-add funds are the investor types that tend to succeed.
Here's what matters if you're considering buying a home in Seattle:
Property Strategy for 98116
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $449,666 | $2,230 | 3.6% | +1.2% | $449,666 |
| 2BR | $770,076 | $2,600 | 2.4% | +2.4% | $385,038 |
| 3BR | $1,003,563 | $3,400 | 2.4% | +3.7% | $334,521 |
| 4BR | $1,306,856 | $4,000 | 2.2% | +5.2% | $326,714 |
| 5BR | $1,503,604 | — | — | +5.5% | $300,721 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 98116 Compare?
| Metric | 98116 | Seattle | Seattle-Tacoma-Bellevue, WA | Washington |
|---|---|---|---|---|
| Home Value | $1,000,929 | $694,046 | N/A | $591,536 |
| 5-Year CAGR | 2.4% | 0.8% | N/A | 5.9% |
| Avg Rent | $2,364 | $2,268 | N/A | - |
| Cap Rate | 1.8% | 2.3% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 98116 (Seattle, WA). Anonymous, moderated, never written by AI.
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Property managers serving King County
Manage rentals here? List your business →Alki Property Management LLC specializes in apartment rentals. summary from their website
Brink Property Management offers residential property management and vacant home management services in Bellevue, providing marketing, tenant screening, rent collection, and maintenance. summary from their website
Full Service Property Management offers compassionate property management across Metro Seattle, including multi-family management, property marketing, and maintenance services. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $1,000,929 |
| Monthly Rent | $2,364 |
| Price-to-Rent | 35.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 2.8% |
| Cap Rate | 1.8% |
| 5-Year IRR | 4.3% |
📈 Home Appreciation
| 1-Year | +2.3% ▲ |
| 3-Year CAGR | +2.7% ▲ |
| 5-Year CAGR | +2.4% ▲ |
| 10-Year CAGR | +4.4% ▲ |
🏠 Rent Trends
| 1-Year | +4.1% ▲ |
| 3-Year CAGR | +3.4% ▲ |
| 5-Year CAGR | +5.2% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (1.8%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 98116
Population: 28,091
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 98116
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
West Seattle Elementary School
David T. Denny International Middle School
Louisa Boren STEM K-8
Sanislo Elementary School
Highland Park Elementary School
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 3,198 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How should investors approach Seattle, WA?
In Seattle, WA the durable play is typically careful cash-flow rentals with hands-on management. The combination of $1.0M prices and $2,364/mo rents suits that approach.
Should investors consider Seattle, WA?
The 2.0/5 investability rating in Seattle, WA reflects its $1.0M prices and $2,364/mo rents. Investors generally consider it a solid option within WA.
How landlord-friendly is Seattle, WA?
The landlord environment in Seattle, WA is tenant-protective. Statewide rules shape most day-to-day operations for rental owners.
How viable is house hacking in Seattle, WA?
The house hack math a tougher in Seattle, WA. Owner-occupant buyers benefit from the $2,364/mo rents and $1.0M home values.
Is housing expensive in Seattle, WA?
Seattle, WA median home values land near $1.0M. That is reasonable territory for investors looking at $2,364/mo-per-month rentals.
You know 98116 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 98116 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 98116 ranks in Seattle-Tacoma-Bellevue, WA
Every ZIP in this metro, ranked. Free.
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