Jocko,
I agree with you that is is tough to find a property that can carry itself by renting it in the summer/winter, however, I disagree that it is impossible as we have a property that we did just that. It rented for 14 weeks in the summer and also during the winter (not using it ourselves at all, strictly renting it) and managed to pay the mortgage, insurance, bills etc. and cover our expenses. The property you are referring to for a million if its the one I'm thinking of is on a Lake which is also a great area for rentals, however with the cost of the property so high it woud be impossible to carry itself if you were just looking to rent it. That is why I think that a smaller more modest home with a pool is a great way to go. If you would like I would be happy to forward you a listing of the house I am referring to and a few others that are on the market with pools that could be rented for $3000 - $3500 per week, just provide me with an e-mail address.
Thank you, Melissa Morris

Melissa--

I just noticed that you have a rental on your website for $3,500/wk that is also listed as on the market for $1,000,000 on zillow.

This seems like a more realistic listing price/rental rate for the cape to me.

But again, if you have any 100x or less ratio listings, I'd love to hear about them.

Thanks

Mellisa-

Can you identify any properties currently in Hyannis (or anywhere on the cape) that are on the market for $350K that rent for $3500/wk in the summer? If so, I will come down and buy it this weekend (really).

Actually, how about anything that rents for more than 2000K/wk and purchase price is no more than 100x weekly in-season rental rate?

I sincerely doubt your numbers, but if you can identify anything at this purchase-to-rent ratio, I am a serious buyer.

Thanks

Hi Carla,
The Hyannis area is a great spot to own a vacation home, also the Craigville Beach area is very desirable. I have been doing rentals and sales on the cape for 15 years and have rented properties in all areas and found that the Hyannis area is most requested. Also, another consideration that alot of people do't think about is a home with a pool. THe houses that are closer to the beach are more expensive, however you can purchase a home for less in area that is a 5-10 minute drive to the beach and I can tell you from personal experience that it is an "easy rent". I personally owned a $350,000 home that rented for $3500 per week in the summer and $1400 per month in the winter..... It more than carried itself. It was rented for 13 weeks this summer and 15 weeks the summer before. If you have any other questions please feel free to contact me and I'd be happy to help!
Melissa Morris

Hello to everyone that is searching in the Nantucket Sound/Hyannis Harbor area that would like to own and/or rent. There are most definitely homes in these areas that are selling today, and in this market, that work for prices ranging from 195k to 300k. I have personally sold 3 properties that are very close to these descriptions in the last 2 months where the numbers work, and you don't have to be rich to do it. What you need to be is first to the plate. The best deals often never reach the market. It takes foresight and a bit of guts to purchase in the face of what seems to be a failing economy. Carla, you can find what you are looking for if you find the right Realtor. Don't be the buyer without an advantage. Give us a call.

Hi Carla....if you are interested....we have a home in Hyannis that we have rented as a yearly rental for the past 7 years that is 5 minutes or less from Main Street, Ocean Street Docks/Ferries, and the beaches. It is a 3 bedroom/2 bath home with recently renovated interior. We plan to list the property in the coming weeks but are willing to sell prior at a lower price. We are looking to sell just based on what we owe so there is plenty of equity to be built as the market improves. If you are interested in further details please send an email: eaglemannate@yahoo.com.

The only way to make a vacation rental purchase actually cover costs is to have a huge down payment and forget about the fact that your down payment $ might have been earning interest elsewhere had you not used it to buy your "dream" Cape Cod property.

Consider the following monthly costs:

Principal & Interest
Taxes - can be considerable
Insurance - generally pretty high for second homes - say 100-150/mo?
Utilities - do you want to watch TV when you go on vacation?
Services - Cleaning - sometimes this is an extra fee passed on to renters, sometimes not.
Services - Maintenance - i think there is a basic maintenance cost to operating a rental house. stuff will get broken
Services - Rental Fee - usually 10%, or one week's rental fee to the realtor. or maybe you'd like to handle it yourself? ...
Services - Advertising - if you are handling it yourself...

So consider a decently priced cape cod vacation house. is it $300K? $400K? $500K?

I have run the numbers so many times my fingers are numb. It just doesn't work unless you plan on spending most of the summer on the cape and are just looking to offset costs. Even then, it's hardly worth the hassle of opening up your house to strangers.

The only viable plan is to be really really rich- so start working on a scheme to defraud/steal from someone else.

Phew. Had to get that off my chest.

Seriously, "Real Estate Pros"- I challenge every one of you to come up with a legitimate vacation rental home purchase scenario on the cape that makes financial sense.

I think this is a great rental location! Summer vactioners love to walk to dining, coastal shops & the Harbor Ferries (for easy access to Nantucket & Martha's Vineyard). I have personally sold many, many, properties in this area & have even owned rental property here as well! Marie Souza, Owner/Broker, Cape Cod Real Estate Services

Hi Carla,
A sight that I have directed my clients to is http://www.homeaway.com , as this is linked to 5 other great rental sights. This will give you an idea as to the rental rates in that area as they correspond to the size home and distance from the beach. Use Cape Cod as your first key word and it will break it down by town and area. Looking at your numbers- $1000/week @ 10 week season will cover about $125,000.00 worth of home. So, If you are looking to rent say a $250,000.00 home, you know that you will need to collect about $2000/week to cover the base mortgage. Of course, you will calculate or add any down payment funds you may have to increase the price, but you get the idea. Distance to beach, in my experience has the most effect on rental rates. The previously suggested options would only make sense if you had a tremendous amount of money down. Viable properties can be found in Craigville Beach, Hyannisport and Hyannis Harbour areas. Feel free to email or contact me with any questions you may have.

Here are a couple fantastic options that meet your criteria:

http://www.territoryre.com/idx/listings/70811280/details.html

http://www.territoryre.com/idx/listings/70753627/details.html

http://www.territoryre.com/idx/listings/70791688/details.html

http://www.territoryre.com/idx/listings/70813353/details.html

http://www.territoryre.com/idx/listings/70745779/details.html

For search convenience purposes here is a list of all the properties for sale in hyannis:
http://www.territoryre.com/idx/search.html?search=true&s…

Certain criteria will help your property maintain it's value and market ability for rentals: proximity to the beach or harbor and shops, street location, home amenities (upgraded appliances, etc) and your value to rent ratio.

Good luck!

Carla,
Great location, wonderful choice.....

Our advice, at this time, is to not put a rush on your decision to purchase and begin by identifying a top agent that is capable and willing to work within your parameters.

It sounds like you have a good understanding of where you wish to be but it's important to get a handle on other details like the number of bedrooms, square footage, garage size, number of floors, floor plan etc. etc.
we suggest making a list of criteria for your ideal home and rank them 1or 2. Mush have, nice to have. You might want to include a definitely don't want catagory.

It's suprising how many people are really inprepared when it comes to buying because they don't have a clear picture od their perfect home going into the process. We feel this excercise is helpful and will help you to see the way.

If you would like some assistance identifying top agents, we would welcome the opportunity to do a referral.

Congratulations and good luck on your venture,

The "Eckler Team"
Michael Saunders & Company
billeckler@michaelsaunders.com
941-408-5363

Hi Carla,
If there are homes for sale in the neighborhood, I would check with the listing agent and see if there is any rental history. Another alternative is to look for vacation rentals online and see if any are located in the vicinity -
they will give you rental prices and calenders of the weeks rented. The rentals closer to any beach command the higher rental price - so, given the cost of the property near Main St, you'd have to figure out what a fair rental price would be ( if there is no history) to put together some real numbers for yourself, for owning an
in- town location rental and paying for it from the rental monies. Again, check online for other rentals in the
area to get some "rental pricing" guidelines.