Landauer, which analyzes real estate markets, has downgraded its rating on the Seattle apartment market from number one in 1997 to number four this year. Bright Side Things are exceptionally bright when focusing on apartment investments in the present. Buying pressure for most product types is very intense. Aggressive lenders with low interest rates have helped spur values. Values have been accelerating but sale prices are still well under replacement costs.
New construction is relatively limited, keeping up with only half the demand.
Building sites are harder to find. In fact, our area with its water, hills and mountains is being viewed very positively by national investors as one with geographical barriers to new development, becoming much more like the Bay Area. Those who have no interest in selling need only look at the accompanying value trend graph. I can see no reason why this trend line won't continue moving upward. While admitting my bias as a native Seattleite, there is no other major metropolitan market that has greater long term potential.