According to recent US Census data, Washington DC’s population grew 14.6% over the previous decade. Why are people flocking to Washington DC? It’s full of culture and well-paying job opportunities.
Are you ready to pack your bags and begin a new life in the fragrant cherry blossom air of the nation’s capital? Before you move, there are some facts you need to know about DC real estate.
Read on to get the real estate information you need before planning your move.
Buying a House in DC
Buying a home in DC is a proven investment. Property values show a steady rise, with a recent spike of over 24% for single-family homes.
If you want to buy a house in DC, however, you better be prepared to pay. Last year, the median price of a single-family home within the District’s borders rose to over $1 million. Contributing to those high prices were the low COVID-19 mortgage rates.
Demand swelled and inventory shrunk, and the prices rose. Though the market will eventually stabilize, it is hard to imagine a dramatic price drop. DC properties, like most other major cities, are prime real estate.
When housing prices rise, rents often follow. As DC housing prices continue their steady rise, rents move in the opposite direction. If you’re planning a move, you may save money renting.
Class A Apartment Vacancies
DC Class A apartments are new constructions with luxury amenities. As COVID-19 raged during 2020, many of the people living in these complexes moved out.
Across the District, the people who lived in these apartments moved away. Young professionals who could work from home no longer needed to be near the office. Well-to-do college students who saw their classes switch to virtual learning packed up and moved back home with their parents.
Last year, the average rent for these apartments fell from $2,669 to $2,387 per month. As rents drop in these luxury apartments, so do the rents for other properties. DC landlords in many neighborhoods are now eager to find renters.
Best Places to Rent in DC Metro
The drop in rental prices expands your rental options if you’re planning a move to DC. Exclusive neighborhoods like Capitol Hill, Georgetown, and Foggy Bottom are now cheaper to live in than ever.
More residential areas like Edgewood and Woodley Park are also more accessible to those with more modest incomes. If you’re ready to apartment hunt, learn more about the hottest neighborhood rentals DC has to offer.
DC Real Estate is a Tale of Two Markets
Housing prices continue their meteoric rise while rental properties continue their decline. Though experts predict the rental market to stabilize as we move past COVID-19, right now is a great time to be a renter in DC.
If you have the money, DC real estate should prove to be a robust investment. Our nation’s capital will always be a place people flock to, and because of this, housing prices should continue to rise.