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It’s odd that Vancouver, with its ongoing crisis in affordable rental housing, doesn’t pay more attention to Seattle – fast-growing, tech-boom city that it is – where the problem has been so much new rental stock available that the fear has been too many ‘ghost apartments.’  That’s changing, according to the Seattle Times:

The Seattle area is filling up new apartments faster than any region in the country, suggesting demand for housing is starting to catch up with the record construction boom — not a great sign for tenants hoping landlords get desperate and drop rents.

The new figures offer fresh insight into the years-long, multibillion-dollar experiment being waged by developers as they build more apartments in the city of Seattle this decade than in the previous half-century combined, betting on the long-term economic health of the region. Will enough renters eventually materialize to fill them, or will the city have a skyline of empty ghost apartments? …

(Market analyst Carl) Whittaker cited the region’s strong economy and foreign immigration pull for leading the country in drawing renters, as well as the fact that the metro is building more apartments to actually house them. Only three metro areas in the country — New York, Dallas and Los Angeles — built more apartments than Seattle last year. …

For a while it looked like developers might have been too aggressive with all those new units: Vacancy rates had been rising, recently reaching their highest point since the recession. Building owners struggling to fill up tons of new units all at the same time resorted to offering concessions like a free month’s rent or thousands of dollars in gift cards. The supply-and-demand equation flipped so suddenly that Seattle rents went from soaring at the fastest rate in the country to among the slowest.

Now, generally speaking, apartments in Seattle are filling up nearly the same rate as they are opening.

As PT has noted before, the fundamentals are beginning to shift in Vancouver too: falling house prices, increased supply in some areas, more to come.  While the housing crisis continues, it’s changing, and perception lags behind.

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