Downtown Seattle Steadily Attracting New Residents

downtown condo1The Downtown Seattle Association held its state of downtown economic forum yesterday, and one of the major takeaways of their economic report was that the state of the downtown housing market is strong. Not only are increasing numbers of people calling downtown home – 16 percent of Seattle’s total population growth between 2010 and 2014 happened downtown – but more and more of them have families, with the number of children living downtown having increased by 17 percent since 2010. Overall, downtown residents tend to be younger, more well-educated, and more likely to live in a single-person household than the rest of Seattle as a whole.

Though only two condominium projects are currently under construction downtown, 3,089 residential units (the majority of which are apartments) are set to be in the construction phase in 2015, with 2,642 more in the works for 2016. Currently, the majority of apartment units downtown are small – an average of 638 square feet – but with the influx of families we could see a trend toward larger two- and three-bedroom units.

Overall, it’s going to cost you more on average to rent downtown compared to other areas of the city. Average rent downtown in 2014 was $1,904 per month, whereas the average for Seattle as a whole was significantly lower at $1,485 per month. Similarly, the median price for condos downtown stood at $409,500, a staggering 40 percent higher than the $292,500 median price for condos in the city of Seattle as a whole. Despite the relatively high prices, the vacancy rate remains under 4 percent. Visit the DSA website to read the economic report in its entirety.

If you are interested in renting or buying a home in Downtown Seattle, contact your local real estate agent today!

Downtown Seattle New Condo Prices Down 8% Since May

Downtown condoOne look at the glut of new towers rising in downtown Seattle and one could think condos are having their heyday. But it turns out most of those cranes on the horizon are giving rise to office towers and apartment buildings, with only one condo tower, Insignia, currently under construction downtown. Among new (never before sold) condo units that are on the market, prices have also fallen 8 percent from their peak in May, according to the Daily Journal of Commerce.

Prices did rise slightly from August to September (2 percent), and year over year (up 3 percent from September 2013), but are still falling short of the May peak, when the average price per square foot was $775. In September, the average sold price per square foot for a new condo was $716.

According to the Puget Sound Business Journal, condo construction is expected to pick up in 2015, in part due to the fact that 170 of the first 350 units at Insignia have already sold, giving condo developers confidence that the demand will keep up with supply. It remains to be seen what effect an increased number of units will have on prices.

If you are interested in purchasing a condo in the Seattle area, contact your local real estate agent today.

Site Near Pike Place Sells For $16 Million, 400-ft Tower Planned

construction

The Seattle skyline is about to welcome its newest addition – a 400-foot residential tower that is planned for the development site at 2nd Avenue and Virginia Street that Bellevue’s Continental Properties bought for $16 million on Thursday.

According to an article in the Puget Sound Business Journal, it is unknown whether the 324 residential units will be condos or apartments, and there is no definite timeline for construction, yet. Continental Properties also built the Metropolitan Tower Apartments at Seventh and Westlake, and the Cosmopolitan Tower Condominiums at Ninth Avenue and Virginia. According to the PSBJ article, the site, which is one block east of Pike Place Market and is at the highest point in Belltown, is one of the last prime development sites downtown.

Downtown Seattle Condos Starting to Fill Up

Downtown Seattle Penthouse Condo Available

The past two years have not been promising for the Seattle Condo Market, and condo developers are finally starting to see a turn around in the Downtown area. According to the Seattle Times, roughly two dozen new projects were at work between 2007-2010 during big the real-estate crash. Many of those who bought the pre-sale backed out and several developers ended up converting their buildings to rental units to cater to the economy. Those who stuck it out had to slash prices, and in many cases had to lower the costs by up to 40 percent.

Today the market is starting to look more appealing and beginning to have the first signs that it will bounce back. A few good indicators include Escala raising  some of their prices; one of the largest downtown projects to date, Escala did so quietly, with the majority of their condo units selling for 99% of the asking price, they’ve begun upping the anty as their inventory gets smaller. Also of the 2,500 condo projects that have been built in downtown and surrounding areas, fewer than 250 units is left unsold. There are currently no new projects in place; most developers and lenders have put condos on hold to allow the market to recuperate. If you’re interested in learning more about finding a condo in the Seattle area, here is a list of available units.