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Outlook weakens for apartment rent growth in the Pacific Northwest as demand slows

Pullback in new construction not enough to offset weaker job growth in the region
Seattle's Lake Union district, once burdened by high vacancy rates due to robust construction activity, now reports a record-low vacancy rate of below 5%, driving annual rent growth above 5% by mid-year. (CoStar/Landon Gauthier)
Seattle's Lake Union district, once burdened by high vacancy rates due to robust construction activity, now reports a record-low vacancy rate of below 5%, driving annual rent growth above 5% by mid-year. (CoStar/Landon Gauthier)

Apart from Portland, Oregon, which ended the second quarter with flat annual rent growth, apartments across the majority of the Pacific Northwest posted rent gains through the first half of 2025. However, that momentum has slowed dramatically.

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