Best Places to Invest in Capitol Hill

Capitol Hill is one of the most historic and sought-after neighborhoods in Washington, DC. Known for its elegant rowhomes, walkable charm, and proximity to the U.S. Capitol, this area is far more than a political landmark—it’s a smart investment destination for residential real estate.

If you’re exploring where to buy in Capitol Hill, whether as a homeowner or investor, understanding the area's micro-markets is essential. While the neighborhood as a whole offers strong long-term value, some sections stand out for their growth potential, consistent demand, and lifestyle appeal.

Here’s what you need to know about the best places to invest in Capitol Hill.

Eastern Market is one of Capitol Hill’s most recognized sub-neighborhoods, centered around the historic public market that shares its name. This part of the Hill offers a strong balance of historical charm and modern convenience.

• Architectural consistency, with carefully maintained late 19th-century rowhouses
• Proximity to Metro access, retail, and restaurants
• Steady demand from professionals and government employees

Homes in this area tend to hold their value well, thanks to walkability and the enduring popularity of the market itself. Rental units near Eastern Market also see high occupancy rates, making it a solid choice for both owner-occupants and landlords.

Lincoln Park offers a quieter pace without sacrificing access to the city’s core. It’s popular with families and long-term residents who want a bit more green space and a stronger community vibe.

If you’re investing with an eye toward future resale or steady rental income, Lincoln Park delivers. The park at the center of the neighborhood provides a focal point, while the surrounding blocks are home to restored townhomes and renovated multi-unit properties.

• Strong community identity and stability
• High owner-occupancy rates with less turnover
• Desirable mix of architecture and mature trees

Real estate in this section often benefits from long-term appreciation, especially as more buyers are priced out of core areas and look to adjacent streets for slightly better value.

The northern end of Capitol Hill borders the H Street Corridor—a rapidly evolving stretch filled with restaurants, art spaces, and new residential development. Though traditionally seen as separate, the spillover from Capitol Hill continues to blend with H Street’s momentum, offering one of the most promising areas for future growth.

Investors targeting up-and-coming blocks just north of the main Capitol Hill grid are already seeing returns from appreciation and rental demand.

• Lower price per square foot compared to the core Hill neighborhoods
• High rental demand from young professionals and creatives
• Access to the DC Streetcar and bike-friendly commuting options

This area is best suited for buyers looking for long-term value growth or short-term income via multi-unit properties or updated rowhomes.

Located along 8th Street SE, Barracks Row brings together entertainment, dining, and walkable living. It’s one of the few areas within Capitol Hill that combines a commercial strip with historic housing, offering an ideal live-work-play balance.

• Mixed-use properties that combine storefronts with upstairs units
• Rowhomes just off the main strip with strong Airbnb or long-term rental potential
• Proximity to the Navy Yard and Eastern Market, both employment hubs

Because of its strategic location, Barracks Row continues to attract a diverse range of tenants and buyers, creating strong demand across property types.

Hill East, located just southeast of Lincoln Park, has become an increasingly attractive option for investors seeking value without leaving Capitol Hill proper. This section is experiencing consistent growth as infrastructure and retail slowly expand eastward.

• Lower acquisition costs compared to central Capitol Hill
• Steady demand from Hill staffers and young professionals
• Proximity to RFK redevelopment plans and new green spaces

While it offers strong upside, investors should evaluate properties carefully, especially those requiring extensive renovation. Still, the opportunity for appreciation here is hard to overlook.

Tucked between East Capitol Street and H Street, Stanton Park is one of the more established and elegant pockets of Capitol Hill. This area combines tranquility with access, making it a reliable option for long-term investment.

• Proximity to Union Station, government offices, and top-tier dining
• Wide streets, historic facades, and mature landscaping
• A blend of single-family and multi-unit options

Stanton Park properties often command premium pricing but tend to appreciate steadily and attract high-quality tenants or buyers. If your investment strategy prioritizes stability and prestige, this is an ideal submarket.

Potomac Avenue sits just east of Capitol Hill, straddling the boundary between the Hill and Anacostia Riverfront. While technically outside the traditional Hill core, it’s increasingly included in investment conversations due to ongoing revitalization and Metro access.

• It offers condo conversions and new townhome developments at approachable prices
• The Potomac Ave Metro Station connects to major employment hubs
• Retail and dining options continue to expand

For buyers with a mid-range budget, this area offers solid entry points into the Capitol Hill market while maintaining access to its amenities.

Whether you're aiming to buy and hold, pursue short-term rentals, or build long-term equity in a luxury property, Capitol Hill offers several strategic investment paths. The key is matching your goals with the right part of the neighborhood.

• Are you prioritizing appreciation, cash flow, or a mix of both?
• Do you want a turn-key property or one with renovation potential?

Each micro-neighborhood comes with its own advantages, and a knowledgeable agent can help you weigh those factors against current inventory, zoning regulations, and financing options.

The Jeanne Phil Meg Team is deeply embedded in the Capitol Hill market and has guided countless clients toward smart, strategic real estate investments in Washington, DC. Their expertise spans everything from historic rowhome acquisitions to modern condo developments, giving clients a full-spectrum view of the neighborhood’s opportunities.

Whether you’re a first-time investor, relocating professional, or seasoned buyer seeking long-term returns, their team brings unmatched insight, negotiation skill, and local perspective. With a sharp eye for value and a commitment to your investment success, they’re the partner you need on the Hill.

Reach out to the Jeanne Phil Meg Team today to explore the best places to invest in Capitol Hill. Your future in DC real estate starts with the right location—and the right guidance.