When deciding between renting an apartment or buying a house in Federal Way, it’s important to consider the full picture of monthly costs and lifestyle factors. As an urban lifestyle expert, I’ve broken down the key differences to help you make an informed choice in this vibrant Pacific Northwest city.
Apartment vs House in Federal Way: Pros & Cons
Start by weighing the general advantages of each housing type:
Apartments:
- Lower upfront costs and no down payment
- Included amenities like gym, pool, covered parking
- No maintenance or yard work
- Flexibility to move more easily
Houses:
- More space and privacy
- Ability to personalize and renovate
- Potential to build equity and wealth
- Often pet-friendly with private yard
Of course, these benefits come with tradeoffs in cost and responsibility. Let’s dive into the details of what you can expect to pay each month for an apartment or house in Federal Way.
Renting vs. Owning in Federal Way: What You’ll Pay
Housing costs are a big part of how much it costs to live in Federal Way each month. Renting a 2-bedroom apartment typically ranges from $1,600 to $2,200 per month, with an average of around $1,900. For a 3-bedroom house, expect to pay between $2,300 and $3,000 monthly, averaging about $2,600.
The average rent for a 3BR house in Federal Way is $2,600 per month. This cost has increased by roughly 8% over the past year, though more affordable options can still be found in neighborhoods like Twin Lakes and Lakeland North.
For homebuyers, the median home price in Federal Way is currently $540,000. With a 30-year fixed mortgage at 3.5% and 10% down, that translates to a monthly payment of around $2,200 (not including taxes and insurance). However, this builds equity over time, rather than going toward a landlord’s pockets.
Table: Cost Comparison – Apartment vs House
Here’s a side-by-side breakdown of common monthly costs in Federal Way:
| Expense | 2BR Apartment | 3BR House |
|---|---|---|
| Rent/Mortgage | $1,900 | $2,600 |
| Utilities (Water, Electric, Gas) | $120 | $250 |
| Internet & Cable | $80 | $120 |
| Renter’s/Homeowner’s Insurance | $15 | $80 |
| Maintenance & Repairs | $0* | $200 |
| HOA Fees | $0* | $250** |
| Total | $2,115 | $3,500 |
*Included in rent
**If applicable, varies by community
Estimates are for mid-range units with typical usage.
Utility and Upkeep Differences
In addition to the base rent or mortgage, factor in these variable expenses:
- Water/Sewer: Often included for apartments, but houses can see bills of $80-150/month.
- Electricity: Higher in houses due to more space, plus A/C in summer. Expect $100-200/month.
- Natural Gas: Used for heating, cooking, laundry. Budget $50-100/month for a house.
- Trash/Recycling: Frequently covered for apartments, but runs $20-40/month for houses.
- Lawn Care: Not applicable to apartments. For houses, DIY or pay $100+ per month.
- Maintenance: Repairs are the landlord’s responsibility with apartments. Homeowners should save 1-2% of the home’s value annually for upkeep.
These expenses add up quickly for houses, easily topping $500/month. Apartments offer more predictable, controlled utility costs in Federal Way.
Lifestyle Tradeoffs
Financials are only part of the equation. Consider how these factors align with your lifestyle:
Space: Houses offer more square footage and storage, plus private outdoor areas. Apartments are generally smaller, but some include balconies or patios.
Location: Apartments are often centrally located near shops, restaurants, and transit. Houses are typically in more residential areas, requiring a longer commute.
Community: Apartment complexes foster social interaction with shared amenities and events. Houses provide more privacy and independence.
Pets: Many apartments charge pet rent or restrict breeds/sizes. Houses give more flexibility, but you’ll need to walk your dog regularly.
Parking: Apartments may include a garage or assigned space. Houses usually have private driveways and garages.
Many Federal Way residents choose apartments for the walkability and included amenities, while families often prefer houses for the yard space and room to grow. Ultimately, the right choice depends on your budget, goals, and how you want to live.
Which Is Cheaper Long Term in Federal Way?
While renting an apartment may have a lower monthly cost, buying a house can be more economical over time. Let’s simulate the total expenses over 5 years, assuming 3% annual increases:
| Year | 2BR Apartment | 3BR House |
|---|---|---|
| 1 | $25,380 | $42,000 |
| 2 | $26,141 | $43,260 |
| 3 | $26,926 | $44,558 |
| 4 | $27,733 | $45,895 |
| 5 | $28,565 | $47,271 |
| Total | $134,745 | $222,984 |
The house costs $88,239 more over this period. However, $112,000 of the mortgage payments went toward the loan principal — building equity the owner can recoup when selling. Considering this, the actual unrecoverable cost of ownership is lower than renting long-term, even with maintenance factored in.
Of course, this scenario assumes you can afford the substantial upfront costs of buying a home. Saving for the down payment, closing costs, moving expenses, and furnishings is a significant barrier for many. Renting remains attractive for its lower move-in costs and greater flexibility.
FAQs About Housing Costs in Federal Way
How much more does a house cost per month?
On average, a house in Federal Way costs about $1,000 more per month than an apartment when you include the mortgage, taxes, insurance, utilities, and maintenance.
Do houses always have higher utility bills?
Yes, houses typically have higher utility costs due to more space to heat and cool, plus water for landscaping. Expect to pay $200-500 more per month compared to an apartment.
Are apartments still cheaper with pet fees?
Even with pet rent and deposits, apartments are usually less expensive than houses when you factor in the other savings on utilities, maintenance, and amenities.
Making the Right Housing Choice in Federal Way
Choosing between an apartment and a house in Federal Way is a multifaceted decision that goes beyond the monthly rent or mortgage payment. Consider your lifestyle needs, location preferences, and long-term financial goals.
If you value flexibility, convenience, and included amenities, renting an apartment may be the way to go. You’ll save on monthly expenses and avoid the added costs and labor of maintenance.
If you’re ready to put down roots and build equity, buying a house can be a smart financial move. You’ll have more space, privacy, and control, but be prepared for higher monthly bills and upkeep responsibilities.
Whichever option you choose, be sure to budget accordingly and understand the full costs, including property taxes, insurance, and HOA fees. With careful planning, you can find the perfect home to match your means and lifestyle in beautiful Federal Way, WA.