Demographic Inversion involves a socioeconomic reordering of the uses and occupants of properties inside the boundaries of major US cities. The concept is akin to gentrification, which has generally been defined by the outplacement of less affluent minority groups by more affluent residents, but has a broader impact on both the people and types of property affected by the process. Employing 2000 and 2010 census data, we examined the demographic changes of residential patterns of Washington, DC. Analysis of this data revealed that the demographics of the residents of the city changed significantly between 2000 and 2010, including household income, number of households with children, selling prices of homes, foreclosure rates and ethnic composition. The change in ethnic composition also had an impact on a diversity index that was devised for the study.