The question we should ask is when will the wealthy mainland Chinese stop purchasing property here. These are the people jacking up the price with 100% cash down. Just look at what happened to Vancouver housing market in recent years.
I think we're in a bubble that is gonna pop sooner vs later... But if you're talking a 10 year time horizon I agree with Neil that the overall trend is up, up and up. Like Neil said, the Puget Sound economy is way more diverse than Amazon, MS and even all the other tech. You've got Starbucks, Nordstrom, Costco, Paccar, Etc. Boeing still has a ton going on. I lived in SF from 93 to 2002 and everyone kept saying housing was overpriced and couldn't go much higher. I kick myself for not buying investment properties back then. I've got four houses here in the Seattle area and could not be happier. Again, the bubble will burst, prices will fall, but if you're in it for the long term, I think there is a lot of runway left.
we r a small family, 1200sft is sufficent for us.. but tempted to buy 2400 sft +home.. I can afford up to 900K home.. wondering if I should rent and wait for bust or buy a small condo around 500k and wait for bust to invest or go for 900k dream home.. I am 33.. don't want to work for ever.. want some side income..any suggestions
Exactly my thoughts JUcc48. Couldn't have put it better.
Seems like the price floor here keeps raising but the higher end of the market isn't as crazy. It's astonishing to me what people will pay for a dump. It feels like a bubble to me and rising interest rates are starting to cool things off.
real estate is generally not an investment you make for just a year or so unless you are a flipper. So you may see a downturn sometime during the next 10 years but it's going to come back. I never believed my house was worth what they said it was in 2007, and when the market crashed it dropped but not all that much. At this time it's worth almost twice what I paid for it 13 years ago and the trend is expected to continue at least through the end of this year.
3 of the 4 FANG stocks are in Seattle. As this index goes so goes the housing market. Right now it's still soaring.
I believe so as it's a technology hub like the SF Bay area and it's past growth. There are many big name tech businesses in the area, so if Amazon stops hiring, there are plenty more big names in the sea. I put my money where my mouth is and bought two investment properties in the last year. Value's up 20% and I have rented out within a few days of listing. It's a bit of a short term bubble possibly ATM but long term the growth is still there IMHO.