Sites like HomeAway and Airbnb are very trendy these days. Vacationers are looking for more than an affordable staying option; they want to immerse themselves in new cities and live like locals. Investors looking to get in on this trend and purchase vacation rentals have so many destinations to choose from. In fact, Rented.com published a report on the top 150 vacation rental markets in the United States. So how do you decide which market is best for you? Here are Rented.com’s top tips:
Investors should purchase homes in lower cost markets. This can reduce the amount of income the home must generate to achieve a high ROI.
Investors should consider markets with a strong vacation rental history. Think about markets that are known as tourist destinations that vacationers will want to go to.
Investors should learn the prospective market’s regulations regarding vacation rentals. Not only do markets with a strong vacation rental history attract tourists, but the cities usually have investor-friendly regulations.
Investors should have a clear understanding of all associated costs with a potential property. Know the taxes, insurance, maintenance, and possible HOA costs associated with a property when evaluating your ROI.
Disclaimer: The information in this blog has been prepared solely for informational purposes. The contents are based upon or derived from information generally believed to be reliable although Visio Lending accepts no liability with regard to the user's reliance on it. For legal advice, please contact your counsel.