Rental Property

autumn

The Juggler wrote:

neilybabes86 wrote:

my house in long beach ny was bought for 32,000 in 1970...today its around 550,000
steps from the beach and a jumping party town

i could rent it in the summer for around 10,000 per month...but iam a beach bum and would totally lost w/ out it

although with the big surf competition coming in around labor day/....i am totally thinking about it

i could rent it and stay with my brother who lives 20 minutes away

i thought you've said that was your parent's or brother's house? :?

did you inherit it?

my parents are looking to buy a place down the shore too, but they are leaning towards delaware. they're gonna move down there in a couple years since they'll both be retired.

My father bought a place down the beach in DE while i was in high school. We had it as our summer place and then when he retired a few years back, he moved there permanently. It really is a great place for retirees. He loves it there. The winters are a little dull, but he usually spends them in FL. I'm heading down this weekend to visit him and Dogfish Head!

neilybabes86

The Juggler wrote:

neilybabes86 wrote:

neilybabes86 wrote:

my house in long beach ny was bought for 32,000 in 1970...today its around 550,000
steps from the beach and a jumping party town

i could rent it in the summer for around 10,000 per month...but iam a beach bum and would totally lost w/ out it

although with the big surf competition coming in around labor day/....i am totally thinking about it

i could rent it and stay with my brother who lives 20 minutes away

well yea its a family house..my brother bought his own in the next town
i was just using the term I ...lol that sounds funny
i was just bringing up price examples between where pain is talking about and long beach ny

yeah but he's getting his on an auction...normally the price would be in line with what you said.

that's awesome to have a place to go down to anytime you want. my family used to have a place in sea isle but sold it like 20 years ago. i wish i started saving $ at a much younger age than i did. :roll:

oh that blows...my parents thought about selling it years back....but we were able to convince them to keep it (thank god)
and they have also become beach bums in the past 10 years
and the best part is that its the 1st town in long island..so its only a 40 min drive or train ride as opposed to 3 hours down the shore or to the hamptons

The Juggler

autumn wrote:

The Juggler wrote:

neilybabes86 wrote:

my house in long beach ny was bought for 32,000 in 1970...today its around 550,000
steps from the beach and a jumping party town

i could rent it in the summer for around 10,000 per month...but iam a beach bum and would totally lost w/ out it

although with the big surf competition coming in around labor day/....i am totally thinking about it

i could rent it and stay with my brother who lives 20 minutes away

i thought you've said that was your parent's or brother's house? :?

did you inherit it?

my parents are looking to buy a place down the shore too, but they are leaning towards delaware. they're gonna move down there in a couple years since they'll both be retired.

My father bought a place down the beach in DE while i was in high school. We had it as our summer place and then when he retired a few years back, he moved there permanently. It really is a great place for retirees. He loves it there. The winters are a little dull, but he usually spends them in FL. I'm heading down this weekend to visit him and Dogfish Head!

quality brew!

yeah, they've been talking about moving down there forever. my dad is always coming up with weird ways to spend his retirement/make money. his latest idea is to get a hot dog cart license and sell them on the beach down there. :roll: .....the family is not too keen on that idea.

autumn

Awesome! He could hang out with my dad. He has a fishing boat and had the grand idea that he was going to charter other people on fishing trips and be the captain. Yeah, he just takes himself and friends/family out. It was amusing for a while though!
Tell your Dad that those snow cone stands are really popular in the summer and so are the beach fries. People will stand in line all day for them! :?

Phantom Pain

Got_Some wrote:

Phantom Pain wrote:

Got_Some wrote:

You're buying this property for the sole purpose of renting it out? If not, then recapturing your annual mortgage payment may not be as big of a deal.

Did you look at what other similar places are renting for in the area and then calculate the total rent you would receive during the seasonal period (with adjustments for potential vacancy)?

Does that amount cover your mortgage payment for the year? Is the property in an area where values are increasing?

Just a few things I would look into.

Yeah..it would be strictly for renting

Similar units are getting between $2800-3100 a week..but I think when they bought the market was way up. The unit Im looking at would be drastically lower in price so I could lower my weekly rental fee and still be ahead

Mortgage price is up in the air because there are 11 units available and they are set to go to Auction. I have a price I wont go higher than so I can kind of figure out a monthly payment

The unit is 100yds from the beach so I think the values will definitely climb back up or at least be in demand for renters regardless of the market

Do you have any property you rent ?

No, but I work in commercial real estate...specifically, the multifamily segment. Sounds like your unit may be attractive due to the fact that you are able to charge a lesser amount for weekly rent. Stick with your price ceiling and you should be ok. It's still a good time to buy in a lot of markets and it sounds like this property will increase within the next 5 years.

Thats what we're thinking the location can't be beat its so close to the beach

I'm little nervous about the auction part of it not knowing a set price...we have to have money in hand and theres no guarantee we'll get a unit for the right price

Phantom Pain

The Juggler wrote:

Phantom Pain wrote:

The Juggler wrote:

wow that is awesome.

Maybe I can cut you in for a good Mortgage rate

you can honestly get a better deal from a different company. i'll be happy to help/give me advise if you want though.

i've always wanted a place in sea isle...but everything is still ungodly expensive there. guess i gotta expand my thinking.

Same here I grew up going to Ocean City NJ don't know much about Wildwood

We would probably have a few partners in on it to help with the cost especially in the even we dont have renters

Phantom Pain

neilybabes86 wrote:

my house in long beach ny was bought for 32,000 in 1970...today its around 550,000
steps from the beach and a jumping party town

i could rent it in the summer for around 10,000 per month...but iam a beach bum and would totally lost w/ out it

although with the big surf competition coming in around labor day/....i am totally thinking about it

i could rent it and stay with my brother who lives 20 minutes away

Thats what Im talking about something to have for life

$10K a month ?!?? Rent that shit !

Phantom Pain

Jearlpam0925 wrote:

Nice, PP. A LOT of really nice property is going super cheap down there. Pretty awesome - good for you, sir.

Thanks dude...Yep...I was putzing around on the local real estate websites they have plenty of property down there

If this doesn't work out with the auction I'm gonna definitely keep looking

Phantom Pain

PureandEasy wrote:

Wildwood Crest is nice. What block are the units on, are they near the boardwalk or totally "Wildwood Crest"

My sister had a place there a few years back, it certainly is nice to have a place to crash for a few days get away.

She sold it though :(

East Monterey Ave ?

Seems close to everything

Did she rent it out or just use it for herself ?

Drowned Out

I rented my house for a year, on a lease...so one couple the whole time....they were great tenants...and it was still a lot of work as far as dealing with all the little issues that come up. If your tenants aren't willing to chip in for minor maintenance, or deal with neighbours etc without involving you, it becomes very time consuming....I can't imagine what it would be like dealin with different people every week. I guess once you had things running smoothly it wouldn't be so bad....

Phantom Pain

Drowned Out wrote:

I rented my house for a year, on a lease...so one couple the whole time....they were great tenants...and it was still a lot of work as far as dealing with all the little issues that come up. If your tenants aren't willing to chip in for minor maintenance, or deal with neighbours etc without involving you, it becomes very time consuming....I can't imagine what it would be like dealin with different people every week. I guess once you had things running smoothly it wouldn't be so bad....

That's part of my concern as well

My In-Laws have a house in the Poconos in Pa that they have rented out occasionally in the winter months..they have had some good tenants no real issues. Of course the renter has to have a security deposit, that helps

These units are brand new so hopefully maintenance would be at a minimum in the beginning..unless someone punches a hole in the wall :?

The Juggler

Phantom Pain wrote:

Drowned Out wrote:

I rented my house for a year, on a lease...so one couple the whole time....they were great tenants...and it was still a lot of work as far as dealing with all the little issues that come up. If your tenants aren't willing to chip in for minor maintenance, or deal with neighbours etc without involving you, it becomes very time consuming....I can't imagine what it would be like dealin with different people every week. I guess once you had things running smoothly it wouldn't be so bad....

That's part of my concern as well

My In-Laws have a house in the Poconos in Pa that they have rented out occasionally in the winter months..they have had some good tenants no real issues. Of course the renter has to have a security deposit, that helps

These units are brand new so hopefully maintenance would be at a minimum in the beginning..unless someone punches a hole in the wall :?

would you clean it yourself between renters each week or have a management company or something? maid service?

Phantom Pain

The Juggler wrote:

Phantom Pain wrote:

Drowned Out wrote:

I rented my house for a year, on a lease...so one couple the whole time....they were great tenants...and it was still a lot of work as far as dealing with all the little issues that come up. If your tenants aren't willing to chip in for minor maintenance, or deal with neighbours etc without involving you, it becomes very time consuming....I can't imagine what it would be like dealin with different people every week. I guess once you had things running smoothly it wouldn't be so bad....

That's part of my concern as well

My In-Laws have a house in the Poconos in Pa that they have rented out occasionally in the winter months..they have had some good tenants no real issues. Of course the renter has to have a security deposit, that helps

These units are brand new so hopefully maintenance would be at a minimum in the beginning..unless someone punches a hole in the wall :?

would you clean it yourself between renters each week or have a management company or something? maid service?

I would definitely price out a company to clean

The In-Laws house they are friendly with a family up there they pay them to clean and watch out for their house

maj4e

If it's a vacation rental it would be worth it to turn over to a management company. My inlaws have a condo in Gulf shores AL and it's managed. All you do is pay the mortgage and get paid.

But my original statement about LLC is very important. If something happens and they want to sue you all they can get is whatever the property is worth (insurance will also help you). They can't come after your personal money/property.

Drowned Out

Phantom Pain wrote:

The Juggler wrote:

would you clean it yourself between renters each week or have a management company or something? maid service?

I would definitely price out a company to clean

The In-Laws house they are friendly with a family up there they pay them to clean and watch out for their house

This is for sure the way to go...even if you feel able to handle it yourself, you'll want to be sure the option is there financially if you are finding it to be too much work. If that happened, you could end up in trouble with your next renter, or worse; regret the whole thing and want to sell....