State rental market reference · Data updated October 18, 2026
District of Columbia rental market for DSCR investors: rent, taxes and insurance
What a rental in the District of Columbia rents for, what it costs to carry, and whether it stays rented, from official data for the district. Read it before you price a deal here.
District of Columbia at a glance
What does a rental rent for?
$2,438 a month
HUD's FY2027 2-bedroom Fair Market Rent where most of the District of Columbia's renters live. It is the government figure for a modest 2-bedroom unit, utilities included, not the rent for a house.
What will property taxes cost?
0.58% of value a year
Homeowners in the District of Columbia pay a median $4,312 a year on a median home value of $737,100 (Census ACS 2020–2024). A rental can be taxed at a different rate than an owner's home; the local tax bill is the real number.
What will insurance cost?
$1,060 a year
The median that homeowners with a mortgage in the District of Columbia report paying for homeowners insurance (Census ACS 2020–2024). It is not a landlord quote: a rental policy usually costs more, and flood cover is extra.
Will it stay rented?
6.9% rental vacancy
Share of the District of Columbia's rental homes vacant and for rent (Census ACS 2020–2024), across 189,808 renter households. Lower means rentals fill faster.
Are jobs growing?
Employment up 0.4% in a year
Employed residents in August 2026 against a year earlier; unemployment 5.8% (BLS, not seasonally adjusted, so compare the same month a year apart).
Is new supply coming?
1,591 homes permitted in 2025
About 4.9 new homes per 1,000 households; 11% single-family (Census Building Permits Survey). More new homes means more competition for tenants and buyers.
How often does it flood?
388 flood claims since 2005
National Flood Insurance Program claims on properties in the District of Columbia since 2005, $4.4 million paid (FEMA). Claims show where water has reached insured buildings; they are not a flood map, so check the FEMA flood zone for the address.
What it means for a DSCR rental in the District of Columbia
A lender's DSCR is the monthly rent divided by the full monthly payment: principal, interest, property taxes, insurance and any HOA dues. Many lenders accept 1.00x; 1.20x leaves a cushion.
Take a home at the District of Columbia's median value of $737,100, bought with 25% down on a 7.5% 30-year loan, with the state's typical tax rate and insurance:
- Principal and interest ($552,825 loan)
- $3,865
- Property taxes
- $356
- Insurance
- $88
- Full monthly payment
- $4,310
- Rent for a 1.20x DSCR
- $5,170 a month
The government 2-bedroom figure where most of the District of Columbia's renters live is $2,438 a month, below the $5,170 that home needs. A house usually rents for more than a 2-bedroom unit, so price the house you are looking at with its own rent. The last column of the table below gives the same figure for each county.
Rules and costs a landlord faces in the District of Columbia
Each line quotes the official source it comes from and the date it was last checked. These are general rules, not legal advice; local rules can add to them.
- How long before you can file to evict for unpaid rent?
10 calendar days' notice for unpaid rent before an eviction can be filed.
A housing provider shall provide the tenant with notice of the housing provider's intent to file a claim against a tenant to recover possession of a rental unit for the non-payment of rent at least 10 days before filing the claim
Council of the District of Columbia (D.C. Official Code § 42-3505.01, D.C. Law Library), checked October 18, 2026
- How large a security deposit can you take?
Up to one month's rent.
A security deposit may not be more than one month's rent at the time the tenant moves in and may only be charged once.
DC Rental Housing Commission, checked October 18, 2026
- How fast must the deposit come back?
Within 45 days after the tenancy ends.
Within 45 days after termination of the tenancy, the housing provider shall notify the tenant in writing, either personally, by email, or by certified mail at the tenant's forwarding address, of any alleged unpaid amounts due to the housing provider
Council of the District of Columbia (D.C. Official Code § 42-3502.17, D.C. Law Library), checked October 18, 2026
- Can rents be capped?
State law caps rent increases statewide.
Shall not exceed the current allowable amount of rent charged for the unit, plus the adjustment of general applicability plus 2%, taken as a percentage of the current allowable amount of rent charged; provided, that the total adjustment shall not exceed 10%
Council of the District of Columbia (D.C. Official Code § 42-3502.08, D.C. Law Library), checked October 18, 2026
- What does the state charge to record a purchase?
State tax: 1.1% of consideration or fair market value for residential property transfers less than $400,000; or 1.45% of consideration or fair market value on the entire amount, if transfer is $400,000 or greater.
1.1 % of consideration or fair market value for residential property transfers less than $400,000; or 1.45% of consideration or fair market value on the entire amount, if transfer is $400,000 or greater.
D.C. Office of Tax and Revenue (Recorder of Deeds), checked October 18, 2026
- Is a rental taxed like the owner's home?
A rental does not get the owner's homestead benefit.
The Assessment Cap currently provides that a property may not be taxed on more than a 10 percent increase in the property’s assessed value each year. ... The property must be receiving the Homestead Deduction for this credit to be automatically applied.
D.C. Office of Tax and Revenue, checked October 18, 2026
Market hubs in the District of Columbia
DSCRInfo does not publish a monthly market hub in the District of Columbia yet. The figures above and the table below cover every county; the market hubs cover other states.
District of Columbia figures
"Rent for 1.20x" is the monthly rent a home at that county's median value needs on the example loan above. A dash means the source publishes no reliable figure there.
| County | 2-bed FMR | Property tax | Insurance / yr | Rental vacancy | Jobs, 1 yr | Permits | Flood claims | Rent for 1.20x |
|---|---|---|---|---|---|---|---|---|
| District of Columbia | $2,438 | 0.58% | $1,060 | 6.9% | +0.4% | 1,591 | 388 | $5,170 |
Where these numbers come from
- 2-bedroom Fair Market Rent
- HUD's FY2027 Fair Market Rents, in effect from October 1, 2026: the rent and utilities of a modest 2-bedroom unit, set for housing vouchers. It is not a house rent. Where HUD publishes by town (New England), the county shows the range. HUD Fair Market Rents
- Property tax, insurance, vacancy and home value
- Census American Community Survey 5-year estimates, 2020–2024. Property tax is the median tax paid divided by the median home value of owner-occupied homes. Insurance is the median that owners with a mortgage report paying, not a landlord quote. Rental vacancy is homes vacant for rent divided by all rental homes. Figures from too few homes are left blank. American Community Survey
- Jobs
- BLS Local Area Unemployment Statistics: employed residents in August 2026 against the same month a year earlier, not seasonally adjusted. BLS LAUS
- Permits
- Census Building Permits Survey: new housing units authorized in 2025, all building sizes. Building Permits Survey
- Flood claims
- FEMA National Flood Insurance Program claims with a loss in 2005 or later, and the net amount paid. Only insured buildings appear. Check a flood zone
These are screening figures for comparing places, not a quote, an appraisal or a loan offer. District of Columbia total flood payments since 2005: $4.4 million.