Beach Condo- Alabama

[Jason Jebeles]

We live near Birmingham Alabama.  We have successful rental houses, couple small multi family and an Airbnb as well.  With the success of our Airbnb we want to venture into a vacation rental on the coast of Alabama.  Does anyone own units here and are they successful?  Yearly positive cash flow?  

[Greg Parker]

A friend of mine has had 3 condos in Gulf Shores for several years (on West Beach, across the street, not on the Beach side).  He bought years ago at a really great deal, but he tells me that it is just a break-even (hopefully) situation every year.  The condo fees and insurance are outrageous.  And, he gets hit with a bill every two or three years for updates(exterior work, parking area work, hurricane sand clean-up).

But, he is hanging in there until they have paid themselves off, then he will sell 2 at a market high and not have to rent the other one, just use it for personal use.

Definitely a long term plan.  I think he financed for 15 years originally.