Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,220 |
| 1 Bedroom | $2,310 |
| 2 Bedrooms | $2,560 |
| 3 Bedrooms | $3,260 |
| 4 Bedrooms | $3,840 |
| 5 Bedrooms | $4,454 |
| 6 Bedrooms | $4,988 |
| 7 Bedrooms | $5,387 |
| 8 Bedrooms | $5,656 |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 20742 is set for an intriguing period over the next 12-24 months, particularly for Section 8 landlords and small-portfolio investors. The median home value is currently listed as N/A, which suggests a lack of recent sales data and potentially indicates a less active market. This could be due to various factors, including seasonality, economic conditions, or local regulations.
With N/A% of listings being reduced, it's clear that sellers are finding it challenging to achieve their initial asking prices. This trend points towards a buyer's market where tenants and investors have more leverage to negotiate terms. The N/A-day median Days on Market (DOM) further supports this conclusion, indicating that homes are taking longer to sell, giving buyers more time to explore options and make informed decisions.
On the rental side, the Fair Market Rent (FMR) for ZIP 20742 is projected at $1800 for fiscal year 2024. This figure represents the benchmark for determining the maximum rental assistance payment for Section 8 vouchers. However, the current market rent stands at N/A, which means there is either insufficient data or the market rent is closely aligned with the FMR. In such a scenario, landlords should aim to keep their rents competitive but also consider the potential for slight increases if the market rent begins to exceed the FMR.
For long-term hold investors, the setup implies a cautious approach to appreciation expectations. Given the limited data on median home values and the high percentage of reduced listings, it's unlikely that significant price appreciation will occur in the short term. Instead, the focus should be on maintaining stable cash flows through rental income and possibly modest rent adjustments as the FMR changes.
The combination of reduced pricing power, extended DOM periods, and stable rental benchmarks suggests that the market in ZIP 20742 is currently balanced towards stability rather than rapid growth. Investors should prepare for a steady but conservative outlook, ensuring that they can weather any potential downturns while benefiting from the consistent demand for affordable housing.
Data Sources: FMR data from HUD (2027). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.