Investing in real estate can be a great way to set up passive income streams or to move into a career where you can be your own boss. If you’re trying to get into investing, you might have your eye on Washington, D.C. But the capital can be expensive and somewhat unfriendly to landlords.
Investing in apartments in Bethesda MD can give you access to the rental market of D.C. without all the hassle. Read on to learn about this gorgeous suburb and why it’s a great choice for both you and your tenants.
Current Market Trends
Houses in Bethesda, Maryland, are on the higher end of the price range list, but they’re still selling for well over the asking price. Many homes are listing for around $1.1 million and selling for a whopping $200,000 more than that. Homes tend to sell for about $424 a square foot and have a median size of just under 2,600 square feet.
Right now, Bethesda is a seller’s market, although not overwhelmingly so. The market has been see-sawing a bit since March of last year, and as recently as February of this year, they were selling for less than the list price and listing under $900,000. But homes are closing in an average of thirty-eight days, so if you find a rental property you like, don’t hesitate to put in an offer.
Why Invest Here?
With housing prices so high in Bethesda, you might wonder why you should invest in this city. The answer, you might be surprised to learn, is the same reason prices are so high. Because Bethesda is so close to Washington, D.C., it’s a very desirable place to live, especially for professionals working in the city.
Bethesda gives you an opportunity to tap into the rental market of D.C. without the yet-higher prices in the district itself. You can expect a higher-end clientele here, so you won’t have as much trouble with bad renters. And few places experience steady growth to the degree our nation’s capital does.
Why Live Here?
As a landlord, in addition to knowing why you should invest in Bethesda, you’ll have to know why your tenants should live here. This will be a core part of your marketing strategy as you start advertising your apartment. And in many cases, renting someplace you can see the appeal in living will turn up more and better tenants anyhow.
Bethesda, Maryland, offers the best of all worlds when it comes to small-town charm and big-city convenience. The city has been described as “a world in one neighborhood” and is home to a staggering amount of ethnic restaurants and artistic haunts. There are summer concerts, art contests, farmers’ markets, and so much more in this thriving city.
Getting to D.C.
One of the other major perks of living (and investing) in Bethesda is its proximity to D.C. If your tenants drive, they can drive to the D.C. city center in less than twenty-five minutes. Depending on how far into the city they work, they may even be able to ride their bike to work in a reasonable time.
Best of all, though, the Red Metro Line runs through Bethesda and has a stop that can take you right to the city center. From the Red Line, you can also connect to many of the other Metro lines that will carry you anywhere in D.C. And depending on what time of day you go, you could be in D.C. in under thirty minutes on the Metro line.
We mentioned that, right now, prices in Bethesda are hovering above the $1 million mark. This price has actually dropped a little bit since the housing market frenzy we saw sweep the country last summer. But we’re actually seeing prices go back up from a serious drop at the beginning of this year.
The Bethesda housing market hit a peak in July of last year when homes were selling for close to $1.3 million. From there, they declined steadily until February of this year, when they were selling for just $850,000. But as the housing market has heated back up, prices have skyrocketed again and will likely stay high through the remainder of the summer.
If you’re going to spend a million dollars getting a home or apartment to rent, you need to know that you’ll be able to get a good return on that investment plan. Rent can vary widely depending on what sort of property you’re looking at investing in. In general, rent costs start at around $1,200 but can soar to nearly $9,000.
As of this writing, the average rent in Bethesda is between $2,200 and $2,500 for a standard apartment. If you buy a separate house, you’ll be able to charge more, and the same goes for larger apartments. If you’re looking for more affordable first-time investment options, you may need to drop that price closer to $1,500 to $1,800.
Invest in Apartments in Bethesda MD
Bethesda, MD, is a gorgeous D.C. suburb that offers a fantastic culture, easy access to the city, and gorgeous homes. As a landlord, you’ll get to work with tenants who are in the professional class of D.C. And your tenants will get to enjoy all the charm and conveniences this nearby suburb has to offer.
If you’d like to start investing in apartments in Bethesda MD, check out the rest of our site at Nomadic Real Estate. We provide leasing, management, sales, and most importantly, peace of mind. Check out our real estate sales services and discover our unique approach to property management.