invest in rental property in DC

[Anonymous]

I recently sold a rental property that I had in DC. A one bedroom condo in the Logan/Dupont area. We had very good tenants, but in the end the return just didn’t justify the investment. We ended up selling the place and taking the money and putting it into the market. We are doing much better financially that way, with much less hassle.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Draw even, at best. Don't buy a condo WOTP or Center City now.

I've offered my unwelcomed advice on places under $300k to invest over the last ten years including Brightwood Park, Woodridge, Brentwood, Deanwood, Barry Farms, and everyone has laughed. I'll take my revenue generating to the college tuition bank.

Three of the five places you mentioned have a murder rate I wouldn't touch with a ten-foot pole. Brightwood Park is one of the most un-metro accessible parts of D.C. aside from Georgetown. Woodridge, VA is practically in Richmond.

None of those places sound reasonable and I have to wonder what your tenants are like. Do you take Section 8? Do you have a housing manager? Do you do it all yourself?

Brightwood Park is bordered by the Fort Totten Metro stop. I know because my kid attends school in BP and takes the Metro there every day.

Also it's Woodridge (next to Brookland), not WoodBridge as in the exurbs in VA. You have a lot of opinions for someone who doesn't know a ton about DC these days.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Draw even, at best. Don't buy a condo WOTP or Center City now.

I've offered my unwelcomed advice on places under $300k to invest over the last ten years including Brightwood Park, Woodridge, Brentwood, Deanwood, Barry Farms, and everyone has laughed. I'll take my revenue generating to the college tuition bank.

Three of the five places you mentioned have a murder rate I wouldn't touch with a ten-foot pole. Brightwood Park is one of the most un-metro accessible parts of D.C. aside from Georgetown. Woodridge, VA is practically in Richmond.

None of those places sound reasonable and I have to wonder what your tenants are like. Do you take Section 8? Do you have a housing manager? Do you do it all yourself?

No, dummy. https://en.wikipedia.org/wiki/Woodridge_(Washington,_D.C.)

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Draw even, at best. Don't buy a condo WOTP or Center City now.

I've offered my unwelcomed advice on places under $300k to invest over the last ten years including Brightwood Park, Woodridge, Brentwood, Deanwood, Barry Farms, and everyone has laughed. I'll take my revenue generating to the college tuition bank.

Three of the five places you mentioned have a murder rate I wouldn't touch with a ten-foot pole. Brightwood Park is one of the most un-metro accessible parts of D.C. aside from Georgetown. Woodridge, VA is practically in Richmond.

None of those places sound reasonable and I have to wonder what your tenants are like. Do you take Section 8? Do you have a housing manager? Do you do it all yourself?

Brightwood Park is bordered by the Fort Totten Metro stop. I know because my kid attends school in BP and takes the Metro there every day.

Also it's Woodridge (next to Brookland), not WoodBridge as in the exurbs in VA. You have a lot of opinions for someone who doesn't know a ton about DC these days.

You mean that border strip on PG county’s left? Even worse.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Draw even, at best. Don't buy a condo WOTP or Center City now.

I've offered my unwelcomed advice on places under $300k to invest over the last ten years including Brightwood Park, Woodridge, Brentwood, Deanwood, Barry Farms, and everyone has laughed. I'll take my revenue generating to the college tuition bank.

Three of the five places you mentioned have a murder rate I wouldn't touch with a ten-foot pole. Brightwood Park is one of the most un-metro accessible parts of D.C. aside from Georgetown. Woodridge, VA is practically in Richmond.

None of those places sound reasonable and I have to wonder what your tenants are like. Do you take Section 8? Do you have a housing manager? Do you do it all yourself?

Brightwood Park is bordered by the Fort Totten Metro stop. I know because my kid attends school in BP and takes the Metro there every day.

Also it's Woodridge (next to Brookland), not WoodBridge as in the exurbs in VA. You have a lot of opinions for someone who doesn't know a ton about DC these days.

You mean that border strip on PG county’s left? Even worse.

You need to give up.

[Anonymous]

Anonymous wrote:Thinking investing an apartment to rent out in DC

https://www.redfin.com/DC/Washington/1300-Massachusetts-Ave-NW-20005/unit-505/home/21488349

looks neat! any ideas?

Don’t buy a co-op hoping to rent it out.

[Anonymous]

No way, not in Dc. What do you do when your tenant pays you $1 a month and refuses to leave?

[Anonymous]

I had tenants before at my place, all students in 2 year master programs. paid on-time. never had an issue.
but co-op is an issue, indeed.

[Anonymous]

If you’re looking to buy rental properties in “up-and-coming” neighborhoods with problems with crime just buy in Baltimore, where you can get a lot more return on your investment. I bought a house for less than $200k in Remington that has a $1,000 mortgage that I’m renting for $1,750. There is nowhere in DC that I know of where you can get that kind of ROI.

[Anonymous]

Anonymous wrote:If you’re looking to buy rental properties in “up-and-coming” neighborhoods with problems with crime just buy in Baltimore, where you can get a lot more return on your investment. I bought a house for less than $200k in Remington that has a $1,000 mortgage that I’m renting for $1,750. There is nowhere in DC that I know of where you can get that kind of ROI.

Yeah. To be a good investment house you never pay more than 100x monthly rent.

Also make sure you put it into a LLC. Not your name.

[Anonymous]

Anonymous wrote:

Anonymous wrote:If you’re looking to buy rental properties in “up-and-coming” neighborhoods with problems with crime just buy in Baltimore, where you can get a lot more return on your investment. I bought a house for less than $200k in Remington that has a $1,000 mortgage that I’m renting for $1,750. There is nowhere in DC that I know of where you can get that kind of ROI.

Yeah. To be a good investment house you never pay more than 100x monthly rent.

Also make sure you put it into a LLC. Not your name.

If you put it into an LLC in DC and it was built before 1975, you can't exempt it from rent control.

OP, if you think you want to be a landlord in DC spend a few hundred dollars for a consultation with a landlord-tenant lawyer. Go to landlord-tenant court one day and look at the attorneys who do so much business there that the court has set aside specific offices for them to meet with opposing parties, and pick one of them to talk to.

Prepare to deal with OTR (personal property + income taxes), DCRA (inspection), DHCD (rent control exemption), and DOEE (lead abatement) at a minimum. Being a landlord can be good money, but it's not easy money and it comes with a lot more risks than a CD or a mutual fund or a REIT.

[Anonymous]

Anonymous wrote:If you’re looking to buy rental properties in “up-and-coming” neighborhoods with problems with crime just buy in Baltimore, where you can get a lot more return on your investment. I bought a house for less than $200k in Remington that has a $1,000 mortgage that I’m renting for $1,750. There is nowhere in DC that I know of where you can get that kind of ROI.

Except then you're dealing with a city that's circling the drain. Every time Baltimore gets a little worse that I thought was even possible.

Last week the mayor resigned by text message. Didn't even show up to say a word to her people or the city.

https://www.baltimoresun.com/news/maryland/politics/bs-md-ci-pugh-silverman-20190501-story.html

This week Johns Hopkin's hired its own private police force - what is this Kabul?

https://www.baltimoresun.com/news/maryland/education/higher-ed/bs-md-jhu-sit-in-wednesday-20190508-story.html

[Anonymous]

Anonymous wrote:

Anonymous wrote:If you’re looking to buy rental properties in “up-and-coming” neighborhoods with problems with crime just buy in Baltimore, where you can get a lot more return on your investment. I bought a house for less than $200k in Remington that has a $1,000 mortgage that I’m renting for $1,750. There is nowhere in DC that I know of where you can get that kind of ROI.

Except then you're dealing with a city that's circling the drain. Every time Baltimore gets a little worse that I thought was even possible.

Last week the mayor resigned by text message. Didn't even show up to say a word to her people or the city.

https://www.baltimoresun.com/news/maryland/politics/bs-md-ci-pugh-silverman-20190501-story.html

This week Johns Hopkin's hired its own private police force - what is this Kabul?

https://www.baltimoresun.com/news/maryland/education/higher-ed/bs-md-jhu-sit-in-wednesday-20190508-story.html

It doesn’t matter. Remington borders JHU’s Homewood campus and until JHU and other Baltimore institutions and businesses pack up and leave town it will still be a good rental market. Hell, even if they leave it still will be because Baltimore is 35 miles from DC. Anyone who is serious about building a rental portfolio would be a fool to invest in DC over Baltimore. You can barely cover your mortgage by renting places out at current DC prices.

As for Pugh, after the riots rental prices in Baltimore were still high. It is a very tough, resilient city, filled with a lot of grit and pride. It will be fine.