The Washington DC real estate market is always growing, and it’s really no surprise. The nation’s capital is a treasure trove of opportunity, and there are so many people jumping to get a chance at theirs. With the hustle and bustle of the economy in DC, it might seem like a great idea to buy up a bunch of real estate, and it really is. The huge rent numbers that are common throughout the city mean there is a lot of headroom for those looking to provide rental properties to the community.
Before you start snagging all the real estate you can find in the DC area, there are a few things you need to know. We are going to look at what it takes own rentals in DC, and the best ways to make sure people want to rent them. Remember, the goal here is to make money with your property investments, and not having spots filled will hurt that profit margin or put it in the red. So, let’s take a look at what you need to know about the Washington DC real estate market.
Amenities Are Important
When you are looking for the best places to buy, you really want to pay attention to amenities that are provided with the place. You want to make sure you have something beyond the space itself to advertise.
So, what’s the best amenity to look for when you are trying to buy real estate in Washington DC? The most sought after amenity for people living in Washington DC is on-site laundry. Whether it’s in the home, unit, or on the premises, you can keep renters flocking to your properties by simply having what they want. What they want is to be able to do laundry without having to haul their dirty laundry down to the laundromat.
Another important amenity to look for is on site parking. Whether it’s a parking garage that the property grants residents access to or direct parking on the street, you can make your renters happy by simply providing parking. Now, in a big city, not all renters will have a vehicle, and they will instead opt to use public transportation. This parking spot will still come in handy as the renters can use the space for guests.
Finally, if you are trying to buy apartments, you will want to look for properties with bedrooms. Yes, there are a lot of people who will opt for the 0 bedroom studio-style apartments, but having bedrooms will bring more opportunity for you and renters.
Location, Location, Location
Location is everything, especially in the big city. Washington DC is no different, and the location can affect a lot of your buying potential, and the price that you can rent the spot for.
It’s nice to have a lot of properties in one area, but you have a greater potential to keep your spots filled if they are spread throughout the city. Why? Because having properties around the city can come in handy when your best tenants have to leave due to relocation around the city. Since Washington DC has very long commutes, people will ofter move their place of residence to be closer to the areas they work. If you are losing a tenant due to this exact reason, you might be able to keep them if you have a place close enough to where they work. Since they know you as a landlord, they will probably take the option to stay with your apartments if they can, especially if you are willing to transfer their leases from one spot to another without penalty.
Since you are responsible for your tenants’ safety too, you will really want to visit all the locations that you are looking to buy up. The best option is to visit at least 3 times: once in the morning, once in the afternoon, and once at night. You want to get a feel for the areas, so you can answer questions for potential tenants. The safer areas tend to have higher pricing, but that goes both ways. Since your apartment cost you more to buy, you can typically rent it out for more. Just make sure your rent to value ratio is good enough to supplement your mortgage, repairs and additional costs without having to pitch an insane monthly rent to tenants.
Strong Real Estate Sense is a Must for Real Estate Success in DC
If you really want a great sense of where to buy so you can rent your space, you might want to work with a real estate broker dc. Since brokers have more access in the world of real estate, they will be able to help you find the best places in the best areas. Do you want to target growing areas? Real estate brokers can help you find the best areas in DC to swoop up that potential. Looking for estabilished and safe areas to buy? Once again, the broker will be able to give you insight on where to look. Their commission rate will be well worth it in the end, as they can even help you find the right tenants should you want their help to do so. If you don’t have a strong real estate sense for the DC market, you should work with someone who does.