I am thinking of buying my first property for short term rental. I want to buy in New Jersey, Eastern Pennsylvania, or New York state. First I thought of areas around NYC. I found out either they are too expensive or the towns are starting to ban short term rental. I then thought about the Poconos. Somebody in the bigger pockets forum said the occupancy rate is low. What area do you suggest buying a first property. Thanks
Rental Property Investor · Long Island, NY · Member since 2015 · 490 posts · 301 votes
7y
@Bobby Movva Stay out of Jersey City they are about to make STRs effectively illegal. Maybe consider near the shore although I'm sure it's not too busy during the cold months it still could make sense to take advantage of the peak summer season. I don't do STR personally because of some of the political risk involved like in JC.
Morristown, NJ · Member since 2016 · 30 posts · 14 votes
7y
@Bobby Movva I own a STR in Seaside Heights, NJ. With only renting it out during the on season and using it myself here and there, I make a couple grand in profit each year.
However, many owners rent their places in the winter to transitional renters. I chose not to do that because I use the house myself throughout the year, but my with my next property , the $1200 / month I’d make in the off season would be pure profit. Beach rentals can cash flow in the area like crazy. Just make sure you’re looking at places that have either been raised for are above flood elevation. Flood insurance kills profits.