All Forum Posts by: Vic V.

What is the new regulation you're referring to?

Sorry .. double post!

Sorry for the delay folks! here are my answers to your questions. Thanks again for taking the time to read through my post.

@Charlie Lipthratt

1. Looking at the 5- 7 year term for now. Unsure of any plans beyond that. 

2. Maybe, but unlikely since we're again hoping to be as passive as possible. 

3. Yes they do have a basement and a covered parking spot. 

4. Presumably the finished ADU and in general the proximity to public transport.

5. They sound reasonable. Permitting fees are a percentage of the work performed(more information about this below in my reply to Dan)

@Dan H.

1. The basement is largely finished other than the kitchenette. Based on my inspection here's what I found necessary to make it rentable.

- A door to allow access from the main unit to the rental internally [ this is largely optional, I might consider just covering it up with board if thats a cheaper alternative.]

- A kitchenette. There is a washer-dryer room that can hopefully be repurposed for this purpose. 

- The bedroom does have an egress window. Because the basement is theoretically above ground. 

- The bathroom needs to have an exhaust vent duct that needs to be added.

2. Yes, I do plan on hiring professional help and so any insight you can share would be greatly appreciated!

@Erez Toker, isnt Kirkland/ Redmond basically 10-20 mins driving distance from Bellevue? so by your argument, they should have potential as well? 

@Michael Haas, actually home prices in the Juanita area are creeping up on the 1M mark. Here's a screenshot from redfin that reinforces my point. Could it possibly be that rents just havent caught up yet? I'm just trying to wrap my head around the market.

@Aaron Nelson, thanks for commenting. Does that mean that properties in such neighbor hoods will have to be pure appreciation play? Or do you foresee that changing over time?

@Michael Haas, @Curtis Bidwell thank you for commenting. 

Note: for the purpose of this question I'm focusing on the Eastside [ Bellevue/ Kirkland/Redmond] region. 

I ran a quick rentometer search for a 5bed /3ba house in the 98034 zip code(Juanita) and it looks like the median rent is slightly less than 3000. This means that with 20 down on a 900K house, the house is likely going to flow negative if rented out as a whole. This is without taking into account new housing construction in the area. Does that leave any room for rental appreciation?

What am I missing here?

That's scary. How about the long term Outlook?

Apologies if the title sounds controversial but I'm trying to understand the real estate market in the Seattle eastside area. Especially with relation to single family homes. I see that home prices in the Redmond- Kirkland- bellevue Area are in the 900k to 1.2M mark and maybe more depending on the exact schools but the rents for similar homes in the area are < 3000 per month. Assuming a 20 % down on the range above,  most buyers will be looking at about 4-4.5K in mortgage expenses.  To put it naively why arent more people just renting ? Especially with all the new construction happening.

Thanks Fern, unfortunately, Airbnb isnt an option for us since we would like the activity to remain passive. Thanks for pointing to the site!

Thanks Adrian. I'm looking for that as well but simply trying to understand how much of it would actually be subsidized once we took into account taxes and expenses.