Investment properties are a usually safe and sound way to save money for retirement and generate a new source of income. If you’re in Washington, DC and looking for investment properties, then you know that the market is hot and renters are looking for great homes.
Whether you’re new to investment properties or an old pro, here’s what you need to know about the DC market right now and the best area to start investing.
What to know about the DC market
Washington, DC is consistently ranked as one of the hottest markets in the country, and it’s also ranked high in average rent. Though you will certainly need the capital to buy an investment property, there’s a good chance that you’ll be able to find renters easily and turn a profit each month when rent is collected.
Home values vary across the city. Some neighborhoods have more reasonable prices near $250,000, but there are at least 12 neighborhoods with median sale prices at over $1 million, according to the most recent data from Auction.com.
Best areas in Washington, DC for investment properties
If you’re looking for the best areas in Washington, DC for investment properties, here are the ones to check out first.
No doubt Adams Morgan is a very popular neighborhood in Washington, DC. A diverse area with a killer nightlife scene, this vibrant neighborhood is home to tons of cool bars and restaurants that attract college students and young professionals. The area is also highly walkable, and many residents end up ditching their cars for bikes or public transit.
In Adams Morgan, you’ll find great apartments that will be in high demand and don’t always need a lot of work before renting. Sale prices usually hover around $600,000, according to Realty Biz News.
Who would’ve thought that an area known for its churches and monasteries would become such a popular destination for many renters in Washington, DC? Often referred to as “Little Rome” because of the many beautiful churches in the area and Catholic University, Brookland is also known for its many art galleries and funky shops.
The area is much quieter than other DC neighborhoods, and has many older homes on tree-lined streets. According to Auction.com, there are many fixer uppers and flips in this area, and because it has so many trans and buses coming through, it’s an accessible area to students, young professionals and families. The medium home price is roughly $502,000 and the median sale price is $512,000.
An up-and-coming neighborhood, Trinidad offers a location that can’t be beat. Although not particularly known for its nightlife, the neighborhood is so close to all the nightlife on H Street as well as the always popular Union Market, and with easy access to the Red Line, residents can hop around the city as they please.
Right now, you’ll find a lot of homes in need of some TLC in Trinidad, but if you’re good with your hands or know people who are, then there’s a great opportunity to buy a home, lease it and build equity into your home. The latest from Auction.com says the median sale price for the neighborhood is $517,000, but the median home value is about $367,000. That means there’s real room for growth opportunities here.
Located in the northeast corner of the city, Woodridge gives off a slight suburban feel, which isn’t surprising considering that it borders the edge of the city. Although a quieter neighborhood, it’s also right next to Brookland, which means residents can easily get to all the great art galleries and venues without having to live near so much noise.
Many of the homes in Woodridge were built in the early 20th century, so you’ll find lots of craftsman and bungalow homes here. Home sale prices in the Woodridge area clock in at about $600,000.
Ready to find that perfect investment property — and someone to run it for you? Contact the professionals at Atlas Lane to get started building your property portfolio right away.