Rosslyn skyline in Arlington, Virginia, seen across the Potomac River

Buying a home in
Northern Virginia

Q: Is it cheaper to own in Virginia or in the District?

It depends on the bill you look at. DC's residential rate of $0.85 per $100 is lower than Arlington's $1.053 or Fairfax's $1.1535, and owner-occupiers in DC also get a homestead deduction and a 10% yearly cap on assessment increases. But DC's income tax rises to 10.75% at the top, against a top rate of 5.75% in Virginia, and Virginia charges a yearly tax on your car. Work out all three for your household.

Q: What do I pay at closing?

In DC, deed recordation tax is 1.45% of the price at $400,000 or more, customarily paid by the buyer, and transfer tax at the same rate is the seller's. In Virginia the state recordation tax is 25 cents per $100 on the deed and again on the mortgage, localities may add a third of that, and by statute the seller pays the grantor's tax and two regional transport fees unless you agree otherwise. Lender, title and settlement costs come on top.

Q: Can I choose who handles my closing?

In Virginia, yes, by law. The buyer has the right to select the settlement agent, and a seller cannot make a particular agent a condition of the sale. Settlement agents can be attorneys or title companies. An attorney acting for the lender or the seller does not represent you.

Q: Can I let my home on Airbnb while I am posted elsewhere?

Generally not as a short-term rental. DC licenses short-term rentals only in the host's primary residence, with a cap of 90 nights a year when the owner is away. Arlington requires the host to live in the home at least 185 days a year. Fairfax County allows 60 nights a year and requires the operator to be a permanent resident. A lease of 30 days or more to a tenant is a different matter and is common among people on rotation.

Q: I am buying a tenanted building in DC. Is there anything special?

Yes. The District's Tenant Opportunity to Purchase Act can give tenants the right to buy before you do. Single-family homes have been largely exempt since 2018, and a 2025 reform added exemptions for some larger buildings. If the property has tenants, have a DC attorney confirm how the law applies before you sign.

The Washington area is where many Europeans land for a posting: the World Bank, the IMF, embassies, the EU delegation, and the technology and defence employers across the river in Virginia. It is one housing market split across jurisdictions that tax and regulate homes quite differently.

Start my mortgage scan ← All destinations

Free, no-obligation scan

15+ affiliated partners

25+ years' experience

Everything about buying in Northern Virginia and Washington DC

Short answers on this page. The full guide has the detail, the figures and the sources.

The purchase and the loan

How a purchase runs here and which loans fit.

Who buys, and how lenders see them

Prices, taxes and insurance

What homes cost and what you pay on top.

Property tax, side by side
Taxes when you buy
Estate and income tax across the river

Letting and living

Rental rules, local life and how to get there.

Letting when you are posted away
Getting home

Read the full guide

One market, several governments

The Washington region spreads across the District of Columbia, Virginia and Maryland. Europeans posted here tend to choose between a flat or row house in the District, the close-in Virginia suburbs of Arlington and Alexandria, the larger family houses of Fairfax County, and Loudoun County further out towards Dulles airport. Each has its own tax rates, transfer taxes and rental rules, and crossing the river changes your income tax as well.

Prices are high. In August 2026 the median sale price was $765,000 across Northern Virginia, $771,250 in Loudoun County, $681,500 in the District and $639,540 in Montgomery County, Maryland. Arlington County's own figures put the average assessed home value at $882,900.

Red brick rowhouses with bay windows on a sunny tree lined street in Washington, DC

The Washington area at a glance

Figures last checked: 6 October 2026

This is not a lending decision: a US specialist confirms what applies to your own situation.

Median sale price	Northern Virginia $765,000, Loudoun County $771,250, District of Columbia $681,500, Montgomery County (Maryland) $639,540. All August 2026.
Property tax 2026	Per $100 of assessed value: Loudoun $0.805, Arlington $1.053, Alexandria $1.135, Fairfax $1.1535 including countywide levies. DC residential: $0.85.
Loan limit 2026	$1,249,125 for a one-unit home in Arlington, Fairfax, Loudoun and the District, the national ceiling.
Taxes at purchase	DC: recordation tax of 1.45% for the buyer at $400,000 or more. Virginia: recordation taxes on the deed and on the mortgage, with the seller paying the grantor's tax and regional fees.
Car tax	Virginia localities tax vehicles yearly: $3.09 per $100 of value in Loudoun, $4.57 in Fairfax, $5.33 in Alexandria.
Short-term rental	In DC, Arlington and Fairfax only a home you live in can be licensed.
Flights home	Dulles lists nonstops to 17 European cities, including Amsterdam, Berlin, Copenhagen, Frankfurt, Lisbon, Madrid, Paris, Rome and Vienna.

Colorful corner rowhouses with turrets along a street in Washington, DC

Sailboats anchored on calm water near Dyke Marsh in Alexandria, Virginia

Thomas Jefferson Memorial across the water under a blue sky with large clouds, Washington, DC

Key Bridge over the Potomac River with Georgetown University rising above the trees in Washington, DC

Thinking about a home in Northern Virginia and Washington DC?start with a free scan

Start my mortgage scan

Before you make an offer in the Washington area

Ask a lender how it treats your exact visa or diplomatic status.
Compare property tax, income tax and car tax across the jurisdictions you are considering.
Check whether you qualify for DC's homestead deduction or first-time buyer rate.
Budget for recordation taxes on both the deed and the mortgage.
In Virginia, choose your own settlement agent.
If the property has tenants in DC, have an attorney check the tenant purchase rules.
Plan on long lets, not short stays, if you expect to be posted elsewhere.
Take estate tax advice before deciding how to hold the property.

100+people choose us every month
5permanent team members
10+specialists in our network
15+collaborating partners

And we are still growing. More about us

Our network and collaborating partners:

Start your scan for Northern Virginia and Washington DC

Share the outline of your plans. A US specialist who knows this area will come back to you, without obligation.

Questions people moving from Europe ask

Is it cheaper to own in Virginia or in the District?

What do I pay at closing?

Can I choose who handles my closing?

Can I let my home on Airbnb while I am posted elsewhere?

I am buying a tenanted building in DC. Is there anything special?

Continue your research

Sources (26)

Figures and rules on this page were checked against these sources on 6 October 2026. Rates, prices and local rules change, so confirm anything you rely on before you commit.

Buying a home inNorthern Virginia