A Snapshot of the Pacific Northwest Multifamily Housing Market

Vancouver saw rent growth ease from 1.6% last quarter to 0.9% in Q1 2025, while its vacancy rate remained steady at 7.8%. Average rent at $1700 has again surpassed Portland’s average of $1670.

Portland mirrored this pattern, with a similar dip in rent growth and a slight uptick in vacancy. According to Multifamily Northwest’s Spring apartment report, the best-performing market in terms of occupancy is Hillsboro (North of Hwy 26), which saw its vacancy rate drop from 5.82% to 4.92%, reflecting a 15.46% improvement. In contrast, Aloha experienced the largest increase in vacancy rates, rising from 4.94% to 6.01%, a 21.66% jump.

Salem, by contrast, continues to post the lowest vacancy rate among the four markets at 5.6%—a trend that has held steady through Q1 2025. Rent growth in Salem reached 1.3%, placing it just behind Tri-Cities.

Tri-Cities stands out with the strongest performance for rent growth, recording a 2.5% rent growth rate for Q1 2025. The region’s momentum is fueled by both job creation and new resident inflow. A notable slowdown in new housing deliveries supports continued rent growth projected to exceed 4% over the coming year. While other areas in the Pacific Northwest have experienced disruptions due to federal layoffs, Tri-Cities’ primary employer—Hanford—has not issued any layoff notices to date, providing additional market stability.

Rent Control in Washington
Washington State continues to see active legislative discussions around rent control. As of April 23, 2025, proposals remain under review, with the most prominent consideration being a cap on annual rent increases. While rent control measures are generally met with concern by property owners, the proposed 10% cap is considered manageable by many landlords in practical terms. To the right is an update from the Washington Multifamily Housing Association.