The American Neighborhoods to Invest in Now
Smart buys exist in every market — if you know where to find them. Here, Compass agents who’ve based their businesses in niche neighborhoods advise on where and what to look for.
The Capital’s Trifecta
Neighborhoods of note: Where the Washington DC enclaves of North Shaw, U Street, and LeDroit Park unite
Preferred stock: A range of modern architecture (some by the renowned Morris Adjmi) complemented by graciously updated turn-of-the-century townhomes in a kaleidoscope of shades
Unexpected perk: This northwest DC pocket is a creative hub of sidewalk cafés, vibrant murals, and music venues
Expert prediction: “Values have grown 1,000% the past decade, but there’s still opportunity for investors and end-users,” attest DC agents Brian Smith and Kelly Virbickas.
The Bay Area’s Sunny Side
Neighborhood of note: Noe Valley
Preferred stock: Elegant Victorian and Edwardian homes that break up San Francisco’s highest concentration of rowhouses
Unexpected perk: The nearby Twin Peaks partly block the coastal fog and cool Pacific breezes, making it warmer than its surroundings
Expert prediction: “Single-family homes with full-size lots and close to the 24th Street retail corridor will hold their value through the market’s peaks and valleys,” say SF agents The Droubi Team.
East Hampton’s Artistic Edge
Neighborhood of note: The bayfront Springs section has long been Long Island’s cultural cradle, boasting residents from painter Jackson Pollock to wordsmith Nora Ephron
Preferred stock: Thoughtfully modernized fishermen’s cottages and farm houses
Unexpected perk: A low-key vibe not often experienced in the East End’s glitzier enclaves
Expert prediction: “While our clients in more tenured neighborhoods have enjoyed excellent appreciation, The Springs section of East Hampton represents one of the best opportunities for entry-level buyers, as property values there have not yet increased at the same rate as other areas but inevitably will in the future,” says Hamptons’ duo The Buckhout-Mattson Team.
Aspen-Adjacent Ease
Neighborhood of note: The Willits section of Basalt, Colorado
Preferred stock: Sleek apartment buildings flanked by parks, playgrounds, and pedestrian-friendly shopping, including the region’s only Whole Foods
Unexpected perk: Just a 20-minute drive from downtown Aspen
Expert prediction: “New buildings like Park Modern Condos increased in price by more than 25% since debuting just two years ago,” says Aspen agent Richard Duddy.
Downtown’s New Destination
Neighborhood of note: Lower Manhattan’s Financial District
Preferred stock: Amenity-rich high-rises with river and skyline views
Unexpected perk: FiDi is becoming a foodie utopia, with recent openings from the likes of Keith McNally, Tom Colicchio, and Jean-Georges Vongerichten
Expert prediction: “The area is appreciating daily. Values are going up especially on what I’ve seen at the W Residences,” states New York agent William Stafford.
Miami’s Next Big Thing
Neighborhood of note: North Beach
Preferred stock: Midcentury low-rises with charming courtyards and MiMo details are interspersed with luxury condos, including the upcoming Collins Avenue tower from acclaimed architect Renzo Piano.
Unexpected perk: Miles of serene boardwalk edged by sawgrass-topped dunes and sea grape bushes
Expert prediction: “When you take current value relative to other areas, appreciation potential, and location into account, it can’t be beat,” says Miami agent Mercedes Saewitz.
DC’s Most Dignified Digs
Neighborhood of note: West End
Preferred stock: Full-service condos, like the Ritz-Carlton Residences, that pepper elegant embassies and civic buildings near the Potomac River
Unexpected perk: Quiet, tree-lined streets with all the modern vitals: an arthouse cinema, Soul Cycle, and Trader Joe’s
Expert prediction: “Buying a newly-constructed apartment in such an established area could provide immediate equity in your investment,” says DC agent Patrick Chauvin.
Santa Barbara’s Coastal Allure
Neighborhood of note: The Riviera
Preferred stock: The diverse stock range in price from just over $1 million to $6 million and more
Unexpected perk: The close-up, elevated view of the city, harbor, wharf, and the four Channel Islands
Expert prediction: “In the past year, a 2,100-square-foot home was bought for $1.7m, remodeled, and sold for $3.45m. Thanks to the views, with a good location and a reasonable-sized parcel, you can remodel or build the house you want and still profit,” says the Santa Barbara-based Suding//Murphy Partners.
Boston’s Burgeoning Enclave
Neighborhood of note: Jeffries Point
Preferred stock: Any one of a slew of this hip and burgeoning waterfront community’s new developments
Unexpected perk: Skyline views from the beautifully manicured Piers Park and a 15 minute door to-door commute to Downtown Boston
Expert prediction: “The Jeffries Point section of East Boston is arguably the hottest real estate market in the city. Property values have climbed well over 30% in the past four years,” says Boston agent Ryan Persac.
LA’s Development Destination
Neighborhood of note: Inglewood
Preferred stock: The 3,000+ new housing units slated for development within the next six years
Unexpected perk: Access to the new Rams Stadium, which will anchor a complex of new hotels, stores, lakes, offices, and 25 acres of public parks
Expert prediction: “We just closed escrow on a house that sold almost ten percent over the list price and attracted 25 offers. It’s clear that the market has identified Inglewood as a tremendous value for first time homebuyers and investors interested in an area on the cusp of change and resurgence,” says LA agent Stephanie Younger.
