Seattle Apartment Market Shows Resilient Demand in Q2 2025
In the second quarter of 2025, the apartment market in Seattle and the broader Puget Sound region demonstrated notable resilience and signs of a cautious recovery, according to a recent report released by the multifamily team at Kidder Mathews, led by Dylan Simon and Jerrid Anderson.
Despite facing historic levels of new development initiated during and shortly after the pandemic, occupancy rates across Puget Sound remained steady. This trend underscores the persistent demand for rental housing in the region.
“Given the recent interest rate volatility—and now tariff-related market uncertainty—many investors are waiting for more signs of stability before deploying more capital,” said Simon. “However, amid this uncertain market backdrop, rents continued to climb, and vacancy remained at manageable levels—making now a terrific time to buy.”
Throughout the quarter, new apartment projects continued to lease at a steady pace, supporting strong occupancy rates region-wide. The market reported 29 multifamily property transactions, totaling approximately $283 million, indicating a shift in investment momentum.
Vacancy rates experienced only minimal movement, with a slight region-wide increase of 10 basis points, bringing the overall vacancy rate to 7.6%.
These findings suggest that, despite broader economic headwinds, the Puget Sound apartment market remains fundamentally strong and continues to attract investor interest.
