There are plenty of perks to living in a vacation town. In areas where tourism is the main draw there are often plenty of activities to do and events to attend in addition to other attractions. Some vacation hot spots are active year round while others are busier during certain parts of the year. While visitors can be great for the local economy, in some cases they can also make it difficult to find a home to buy. This is often the case in beach towns where much of the real estate is short term rentals. For those who want to purchase, here are three tips for buying a home for sale in these areas.
Look Outside The Main Hub
Whether it's the beach, a mountain, or a scenic downtown area, usually there is one spot that attracts the lion's share of visitors. Year round residents should consider looking for homes for sale outside of this main hub. Not only will there likely be more inventory to choose from farther out, getting away from the town's main attraction can also save a lot of money. Nationally waterfront homes are double the value of the average home. Mountain homes near popular ski resorts can also go for a premium.
Use Home Ownership As A Money Making Opportunity
Real estate investment is a goal for many simply due to the fact that it is a great way to generate passive income. Living in a popular tourist area can be a great opportunity to generate more income. Potential homeowners should look for properties that may offer rental options. Homes that have attached guest homes or duplexes are great options. There are also other benefits to owner-occupied rental properties. Owners are able to write off ownership expenses and depreciation, which can save a lot of money on taxes.
Buy During The Offseason
Another tip to purchasing a home in a vacation town is looking at homes for sale during the off season. Sellers may be more likely to work with buyers when the busy season is over and there are less people interested in the home. One strategy is to look at older listings in order to find homes that were on the market during the busy season but that did not sell. Year round residents may be more likely to find the home they want during the quieter part of the year.
Purchasing a home in a vacation town can be difficult. Often inventory is low, prices are high, and in some neighborhoods there are only for year round residents. Those looking for a home may want to take their search away from all of the activity and maybe even consider a neighboring town. There is also the option to take advantage of the tourism and to purchase a property that offers rental opportunities. Looking during the off season can also be a great way for year round residents to find a home that works for them.