Centerville, UT · Member since 2016 · 51 posts · 9 votes
I've been looking into getting a vacation rental up in the Bear Lake area? Anybody on here have a property up there that they rent out year round? Just curious how successful it has been, how often is it rented out and any advice or pointers you guys would have? I really like the idea of renting out up there because it is completely driven by tourism and is extremely popular in the summer months. Also in the there are miles of snowmobiling trails and a ski resort close. If anyone has experiences in this area I would love to hear. Thank you!
Property Manager · Mammoth Lakes, CA · Member since 2014 · 263 posts · 230 votes
10y
I'm not in the Bear Lake area, but we have a vacation rental in Mammoth Lakes, another year round resort, and have had really good cash flow with it. All winter we have skiers and in the summer we have people for hiking, mountain biking, and sight seeing. Fall and spring are a little slower, the mud season, but we already have all but two days in August booked. The biggest hassle is cleaning and our biggest expense is the towns transient occupancy tax, which I think most resort/tourism driven areas charge. Ours is 14% here. We really like it though, and after our mortgage and all expenses we've still been cash flowing about 2k/ month on a one bedroom condo.
Investor · Salt Lake City, UT · Member since 2016 · 1 post · 3 votes
10y
There are tons of off-roading trails & other attractions too. My mom has a small cabin less than 10 minutes from the lake on the Idaho side (we've spent many glorious days up there this summer), but it's not in a great location and doesn't have plumbing or electrical. I've always been interested in owning vacation property up there too, so I'm interested to see what people on BP have to say as well.
Property Manager · Mammoth Lakes, CA · Member since 2014 · 263 posts · 230 votes
10y
I'm not in the Bear Lake area, but we have a vacation rental in Mammoth Lakes, another year round resort, and have had really good cash flow with it. All winter we have skiers and in the summer we have people for hiking, mountain biking, and sight seeing. Fall and spring are a little slower, the mud season, but we already have all but two days in August booked. The biggest hassle is cleaning and our biggest expense is the towns transient occupancy tax, which I think most resort/tourism driven areas charge. Ours is 14% here. We really like it though, and after our mortgage and all expenses we've still been cash flowing about 2k/ month on a one bedroom condo.
Property Manager · Garden City, UT · Member since 2016 · 4 posts · 7 votes
10y
Brady, I am a property manager in Bear Lake, so I am happy to answer any questions you have.
Of course it depends on what you would be into it, but most our owners cash flow a little and handful actually do pretty well. Most our owners just wanted to have a cabin in this area that they can go to and then rent it out the rest of the time to cover the mortgage and hope it appreciates.
The best ROI is 1 or 2 bedroom condos, or cabins that have 7 bedrooms or more and sleep 34 or more. In complete honesty I wouldn't say it is a red hot investment area...yet. There are 3 new large scale developments coming in that I think might help boost things, and our office of tourism is really making a marketing push.
Rental Property Investor · La Quinta, CA · Member since 2014 · 1k+ posts · 779 votes
10y
I did a fair amount of research into the area, pursuing the 7+ bedroom model @Joey Stocking mentioned. I'm not interested in using real estate in the area, so for me, I was looking strictly at the economics. The numbers were good -- better then most of the county -- but not quite as good as I am seeing in the Coachella Valley area, so I never pulled the trigger.
Centerville, UT · Member since 2016 · 51 posts · 9 votes
10y
Thank you for the input @John D. And @Joey Stocking thank you for responding and thank you for your insight. If you don't mind I have a couple more questions. So do you think investing in a condo in Harbor Village, would be smarter than a cabin with 3 bedrooms, 2 bathrooms. I have found very affordable Harbor Village condos that seem very appealing. Why do you think the 1 or 2 bedroom condos are the best ROI? What is the benefit of a condo vs. a 3 bed 2 bath cabin?
Also with the 3 new developments coming in, do you think that would help us with an investment property or have the opposite effect?
Also what are the winter months like? I know there are hundreds of miles of snowmobiling trails, as well as Beaver Mountain right there. Is there a good amount of renters in the winter months? Thank you again for your help. I have really been wanting to talk to somebody about the market up there, so I'm glad i found you.
Property Manager · Mammoth Lakes, CA · Member since 2014 · 263 posts · 230 votes
10y
My full time residence is a block over from our vacation rental, so when I'm home and around, I go clean myself. It's only about 700 sqft and I'm a full time investor, so it's not a big deal. We do travel quite a bit though and have found a gal who will go in and clean for us for only $40. I manage the property myself on Airbnb too, so that's probably the biggest thing that keeps our cash flow so high. It's definitely more "active" investing but for my lifestyle right now the returns have been worth it.
Property Manager · Garden City, UT · Member since 2016 · 4 posts · 7 votes
10y
A 3/2 cabin would do pretty good too, but yes, I believe a condo in Harbor Village will likely have a better ROI because there is a higher demand for them.
Basically properties that sleep 18-24 or have 4-6 bedrooms have lower demand, plus there is currently a large supply of them, so you cannot ask as high of a nightly rate. Thus occupancy and nightly rate are lower.
I am not sure if the new developments will help or hurt an investment in a condo. One of the new developments (Waters Edge) is supposed to have some condos in it, so I am not sure how those will end up comparing and competing with Harbor Village. However, they are supposed to have amenities open year round, which will hopefully help with everything else being open year round. Currently, there are only 4 of the 15 or so food establishments that stay open in the winter, and most of the retail stores close as well.
Bear Lake is definitely mostly busy from Memorial Day to Labor Day.
The winter months are excellent, but few tourists seem to know that. I personally think the snowmobiling is better than Jackson and Yellowstone, and Beaver Mountain is a great ski resort with a lot shorter lines than Park City resorts.
Currently only holidays and a handful of weekends in January and February fill in. But every winter we get more and more reservations, so it is growing.
I have also seen some condos in Harbor Village go for cheap and was interested in getting one myself, but I wanted to avoid the conflict of interest in owning one and doing rentals for other owners.
Let me know if you have other questions. I am happy to help. I'm also the local chamber president and could point you to various realtors or other resources if needed.
Property Manager · Garden City, UT · Member since 2016 · 4 posts · 7 votes
10y
No problem @Brady Lee. We are a full service property management company -- meaning we basically take care of everything (marketing, taking reservation, remitting sales tax, CC processing, cleaning, maintenance, re-stocking consumables, etc.)
As an owner you are in charge of paying the mortgage, utilities, and maintaining the exterior.
If you want, I could send you one of our "owner packets."
Centerville, UT · Member since 2016 · 51 posts · 9 votes
10y
Thank you @Joey Stocking that would be great to get an owners packet. Do you need my address or email? Also is it possible to just have some of the services covered like cleaning, and re-stocking? Thanks again for the input.
Property Manager · Garden City, UT · Member since 2016 · 4 posts · 7 votes
10y
We are happy to look at each case individual. Your email address would be great. I tried to share mine, but evidently I am too new to post personal info like that. I guess if you click on my name and view my profile it has my email address. Either way.
Rental Property Investor · Venice, CA · Member since 2016 · 42 posts · 32 votes
10y
I've had 2 vacation rentals in Big Bear Lake since 1997 booth 1b/1b. I listed my most recent property on VRBO in 2012. I manage the properties and now get an average of 122 nights a year. I break even most years, bad snow seasons I run negative.
Developer · Millcreek, UT · Member since 2021 · 15 posts · 5 votes
5y
@Mindy Francis I've been looking at stuff up there for years. I had an offer on a lot that allows nightly rentals recently, but lost out to the owner of the adjacent lot.
Even though you may find something in an area zoned for nightly rentals, the HOA may restrict them, so you need do some digging into the CC&Rs.
I'm still looking for the right property up there...
Realtor · Herriman, UT · Member since 2021 · 28 posts · 20 votes
5y
We just bought a lot up there and are building a 2,800 sq foot home, 5/3. Our numbers show we can rent that home during peak season (June, July and August) and it will pay our mortgage on the home for the year. It is a great area to invest in if you can find the right lot and\or property.
@Joey Stocking or others, I am interested in opportunities in the bear lake area and wanted to see if there were updates on activity and success of rentals in the area since this post started 6years ago. Thanks in Advance!
To echo what Joey said 6 years ago, big cabins can pull in some big numbers. There are a lot of family reunions and family vacations that love bear lake year round.
Real Estate Agent · Lehi, UT · Member since 2020 · 3 posts · 2 votes
4y
I have extremely successful STR's in Park City Utah. I know your asking about Bear Lake but I still wanted to give my thoughts as a successful STR investor!
My word of advice is treat it as a business from the beginning! When I first bought a short term rental I had the impression that I would use the property for my own vacations but I quickly found out that I would make so much more if I treated it as a business instead of personal! Don’t take money from your own pocket!
Always available to answer specific question you might have as you search!