How to Invest in Long Beach Island Real Estate – A 2025 Guide
- Nathan Colmer
- Sep 24
- 3 min read
How to Invest in LBI Real Estate – A 2025 Guide
By Nathan Colmer 609-290-4293
Explore listings at www.BuyLBI.com
Long Beach Island (LBI), NJ, is one of the most desirable coastal markets in New Jersey, making it a prime investment location. With its mix of luxury homes, vacation rentals, and waterfront properties, LBI offers investors:
Strong rental income potential
Appreciating property values
Low inventory and high demand
Tax advantages for second homes and investment properties
Whether you're a first-time investor or expanding your portfolio, LBI offers opportunities across price points and property types. There are many ways to invest in the LBI real estate market, and understanding the pros and cons of each will go a long way to helping you determine if this is the right choice for you. I can help you understand how to invest in Long Beach Island Real Estate and explain the different options available to you.
By : Nathan Colmer | LBI Real Estate Agent | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
LBI Real Estate Market Snapshot – September 2025
Here's what the latest MLS data reveals:
Average List Price: $2,198,362
Average Price/SqFt: $930
Pending Listings: Avg. $964/SqFt
Closed Sale: $1.97M in Surf City
Top Areas: Long Beach Township, Barnegat Light, Beach Haven
How to Invest in Long Beach Island Real Estate: Investment Strategies for LBI
1. Vacation Rental Income
LBI's summer season drives high demand for short-term rentals. Homes throughout the LBI real estate market, but especially in or near Beach Haven, can generate strong weekly rental income.
Tip: Look for homes with 4+ bedrooms, proximity to the beach, and outdoor amenities.
2. Fix-and-Flip Opportunities
Older homes in prime locations on Long Beach Island offer potential for renovation and resale. Focus on properties built before with larger lot sizes and strong view potential.
3. Buy-and-Hold for Appreciation
Waterfront and lagoon-front homes tend to appreciate faster. Holding for 5–10 years can yield significant equity growth. If you combine the rental income in tandem with market appreciation, this type of investment can historically outperform most markets.
4. Multi-Unit or Condo Investments
Condos like those on Broadway in Barnegat Light offer lower entry points and consistent rental demand.
Best Places to Invest in the LBI Real Estate Market
Beach Haven – High rental demand, walkable downtown
Barnegat Light – Larger lots, quieter atmosphere
Long Beach Township – Diverse inventory, strong appreciation
Surf City – Balanced price points and rental potential
Tax & Financing Tips
Consider using a 1031 exchange to defer capital gains.
Explore second home mortgage options with favorable rates.
Track property tax rates by township — they vary across LBI.
Speak with your accountant and/or financial advisor to understand how this type of transaction fits your life and plans.
FAQ: Investing in LBI NJ
Q: Can I manage rentals myself?
A: Yes, but many investors use local property managers to handle bookings and maintenance.
Q: What's the ROI on vacation rentals?
A: Depending on location and amenities, gross yields can range from 6–10% annually.
Q: Are there zoning restrictions?
A: Yes. Some areas limit short-term rentals or require permits. Always check with the township.
How to Invest in Long Beach Island Real Estate
Investing in the LBI real estate market can be an outstanding way to take advantage of cash flow and appreciation, but it is also an investment of time. Depending on your goals, some forms of LBI real estate investment may be better than others. You should also discuss your plans with a financial advisor to make sure it is the right investment for you. Take your time, learn about the market, and learn about the investment options available and what a realistic expectation should be.. Feel free to contact me anytime to set up a buyer consultation in the LBI real estate market.
By : Nathan Colmer | LBI Real Estate Agent | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
