VR Initial Observations

[Claudio Golia]

In my limited exposure learning about vacation rentals, a common theme I have observed is that they don't cash flow very well, and their are often more expenses than initially realized.

Although, they may not cash flow well it seems that using the property for your own vacation may be of some advantage, and a way to still benefit from owning one.

I'm realize there are a lot of factors that influence the success of a vacation rental, but in general do most feel like the positives in this type of investment outweigh the negatives?

Interested in your thoughts.

Thanks!

[Robert R.]

we purchased our first vr here in 2012. It cash flowed so well we bought another in 2013. They both did so well we moved here in 2014 and bought our 3rd in January of 2015. That one cash flows great too.

 We purchased the first 2 while not living here. I manage the rentals myself on Groh and flipped. Management companies here want 40% of your gross. I had a handyman and cleaning company in place. Now, since we live here I am the handyman and we even do the cleanings for 1 cabin.

Real estate tax rates are only .5 percent of value which also helps.