You are here: Home / Condos / Two Cheap Expensive Rentals

Two Cheap Expensive Rentals

September 1, 2012 By 3 Comments

Yes, I meant the contradiction in the headline. The two rentals below are definitely not for the average renter at $3,750/mo and $4,650/mo. But do the numbers and they’re cheap for what you get, at least compared to buying them outright.

First, a gorgeous contemporary home in Leschi with sweeping views of Lake Washington and the Cascades. You get 4380 square feet, with 3 bedrooms and 4 baths. There’s an entertainment room with full access to the roof top deck that has its own fireplace.

Leschi32 Two Cheap Expensive RentalsLeschi21 Two Cheap Expensive RentalsLeschi11 Two Cheap Expensive Rentals

The home is currently up for sale at $1.4 million (it sold for $1.6 in Dec. 2008). I assume there haven’t been too many offers so the seller has put it up for rent at $3,750 month. That’s how much you would have to pay just to cover the interest on a 30-year mortgage. By renting, you don’t have to pay property taxes or surrender the 20% down payment.

Then, there is a penthouse unit at the Olive 8 for rent. You get two bedrooms, two baths in 1,600 square feet. While I think most of the advertised views at the Olive 8 are overrated, this one looks fairly high up. And the finishes are high-end.

t Two Cheap Expensive RentalsOlive1 Two Cheap Expensive RentalsOlive2 Two Cheap Expensive RentalsOlive3 Two Cheap Expensive Rentals

If you want it to buy it, you’re probably looking at $700,000 to $800,000. That would take you pretty close to $4,500/mo in total payments. It’s renting for $4,650. Not as great of a deal as the Leschi house. But with both units, you can live in spectacular style without a substantial commitment. If I had to pick, it would be difficult. I would be torn between the spaciousness of the Leschi house versus the great location of the Olive 8 penthouse. Which one would you choose? Do you agree with the math?

Filed Under: Condos, Downtown, Houses, Leschi, Olive 8 Views: 1,163
About Bernard
  • Alex McKelvey

    That Olive 8 unit is not a penthouse (the listing only describes the finishes as “penthouse like”), it’s actually on the 18th floor and the building is 39 stories. Still quite nice but my guess on the price to buy the unit outright would be closer to 850k

  • Bernard

    Thanks Alex. Good catch. I’ve updated the post. It did seem too good to be true.

  • http://www.facebook.com/sam.cunningham.5245 Sam Cunningham

    I would take the contemporary home in Leschi. So much more space- great views and still only 10 minutes from downtown. It is interesting to see more sellers leasing out their homes even at these higher rental amounts.It’s showing that the majority of the homes currently on the market aren’t despearte to sell. It seems we have gone through that dip and for the most part short sales and forclosures have been absorbed.