Old Rental to Condo to Rental Trick

Two years ago when part of McClean Gardens was being converted into a condo called Vaughan Place there was a brouhaha over how the conversion was done. Well nevermind. The unsold units are reverting to rentals, according to DCMud. Less than half of the units were reported sold as condos.

One reason DC is missing the worst of the exploding real estate bubble is that strong rental market that exists here. Can't sell you condo; rent it.

The long lines one used to see for sales open houses now are for rental open houses. In fact, the owner of the Vaughan have the rental portion of the building on the market too, says WashBiz.

THE OLD RENTAL TO CONDO BACK TO RENTAL TRICK

In D.C. (presumably the whoe area), an estimated 25% to 40% of condos under development or apartments that were converted into condos for sale will be put back on the market as rentals, says Marcus & Millichap, an investment brokerage firm. The trend could put a damper on rising rents, reports USA Today.

If the trent applies to the whole area, the condos in D.C. surely will rent faster than those outside the Beltway.