Washington, D.C., is in a state of constant change with new projects announced every week. As new projects come, so too do neighborhood real estate prices fluctuate.
This year, the Washington, D.C., neighborhood that has undergone the most change, according to Walnut Street Finance CEO Bobby Montagne, is Trinidad. This Northeast neighborhood’s proximity to NoMa and H Street Corridor has driven up homebuyers’ desires for the area. This should be of no surprise, though, as Steve Centrella, a Redfin agent, told Curbed DC in December 2016 that Trinidad was expected to be one of 2017’s most popular neighborhoods for flipping.
As the new year approaches, it’s time to make some predictions about which D.C. neighborhoods could see a resurgence. Montagne has a few ideas as to which areas may see the most flipping, gut renovations, and increases in prices.
What they all have in common, according to Montagne, is that they were once deemed “edgy” with higher crime rates, few grocery options, and “old and tired” retailers. Soon, they will be deemed up-and-coming, thanks to their affordable housing and great housing stock.
With these predictions, Montagne said, “The early movers in [these] neighborhoods will be rewarded handsomely.”
Five years ago, visitors of this neighborhood would have been “reluctant” to move there because “generally, there’s nothing to do there,” said Montagne, adding, “It wouldn’t have felt safe to move there with young children and try to raise a family there.”
Now, Montagne believes that Deanwood is one of the best D.C. neighborhoods for first-time home improvement projects. This year, Redfin ranked this neighborhood as one of the 10 “hottest” U.S. neighborhoods of 2017. With access to two Metro stations, this residential neighborhood offers a small town feel with 31.4 percent of homes sold above the listing price. There is also a lot of development on the way with a new town center planned and the historic Strand Theater expected to be renovated.
This Southeast neighborhood has a lot going for it. It’s even been the home of former mayors Marion Barry and Vincent Gray. According to an article published by real estate blog UrbanTurf in 2011, "Hillcrest feels a little like an island" in how it's filled with tree-lined suburban streets.
There are few to no commercial options or restaurants in the actual neighborhood, but Montagne says that the housing stock is diverse and ripe for redevelopment. Currently, the median sale price is $505,000, under the city’s median sale price of $555,000.
Adjacent to Deanwood, this area is still very affordable, with a median listing price of $315,000. Earlier this year, Hillbrook was anticipated to be 2017’s fastest growing neighborhood of the year, according to Zillow. In the first half of the year, median home values jumped more than 20 percent.