Rent vs. Buy: Brookland

• February 23rd 2010

by Michele Lerner

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Plenty of rent-versus-own calculators are available online to do a purely numbers-driven evaluation of whether you should buy a home or rent one. (The New York Times has a particularly good one.) But, as most buyers in search of a new home know, the decision to buy a home is not purely financial. It requires a long-term commitment to a property and a neighborhood.

UrbanTurf is working its way through the neighborhoods of the city to gather estimates of rent and home prices as well as the distinctive characteristics of each community. This week, we visit Brookland.

The Neighborhood

Northeast DC’s Brookland neighborhood, home to Catholic University, Trinity Washington University, the Shrine of the Immaculate Conception and the Pope John Paul II Cultural Center, was once called “Little Rome” for obvious reasons. Now, it is one of the most diverse areas in the city with a mix of residents who have lived there for decades, single new homeowners, families with young children, and students.

Stemming from its history as home to the jazz musicians and singers who performed at U Street clubs in the 1940’s and 1950’s, Long and Foster’s Andi Fleming says that the area also attracts a lot of artists, and as a result, there are plenty of neighborhood poetry and book clubs and writers groups. The Brookland Metro Station on the Red Line services most of the area, and a few casual restaurants and shops can be found along 12th Street near Monroe Street, including Colonel Brooks Tavern, a long-time neighborhood pub.

To Buy…

According to Fleming, Brookland has an affordable mix of fixer-uppers as well as renovated row houses and single-family homes priced in the upper $300,000’s to mid $400,000’s that appeal to a mix of teachers, government workers and employees at nearby Children’s Hospital and Washington Hospital Center.

This four-bedroom stone home at 3100 13th Street NE needs a little TLC, even though it was renovated about eight years ago. Priced at $285,000 (and under contract as of today), the home has estimated monthly payments of $1250/month after a 20 percent down payment of $57,000.

In contrast, this three-bedroom, two-bath row house at 1916 Newton Street NE is fully renovated, has a large back deck and backyard and an off-street parking space. Hence the higher price: $425,000. Monthly payments are estimated at $1,846 with a 20 percent down payment.

…Or To Rent

One-bedroom apartments in Brookland rent for just under $1,000 to about $1,200 per month. Two-bedrooms range from $1,300 to $1,600. Group homes in Brookland are popular with students and university professionals. Renting a four or five-bedroom home can range from $3,600 to over $5,000 per month depending on the condition of the property.

The Verdict

Buy, buy, buy. Given the housing stock and the marginal difference in monthly mortgage payments versus rents (especially if you are willing to buy an inexpensive property and make home improvements), there doesn’t seem like much room for debate. Just look at the monthly payments on the four-bedroom home above; they are comparable to renting a renovated one-bedroom unit in the neighborhood. One more reason to buy: the constant influx of students makes renting your property an easy proposition if you want to move on but are not ready to sell.

This article originally published at http://dc.urbanturf.production.logicbrush.com/articles/blog/rent_vs._buy_brookland/1804.