The value of condominiums in King County increased during the pandemic, with the largest increase in value in South King County, according to a press release by Assessor John Wilson.<\/p>\n
The median condominium value in South King County rose by 9% in 2020. The second highest increase occurred in Northeast King County, where condominium values rose by 8.4%. Condominiums along the I-90 corridor rose in value by 7.1%.<\/p>\n
The median condominium values in the rest of King County did not increase more than 4%, according to the assessor. Condos in downtown Seattle increased in value by only 2.2%.<\/p>\n
The increase in condo values may affect next year’s property taxes for condominium owners. Owners of condominiums will receive a re-evaluation of their property tax shortly. However, taxing districts can only increase property tax by 1% each year regardless of any rise in value.<\/p>\n
The main cause of this increase in condo value is due to people not wanting to sell their condos during the pandemic, resulting in a decrease in supply, Wilson said.<\/p>\n
Another factor that contributed to the rise in condo values is the surge in single family home prices across King County, Redfin’s Chief Economist Daryl Fairweather said.<\/p>\n
“Home prices are going up across the board. It started with single family homes back when mortgage rates dropped at the beginning of the pandemic. Single family homes went up, people wanted more space,” Fairweather said. “Now single family homes are incredibly expensive and more people are having to buy condos just because they can’t afford single family homes.”<\/p>\n
The reason the condo values increased more in suburban areas is because condos in those areas were more affordable compared to condos in Seattle, so demand was higher, Fairweather said.<\/p>\n