Top 10 Lessons for Investing in Ptown/Truro
I am so glad I have been obsessed with Real Estate since the age of 25. I bought my first apartment at the age of 29 and first vacation/rental property at 30. I was 39 when we bought our first house in No. Truro. We now live rent free as we have 2 homes on one property and the one we rent pays the full mortgage. Since then I have renovated and done new construction and have learned a lot of lessons. Here are the top 10 things I have learned about investment properties on the Outer Cape:
- People want a view of the water when they are on vacation. The waterfront/water view property may be more expensive, but if you can swing it, water=more rentals=more revenue.
- No one is going to give your renters better customer service than you. If you really don’t want to deal with renters use a service but they typically charge 20-30% of the rental and that is a lot of money. It is really not that difficult.
- New construction is typically cheaper than doing a major renovation. New construction is a big pain in the ass and takes lots of time. If you are persistent and patient— and know exactly what you want……it may be an option for you.
- Wood burning fireplaces and hot tubs may be a bit of a pain but will get you more rentals….particularly in the shoulder and off season.
- We use weneedavacation.com for all our weekly rentals in-season as their customer service is exemplary and fees minimum. Supplement with the other services (airbnb) in the off season due to paying higher fees. Once you have the renters information we deal directly with them.
- Buy appliances locally. They may be a bit more expensive but they SERVICE them. This will come in very handy when the refrigerator/washing machine breaks down when you have renters in.
- A good turnover service is worth their weight in gold. It used to be very difficult to get good turnover service on a Saturday but that has changed. New businesses have come in as they have discover it a lucrative business.
- Having an investment property and dealing it when you live a distance away is difficult but worth doing. In the first few years go ahead and pay someone to check in on your property. After a while you will find some local friends who will help out when you need some stuff done around the house.
- Put your real estate investment in an LLC.
- Use a local banker. They have a great understanding of the market and investment properties on the Cape.
I’m happy to chat with anyone who is interested in investing. Give me a shout at 917.680.9890