8 Things to Consider When Buying a Rental Beach House
Buying a rental beach house can be a great way to supplement your income. However, you need to make sure you're making the best choice for your needs, expectations, and capabilities. Here are eight things to consider when buying a rental beach house in OCNJ.1. Location, Location, Location
One of the first aspects to consider is the location of the rental home. It needs to be convenient for you to visit now and then to keep it up. However, it also needs to be in a place where tourists will want to stay.
More than that, you may even want to consider locations that are attractive to people coming for business meetings or conferences. Choosing a location that serves both seasonal tourists and business individuals can help sustain your income.2. How Close It Is To Your Home
Unless you want to spend a few hours driving between your primary residence and your rental home, you should consider how close you want the rental to be to your primary residence. Renting the beach home out means you're going to need to maintain it often. Having to drive a long distance may make maintenance and upkeep difficult.3. Local Regulations
It's also important to understand the ordinances in place for vacation homes. Some locations won't allow you to rent out short-term vacation homes. Others may have additional regulations that can make it difficult to rent the home out to tourists.4. Consider Timing
Renting out beach houses is a long-term game. You're going to need to hold onto it for some time before you start seeing a return on your investment. If you ever plan on selling the beach house, then you also need to be prepared to hold onto it for a while until the timing is just right.5. Mortgage Restraints
Buying Jersey Shore beach house rentals means you're taking on a second mortgage. Can you afford it? Several bank loaners require you to put down a 20% or 30% downpayment if the home isn't primary. Will you be able to afford the mortgage on top of your original mortgage in the periods without renters?6. Taxes
Just like your primary residence, you're also going to need to pay property taxes on your vacation home. The rules are slightly different for rental properties, too. You'll be considered a landlord. It's a good idea to familiarize yourself with the tax rules regarding vacation rentals to ensure you're ready to take on the responsibility.7. Insurance Coverage
Insuring your vacation home is vital. In some instances, your insurance company may even consider extending your insurance coverage to your rental home. That isn't always the case, however. You should determine how much insurance will cost you and if you can find any way to cover both homes under the same policy.8. Marketing Strategies
Finally, you need to consider how you're going to market your rental property. There are plenty of other rental properties out there. How are you going to spread the word about your incredible property? You may just need to invest in a few different marketing strategies.Find Your Beach Property Today
Buying a rental beach house can be extremely lucrative. Before you dive in, however, consider these eight things to make the right decision. Once you're ready to start shopping for rental homes, call Berger Realty to help you. We have incredible beach rentals for sale that may be just what you're looking for.
You can ask our agent.