American University’s Washington College of Law is part of the city’s collection of more than 20 colleges in the Washington area, and Washington is starting to attract attention from would-be rental property investors. Photograph courtesy Flickr user NCinDC
According to Move Inc., a company that owns real-estate Web sites such as Realtor.com and Move.com, released a list of ten college cities where real-estate moguls (and aspiring moguls) should consider investing in rental property. Washington ranked fourth on that list, behind Boston, Nashville, and Chicago. Real-estate investors may be interested in these cities because housing demand is high, vacancy rates are low, and rental prices are rising, Market Watch reports. Baltimore was ranked eighth on the list.
The DC area was ranked highly because it is home to more than 20 colleges and rental prices are far outpacing mortgage payments. The average rental rate for a two-bedroom unit was $3,214, Market Watch says. A mortgage for such a unit can be secured for a median-priced unit for around $1,530 a month, meaning that landlords can make a killing on the student market in this city.
And, with the Washington Business Journal reporting as recently as August 10 that housing prices are still on the rise—up 2.7 percent from last year and 15.6 percent from the first quarter of this year—investors who buy for the short period of time their children are in college may be lucky enough to come out on top.
Washington Ranked Fourth in College Town Real-Estate Markets
A real-estate Web site company ranks college cities that are likely good places to invest in rental properties
American University’s Washington College of Law is part of the city’s collection of more than 20 colleges in the Washington area, and Washington is starting to attract attention from would-be rental property investors. Photograph courtesy Flickr user NCinDC
According to Move Inc., a company that owns real-estate Web sites such as Realtor.com and Move.com, released a list of ten college cities where real-estate moguls (and aspiring moguls) should consider investing in rental property. Washington ranked fourth on that list, behind Boston, Nashville, and Chicago. Real-estate investors may be interested in these cities because housing demand is high, vacancy rates are low, and rental prices are rising, Market Watch reports. Baltimore was ranked eighth on the list.
The DC area was ranked highly because it is home to more than 20 colleges and rental prices are far outpacing mortgage payments. The average rental rate for a two-bedroom unit was $3,214, Market Watch says. A mortgage for such a unit can be secured for a median-priced unit for around $1,530 a month, meaning that landlords can make a killing on the student market in this city.
And, with the Washington Business Journal reporting as recently as August 10 that housing prices are still on the rise—up 2.7 percent from last year and 15.6 percent from the first quarter of this year—investors who buy for the short period of time their children are in college may be lucky enough to come out on top.
Subscribe to Washingtonian
Follow Washingtonian on Twitter
More>> Capital Comment Blog | News & Politics | Party Photos
Most Popular in News & Politics
MAP: Road Closures for Trump’s Military Parade
The Smithsonian Says It Will Decide Who Runs Its Museums, Thanks; Trump’s Parade Will Close Some DC Streets for Days; and a Maryland Bear Got a Ride to a Park in Virginia
The Latest on the June 14 Trump Military Parade in DC
Man Jumps From AU Radio Tower in Apparent Suicide
Grasping for Metaphor, Reporters Flock to Burning DC Garbage Can
Washingtonian Magazine
June Issue: Pride Guide
View IssueSubscribe
Follow Us on Social
Follow Us on Social
Related
The Culture of Lacrosse Is More Complex Than People Think
Did Television Begin in Dupont Circle?
Kings Dominion’s Wild New Coaster Takes Flight in Virginia
What’s the Deal With “Republican Makeup”?
More from News & Politics
Man Jumps From AU Radio Tower in Apparent Suicide
Unelected Storms Menace Trump’s Tank Parade, Kennedy Center Boss May Run for California Governor, and WorldPride Tourism Didn’t Meet Expectations
Guest List: 5 People We’d Love to Hang Out With This June
Troops for the Military Parade Are Sleeping in Office Buildings. DC Police Are Recruiting Outside.
Two Days After He Ascended, a Man Remains on a Radio Tower on AU’s Campus
The Inside Story of How Drag Queens Got Into the Kennedy Center to Protest Trump’s Appearance
Trump Got the Best Boos at the Kennedy Center, Musk’s Penance Tour Begins, and We Found Terrific Bolivian Food in Falls Church
MAP: Road Closures for Trump’s Military Parade