Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 9 years ago on . Most recent reply

User Stats

85
Posts
13
Votes
Jake Kozul
  • Real Estate Investor
  • Grand Rapids, MI
13
Votes |
85
Posts

Vacation Rentals....

Jake Kozul
  • Real Estate Investor
  • Grand Rapids, MI
Posted

I am looking at a couple investment properties, in a very busy vacation lake town here in Michigan, to be used as a vacation rental home. I have a good feel for the rents, have the marketing in place myself from what I use on my other properties, the city is a place that I am close to so can have my existing infrastructure reach quite easily, and am comfortable/familiar with the market. The city doesn't have any crazy restrictions either. For those that have delved into this strategy before, are there any other barriers I need to account for before pulling the trigger? 

Thanks in advance

Most Popular Reply

User Stats

40
Posts
29
Votes
Josh Birrell
  • Real Estate Agent
  • West Kingston, RI
29
Votes |
40
Posts
Josh Birrell
  • Real Estate Agent
  • West Kingston, RI
Replied

Hi Jake,

The thing you might want to get a better look at are your expenses. Things you will need to consider in addition to your PITI are utilities, cleaning costs, maintenance, supplies such as toiletries/paper goods etc, and any applicable taxes that apply to short term rentals in your area.

Maintenance costs can be somewhat higher with a vacation rental because of the constant turn over and a good cleaning person, while worth their weight in gold, can add to your costs unless you pass the entire expense on to your guests.  Short term rental taxes may apply to your vacation rental as well.  In Nh they are 9% and RI is considering 13%.  Also, we keep our vac rental stocked with paper goods, soaps, detergents, coffee filters, and a few other small things that guests appreciate but it can add another $50-$100 per month in the summer season.  All in all we'll worth it.

Loading replies...