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Boom Time for Seattle

Boom time for Seattle

Seattle is one of the hottest real estate markets in the US. According to PwC and Urban Land Institute’s Emerging Trends in Real Estate 2018 report, Seattle took the top spot due to its job opportunities, young and educated workforce, and diverse economy. 

Limited inventory coupled with significant development, high demand and a constantly evolving marketplace are just some of the reasons why. 

US Fastest Growing City 

Seattle was added for the first time this year to the ATKearney Global Cities Index. Seattle is a rapidly expanding technology powerhouse, one of US’s leading cultural and entertainment capitals and an environmental gem with a lifestyle that is drawing international attention. 

The greater Seattle area is expected to grow by 1.7 million people by 2040 to more than 5.6 million making it the fastest growing big city in the U.S. this decade. 

Washington State GDP grew by 3.1% in 2017, ranking number one nationwide and growing at roughly twice the national rate. Household incomes in Seattle are increasing by above the national rate. 

Globally Undervalued

Seattle real estate seems somewhat undiscovered: average home prices are between one-third and one-half those in other West Coast cities, including San Francisco, Los Angeles or Vancouver – an advantage that continues even though real estate prices rose faster in the Seattle metro area last year than in any other U.S. city. The high demand and low supply has resulted in the highest rate of bidding wars among large cities in the U.S. 

Employment opportunities abound

Seattle is the home or headquarters city for Boeing, Microsoft, Amazon and Starbucks, totaling more than $2 trillion in market capitalization. 

There are a quarter of a million technology jobs in the state of Washington, 90% of which are located in the greater Seattle area. While Seattle’s vaunted tech industry accounts for a large portion of those opportunities, job openings are not limited to its blue-chip tech companies. Many industries, such as professional services, retail, restaurants and hospitality, are all projected to see growth this year.

Top Tech Center & Education

Seattle’s high-tech and highly educated economy is a key economic foundation for Seattle. There are now 250,000 people working in technology-related jobs in Washington state, a number growing by 10% a year. Amazon and Microsoft – tech giants born and based in Seattle – are on pace to join Apple as amongst the very first companies in the world to be valued at more than $1 trillion.

Seattle’s tech future is bolstered by one of the best education systems in the world (the University of Washington places in the top 10 among global research universities), one of the best health care systems and by the most literate population in America (Seattle has more bookstores and libraries than any other U.S. city).

Low Tax Environment

The state of Washington is one of only seven U.S. states where residents are not required to pay a state income tax. This is particularly beneficial when comparing Seattle to rival markets in places such as New York, where state income taxes are at 8.8%, or California, where they are 13%.

There also is no foreign buyers' tax in Washington State, such as the 15% charged in British Columbia (Vancouver). 

International Demand

The uptick in investors from China and Pacific Asia comes following a 15% tax imposed on foreign investment in Vancouver. According to Forbes, Chinese buyers made up less than a quarter of buyers in 2014, and now make up more than half of buyers in the most popular neighborhoods in Seattle. 

Discover Seattle properties

First Light Seattle, developed by Vancouver-based Westbank Developers in collaboration with James KM Cheng Architects and Seattle based glass artist, John Hogan. Located on the corner of Third Avenue and Virginia in Belltown, Westbank plans for a 48-story tower with 459 condominiums with completion estimated for Q3/2022. 

 

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