Real Estate Investing in Tacoma, Washington (98402)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 98402 (Tacoma, WA)? Our answer, based on the numbers below.
Multiple negative signals. Better options likely exist nearby.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- Elevated vacancy: 9.6% vacancy may signal weakening demand.
- Flat appreciation: Values have barely moved over 5 years (0.2% CAGR).
- 1-year downturn: Values declined 3.6% in the last year.
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
What’s happening in Tacoma, WA (98402)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 98402 Tacoma
Not every below-median market is a bargain. Tacoma's 98402 ZIP records signals that favor experienced operators who can absorb the risk $425K pricing implies.
Distressed does not mean uninvestable. It means the margin for error is thinner. ZIP 98402 rewards the prepared, punishes the overconfident, and leaves the math unchanged either way.
Regionally, 98402 sits on the difficult end of the WA spectrum. The a strong candidate for read — for disciplined operators — is that pricing reflects the difficulty.
The demographic picture in 98402 includes headwinds that any investor should price in. Income distribution skews lower than Tacoma averages, and tenant stability requires active management.
New investors are better served looking at Tacoma's stable or hybrid ZIPs before stepping into 98402. The learning curve here is expensive when the lesson is wrong.
Here's what matters if you're considering buying a home in Tacoma:
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 98402 Compare?
| Metric | 98402 | Tacoma | Seattle-Tacoma-Bellevue, WA | Washington |
|---|---|---|---|---|
| Home Value | $424,775 | $233,270 | N/A | $591,536 |
| 5-Year CAGR | 0.2% | 2.0% | N/A | 5.9% |
| Avg Rent | $1,763 | $1,844 | N/A | - |
| Cap Rate | 3.2% | 2.8% | - | - |
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 98402 (Tacoma, WA). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 98402 (Tacoma, WA)?
~25 seconds · no account needed · your report is anonymous
Property managers serving Pierce County
Manage rentals here? List your business →Harborside Property Management LLC offers commercial and residential property manager services in Tacoma & Gig Harbor, including single-family and multi-family homes. summary from their website
Haven Property Management is a full-service residential management company based in Federal Way, WA, covering the Greater Puget Sound area. summary from their website
HOA Community Solutions provides management services for homeowner associations. 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 | $424,775 |
| Monthly Rent | $1,763 |
| Price-to-Rent | 20.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.0% |
| Cap Rate | 3.2% |
| 5-Year IRR | 3.4% |
📈 Home Appreciation
| 1-Year | -3.6% ▼ |
| 3-Year CAGR | -1.1% ▼ |
| 5-Year CAGR | +0.2% ▲ |
| 10-Year CAGR | +4.9% ▲ |
🏠 Rent Trends
| 1-Year | +6.5% ▲ |
| 3-Year CAGR | +3.1% ▲ |
| 5-Year CAGR | +2.6% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.2%). 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 98402
Population: 7,500
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 98402
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
Reed Elementary School
Bryant Montessori Middle School
Delong Elementary School
Edna Travis Elementary School
Foss High 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 5,600 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How much should I expect to pay for a home in Tacoma, WA?
Typical homes in Tacoma, WA go for around $425K. The 5-year CAGR of 0.0% stable price movement.
Can I house hack in Tacoma, WA?
Tacoma, WA offers a challenging house-hacking opportunity. Small multifamily or rent-by-the-room plays can pair well with the $1,763/mo rent level.
How quickly do rentals get leased in Tacoma, WA?
Vacancy risk in Tacoma, WA is elevated. That supports consistent cash flow for typical rental holds.
Are landlord laws favorable in Tacoma, WA?
Tacoma, WA operates under WA law, which is tenant-protective overall for landlords. Expect predictable treatment in typical lease and eviction cases.
What is the renter demographic in Tacoma, WA?
Tenant quality in Tacoma, WA ranks as solid. Landlords generally report consistent occupancy at market rents of $1,763/mo.
You know 98402 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 98402 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 98402 ranks in Seattle-Tacoma-Bellevue, WA
Every ZIP in this metro, ranked. Free.
AI Market Advisor
Ask questions about investing in 98402 (Tacoma)
Community Ratings
What people who’ve spent time here actually say. Not paid reviews.
Be the first to rate 98402 (Tacoma, WA).
It takes 30 seconds. No signup. Your rating helps everyone who comes here after you.