Living in Friendship Heights: DC Side vs. Maryland Side

Houses on the DC side (Friendship Heights DC, Tenleytown and AU Park) sold for a median $1,450,000 over the past 12 months, versus $1,585,000 in Chevy Chase MD across the line, where houses run larger and cost less per square foot. However, the bigger gap is the tax bill: on a $1,500,000 owner-occupied home, DC property tax comes to about $11,970 a year, versus about $17,280 in unincorporated Montgomery County.
Brick and stone colonial houses on a Chevy Chase street in autumn, with Friendship Heights condo towers beyond

Western Avenue is the line. Stand where it crosses Wisconsin Avenue, by the Friendship Heights Metro station, and one side is Washington, DC; the other is Montgomery County, Maryland. The Red Line and the shops are shared; however, the price per square foot, the property tax rate and the taxes due at settlement are not.

To compare the two sides, I pulled every Bright MLS closed sale from October 2025 through September 2026 inside our neighborhood boundaries: Friendship Heights DC, Tenleytown and American University Park on the DC side, and Friendship Heights MD and Chevy Chase MD on the Maryland side. Because houses and condos are separate markets, they get separate tables.

Friendship Heights home prices on each side of Western Avenue

Houses

Detached and attached houses, October 2025 – September 2026:

Area Sales Median price Median $/sq ft Median days on market Sale price vs. original list
Friendship Heights DC 31 $1,310,000 $575 7 100.0%
Tenleytown 20 $1,425,000 $535 8.5 99.2%
American University Park 74 $1,482,500 $588 6 100.3%
DC side, combined 105 $1,450,000 $580 6 100.0%
Chevy Chase MD 247 $1,585,000 $511 10 98.5%
Maryland side, combined 247 $1,585,000 $511 10 98.5%

The neighborhood boundaries overlap a little; therefore, the DC total counts each sale once. Friendship Heights MD had no house sales at all; it’s a district of condo high-rises; as a result, the Maryland house market here is Chevy Chase.

  • Maryland houses cost more, but less per foot. The Maryland median was $135,000 higher, yet DC-side houses sold for $69 more per square foot ($580 vs. $511). In other words, you get more house for the money in Chevy Chase MD.
  • DC-side houses moved faster. A median 6 days on market at 100.0% of the original list price, versus 10 days and 98.5% in Maryland. As a result, expect less room to negotiate on the DC side.

Condos and co-ops

Condos and co-ops, same 12 months:

Area Sales Median price Median $/sq ft Median days on market Sale price vs. original list
DC side, combined 14 $547,500 $636 21.5 96.3%
Friendship Heights MD 75 $330,000 $354 49 94.7%
Chevy Chase MD 28 $537,500 $457 35 96.2%
Maryland side, combined 103 $375,000 $366 41 94.9%

However, the condo picture flips. Maryland has the volume: 103 sales, most of them in the large Friendship Heights MD buildings, at a median $375,000 and $366 per square foot. By contrast, the DC side had only 14 condo sales, at $636 per square foot. With so few sales, the DC median moves around; for example, over 24 months it was $675,000 on 41 sales.

The tax bill changes at the line

For a home you live in, DC taxes residential property at $0.85 per $100 of assessed value (homes with one or two units pay $1.00 per $100 on assessed value above $2.558 million), per the DC Office of Tax and Revenue. In addition, if you register the home as your principal residence, the homestead deduction takes $91,950 off the assessment (tax year 2026) and limits taxable assessment increases to 10% a year.

The Montgomery County rate

In Montgomery County, the levy year 2026 rate schedule (July 2026 – June 2027) puts the total rate for an unincorporated address at $1.1521 per $100, including the state’s $0.112. Additionally, the incorporated Chevy Chase municipalities add their own rate on top, from $0 in Section 5 to $0.0617 in Chevy Chase Village, and the Village of Friendship Heights adds $0.04. Maryland’s homestead credit also caps taxable assessment increases at 10% a year, but there is no flat deduction like DC’s.

Annual property tax on the same home

For example, here is the annual property tax on an owner-occupied home, assuming the assessment equals the purchase price:

Home DC side Maryland, unincorporated Maryland, in a municipality
$600,000 condo $4,320 $6,910 $7,150 (Village of Friendship Heights)
$1,500,000 house $11,970 $17,280 $18,210 (Chevy Chase Village)
Each side’s median house price $11,540 on $1,450,000 $18,260 on $1,585,000 –

On the same $1,500,000 house, that’s about $5,300 more a year in Maryland, and about $2,600 more on a $600,000 condo. Similarly, the bills on homes that actually sold show the same gap: the median annual tax listed on DC-side house sales was $9,212, versus $14,141 on the Maryland side. However, those figures reflect the sellers’ assessments and credits, not what a new owner will pay.

Agent Insight
When buyers tell me they’re open to either side of Western Avenue, I have them compare the yearly cost of owning, not just the price. A Chevy Chase house can look like the better value per square foot and still cost several thousand dollars more a year once the tax bill is in. On the DC side, the homestead deduction only helps if you file for it, so do it right after settlement.
— Evan Johnson, Wardman Residential at Compass

What you pay in taxes at settlement

Both jurisdictions tax the sale itself. DC charges a deed recordation tax and a deed transfer tax of 1.45% each on homes of $400,000 or more (1.1% each below that). Meanwhile, Maryland charges a 0.5% state transfer tax, and Montgomery County adds a 1% transfer tax and a tiered recordation tax that climbs from $4.45 to $11.35 per $500 as the price rises. However, the first $100,000 is exempt from the county recordation tax when the buyer will live in the home.

Tax at purchase DC, $600,000 Maryland, $600,000 DC, $1,500,000 Maryland, $1,500,000
DC deed recordation tax (1.45%) $8,700 – $21,750 –
DC deed transfer tax (1.45%) $8,700 – $21,750 –
Maryland state transfer tax (0.5%) – $3,000 – $7,500
Montgomery County transfer tax (1%) – $6,000 – $15,000
Montgomery County recordation tax (tiered, owner-occupied) – $4,910 – $24,710
Total, buyer and seller combined $17,400 $13,910 $43,500 $47,210

Below about $1,075,000, Maryland’s total is lower; at $1,500,000 the Maryland side runs about $3,700 higher, because the county’s recordation rate rises with price. Who pays which tax is set in your sales contract and differs by local custom; therefore, ask your agent and settlement attorney to show you your share before you write an offer.

Income tax on each side

Income tax changes as well. Maryland residents pay state income tax plus Montgomery County’s local income tax (3.2% for 2026), while DC has its own brackets. In any case, run your own numbers with your tax advisor.

Frequently asked questions

Is property tax higher in Chevy Chase MD than in DC?

Yes, for an owner-occupied home. DC’s residential rate is $0.85 per $100 with a $91,950 homestead deduction; Montgomery County’s unincorporated rate is $1.1521 per $100 for levy year 2026, plus any municipal rate. On a $1,500,000 home that’s about $11,970 a year in DC versus $17,280 to $18,210 in Chevy Chase MD. Montgomery County also set its homeowner Income Tax Offset Credit, $692 the year before, to $0 for levy year 2026.

Is Friendship Heights in DC or Maryland?

Both. The name covers the DC neighborhood on the District side of Western Avenue and the Maryland side around Wisconsin Avenue, which includes the Village of Friendship Heights, a special taxing district with its own $0.04 rate. In the past 12 months the DC side sold mostly houses, while the Maryland side sold almost entirely condos.

Do first-time buyers pay less in transfer taxes?

Often, if they qualify. In Maryland, when a first-time Maryland homebuyer will live in the home, the state transfer tax drops from 0.5% to 0.25%, and the seller pays all of it, so the buyer owes none of the state transfer tax. Similarly, in DC, qualifying first-time buyers pay a reduced 0.725% recordation tax, subject to income limits and a price ceiling DC resets each year ($777,000 for tax year 2026). Your settlement attorney will confirm eligibility.

What about Chevy Chase DC and Spring Valley?

Same DC tax rules as Tenleytown and AU Park. If you’re comparing the whole area, look at Chevy Chase DC homes for sale along Connecticut Avenue and at Spring Valley, next door to AU Park. For how AU Park, Spring Valley and Tenleytown compare, see AU Park vs. Spring Valley vs. Tenleytown home prices.

In short, Maryland houses here give you more space per dollar, DC-side houses sell faster, and the DC tax bill runs thousands lower each year. If you’re weighing a home on either side right now, I’m happy to walk through the numbers with you before you write an offer.

Sources: Bright MLS closed sales, October 2025 – September 2026 (October 2024 – September 2026 for the 24-month DC condo figure), houses (detached and attached) and condos/co-ops within Wardman neighborhood boundaries for Friendship Heights DC, Tenleytown, American University Park, Friendship Heights MD and Chevy Chase MD; DC Office of Tax and Revenue (real property tax rates, homestead deduction, recordation and transfer tax, first-time buyer notice); Montgomery County Department of Finance (levy year 2026 rate schedule, recordation tax tiers, Income Tax Offset Credit); Maryland SDAT 2026–2027 tax rates; Md. Code, Tax–Property §13-203; Village of Friendship Heights FY2027 budget; Maryland Department of Legislative Services (2026 local income tax rates). Tax figures are estimates, not tax advice; confirm with your settlement attorney or tax advisor. Data deemed reliable but not guaranteed.

About Evan Johnson
Evan Johnson has helped clients buy and sell homes across Washington, DC, Maryland, and Northern Virginia since 1999, with more than 650 homes sold and $334 million in career sales. He leads Wardman Residential at Compass, where about three-quarters of the business comes from repeat clients and referrals. Reach Evan at 703-447-6137 or Evan@Wardman.ai.

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