Ans: Investment potential can be evaluated from two perspectives:
1) Growth in property value (building equity)
2) Rentability [Ease of Renting + Income/Cashflow]
Here’s some information about Everett on the above mentioned
1) Growth In Property Value:
a) Historical Trends: Below is a comparison of $/sq ft and percentage of price increase year over over for Everett, King County and Redmond.
(We chose King county as it well represents Greater Seattle area. We picked Redmond because it is a well know neighborhood that has grown well in the past and has strong investment potential)
From the data, we can see that in the last 5 years, Everett had a very similar growth value and growth pattern as compared to King County (Greater Seattle) and Redmond. Even for 2019, when the market was relatively slower, Everett grew at more than double the rate. Redmond is a good place to invest with good investment potential and from the above data we can see that Everett is no less than Redmond.
b) Expected Performance in near future/Growth Expectation: Market in coming years is expected to be warmer than 2019. So growth of Everett is expected to be good as well – which makes it a good place to investment in. Prices are expected to continue showing upward trend, which makes this a good time to buy as well.
2) Good Rental Market: Another Factor from Investment perspective is Home Ownership rate in Everett, and how much is demand for rentals. 55.6% people in Everett are renters (44.4% home owners), showing high demand for rental market. Seattle is 50% renters market. So a property can be a good investment from rental perspective and also from property value growth in Everett market.
3) Affordability: Another factors that makes Everett a good place to invest is Affordability. Below are median sale prices of Everett and King County
From this we can see that investing in Everett is easier than King County/Greater Seattle, as prices are much lower.
So overall, Everett is a great place to invest in. Property values are expected to grow (more than Seattle/King County), Rental market is also strong and it is easier to afford and invest in due to lower sale prices.
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