Hip Hop Hot Spots

Real Estate For The Young Professional Crowd

Many young professionals say that they are more focused on paying off debt than buying property. But some realtors’ advice is to make buying property a priority.

With reports of stagnant incomes, inflated prices and bankrupt businesses, the American economy is spiraling into a feared recession, but realtors in D.C. are saying the real estate market in the capital city has not been affected.

"Sales are not down in D.C. in general.. If things are priced appropriately then property moves accordingly," says Long and Foster realtor, Andi Fleming. "When people get a little greedy and price things higher, then that's when they take a longer time to sell, if they sell at all."

Being appropriately priced is what buyers say they hope for: no one wants to over pay, even if they do have extra money to burn. For recent college grads in their first or second job with post-college debts still pending, there isn't usually much money to make sound investments.

Nonetheless, realtors are naming four affordable "hot spots" in D.C. for the budding young professional.

The H Street Corridor in Northeast, the Columbia Heights district in upper Northwest, Waterfront in Southeast and Eckington in downtown top the list of places to be.

The H Street Corridor, labeled by realtors as "So Flo" because it's south of  Florida Avenue , includes everything from Union Station to Hechinger Mall.

Look first to the H Street Corridor, says Fleming. "The technical name for this area is ' Old City .' [Where] it runs from Union Station to the [Hechinger] mall and even a little further down towards Eastern Market is an entry level area," says Fleming.  "A buyer probably will be more likely to find really nice and affordable condos in that area."

Along with amenities like Amtrak, Greyhound, Metro and the shops at Union Station, the area offers quick access to the Baltimore-Washington Parkway , and is the location of many historic city events such as the "H Street Festival."

The area is decorated with eateries, theaters and shops, all outlined by colonial streets and alleyways. The area is only a five to 10 minute commute from the center of  Chinatown .

Another bustling area is the Columbia Heights district in upper Northwest.

"This area is going to go up and be out of price range for the entry level buyer very soon, so if they want to get into this area it's best to do it now," says Fleming.

Some of Columbia Heights ' most attractive features are the people. The area is very diverse. There isn't a culture that you wouldn’t be able to find there. Everybody is there, including Blacks, Whites, Asians and Hispanics.

Adding to the luxurious appeal of the district, in 2007, construction began on D.C. USA, a 546,000 square-foot retail complex across the street from the Columbia Heights Metro station. The space is to be anchored by retailers Target and Best Buy and is expected to be complete this spring.

Whether it's the new shopping area that grabs your attention or the GALA Hispanic Theatre which now occupies the newly refurbished Tivoli Theatre, realtors say that buying property in this culturally flavorful section of the city is definitely a must.

Columbia Heights isn't the only part of D.C. that is under heavy construction.. For the last two years, the Southeast section of the Waterfront has been getting a “big city” make over.

The city started with the new $611 million dollar stadium that seats around 42,000.

A few years ago the area was seen as decaying, with businesses closing, crime at an all-time high and street people on every corner.

Now, stadium officials have erected parking garages all over the area, and real estate companies have wasted no time in getting condos and commercial properties up and running.

"The new stadium is making that area a very big hot spot," tells Fleming. "The property value is expected to go up very soon. They are still building on the Southeast section -- the Southwest end of the Waterfront is already pricey and the Southeast section where the stadium is located is expected to go up [in value and price] as well."

This area is only a few blocks from the historic Eastern Market district and Pennsylvania Avenue which leads into the center of the city.

But the best has been saved for last. The Eckington district, home of media giants, XM Satellite Radio and BET Networks is less than one mile southeast of Howard University and exactly one mile north of the United States Capitol. 

It is accessible by New York Avenue , which streams into the Baltimore-Washington Parkway and North Capitol Street , extending through all four sections of the capital city and into Silver Spring , Maryland .

This area has it all: if you are into the corporate lifestyle, this district is minutes from trendy professional lounges in downtown, like “ K Street ” and “ Lima .”  

If the corporate scene doesn't interest you after you clock off from work, a string of clubs lining New York Avenue beckon the wear professional. District venues include everything from the upscale "Love Night Club," which rapper Sean "P. Diddy" Combs says is a personal favorite of his, to the under-rated "Mirrors," insulated with red velvet couches. The ritzy "Ibiza Night Club" has elegant appeal, with its oversized chandlers and a rooftop deck complete with two bars and an exclusive DJ.

In case you are in a state of confusion over whether or not it's a good idea to purchase property as a young professional, realtors say they have the answer.

"I recommend that the sooner you get into the sales game the better, but only if you are willing to stay in that property for three to five years," says Fleming. "If you sell your property after a few years for the same amount you paid for it, you will have spent nothing in rent, while someone renting will have spent between 20 and 30 thousand."

Making a six figure purchase on a low five figure income seems impossible to most, but there is help.

"There are a lot of programs for first time buyers or just for people with low incomes," says Fleming. "Two of the biggest ones in D.C. are Neighborhood Assistance Corporation of America and D.C. Bond." Both programs are available through lenders.

Once you have established yourself in your entry level property and in your profession, you will be ready to move into higher end buying. Fair warning: completion is stiff for the big name hot spots in the city and prices can reach a half a million for a one bedroom condo – hey, it’s not cheap living in the capitol city.

"The other areas I would consider to be like 'hip-hop' hot spots would be places like the U Street area, Adams Morgan and  Dupont Circle ," muses Fleming. "But the price ranges are not going to be conducive for [many] entry level buyers, which are usually the young professionals."

But realtors believe that if you score a property in the H Street Corridor, Columbia Heights , Southeast Waterfront or Eckington, then you are definitely a lucky buyer and will be in excellent areas to see an impressive return on your investment.

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