On paper, a beachfront home or condo might look like a dream investment. You have a place to vacation and can rent the property at other times.
Yes, beachfront real estate comes at a higher price, but the return is often worth the investment.
But just like with any other investment, there are both benefits and risks of purchasing beachfront property. Here are a few of both that your experienced team at Al Williams Properties has gleaned for you.
High Market Value
One of the main and most obvious benefits in purchasing oceanfront property is the high market value it provides. Beachfront homes and condos are least affected by changing property market trends.
Plus, even if market trends drop the value of your purchase, it will likely be the first type of property to start appreciating again.
Great Rental Area
Beachfront homes and condos have high market values, but they’re also easy to rent out. Renting out your beach home can provide you with a significant profit.
Tourists are happy to pay a higher price to stay in a beachfront home or condo.
Purchasing a beachfront home will provide you with your own getaway. Trips are less expensive since you already have a place to stay. Lodging is typically the most expensive part of a vacation.
If you enjoy traveling during high season and holiday weekends when rental prices are at a premium, you’ll save a bundle on your vacations if you own a beachfront home. And, if you aren’t staying at your property during those times, you get premium returns on your rental.
Living next to the coast and breathing in fresh sea air works beneficially for our well-being and mood. It provides a great location for swimming, walking and other healthy beach activities.
While there are many benefits to purchasing a beachfront home, there are also some risks.
Storms and Weather Damage
While oceanfront homes along the Crystal Coast have held up well during severe weather, they aren’t without risk. One of the biggest concerns with purchasing oceanfront property is storm and weather damage.
With that said, if you invest in a condominium unit, you may not have to worry about roofing, landscaping and siding. And if your unit is on a higher level, flooding may also not be an issue.
If you plan to rent out your property, there is a concern that partying guests may cause damage to your property. Parties may also disturb neighbors, which can present legal issues.
Beachfront condos are prime targets for college students and groups of young people who may want to have a party during their stay. Noise issues and disturbances can lead to fines, and property damage will cost you more money.
In addition to damage from guests or weather, you’ll also need to consider property damage.
Mold and mildew are major concerns among beachfront property owners. Humidity and moisture can cause mold and mildew to form in just a few days. Leaking pipes and roof leaks can lead to significant mold damage. The very nature of people coming and going from the beach and into the home can lead to mold or mildew growth.
Flooring damage is another concern, as sand can get worked into the carpet or scratch hardwood flooring. Tile and area rugs are the ideal solution, as tile can stand up to the damage of sand.
When considering beachfront property, it’s important to weigh these pros and cons carefully to determine whether it’s a sound investment.
Whether you want a beachfront, waterfront, off-the-beaten path or in the thick of activities along the Crystal Coast, let Al Williams Properties help you find the perfect property.
We have been in business here for more than 30 years, helping buyers and sellers in Atlantic Beach, Beaufort, Emerald Isle, Morehead City, Newport, Pine Knoll Shores, or any of the surrounding areas. Just give us a call!