Oxon Hill MD Buy and Hold
Hi All- I currently have a couple of properties in DC that have experienced excellent appreciation and cash flow. However, the market is too hot and pricing me out. I’m seeing some pretty good cash flow in PG county, particularly in Oxon Hill. I’ve noticed that some of the shopping centers have been improved and some slight development starting to take place.
My question is, do you all think Oxon Hill will provide the appreciation over time in addition to attracting a quality tenant?
From my experience, yes. I have not started my true real estate investment career as of yet. Hopefully, some of my experiences will help you. I bought a SFH, 3BD 2.5BA, 1500SF, for around $200k. Each year the value of my house has increased around 10% I just completed a refinance and the appraisal came back at $290k. If I were to rent my house I would cash flow approximately $400 to $500. So, I think you see where I'm getting at. PG County is one of the few areas you can buy right now and cash flow monthly. I would encourage you to look very close to the National Harbor area. Within the last 3 years there has been significant development; new target, top golf, tanger outlets, mgm casino, new shopping center stores, etc. The future also has a lot of development in the works (check upcoming construction projects); in terms of multi-use apartment buildings similar to DC. Amazon is scheduled to commence construction just across the river within the next 6 months. I have a feeling Oxon Hill is going to be the next hot market. As you said everyone is being priced out of the other markets in the area.
@Trevor Imlay thank you so much for your response. I’ve been seeing the development and have been hesitant on the area because Oxon Hill has not been an area that was historically desirable for investment. I’ve got my eye on a property that’s going to cash flow $800/month after some repairs. I was just hesitant because the Maryland market is new to me and these are numbers I get in DC. Made me wonder if so much opportunity exists, why more people don’t invest in the area?
@Trevor Imlay Great job explaining the market.
@Jessica Bobo - Prince Georges county has long been the affordable option compared to DC. Although not appreciating at the same rate, due to the affordability of the initial investment, investors are realizing cash flow at a better rate than in DC. As far as Oxon Hill, due to it's close proximity to NoVA, DC and it's shared land of the National Harbor,, yes, Oxon Hill has already seen and is still destined for growth economically and the real estate values and rents will follow. Oxon Hill is just one of several cities located in Prince George's County that will benefit from the lack of affordability across the river and billions in current and future development. Get your doors today and profit tomorrow. If you need an expert on the ground, I am here to assist.
@Frank Godfrey thank you for the explanation! I’m surprised more investors don’t gravitate to Oxon Hill with all of the upside and positive cash flow. Why do you think that is?
@Jessica Bobo Great question we discuss all the time.
1st, that many investors aren't aware that Prince George's county as a whole has some of the best margins anywhere around the beltway. Not to mention some of the best perks. Most metro stops outside of DC and easiest commute to and from DC. 2nd, many of those that do know the above are playing it as safe as possible by cherry picking in the same areas that have already proven to make sense, ie. College Park, Lanham, New Carrolton, Greenbelt, Bowie, Laurel, Upper Marlboro and Clinton, not even considering to look at the Hills and the Heights. The money is in these locations. Lowest acquisition points and good rental demand and values. So, whether you are looking to buy and hold or Flip, the bigger wins are in these locations. 3rd, Most people aren't aware that half of the National Harbor sit in Oxon Hill. Most know it as only The National Harbor or as the National Harbor in Maryland or Ft. Washington. The National Harbor is a major anchor, a ship. When you see ships move get in their wake. That ship anchored just across the river from NoVa and DC in Prince George's County in Ft. Washington and Oxon Hill. 4th, It's history. If you are aware of all of the above, many choose not to invest in this and other areas due to what they use to know about the location. The area is stigmatized, however, the wait and see or avoid until they say it's different approaches will keep you on the side line missing incredible appreciation and cashflow.
#JustMy2Cents
@Frank Godfrey thank you!! That makes sense! I appreciate your insight! I’ll keep this in mind when looking at PG.
@Jessica Bobo I agree with the other posters that Oxon Hill and PG County has some excellent investment opportunities. Hopefully, you will get some responses to the second part of your question regarding attracting quality tenants. I'm not sure of that answer even though I've had two properties in the area (Area Code 20744) over the last 30 years. I rented mainly through Section 8 and had a very limited amount of turnover during that time. I got fed up with the PG Housing Authority and currently have market rate tenants in both properties and while they are okay, I would not call either high quality. There used to be an investor's group that met monthly near National Harbor, but I'm not sure if they are still holding meetings due to the pandemic. Also, I've also garnered higher appreciation in the Northern part of the County. Hopefully that helps. I'd be happy to discuss further if you like.
@Michael C. Thank you Michael. That is very helpful! I will definitely be sending you a message as I have a few more specific questions if you don’t mind.
Hello all,
Figured I'd bump this thread since I'm a new Oxon Hill investor. OP did you end up investing in Oxon Hill? If so, I'd like to chat and hear your thoughts.