Maxing out income on cape cod vacation rental

[Kenneth Silva]

I'm seriously considering getting into vacation rentals on capecod. Falmouth Ma to be more specific. My concern is with the shorter peak season in the northeast which I believe is around 10 weeks in the summer. It will be difficult to be cash flow positive or break even. I've heard of woolen who can switch to long term rental for the winter to Kermit occupied and obviously add income. Does anyone have any experience with this. I'd feel much better about jumping in instead of buy and hold in the red hot Boston are market where I can't seem to compete. I love Falmouth so it would be a business decision as well as a life goal to own a vacation home in Falmouth

[Gerard Lester]

When my company started marketing and managing STR's on Cape Cod, we needed to demonstrate our ability to outperform LTR's--this is the case in just about any new market where we operate. It takes us a year to learn the market and develop a successful rate structure, then to integrate that into algorithms that we use to adjust pricing on the fly. So instant success is not what you get in the STR world, but done correctly, it can yield great results. If you do get serious about any homes on the Cape, I can have my analyst team give you a projection for how that home would perform as an STR. This heroin scourge has been a really difficult issue for property management companies--tough to find the right hires.