Seattle-Tacoma Multifamily
Market Report

Labor headwinds weigh on leasing activity. Between 2024 and the first half of 2025, Seattle averaged more than 4,000 units absorbed per quarter, helping drive vacancy as low as 4.1 percent. Momentum slowed during the second half of 2025 and early 2026, however, as the metro’s employment base contracted amid subdued hiring in higher-wage, white-collar industries. With this trend expected to persist in the near term, lease-up and renter-retention efforts will likely remain under pressure across Class A properties. Segment vacancy rose 100 basis points during the year ended in March, compared with increases of 30 and 40 basis points in Class B and Class C properties, respectively.