The top 10 beach house buying destinations in Wilmington to Corpus Christi, considering average home prices, rental revenue, and other factors.
Investing in a second home, whether it's a lake house or a beach house, is a substantial financial commitment for most people. However, it can also provide numerous advantages, such as a side hustle or additional income if you utilize the space as a rental property.
Realtor.com, in partnership with AirDNA, unveiled their list of the top 10 U.S. beach houses to rent out short-term in June. To determine the rankings, the report considered several factors.
- Median home prices
- Average annual rental revenue
- Expected yields
- STR (short-term rental) regulations
In the South, six of the top 10 were located, while the remaining four were distributed among the Midwest, East Coast, and Pacific Northwest.
Pawleys Island, South Carolina is the top choice for purchasing a beach house for short-term stays.
The median home price is $497,237, with an annual revenue potential of $41,995 and an expected yield of 19.8%.
Pawleys Island, a well-known vacation community in the southeast, provides residents and tourists with opportunities to discover stunning coastlines.
The island is a 3-mile stretch with beach rental homes and limited public parking and access, located about 35 minutes away from Myrtle Beach.
The City Council is considering changes to short-term rental laws on the island, which may affect the number of permits issued and an annual fee for property owners.
10 top U.S. locations for purchasing a beach house for short-term vacation rentals.
- Pawleys Island, S.C.
- Michigan's East Coast, Mich.
- Cape San Blas, Fla.
- Gulfport Biloxi, Miss.
- Wilmington, Del.
- Lincoln City/Newport, Ore.
- Greys Harbor, Wash.
- Outer Banks, N.C.
- Corpus Christi, Texas
- Gulf Shores, Ala.
The Sunrise Coast, located on the east coast of Michigan, was ranked as the No. 2 best place to purchase a beach house for short-term rentals. The coast boasts:
Expected yield: 16.7% is the median home price: $208,513 and the annual revenue potential: $20,265.
In this area, individuals seeking to purchase a beach house have the advantage of Michigan not having any statewide rules governing the short-term rental market. However, a bill introduced in April may result in new regulations being implemented.
The East Coast of Michigan is situated along US-23 and boasts Lake Huron and numerous stunning beaches. Some of the coastal towns include Standish, Au Gres, and the Charity Island Lighthouse.
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