First Investment, Beach Rental. Should I wait until Winter to Buy

[Vincent Russo]

I have the funds to act now. This would be my first investment property ever. I live 3 hours from Ocean City, Maryland. The hot season is about over. I worry if I buy now, I will need to carry the note until next summer with no renters. This would be a STR opportunity. Nothing available WOWs me but I really don't think the market will all of a sudden crash like some are predicting. I am worried if I don't act now, I will not have much to buy in the late winter early Spring. Thoughts? Should I wait until Winter so I can see if better opportunities pop up or grab something now and pay the mortgage for 9 months?

[Jeff Schemmel]

if the deal hits your numbers I don't see a reason to wait.  most of the money I've made in real estate has been through waiting.  I estimate my appreciation gains on my duplex to be in the ballpark of $3,500-4,000/m in the last 20 months.  That's super aggressive and also involves some cosmetic interior rehab projects over that time, but most of it is just market appreciation we've had.  I don't expect that to continue, but I think it's still fair to expect a few % per year conservatively if you're buying and holding.  

if the deal works, do it.  Just try to get renters in there to avoid vacancy as much as possible.  I know that area gets nuts in the spring/summer and I personally know people who rented there over the summer religiously and paid extra because they were getting paid so much through the summer.  Probably a decent spot assuming the pandemic doesn't slap us in the face again :)

good luck.