Seeking advice for buying a vacation home in downtown Seattle

[Cheryl A Perna]

Interested in purchasing a vacation home in downtown Seattle. Specifically looking in the Belltown area. Just started exploring what is available, prices, and rents. It seems there is a significant discrepancy with the cost of housing (very high) and rent (much lower then the cost of housing). Looking for insight into market conditions and any concerns for purchasing in Seattle. We are hoping to rent our home when we are not using. Thanks in advance.   

[Ty Coutts]

Hello Cheryl, purchasing a vacation home in downtown Seattle, particularly in the Belltown area, can be a compelling investment due to its vibrant urban environment, proximity to major attractions, and scenic waterfront views. However, it is crucial to understand the current market conditions and potential concerns. Seattle's real estate market is characterized by high property prices, driven by strong demand and limited housing supply. In contrast, rental yields are relatively lower, which can make it challenging to cover mortgage payments and other expenses solely through rental income. Additionally, the rental market in Seattle can be competitive, with seasonal fluctuations affecting short-term rental demand. It is important to consider local regulations, as Seattle has specific rules and restrictions for short-term rentals, which might impact your ability to rent out the property when not in use. Thoroughly researching the market, including average rental rates, occupancy rates, and potential return on investment, is essential. Consulting with a local real estate agent who specializes in vacation homes can provide valuable insights and help navigate the intricacies of the Seattle market.

[Sarah Kensinger]

Connect with @Christopher Price, he does STR in Seattle and can give you advice!

[Dave Skow]

@Cheryl A Perna- thanks ...the proeprty will need to be a condo as there are no SFRs in the downtown area you mention ...condo market in seattle is much softer than the SFR market right now ...its a buyers market with many units for sale ...the price ranges are still high and if you want to try to break even with renting it part time - it may be tough to do especially when factoring HOA dues into it . Some HOAs will limit the units that can be rented ...connect with a condo specialist realtor and you should get a good idea of whats possible ...if you will need a loan - get pre approved ...loan pricing for a 2nd home is similar to pricing for a rental property

[Henry T.]

If you have the cash to burn for a 2nd home and actually love Seattle go for it. I'm personally trying to get outta this hell hole, but others seem to like it here.  Don't think you're gonna be a landlord during the times youre not here, you'll be very sorry. Wosrt city in the nation to be a landlord.

[Cheryl A Perna]

Appreciate the posts with feedback! 

[Ryan Moyer]

Quote from @Ty Coutts:

Hello Cheryl, purchasing a vacation home in downtown Seattle, particularly in the Belltown area, can be a compelling investment due to its vibrant urban environment, proximity to major attractions, and scenic waterfront views. However, it is crucial to understand the current market conditions and potential concerns. Seattle's real estate market is characterized by high property prices, driven by strong demand and limited housing supply. In contrast, rental yields are relatively lower, which can make it challenging to cover mortgage payments and other expenses solely through rental income. Additionally, the rental market in Seattle can be competitive, with seasonal fluctuations affecting short-term rental demand. It is important to consider local regulations, as Seattle has specific rules and restrictions for short-term rentals, which might impact your ability to rent out the property when not in use. Thoroughly researching the market, including average rental rates, occupancy rates, and potential return on investment, is essential. Consulting with a local real estate agent who specializes in vacation homes can provide valuable insights and help navigate the intricacies of the Seattle market.

 Thanks, ChatGPT!