Bethesda, 20816:
Come One, Come Wealthy

June 9, 2008
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Neighborhoods

by Mark Wellborn

Borders:
Pricing data: Bethesda, 20816 real estate (Redfin)
Sub-neighborhoods: Tulip Hill, Mohican Hills, Wood Acres, Springfield, Glen Echo Heights, Westmoreland, Green Acres, Mass Avenue Hills, Brookmont
Map: Click here for interactive Google Map

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Washington Fine Properties

(We are breaking Bethesda into two separate profiles. This first part covers the ritzy, suburban, but still inside the beltway neighborhoods encompassed by the zip code 20816. Part two will cover the area of the 20814 zip code which is primarily around downtown Bethesda.)

Ritzy even by Bethesda standards, the area encompassed by the zip code 20816 is not for those buying their first home (unless, of course, you just made millions selling your first internet company). That said, for those with the means, there is little place better to settle down with a family.

Demographics

Almost 80 percent of residential properties in Bethesda are single-family homes and just about 20 percent are condos. The median home size is about 1,900 square feet, according to Zillow.

Property Prices

Bethesda did not make our ranking of most affluent zip codes for nothing, and 20816 is the reason why. Living here is not cheap. The average listing price for a property in the neighborhood was $1,256,181 for the week ending June 4, 2008, according to Trulia, and that price was 4 percent more than the previous month. The median sales price for the quarter ending in May 2008 was $837,500, so it seems that you don’t have to be a millionaire to buy in the area (just close).

But, for their sake, lets start off by looking at one of those millionaire properties. A 6,200 square-foot, 5.5 bedroom, 5.5 bath, arts and crafts property in the Glen Echo Heights neighborhood is currently on the market for $1.695 million. The four-level house was built in 1954, and includes features such as a gourmet kitchen, screened porch, wet bar, wine cellar and a two-car garage. The listing and a virtual tour are available here.

If that price tag is a touch too high, there is a four-bedroom, three-bath farmhouse in the Brookmont neighborhood listed for $1.28 million. The listing boasts a dining room with seating for 10, and a screened porch that overlooks the back patio. The property has a master suite and two additional bedrooms on the second floor, as well as an “in-law” suite and kitchen on the lower level for when relatives come to visit (or live). The listing and a virtual tour are available here.

On the lower end, there is a four-bedroom, 1.5 bath Craftsman-inspired property on the market for $649,000. The covered wraparound porch and large backyard give this property a very domestic feel. The interior may be a tad too cramped for a family (as opposed to four young adults), and with only one real bathroom there will likely be a line forming each morning. The listing and photos are available here.

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Century 21

Market Fundamentals

20816 is a zip code made up almost entirely of single family homes. Unlike downtown Bethesda, the area caters much more to families rather than single individuals who may prefer to own a condo.

Josette Skilling, a veteran broker who has worked in Bethesda for years, told UrbanTurf that although property prices in 20816 have not increased much in recent years, they are still holding their value better than those outside the Beltway.

“Over the last couple years, the value increase has been pretty flat, but historically properties in this area have been good investments,” Skilling said.

Skilling put a strong emphasis on the fact that property values in 20816 vary quite noticeably from property to property and block to block.

“If you want a house on Searl Terrace, it may as well be the seller market heyday because you are going to end up in competition with several other buyers, drop all contingencies and pay $100,000 over asking,” she told UrbanTurf. “In some of the other areas, smaller homes are going for $500,000, but they are sitting on the market because they don’t command the same attention.”

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Washington Fine Properties

Insider Tips

A theme that continually came up when talking with brokers about this area was the school system. Walt Whitman, Bethesda-Chevy Chase and Walter Johnson are three public high schools in the area that have been nationally recognized for their academics.

“The one unifying thread through all of Bethesda is schools,” Skilling said. “They are known to be excellent and combined with the proximity to downtown DC for commuters, it is really a great asset for this area.”

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Washington Fine Properties

Parking & Transportation

This is not downtown Bethesda, so parking is not really an issue. While that may be an advantage to living here, the flip side is that you really do need a car. This area is not within walking distance to any major Metro stop and the only bus line that runs from the area to downtown DC is the N line.

Bottom Line

There is no question that if you have the money and a family, this is a great place to live. But as far as investment goes, new property owners will likely not see results for a number of years.

Roxanne Draheim of Century 21 echoed these sentiments.

“For the long-term, a minimum of five years, it will turn out to be a great investment,” Draheim said. “For the short term, like two or three years, I would think twice about it.”