Navigating through the Real Estate market with the goal of purchasing a Vacation Rental Property involves a few simple yet strategic steps to follow. There is a combination of elements to consider when purchasing an investment property at the Shore. Unlike purchasing a primary residence, a rental property requires more, should I say, Pomp & Circumstance. Meaning: this property must appeal to the masses, stand out above the competition, attract future guests and ultimately generate a positive cash flow to you. It would be my pleasure to eliminate any confusion or hesitation when buying the proverbial “Turn Key” Rental Property and reaping the benefits of one of the World’s only tangible investment. I will be discussing the ideal investment property in four parts.
Four Parts of an Ideal Investment
Part 1 - TARGET LOCATION
The key, no pun intended, is to narrow your search to a location with amenities. When a potential renter begins their search of an ideal vacation property, it is all about convenience. Your Investment Property (IP) must be in a desirable location with close proximity to the Coast… as in the BEACH or on the BAY. Water views are highly recommended but not typically a “deal breaker” for the average renter. Just the idea of being close to an island’s waterway is sufficient. Trust me. There is the whole idea of Coastal Living which invokes the senses and allows the mind to set on vacation mode. This is the environment in which to invest. Create the destination for others to dream about visiting and spending their time and hard-earned money. Choose an area richly full of natural elements, beautiful surrounding and appealing activities a while keeping in mind guests of all ages. This location must be a place with either history or a definite future, a place you would like to vacation.
*Note: If the location you are looking to invest has a Boardwalk, Entertainment District, Museums, Main Street with Shops… please, please, please, start your search within a short distance to these attractions. Renters want it all and they deserve to have it all. They are your future clientele and the whole idea is to build relationships so they become your repeat renters every season. So, give them all the conveniences within the realm of possibilities when pin-pointing your IP location.
Additional features to take into consideration when purchasing you IP is to scout out the Restaurants, Bars & Grills. Renters don’t always want to cook on their vacay. As the ol’ saying goes…they want to be Wined & Dined… as they should be. Your IP needs to be in an area where they have options to Eat, Drink & be Merry all while enjoying the islands eateries and exploring local gastronomy. Start with the locations which attract visitors in abundance. Visualize yourself taking in the sights, scents and sounds within the location and this is what your future renters will be experiencing.
Picking the perfect location is truly the most important step to take when looking to buy an investment property. If you are in the right location all the rest will fall into place.