I’m sure you’re getting inundated with political mailers too. I got this one today from Seattle City Council candidate Alexis Rinck. She says the average price of a home in Seattle is “Too Expensive.”
Compared to what?
Living in Kansas?
Seattle in the 1980s?
Other big cities?
What is she talking about?
As someone that does real estate for a living, these kind of messages drive me crazy. It shows little to no knowledge as to how prices are set, and quite frankly, the message panders to voters that are angry. Affordable housing will not be fixed by one council member in one election cycle.
Her platform on the back side of the mailer is to:
Expand Housing Options. She wants to “streamline the building process and increase housing supply across Seattle – from starter homes . . . to options for seniors. More housing means more choices and better affordability for everyone.”
Is that true?
Let’s look at the actual facts.
When you examine the building process in Seattle, it is expensive, slow and complicated versus other major cities in the U.S. I agree that we need to streamline the process. How is she going to do that? We have process that’s been entrenched for decades and is very resistant to change. I’m extremely skeptical that Alexis will be able to deliver on this promise.
Even if she did, does new housing stock lead to affordability?
One of the most “Upzoned” area in King County is Ballard. There has been steady pressure to increase density and push through new housing options in the last decade. I went to the Northwest Multiple Listing service and looked at area 705 (Ballard/Greenlake) over the last 10 years and constrained for New Residential Construction – because that’s what Alexis is talking about. What has happened to price over the last 10 years?
The median price has gone from $649,975 in 2015 to $899,900 in 2025. Tell me how her argument works? When new builders take on a project and also assume 100% of the risk, they want to maximize their return on investment. Those new housing units are going to be priced at the top end of the range since they are brand new. This isn’t rocket surgery folks.
Please don’t get me wrong, I’m not rooting for housing to be unaffordable. I’m just living in reality. The byproduct of living in an area that has TEN Fortune 500 companies based here is that housing is more expensive. Those companies bring a LOT of money into the region, and in turn, people want to live here. The rise of the PNW economy has also made housing more expensive.
So what’s the solution?
Unfortunately, there’s not an easy way to fix this. When you look around the country for examples of large cities that have solved the affordability issue, there are not a lot of success stories.
Some analysts say Houston and Vancouver have done a decent job. But it’s difficult to find a major city with “better affordability for everyone” that Alexis says she can deliver.
Since 2010, we’ve had about 200,000 more people move to King County than housing units built. So to catch up to that growth trend, we need to add an additional 20,000 – 30,000 housing units to the inventory every year on top of the ones already planned.
Will streamlining the building process help? Yes.
Will there suddenly be “better affordability for everyone?” Not a chance.
Vote wisely my friends.
Ron Upshaw
Ron has been a part of just about every kind of real estate transaction you can think of. He understands that finding the perfect place for you and your family is crucial. Schedule Your Sit Don with Ron today!