Villas, condos, townhouses, twins, quads, and single-family homes at the beach or in beach resorts. Vacation homes offer a great opportunity for investors. The second home and vacation home market has been skyrocketing. The baby-boomer generation is in or approaching its peak earning years and not afraid to spend money on real value. Beach Property Across the board from coast to coast the Pacific, Atlantic, or along the Gulf beach front and beach areas have taken off. Some coastal resort properties have increased in value 60% and more over a 12 month time period. The areas are not only the prime high priced island and gated communities but almost any where near the ocean. A couple of years ago the quiet lower priced areas saw a big demand and their values have exploded. Two years ago the $140,000 rancher near the beach has now become the $350,000 beach house with no renovations just straight appreciation. Making a Boat Load of Money Friends bought a 2 bed 2 bath 1000 sq ft condo near the beach (not on the beach) for $355,000 Feb 2005. 4 months later another friend bought in the same building, same size unit for $415,000. Now 10 months later another condo in the same building, same size unit sold for $495,000. Can you believe it $140,000 in10 months with no money down. There is a waiting list to buy these 23 year old condos they are sold over the phone when they become available. 1.4 Million Dollar Beach Front Condos 16 Beach front condos sold in 45 minutes. Average price was 1.4 million dollars the 2 penthouse units sold for1.8 million. The sale was pre construction by lottery. Each potential buyer either deposited or had a letter of credit for $200,000 in order to be placed on the list. Pricing was fixed by the developer on the day of the drawing no one knew in advance. The drawing process was very simple as your name was drawn you could pick which unit you wanted and at the pre determined priced. The buyers only decision was yes or no. The 16 units sold to the first 16 names drawn no one backed out. There were 190 buyers in the lottery. This year the second building sold faster and for more money. Did you miss it? No way. The opportunities it appears are never ending when we are talking about vacation homes, second homes and resort properties. I have personal experience in each of these examples above. They took place along the coasts of North Carolina and South Carolina. To top it off mortgage companies are offering to vacation home owners and 2nd home owners 100% financing. How would you like to make $150,000 in a year with zero down payment? It's unbelievable. |
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