Despite rising interest rates, Eastern Washington’s first-quarter multifamily investment sales transaction volume and sales volume exceeded Q4 2022, according to Kidder Mathews’ Max Frame. This was largely due to significant portfolio sales across the region, including a $30.4 million two-property sale in Spokane.
Eastern Washington’s landlord favorability has drawn wealth away from Seattle and into the area outside of urban cores – most notably in Spokane where buyers are paying aggressively for market entry.
Frame commented that “We expect occupancy levels to decrease despite traditional spring rental rate increases as every market experienced an increase in vacancy over the past 12 months.” He added that “the potential for a continued slowing economy in 2023 will likely appear first through declining occupancy followed by rental rates.”
