How Does Washington State’s House Bill 1217 Impact Landlords?

A graphic describing the Washington State Rent Control Bill

Washington State Governor Bob Ferguson signed House Bill 1217 in May 2025. This bill is known as the “Washington State Rent Control Bill” or the “Washington State Rent Stabilization Bill.” It’s part of a suite of bills addressing affordable housing in Washington, targeting stability for Washington families. 

Governor Ferguson stressed the urgent need for affordable housing in Washington. He said these bills will help make building all types of housing easier, quicker, and cheaper. 

One of the biggest changes is the new rent increase limits, which are based on the 12-month percent change in the Consumer Price Index. This index covers all items for urban consumers in the Seattle area. It is published by the United States Bureau of Labor Statistics.

Here are key points to know as a landlord: 

  • It caps rent increases for existing tenants at 7% plus the Consumer Price Index or 10% (whichever is lower). 
  • At the same time, landlords can raise rent even more for new tenants. 
  • Additionally, the bill limits rent increases for manufactured homes to 5%. 
  • The WA Department of Commerce confirms that the maximum annual rent increase is 10.0% until December 31st, 2025. 
  • The maximum rent increase percentage for 2026 will be announced soon. This data is expected from the U.S. Bureau of Labor Statistics by the end of July 2025. 

HB 1217 brings new changes to landlord-tenant rules. It focuses on more transparency and protections for tenants. But what should you anticipate if you’re renting out your property in Washington?

Biggest Changes in Bill HB 1217

  • First-Year Rent Freeze: Rent increases are prohibited during the first 12 months of a tenancy. After the first 12 months, rent can be increased. 
  • Rent Increase Cap: Annual rent increases are limited to the lesser of 7% plus the Consumer Price Index or 10%, whichever is lower. This cap affects most rental properties. It includes single-family homes owned by corporations, LLCs, or REITs.
  • Notice Requirements: Landlords must give written notice 90 days before increasing rent. Previously, you only needed to provide a 60-day written notice. The method for sending any notice now also has to be changed. Previously, you needed to deliver via personal delivery and First-Class mail. Now, you must deliver all notices via personal delivery and now Certified Mail.
  • Lease Termination Rights: Tenants can end their lease with 20 days’ notice if a rent hike goes over the legal limit. There’s no penalty for breaking the lease.
  • Enforcement and Penalties: Tenants or the Washington Attorney General can take legal action for violations. Penalties may include actual damages, up to three months’ rent, and attorneys’ fees. The Attorney General can recover up to $7,500 per violation.
  • Exemptions: New construction rentals are exempt from the cap for 12 years after completion.

This law is taking immediate effect. A professional property manager must update their processes to comply with the new law. Below are examples of how Zenith Properties is changing our processes.

Changes to Zenith Processes: 

  • Training: Our team is getting complete training on this bill. We are using key resources like our legal reps and  the National Association of Rental Property Managers (NARPM).
  • Notice Requirements: We are updating the notice language to be in compliance with the law. We will begin sending all notices through certified mail. Our processes have been updated to keep proper documentation in our system.
  • Bi-Annual Evaluations: We used to evaluate the property at 90 days of tenancy. Now, we will start scheduling evaluations at 120 days. We want to make sure that an evaluation of the property is done prior to sending the lease renewal.
  • Lease Renewal: We will start sending lease renewals ahead of the 90-day requirement. Our forms have been updated with the correct language as advised by our council. Additionally, we have our resources updating our lease to further be in compliance.
  • Communication: We understand that this transition will bring up questions for our clients and tenants. Our team will be fully prepared to provide support for any questions that arise. You can confidently reach out to your Portfolio Manager for any questions you have.

For a comprehensive overview of HB 1217, you can refer to the official bill summary here.

Why This Matters 

Laws like HB 1217 are why you need a good property management team. They can respond quickly to changes and protect your interests. A professional property manager, such as Zenith Properties, shields you from legal risks. We also help protect your income and keep your investments compliant and performing well.

Reach out to our team today if you have any additional questions. You can also check out our resource library here for more information on managing rental properties in WA state.

How to Tell if Your Rental is Overpriced

Cardboard cutout of a house with a sign saying For Rent

When it comes to managing a rental property, it can be difficult to strike a balance between catching a great rental rate and making sure you have the least amount of vacancies possible. Knowing how to tell if your rental is overpriced will allow you to keep your property as productive as possible. If you’re struggling to rent your home, here are some key indicators that your rental may be overpriced:

Constant Requests for Negotiation

It is important to set an educated rental rate and stick to it, adjusting it based on what kind of feedback you receive from the market. If you are constantly receiving inquiries from individuals asking for a lower rental rate, it may mean you are pricing it too high. One or two of these requests are common, but if you notice a pattern or a consistent request for a specific rate, you may be overpriced.

Inquiries or Applicants Who Don’t Follow Through

When you receive an inquiry or an application for your property, it is important to follow up right away. If you are consistent in following up with inquiries and applications, the chances of someone renting your property are higher. 

However, when you begin to see a pattern of inquiries or applicants who don’t follow through, it could mean that your price is too high. If people stop returning your calls, emails, texts, and/or invitations to rent the property, they likely found something else. Many times, that “something else” is a comparable home at a better offer.

Few Inquiries or Applicants

Generally speaking, 20-40 inquiries a week is healthy activity for a rental. Anything less and you may be overpriced; anything more and you may be underpriced. If your home has been on the market for longer than a week and you aren’t seeing much activity, then your rental may be priced too high. That said, it’s important to note that the rental market is constantly shifting based on demand, competition, and the time of year. Shift your prices based on what the market is telling you.

Rental is On the Market for Too Long

Rentals set at the market rate should be on the market for no longer than 21 days. Once your home is available to move into – meaning all necessary repairs are complete and it’s up to a livable standard – then your vacancy should fill relatively quickly. When you begin to see vacancies beyond 21 days of availability, especially if you’re also seeing few inquiries or applications, then your home may be overpriced. 

How to Price Your Rental

Setting a price for your rental can be a difficult task, especially if you don’t have much experience with property management. However, there are some steps you can take to find the right asking price:

  • Do your research: Sites like Zillow and Redfin will provide rental estimates based on what is currently on the market, and what has recently rented in your area. This can be a great tool to use, but be careful and make sure to do your own research as well.
  • See what others are offering: Use filters on sites like Zillow, Zumper, Redfin, Hotpads, and Trulia to see what other comparable homes in your area are renting for. Pay attention to size, amenities, neighborhood, number of inquiries, and time listed. 
  • Experiment with incentives: If you’re having trouble generating interest in your property, consider adding or adjusting the incentives you’re offering. If you’re comfortable, things like pet policies or washers/dryers can make a big difference.
  • Listen to the market: While your home is listed, look for signs that your rental is over- or under-priced. Pay attention to the signs listed above, and see how the market responds to changes you make.
  • Get professional assistance: Want to get the most out of your rental property? A professional can make it easy. From listing and pricing to managing applicants and choosing tenants, an expert can take the pressure off your shoulders while keeping your property as lucrative as possible. 

Feeling overwhelmed about managing your rental property? At Zenith Properties NW, we understand the challenges that homeowners face, and we can help ease your burden. With seven consecutive Best in Business awards and a reputation for excellence throughout the Clark County WA area, you can trust us to provide hassle-free rental experience from start to finish. To learn more about how we can help, give us a call today!

Should You Allow Pets in Your Rental?

Cats in a box in an apartment

Pets can be messy. If improperly trained, they may claw and bite at furniture, soil carpets and hardwood and scratch the paint off the walls. It’s true that Man’s Best Friend can be a major pain for landlords and property managers. But did you know that 68% of American households own at least one pet? That’s over 85 million families living their lives with some kind of furry companion, with 4.8 million residing within Washington State. All of these families need a place to live, and yet only 55% of landlords allow pets. There’s a major demand for quality housing for these furry tenants and their human roommates. What are some of the benefits of allowing pets in your rental properties, and what factors should you take into consideration when deciding?

To Pet or Not to Pet

Deciding whether or not to allow pets to stay in your property is a substantial decision, and it comes with both befits and consequences. The biggest perk is that it gives you an opportunity to charge a higher rent or add an additional pet rent or deposit. Pet rent especially acts as a modest but recurring additional stream revenue stream that doesn’t require much effort. Opening your property up for animals also taps into a market many property managers choose to ignore. These tenants are usually more responsible, and they’re almost always looking for a place they can call home for an extended period of time. It can be stressful to move with a pet, and if you help them out, they will be more likely to want to return the favor.

Of course, there are also some risks. Pets can cause property damage, especially dogs and puppies with an affinity for chewing and scratching. Certain dogs may have barking problems, and both dogs and cats may leave unpleasant odors if stressed or untrained. It’s important to have a consistent, building-wide policy on whether or not your building is pet-friendly, as it’ll alert other prospective tenants of an animal presence and that there may be allergens in the common areas.

Things to Consider

You shouldn’t just add a quick tag on your listing saying that your property is pet friendly. It’s important to approach this choice with intention, and that means refining your boundaries and screening your potential tenants. You can do this by asking yourself pet-inclusive questions like the ones below: 

  • Do I need a size restriction?
  • Should I limit the number of pets in a household? 
  • Should I restrict based on breed?
  • What do I consider a responsible pet owner?

The last question is especially important, as it directly plays into the kind of tenant you allow to live in your property. You already know that you have to consider their income, credit, and previous rental history. But ask yourself – do you need them to have their pet fully vaccinated? Do they need to show proof of having the right equipment, like a leash, harness, or even toys? If they’re declaring their pet to be a service, emotional support, or therapy animal, do they have documentation to back that up?

How Zenith Properties Can Help

By now your head might be spinning with every factor you have to keep track of. If that’s the case, you’ll be glad to know that Zenith Properties NW has a way of making the process much easier for you and your tenants-to-be. We offer Screening and Management Services that allow us to find the best and most reliable tenants to occupy your properties. And our pet policy includes a pet screening, enabling our clients to rent to pet-owning tenants without putting their investments at risk. To learn more, contact us today!

Would My House Be a Good Rental?

House with a for rent sign

Investing in a rental property can be complicated, but can it also be gratifying, and profitable. There are many factors to consider, so research is vital before making any concrete decisions about whether to rent out your house. Zenith Properties NW can help you navigate the process of renting out a home you own from start to finish. Keep reading to learn the factors that determine whether your home could be a promising rental!

Rental Property Income Potential

Income potential is defined as the range of income a property has the potential to generate for the owner. It’s probably the most important element in determining whether or not renting out your home makes good financial sense. There are many variables that factor into a property’s income potential. It’s important to consider all of them to accurately calculate the home’s PIP. Here are some of the most important factors:

The Neighborhood

The only thing more important than your rental property itself is the area and community that surrounds it. The neighborhood where your rental property is located is one of the biggest factors in the potential rental price and the type of tenants you can attract. For long-term tenants, the ideal area has low crime rates, quality nearby schools, employment opportunities and many other amenities. And different tenants have different priorities in mind.

A student is more likely to want a short-term, furnished rental while caring less about the quality of the property. Families, on the other hand, are usually looking for a place they can stay in for an extended period of time.

Future Growth & Development

The future development near your property is another big factor in the desirability of your rental. If there are one or more large construction projects going on nearby, that’s a good sign that the area is experiencing healthy growth. Increased commercial development nearby can mean more amenities and/or jobs which can increase property values nearby. You may think that increased residential development means downward pressure on housing prices in the area. However, the cost of building housing today is substantially higher than 10 or 20 years ago. The further back you purchased your home, the greater the difference, i.e. potential profit, between your mortgage payment and prevailing rents in the area.

Nearby Amenities

Your future tenants will want a home that’s near the kinds of amenities that appeal to them. It helps here to know your neighborhood and everything that it has to offer. You likely already know where the essentials like gas stations or grocery stores are, but to know the base of potential tenants you should familiarize yourself with the various types of amenities nearby.

Students may want to know about the closest libraries, families, the nearest parks, and everyone will likely appreciate living near some quality dining options. Where is the nearest coffeehouse? What about state parks or recreation areas?

Weather/Natural Disasters

It’s also good to understand the potential natural disasters that could strike the region where your property is located. This can be earthquakes, tornados or hurricanes – all “Acts of God” that (along with flooding) likely won’t be covered by your homeowner’s insurance.

Experts in Rental Property Management

It can be intimidating renting out a home for the first time but it doesn’t have to be! If you have the insights of an experienced property manager guiding you, you can move forward with confidence. Zenith Properties NW is Clark County’s premier property management company. We’re staffed by professionals with years of experience helping homeowners like you turn their property into housing that’s needed in the community while providing a steady stream of income for you.

We’ve served the Clark County area for over thirty years. If you’re ready to explore renting out a home you own, contact us today to get started!