Investing in Vacation Rental Properties
There are many advantages investing in a vacation rental property and millions of people are doing it. The North Valley is a prime location to own vacation rentals. Not only do we have sunshine almost 365 days out of the year but many flock to AZ for the great golf courses, events such as the annual Phoenix Waste Open and Barrett Jackson car auction and to escape cold winters to enjoy outdoor activities.
The pros are obvious: the extra income, pretty much all expenses associated with a rental property are tax deductible and you're growing your nest egg for retirement. Finding rentners is easy as platforms such as VRBO.com, Booking.com, Arbrnb.com and Findhomeaway.com connect rentners and properties from all over the world. You'll need to market the property to appeal to the right audience, furnish it with comfortabel and durable on-trend furniture and decor and most importantly, price it right.
So what are the cons to renting your property? Mainly, it's the management of it. It is an investment that you'll need to be hand-on with unless you are willing to pay a property management company 15%-40% of your profit. Managent of the property includes repairs, maintenance, restocking, prepping and cleaning.
Do your homework prior to pruchasing a home in a neighborhood that is goverened by a HOA. Many will have strict rules about short term renting and/or how frequently a property can be rented out.
Are you thinking of investing in a vacation rental property? Let's chat! I am local area real estate expert in Scottsdale, Arcadia and North Phoenix. I'd be happy to show you homes in highly saught after communities and are great investment opportunities. Call me at (480) 244-0055!