The high and low tides of owning a beach rental

1262489_10201513748599156_627298439_o

Like many vacationers you probably have visited one of the beautiful coastlines in the USA. It’s so hard to leave when the week is over, so here are some tips to get you on the path to owning your own little piece of paradise.

To begin you have to decide where to buy.  I like to suggest somewhere that is easily accessible to your home since you will want to enjoy it as much as possible for yourself.
Decide on a price point within your budget and prepare for cost that you would not consider when purchasing a primary home. After those decisions are made determine your short and long term goals especially if this will eventually be a retirement home. There are many vacation rental sites that can offer assistance to determine market value of seasonal rates for selected areas.
Owner expenses to consider:
Mortgage fees may be higher and a larger down payment may be required for a second home and real estate investments.
State and Local property taxes
Resort taxes
Tourism taxes
Parking permit fees
Homeowners association or Owners Regime membership dues
Property Insurance that may include flood and wind
Special assessments for compliance of exterior maintenance and architecturally approved appearance
Utility cost
Mandatory utility charges such as a community wifi and or cable company
Recreation use fees for yourself or your visitors
Permit fees for repair or remodeling contractors
Business license fees if you are going to use your property for short term rentals
Local taxes on the rental income you receive
Advertising cost for your rental
Cleaning and laundry fees

Reserve for replacing appliances and furnishings as needed
Rental management fees
Reserve for vacancies and cancellations

Not all of the above may apply but are noted to assist you in making an informed purchase

Owner benefits:

Collect the rent and pay the bills!

With good planning you’ll own a piece of your vacation paradise with no reservation required!

Advertisements
About Alice DeForesthttp://easyrealestate.blogWith over 30 years experience in various phases of the real estate industry, I would like to have the opportunity to share some of the knowledge, hard work, and fun things with you. I have also had the opportunity to live in all four corners of the US , so I have been a buyer, seller, tenant, and landlord in my personal life. I am now a settled empty nester, which allows me the time to work on this blog...

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s