Real Estate Investing in Tacoma, Washington (98418)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 98418 (Tacoma, 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.
- Flat appreciation: Values have barely moved over 5 years (1.5% CAGR).
- Tenant-protective state: Landlord rating 1.0/5 — slower evictions, more regulations.
What’s happening in Tacoma, WA (98418)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 98418 Tacoma
On balance, ZIP 98418 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $418K median. It rewards specialists, not generalists.
Distressed markets are won on execution, not on spreadsheets. ZIP 98418 shows the profile where tenant screening, deferred maintenance, and local relationships determine the outcome.
Put differently, 98418 offers a low basis, the region around Tacoma has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Employment concentration in 98418 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
Strategy in 98418 is an operator game, not a passive one. On the rental side, entry prices of $418K are inviting, the management lift is real and non-optional.
Here's what matters if you're considering buying a home in Tacoma:
Property Strategy for 98418
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $309,746 | $1,510 | 3.5% | +2.3% | $309,746 |
| 2BR | $367,266 | $1,860 | 3.6% | +4.8% | $183,633 |
| 3BR | $418,628 | $2,600 | 4.5% | +5.0% | $139,543 |
| 4BR | $453,961 | $2,970 | 4.7% | +5.4% | $113,490 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 98418 Compare?
| Metric | 98418 | Tacoma | Seattle-Tacoma-Bellevue, WA | Washington |
|---|---|---|---|---|
| Home Value | $417,506 | $233,270 | N/A | $591,536 |
| 5-Year CAGR | 1.5% | 2.0% | N/A | 5.9% |
| Avg Rent | $1,730 | $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 98418 (Tacoma, WA). Anonymous, moderated, never written by AI.
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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 | $417,506 |
| Monthly Rent | $1,730 |
| Price-to-Rent | 20.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.0% |
| Cap Rate | 3.2% |
| 5-Year IRR | 4.7% |
📈 Home Appreciation
| 1-Year | +2.8% ▲ |
| 3-Year CAGR | +1.4% ▲ |
| 5-Year CAGR | +1.5% ▲ |
| 10-Year CAGR | +8.7% ▲ |
🏠 Rent Trends
| 1-Year | -13.4% ▼ |
| 3-Year CAGR | -1.5% ▼ |
| 5-Year CAGR | N/A |
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 98418
Population: 10,475
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 98418
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
Birney Elementary School
Lyon Elementary School
Bryant Montessori Middle School
Roosevelt Elementary School
Angelo Giaudrone Middle 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
Is rental property easy to operate in Tacoma, WA?
WA ranks as a tenant-protective state for landlord-tenant law. Tacoma generally follows the statewide framework, so landlords face reasonable operating rules.
What is the typical renter like in Tacoma, WA?
The renter base in Tacoma, WA is reasonable for the $1,730/mo price point. Screening well and pricing to market typically yields reliable tenants.
What are rental rates like in Tacoma, WA?
Tacoma, WA rentals go for roughly $1,730/mo a month. That puts gross yield in solid territory relative to $418K acquisition costs.
How does Tacoma, WA rate as a rental market?
Investors tracking Tacoma, WA will find a 2.0/5 rating supported by $418K median home values and $1,730/mo rents. That profile suits long-term holders targeting predictable returns.
What price range are homes in Tacoma, WA?
Homes in Tacoma, WA typically sell near $418K. Prices have moved at a 0.0% 5-year CAGR, which predictable long-term demand.
You know 98418 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 98418 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 98418 ranks in Seattle-Tacoma-Bellevue, WA
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