thinking about a small size MF in Homer AK (currently 100% occupied) but i am worried mainly re exit strategy and vacancy rate - anyone has some experience there? would love to hear about it
Hi @Or D. , Homer is a unique market. End of the road where fishermen, artists, homesteaders, and hippie's all meet. I know a couple of people that do vacation rentals down there and also know that the hospital employs a good portion of the town. I make the 4 and half - 5 hour drive from ANC once or twice a summer but am far from having local knowledge. The electricity rates aren't great and LNG isn't available for most places yet. Just some considerations when you're factoring in costs. Why Homer?
thanks @Connor Dunham for this info - eventually i decided to drop this MF as i feel like i wont be able to sell if needed later on, but re the "why" i just love homer, its one of my favorite AK towns and i do think maybe one day in the future ill find myself retiring there :) so just checked whats around and found this MF near the hospital...i do feel that MF will be hard to sell (SFH prob as well but more doable i feel...but with SF cash on cash is not great to say the least...maybe one day
btw @Connor Dunham how do you like ANC investments? would love to hear about it a bit..maybe that should be my way into AK
@Connor Dunham is an excellent source - I would have come in a little more optimistic on Homer - as an end of the road, ocean, vacation destination - I think it continues to value and grow over time - but he's right about the costs - and you're right to want to know if exit will be hard.
@Jamie Rose thanks for the reminder to get back to this thread.
@Or D. Yea, most people don't decide to retire here, but some do. There's been plenty of discussion of our market on here if you key-word-search it and how we're still in a recession. Certainly, there are abundant outdoor activities with a 30-minute drive. I think Soldotna is a great location as prices aren't as high, there's still fishing, and it's half the drive. The views aren't nearly as spectacular as in Homer though.