Real Estate Investing in Bethesda, Maryland (20816)

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

Montgomery County • Population: 18,081 • Data updated: September 2026

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Should you buy in 20816 (Bethesda, MD)? Our answer, based on the numbers below.

🏠 For Homebuyers
MIXED
Grade C (56/100)

Mixed — home prices are stretched relative to local incomes. Run the math on your specific situation.

📈 For Investors
MIXED
3.0 / 5 (47/100)

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
CLEAN

No major risk flags on the data we track.

What’s happening in Bethesda, MD (20816)?

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3.0/ 5

Investability

Overall investment appeal

2.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $1,290,238
Avg Monthly Rent $4,353
1% Rule ✗ Does Not Meet
Median Income $228,311
% Renters 19.1%

Market Analysis: 20816 Bethesda

The 20816 ZIP covers a section of Bethesda that demands careful diligence. Prices near $1.3M look accessible, but the work to make a deal cash flow is real.

Rent of $4,353/mo on a $1.3M basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 20816 sits below the stated 0.0% once reality is priced in.

Within MD, ZIP 20816 trails on several market indicators that neighboring Montgomery County submarkets outperform. The gap is real and resilient enough to shape underwriting.

Resident income in 20816 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.

New investors are better served looking at Bethesda's stable or hybrid ZIPs before stepping into 20816. The learning curve here is expensive when the lesson is wrong.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Bethesda:

C+ Average
Buy Confidence Score: 62/100
Affordability
10/25
Appreciation
18/25
Stability
11/20
Timing
8/15
Rental backup
15/15
Affordability
Expensive
Homes cost 5.7× the median income
Value Trend
Stable (+1.2%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $4,353/mo if you need to move
Market Conditions
BALANCED
Even conditions for buyers and sellers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
🏠

Property Strategy for 20816

Which property type performs best in this market?

Best for Cash Flow
1BR
7.1% cap rate
Best for Appreciation
5BR
+6.0% 5yr CAGR
Best Overall Value
1BR
$273,206/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
1BR $273,206 $2,700 7.1% +2.6% $273,206
2BR $557,999 $3,010 3.9% +4.2% $279,000
3BR $1,168,813 $3,800 2.3% +5.5% $389,604
4BR $1,452,704 $4,470 2.2% +5.8% $363,176
5BR $1,904,005 +6.0% $380,801

Market Trends

Home Value History (with trend line)

$1.4M$1.2M$1.1M$987K$862K$737KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$4,707$4,303$3,898$3,493$3,088$2,684Dec 2023Apr 2025Jul 2026

📊 How Does 20816 Compare?

Metric 20816 Bethesda Maryland
Home Value $1,290,238 $560,037 $424,997
5-Year CAGR 3.1% 2.8% 4.9%
Avg Rent $4,353 $3,629 -
Cap Rate 2.6% 2.6% -
💡 Why Invest in 20816? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

📊 See where this ZIP ranks in our Best-of lists →
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 20816 (Bethesda, MD). Anonymous, moderated, never written by AI.

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Property managers serving Montgomery County

Manage rentals here? List your business →

American Community Management provides community association management and HOA services across Maryland, Virginia, and D.C. summary from their website

HOA
Unclaimed — is this your business? Claim it free

Iko Community Management provides HOA and community association management services in Columbia, MD and Suburban Maryland. summary from their website

HOA
Unclaimed — is this your business? Claim it free

Melan Property Management delivers proactive property management solutions for multifamily and commercial real estate across Maryland, Washington D.C., and Miami. summary from their website

Small multifamilyCommercial
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Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.

Investability
Good
Cap Rate
2.6%
Low
5yr Growth
+3.1%
Moderate

📊 Market Snapshot

Home Value $1,290,238
Monthly Rent $4,353
Price-to-Rent 24.7:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 4.1%
Cap Rate 2.6%
5-Year IRR 5.7%

📈 Home Appreciation

1-Year +1.2% ▲
3-Year CAGR +2.3% ▲
5-Year CAGR +3.1% ▲
10-Year CAGR +3.8% ▲

🏠 Rent Trends

1-Year +35.4% ▲
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 2.6%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.6%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.

Run an IRR Analysis →

⚠️ Risk Signals

Composite view of factors that can impact a ZIP's stability and your downside risk.

Vacancy
6.1%
Low risk
Landlord Climate
4.0/5
Friendly
Value Trend (5yr)
+3.1%
Stable
Eviction process: Moderate Rent control: Moderate

Demographics in 20816

Population: 18,081

💰 Median Household Income
$228,311
This area
$228,311
State
$107,932
USA
$74,580
🏠 Renter Occupied
19.1%
This area
19.1%
State
23.8%
USA
34.0%
💼 Unemployment Rate
4.1%
This area
4.1%
State
-20.0%
USA
3.7%
🎓 College Educated
89.3%
This area
89.3%
State
10.6%
USA
33.7%
👤 Median Age
45.1 years
This area
45.1 years
State
1.9 years
USA
38.9 years
🏚️ Vacancy Rate
6.1%
This area
6.1%
State
11.4%
USA
10.5%
👥 Population by Ethnicity
White 80.3%
Other/Mixed 9.5%
Asian 6.9%
Hispanic/Latino 6.6%
Black/African American 3.4%
👶 Under 18
27.2%
This area
27.2%
USA
22.0%
👴 65 and Over
17.2%
This area
17.2%
USA
17.3%
📊 Poverty Rate
2.7%
This area
2.7%
USA
11.5%

Crime & Safety

🚧

Crime & Safety Data Coming Soon

We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.

Expected: Q1 2025

🎓 Schools in 20816

A Avg School Grade
3 Schools
15.9:1 Avg Class Size
$20,473 Avg Per Pupil

Schools in This ZIP Code

A Very Good

Westbrook Elementary

📚 K – 05 Elementary
👥
513 Students
👨‍🏫
15.7:1 Class Size
💰
$20,473 Per Student
A Very Good

Wood Acres Elementary

📚 Pre-K – 05 Elementary
👥
612 Students
👨‍🏫
16.8:1 Class Size
💰
$20,473 Per Student
A Very Good

Westland Middle

📚 06 – 08 Middle
👥
865 Students
👨‍🏫
15.1:1 Class Size
💰
$20,473 Per Student

Nearby Schools (5 more)

Schools in adjacent ZIP codes that may serve this area

A+ Excellent

Mann ES

📚 Pre-K – 05 Elementary
📍 4430 Newark St. NW, Washington
👥
394 Students
👨‍🏫
11.9:1 Class Size
💰
$36,134 Per Student
A+ Excellent

Janney ES

📚 Pre-K – 05 Elementary
📍 4130 Albemarle St. NW, Washington
👥
684 Students
👨‍🏫
12.7:1 Class Size
💰
$36,134 Per Student
A+ Excellent

Key ES

📚 Pre-K – 05 Elementary
📍 5001 Dana Pl. NW, Washington
👥
347 Students
👨‍🏫
12.2:1 Class Size
💰
$36,134 Per Student
A+ Excellent

Rock Creek Forest Elementary

📚 Pre-K – 05 Elementary
📍 8330 Grubb Road, Chevy Chase
👥
669 Students
👨‍🏫
14.5:1 Class Size
💰
$20,473 Per Student
A+ Excellent

Somerset Elementary

📚 K – 05 Elementary
📍 5811 Warwick Pl, Chevy Chase
👥
303 Students
👨‍🏫
14.2:1 Class Size
💰
$20,473 Per Student
About Repit School Scores

Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.

We evaluate schools based on factors that research shows actually impact educational outcomes:

  • Class Size — Smaller classes mean more individual attention
  • School Funding — Resources available for programs, staff, and facilities
  • Community Factors — Neighborhood characteristics that influence student success
  • School Environment — Size, type, and structure

Scores are updated annually using federal education data.

🎓 Nearby Colleges & Universities

8 Nearby 1,958 Off-Campus Students
C
Wesley Theological Seminary
450 students · 1.9 mi
B
American University
13,019 students · 2.1 mi
C+
University of the District of Columbia
3,855 students · 2.9 mi
C
Marymount University
3,667 students · 3.5 mi
B+
Georgetown University
20,392 students · 4.1 mi
C
National Conservatory of Dramatic Arts
25 students · 4.3 mi
C
University of Management and Technology
1,167 students · 4.8 mi
D
Strayer University-Virginia
2,382 students · 4.8 mi

Investor Insight: With 1,958 students living off-campus nearby, this area has strong rental demand from the college population.

Frequently Asked Questions

How tight is the rental market in Bethesda, MD?

Expect elevated vacancy in Bethesda, MD. Rents at $4,353/mo are absorbed by the tenant base without meaningful lag.

Does Bethesda, MD favor landlords or tenants?

Landlord-friendliness in Bethesda, MD is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.

How does Bethesda, MD rate as a rental market?

With a 3.0/5 investability score, Bethesda, MD ranks as a solid market for rental property investors. Median prices of $1.3M and rents of $4,353/mo drive the underlying numbers.

How should investors approach Bethesda, MD?

Bethesda, MD investors pursuing careful cash-flow rentals with hands-on management. The underlying economics ($1.3M prices, $4,353/mo rents) make it a reasonable choice.

How much is rent in Bethesda, MD?

Rent in Bethesda, MD is around $4,353/mo. The resulting rent-to-value relationship with $1.3M pricing is reasonable for most investor models.

You know 20816 now. You don’t know where it ranks.

This page stays free — all of it. What one page can’t tell you is how 20816 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.

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How 20816 ranks in Washington-Arlington-Alexandria, DC-VA-MD-WV

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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