How is the rental market in Tacoma?

[Bob Malecki]

I'm planning to acquire a small multifamily in Tacoma and curious as to the current vacancy rates and CAP rates. Anyone have some data on this?

[Aaron Nelson]

Hey @Bob Malecki - Answers to your questions will vary according to the neighborhood/submarket within Tacoma but the overall rental market is pretty strong. Most PM's I've spoken with report appropriately priced, clean and functional units attracting high renter interest and leasing quickly (~2 weeks). One well known PM that manages over 400 units in Pierce county stated their vacancy rate was <2% across their portfolio (this was during late summer). Cap rates, though these don't really matter as much for small-multifamily, tend to be in the 5.25-6.25% range depending on area and asset class. 

From a narrative standpoint, one of my clients had over 40 inquiries within the first week on his 1BR/1BA unit in Central Tacoma and another had a tenant lined up to move into their 4BR/2BA SFR the day after the transaction closed.