Tuesday, June 8, 2010
I was fortunate to spend last week at the beach with my family for a much needed vacation. We love the beach and every year I find myself daydreaming, or rather morning-dreaming, during my morning runs about what it would be like to own a beach house as a second home or to retire to a beach community.
It always appears to be a far-fetched dream, but my husband brought home a sales flyer from a local home that was for sale. Could it be achievable or is this too good to be true?
The flyer read, “What Does A Beach House REALLY Cost?”.
It goes on to state, “Curious as to what property values are? You may have heard that some homes here help pay for themselves with their rental income. How does that work? Here’s an example:
6 bedroom, 4 full bathrooms, 2 partial baths, pool and hot tub, Furnished and recently renovated.
Net Rental Income $37,600
Total Cost per year $1493
Expenses include: property taxes, insurance, utilities, association fees, pool and hot tub maintenance, and 30 year fixed mortgage at 5%.”
The flyer includes 3 pictures of the home and it looks beautiful, although it is not the home in the picture above.
Could it really only cost $1493 a year to own a beach house? WOW, but questions start flying in my head. How difficult is it to rent the home? How well do vacationers take care of the property? Is the home a sound structure or a money pit? Could I even get a second mortgage?
Really only $1493 a year? Really? Does this smell too good to be true to you too?
Part of me wants to investigate a little more and part of me knows that I should just keep dreaming.