Closing Conducted by: | Title Companies, Independent Escrow Companies, Lenders, Attorneys |
Conveyance: | Warranty Deed |
Primary Foreclosure Method: | Judicial, Non-Judicial |
Process Period: | 120 days |
Notice of Sale: | Trustee |
Redemption Period: | 8 months |
Income Tax: | None |
Corporate Tax: | None |
Sales Tax: | 6.50% |
Estate Tax: | 20% |
Inheritance Tax: | No |
Median Property Tax: | 0.92% |
Property Taxes by County: | http://www.tax-rates.org/washington/property-tax#Counties |
Closing Cost: | $2,435.00 |
Transfer Fee: | Sale tax 1.28%; 1.53% - 2.03% combined with local option |
Origination Fee: | $1,830.00 |
Median Home Value: $465,386
1-Year Appreciation Rate: +12.5%
Median Rent Price: $2,100
Price-To-Rent Ratio: 18.36
Average Days On Market: 50
Unemployment Rate: 7.1% (latest estimate by the Bureau Of Labor Statistics)
Population: 7,535,591 (latest estimate by the U.S. Census Bureau)
Median Household Income: $66,174 (latest estimate by the U.S. Census Bureau)
Percentage Of Vacant Homes: 8.91%
Foreclosure Rate: 1 in every 30,255 (0.3%)
Cowlitz: (1 in every 8,843)
Island: (1 in every 13,762)
Kitsap: (1 in every 15,849)
Lewis: (1 in every 17,377)
Stevens: (1 in every 21,519)
Historically Low Interest Rates: To stimulate housing activity, interest rates are now lower than ever. At 2.74%, it is one of the cheapest times ever to borrow institutional money, which can help offset today's higher prices. Interest rates are so low, in fact, that it's almost hard not to want to buy a house in Washington.
Cash Flow Potential: Savvy investors who take advantage of today's low rates will lower their monthly mortgage obligations. Lower monthly payments will increase cash flow and make it a lot easier to pay down the mortgage with someone else's money.
Demand: With a price-to-rent ratio of 18.36, it is more affordable to buy a house in Washington than to rent one. Consequently, buyers are coming out in droves to participate in the market. However, Washington doesn't have enough inventory to satiate demand. Even those who want to buy will be relegated to the renter pool and increase the demand for rentals.
Secondary cities will receive more attention: Seattle has seen demand increase dramatically in recent history. In doing so, prices have increased alongside the competition. It is now fair to assume secondary cities like Tacoma will start receiving more attention. Appreciation in smaller cities has yet to reach the same level as Seattle, attracting many first-time buyers. Cheaper home values will then drive up competition in areas where it wasn't before.
Historic appreciation will continue: Despite the pandemic, real estate in Washington remains red hot. As it turns out, pent-up demand was enough to maintain an active housing sector. However, there aren't enough listings to keep up with demand. As a result, sellers will increase asking prices to line up with the competition.
More people will move to suburbs: Cities were too expensive to begin with, and now they are hotbeds for the Coronavirus. Today, people who are permitted to work from home may start moving to suburbs to seek more affordable, roomier living situations. Of course, the exodus from cities could easily increase suburban home values.