Seattle Rent Up 21.5% in 5 Years

If you’re feeling the pinch there is good reason- rent has increased in Seattle by 21.5% in the last 5 years. Seattlelite’s income has only increased 10.4% in the same amount of time. This increase has started to push renters into spending more than 30% of their income on housing. 30% of someone’s income is the maximum that banks will allow for mortgage/housing payments. It’s recommended that housing should not be more than 30% of your income.

We actually have it pretty good right now for home buyers compared to 1980. In the 80’s homeowners on average paid 40% of their income to their mortgage and renters paid 23%. This is all good news for those entering the market- it’s become significantly more affordable to by compared to 35 years ago. The numbers show buying is a smart move now and for the future as you can lock in that low interest rate right now.

See the full article from Zillow: http://www.bizjournals.com/seattle/blog/techflash/2014/12/zillow-seattle-rents-jump-21-percent-in-5-years.html