Swampscott, MA 路 Member since 2020 路 8 posts 路 0 votes
Just starting out in Investing and am drawn to the Ocean Front, Myrtle Beach Condos. Speaking with an Agent on finding which resorts to buy in for cash flow and which to avoid. If I make the first deal work, any reason I shouldn鈥檛 build my entire portfolio here?
A few easy examples: - HOA decides to have a special assessment and wipes out your cash flow for the year - HOA does not allow renters - HOA gets embroiled in a lawsuit and lenders stop lending for anything in that HOA
Greg Scott is spot on. On the surface it sounds great - most everything is done for you. reread Greg Scott's answer. I saw significantly lower cash-flow.
Make the first deal work, then you can make the decision about whether the risk/reward and effort/reward are significant enough to continue building out your portfolio with similar deals.
@Jeffrey Long Do you have clients that have built their full portfolio on the Grand Strand area?
It's not abnormal to see someone own 2-5 individual condo units in Myrtle Beach, or more if they own an entire multifamily complex. For most, however, it is part of a more diversified portfolio across several markets. A popular strategy is to own vacation condos in all markets that you personally vacation in.