The hot area right now is the southwest Cape. That’s where people want to be, and new home construction is really strong in that area. You can find waterfront houses that give you access to fresh water as well as the Gulf. Southwest is definitely the hot spot. People are still buying in southeast and you can find a number of good areas that are ideal for investment properties. In general, the Cape has many great areas, so in the long run if you buy anywhere and find an excellent value, you’ll be in good shape with long term appreciation and making money on your property.
If I was going to buy something right now, I’d go for a single family residence that has three bedrooms, two bathrooms and a two car garage. You want to stay away from two bedroom, two bathroom places and don’t buy anything that has a pool. Maintaining a pool is only an additional expense and a liability. You have to pay the pool service to take care of it and you’ll also be faced with higher insurance rates. As an investment property that you plan to rent out, avoid the pool.
Some people prefer to buy condos that they can rent out. There are many beautiful condos in this area, but be careful. You don’t know what you’re getting into with the HOA. There are some HOA bodies that are easy to work with, but that’s still an extra expense you wouldn’t have with a single family home. You can find yourself paying an extra $300, $400 or even $500 in dues every month.
This is my advice when it comes to buying an investment property. If you’d like to talk more, please contact us at Cape Shore Property Management.