The best places to invest in vacation properties combine great scenery with profitable capitalization rates, CNBC reports.
Vacation rental management website Vacasa has rolled out its second annual report highlighting the best U.S. destinations to invest in a vacation rental property. It analyzed home sales and rental data in vacation areas around the country. Vacasa also found that 65% of people in the market for a vacation home haven’t decided where to buy.
“Buying a vacation rental property requires more consideration than simply where you’d enjoy owning a vacation home that you could visit a few times a year,” said Shaun Greer, Vacasa’s senior director of real estate.
“If you are seeking to maximize your investment, you’ll need to familiarize yourself with markets that have a strong rate of return, consistently high occupancy rates and local regulations,” Greer added in a statement.
Sevierville, Tenn., topped the list, due to the nearby Dollywood theme park and a capitalization rate of 10.3%. It was followed by Killington, Vt.; Davenport, Fla.; and Whittier, N.C.
Advertisement
Related Stories
Sustainability
Mention of Eco-Friendly Home Features Is on the Rise in Sales Listings
Home listing descriptions using eco-friendly terms have been rising over the past five years in line with growing consumer interest in the environment and energy efficiency
Design
What Gen-Z Buyers Really Want in a Home
The fervor of planning for Millennials in the home building industry has now pivoted to Gen Z. So, what does this new generation want?
Building Materials
Lumber Leads Building Materials Prices Higher in March
Overall, the cost of building materials rose during March, with softwood lumber, gypsum products, and concrete all seeing price increases. Only steel mill materials saw price drops