Location is everything in the real estate market, and beachfront property is definitely a precious commodity that people are more than willing to pay for. After all, there’s only so much beach to go around. Whether you are looking to purchase your own home on the beach, or buy a condo or villa as a vacation rental, there are great benefits to beachfront property ownership.
Why are people so drawn to the ocean? Children delight in the crash of the waves on the shore, and adults enjoy the rhythmic, relaxing sound of the tide. Ocean sunrises or sunsets are valuable commodities in themselves, unforgettable in their beauty.
Most people enjoy being close to the myriad of ocean-related activities, like sailing, surfing, diving, snorkeling, deep sea fishing, crabbing, or just soaking up the sun on the beach. Beach communities often offer a vibrant nightlife and an array of other attractions that make them popular tourist destinations.
There are many different reasons why people might purchase beachfront property. Many people choose it as a primary residence. Still more live elsewhere most of the time and own a second condo or house on the beach a few hours away for vacations and weekend getaways. Some of those may rent out their oceanfront homes while they are not in use to offset the cost of having a second home.
It is common to own beachfront real estate as an investment, typically for use as a vacation rental. With mortgage rates at near historic lows, many people see this as an excellent opportunity to invest in rental properties of all kinds. However, there are a number of factors to consider when determining whether the rental price the property can command will be worth it.
Properties that are actually on the beach will command a higher per-night price than surrounding real estate. Of course, not all properties adjacent to the ocean are created equal. The size of the home or condo, the view it affords, the quality of the beach, and the desirability of the community all come into play when calculating its value. A knowledgeable real estate agent will keep close tabs on local vacation rental prices, and help you calculate whether or not a given home will be a good investment as a rental.
If you are considering beachfront property as a first or second home, a different set of considerations comes into play. A property that is a fabulous vacation rental might not be the best choice for a permanent home. Such areas will be very busy during peak tourism months. Again, an experienced local real estate agent will be an invaluable asset. Such agents will be aware of the various characteristics of different neighborhoods, and direct you to the ones that are best for your needs and budget.
As beachfront property is such a limited commodity, many people think that they can make a windfall in a relatively short time because it will increase in value more rapidly than other properties. While it is historically true that oceanfront real estate appreciates more quickly than non-oceanfront properties, it is very rare for owners to make money on the house during the first few years.
Of course, there is a certain amount of risk inherent in owning property near the ocean. Hurricanes, tropical storms, and other acts of nature can cause immeasurable damage, and this is something any potential oceanfront real estate owner needs to come to terms with. While some areas are far less prone to such storms than others, it pays to make sure any property you consider is on stable ground and can be well insured against such tragedies.
Homes directly on the oceanfront may require considerably more maintenance than other homes due to exposure to the strong winds, blowing sand and the salty dampness of the air. Windows, doors, roofs and even heat pumps usually have a shorter lifespan due to these conditions.
Taking time to consider things carefully, and obtaining expert advice from a real estate professional, is critical before you purchase beachfront real estate. Once you find the right property, however, it can be a dream come true. No matter whether you are an investor or are buying a first or second home, there are plenty of benefits to be found in owning your own little piece of heaven on the beach.