Apartment investment activity in Eastern Washington strengthened in the second quarter of 2026, with a new report from Kidder Mathews highlighting a pickup in sales and continued market stabilization across the region. The firm tracked 19 apartment transactions in Q2 2026, totaling $76 million in volume.
The study covers 20 counties in Eastern Washington and points to a clear hierarchy of sales activity among local markets. Spokane led the region, accounting for eight of the quarter’s transactions. Yakima County followed with five sales, while the Wenatchee Valley registered three apartment trades during the same period. Other counties referenced in the report include Benton, Franklin, and Chelan.
On the fundamentals side, vacancy continued to trend lower. The report notes that regional apartment vacancy declined to 7.7% in the second quarter of 2026. This marks an improvement of 10 basis points compared with the first quarter of 2026 and a 90-basis-point decline from the same quarter a year earlier, underscoring an ongoing two-year pattern of gradual stabilization.
Pricing metrics also continued to adjust. According to Kidder Mathews, cap rates compressed to 6.2% in Q2 2026, down 30 basis points from 6.5% in the first quarter of the year. The combination of easing vacancy and modest cap rate compression points to a market where buyers and sellers are finding clearer footing after a period of adjustment.
The report was compiled by Vice President Max Frame of Kidder Mathews’ Simon | Anderson Multifamily Team. Frame observed that as the market stabilizes, buyers are putting more weight on in-place operations and actual property performance when underwriting acquisitions, signaling a focus on existing cash flow and demonstrated operating history.
In a separate development related to the broader multifamily community, industry participants are being invited to Connect Apartments on September 22 in LA. The event is positioned as a forum for investors, developers, lenders, owners, and advisors to discuss current apartment market conditions, share insights, and network. Registration information is available at the conference website noted in the original announcement.
Together, the data and commentary from Kidder Mathews indicate that Eastern Washington’s apartment sector is moving through a measured phase of stabilization, characterized by steady deal flow, modestly improving fundamentals, and buyers who are increasingly disciplined in their evaluation of property performance.
