Financing Your DC Fix And Flip Or New Construction
DC continues to be a steady choice for real estate investments given the nature of the area- population growth and raising wages are consistent, making it a competitive yet reliable market for investing. Fix and flips, as well as new construction, are plugging holes in the inventory shortage and taking advantage of the hot seller’s market. As of December 2020, the average home sale price in DC is $640,650 which is approximately a 2% from the previous year and a slight drop from the 5-year-high from the month before. The number of homes sold throughout December reached 930 which is over 20% increase from the previous year, with homes staying on market for an average of 39 days.
Rental Investments In The District
The District has always been a hot-spot for rental investments and that continues today. The regular influx of new residents allows for a healthy rental market with the average vacancy rate for 2019 being 5% and over 56% of the population renting rather than owning home. The average monthly rent for the area is $2,063, which is approximately 50% higher than the national average. If you’re an investor that wants to invest in their first rental property or are looking for another buy and hold to add to your rental portfolio, Washington DC is a prime location to scout.