No one can get rich quickly by investing in a vacation rental home. However, it can be a great way to earn money. For those who are curious about how much you can make from a beach house rental, here is a short read that will let you know. You can certainly make money from investing in this kind of venture, but how much you can earn depends on each beachfront house.
The rule of thumb
According to a rental owner, every $100,000 value of your beach house will allow you to earn about $12,000 to $14,000 yearly rental income. But this is only possible if you bought the house entirely as a cash flow investment. So let’s say that I sell my house fast West Palm Beach to you for $500,000. From that, you should get a revenue of $60,000 to $70,000 from rental annually.
For those who are planning to use their beach house often, do not expect to reach the same level of revenue. Of course, how can people rent your vacation house if you are there? Not unless the property you bought comes with several rooms that other people can rent.
Beach house location
Another angle that can affect how much you gain from beach house rental is the property’s location. It is, in fact, the primary factor that can affect the stats of your revenue. If your beach house is near the most popular destination, of course, the beach, you can get a generous amount.
The place’s accessibility
Beachfront homes are more expensive than most homes in the mountains. One of the reasons behind this is that beach houses are easier to reach compared to the latter. While a home in the mountains is less expensive, you are most likely to earn more revenue from beachfront houses. It is mainly during summer when most people are thinking about going to the beach and spend a week-long vacation in such a place.
If more people know about your beach house rental, expect to make more money. Posting your vacancies somewhere that can reach a wide audience can open a more significant possibility for your beach house to be occupied. You can take advantage of social media’s ability to reach target renters or find a reliable agency that can do the job for you.
There is a wide range of factors that affect how much you can make from beach house rentals. If you consider these things, you will be able to know the average revenue you can get and how you can increase it. For those who are planning to invest in a beach house for personal use, you can still consider these things just in case you plan to open your beachfront home for rental later on. Compared to other kinds of vacation houses, beach houses have the most potential in terms of gaining revenue by allowing people to rent the entire place or one of its rooms for a while.