Waterfront purchase for Short Term Rentals

[John Ford]

Investment Info:

Single-family residence buy & hold investment in Abbot.

Waterfront property on Piper Pond. House has a double lot with 180' of water frontage. 3 Bedrooms, 3 Baths, Finished basement with Wet Bar, gas fireplace, and game room. The property also hosts a double sized garage. Our motivation was to find a property that we can enjoy and that we can do short term rentals to hopefully make it self supportive.

What made you interested in investing in this type of deal?

We enjoy the Moosehead Lake region here in Maine all year round. We like to hike, Kayak, ATV and Snowmobile. We purchased this property to enjoy ourselves and felt that we would be able to offset the cost with short term rentals.

How did you find this deal and how did you negotiate it?

We found this deal while Kayaking the pond after we had looked at a different property there. The sellers were motivated and we were able to purchase the home with all of it's contents including a boat, canoe, kayak and much more.

How did you finance this deal?

We were able to get 90% financing as a second home mortgage.

How did you add value to the deal?

The basement had experienced some water damage in the past and was not repaired well. We replaced all of the flooring, remodeled the bathroom, added a wet bar, and installed a modern industrial looking wainscoting.

What was the outcome?

We are enjoying the property and have already booked a full week rental on VRBO.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Stephanie Boone from Realty of Maine was the relltor we used on this purchase. She was very professional and helpful. Jordan Franklin from Camden National Bank was our mortgage officer. He was helpful and willing to be as flexible as possible.