vacation rental viability

5 Replies

Hello BP,

 Is there a reliable source (online or otherwise) to get an idea for the demand of a vacation rental in a particular area? Specifically I am looking at condos in the Waterville Valley / Campton area of the White Mountains, NH. I have run the numbers in the Calculator it looks like it will pay for itself if it is rented an average of 3 weekends a month (minimum 2 night stay.)

Thanks,

Adam

No really a good resource other than a lot of looking at other people's rentals and their availability, you might also reach out to a management company that specializes in vacation rentals.

Hey Adam,

Sure thing zillow is packed with info at your fingertips. Just select the area and property type and select rented and data should appear. You might want to compare markets. It's very user friendly, free, and gives you coverage nationwide

@Adam Duffy Just for kicks you might want to post the results of the calculator here for people to take a peak at.  I'm a little leary to think that 6 nights (3 weeks * 2 nights) is going to be enough to cover mortgage, insurance, property tax, maintenance, cleaning, furnishing, 100% of utilities, cable, internet, etc. but maybe I'm all wrong.  For a long time I was just plain shocked when I would see a vacation rental's T-12 and even more shocked when I figured out that PMs want 18%-30% of gross rents to manage them.  It's just an entirely different ballgame.  

What I would do, in your shoes, is take @Aaron Klatt 's suggestion of contacting a PM.  Most of the good ones will (off of the top of their head) know a range from what a "2 bedroom, 1 bath, condo in ___ building" will gross annually.  What's even better is if you look on their website and find a condo that they have listed for rent in that building.  You can tab through (sometimes) and see how often it's booked.  Again, it's a less exactly method of getting to gross rent potential but it's a start.   

thanks for the replies everybody, I I've definitely been been checking calendars and am going to reach out to the property manager tonight. I figured he would be my best resource, just wasn't sure if there was additional research I can could do. 

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here