Why Doesn’t Everyone Buy an LBI Real Estate Rental Investment?

Why Doesn't Everyone Buy an LBI Real Estate Rental Investment?

Buying Investment Properties in the Long Beach Island Real Estate Market

Click here to search all homes for sale in the Long Beach Island NJ real estate market

Long Beach Island Real Estate

I have written many articles about the benefits of buying a summer rental property on Long Beach Island. Regardless of whether an individual purchases a home strictly for investment purposes or looking to help offset the costs of owning a second home with some rental income, summer rentals can be an excellent and reliable source of income. So, if they are so great, why doesn’t everyone buy an LBI real estate rental investment? There can be many reasons, but some of the most common are:

  • Lack of understanding about the LBI real estate rental market
  • Fear of managing a rental vacation home from afar
  • Believing that a rental home cannot cover itself or make money

By : Nathan Colmer | The Van Dyk Group

Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com

www.BuyLBI.com

Click here to search all homes for sale in the Long Beach Island NJ real estate market

Why Doesn’t Everyone Buy an LBI Real Estate Rental Investment?

Let me begin by saying that there is no “one size fits all” investment strategy. Let me also point out that I am not a financial planner or financial advisor. Therefore, any investment, especially one the size of a home purchase on Long Beach Island, should be evaluated with your other assets and individual needs. That said, owning real estate can have numerous advantages, and many will benefit from owning real estate on LBI. Most real estate AGENTS, let alone consumers, do not understand the basics of owning a rental home. Therefore, there is a lot of misinformation about such an investment. I have written many articles about identifying and investing in the LBI real estate market. For simplicity’s sake, let me say that the right house in the right location can be an outstanding and profitable investment. Second to lack of understanding, many consumers fear the logistics of owning a home on LBI. The good news is, there are many ways to manage a rental house. Real estate agents are one of them, as they can be contracted to rent and manage the rental, but there are also management companies, some local and some online, and handyman and house watch services to assist. Depending on the level of involvement you wish to take, there can be excellent ways to manage your LBI summer rental investment. Lastly, there is a widespread belief that a home cannot cover its expenses, let alone profit. Again, this is not true. If you find the right house in the right location, a home can cover the bills and generate a good profit. Sometimes this will require a larger downpayment, but there are many scenarios where even a 20% down payment can generate a profit.

Buying Investment Properties in the Long Beach Island Real Estate Market

Owning a home in the LBI real estate market is not for everyone, and that is ok! There is a lot of work that goes into such an investment, and it can be more comfortable for some to buy a mutual fund or REIT instead of a home. Those who are considering it know that there are many opportunities to own a profitable and successful summer rental investment on Long Beach Island if you know what to look for and where!. If you have any questions about buyingselling or investing in the LBI real estate market, please do not hesitate to contact me.

By : Nathan Colmer |LBI Real Estate Agent | The Van Dyk Group

Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com

www.BuyLBI.com

Click here to search all homes for sale in the Long Beach Island NJ real estate market

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