beach house

[Frank Yaccarino]

Is it wise or worth buying a beach property to rent and letting a realtor find renters and give them a %?  

[Eric Taylor]

Beach house are indeed quite tricky.  They can be more expensive to maintain given the proximity to the sea.  When i initially bought my beach house I had to pay $16,000 per year for flood insurance.  Property taxes can trend a bit higher as well.   Rentals are typically seasonal.   Do your research with respect to the rental histories of the unit and similar units.  Also, the management companies tend to take as much as 50% when cleaning fees, and repairs are taken into account.  They are great dual use properties.  We currently rent ours out and use it it 5 to 10 times per year.  Just to put it in perspective, I paid my Beach house off yet my yearly bills amount to circa $40,000 per year.  This includes taxes, flood insurance, insurance   and upkeep.  Think before you leap.