Outer Banks, NC - owning a rental property

[Bob Prusakowski]

I was looking into purchasing a rental property in the Outer Banks, NC. The prices have dropped dramatically over the past several years and may be a good opportunity to enter the market.

I am renting a house there this August and have spoken to the owner of the house that I am renting (VRBO). He stated that he bought his property (8 BR & 8 Ba) for $1.2 mm around 5 years ago. Based on what I am seeing, a similar house would go for $800k - 900k right now (some of them being furnished). I know there are management costs, insurance ($10-11k), pool maint, lawn care, general maint, etc with this type of property.

Does anyone own a property in the Outer Banks? What are your thoughts for buying in now? I still feel that costs will decrease there over the next year, but want to get some insight as I research opportunities.

Any feedback is appreciated.