I lived in Capital Hill for over a year. I've seen someone smoking crack on the back of a bus and needles dropped on buses. I stepped over the same homeless people on the way to work every day ... I left long before CHAZ (but my apartment would have been on the border of it).
There were a few good people, but most people I met were pretty shitty and lived in their own, super easily offendable, fantasy world.
It doesn't rain as much as people think, but the weather is still shit. You have to wear a jacket some nights in May. It never gets really cold, but it never gets really warm either.
There are some amazing cycle rides and I'd often take the trails all the way up to Redmond and back. It's sad parts of Seattle are so beautiful and the city is run by, and inhabited by, total fucking idiots. From your description, it's gotten considerably worse with no hope of turning around this decade.
4/10 would not live again.