Thinking about buying a place in Destin area

Too volatile

Plusses = we could continue to see real estate values rise at record pace nationally. You buy now and cash out in a few years and make a decent return.

Cons = could be way over priced and you could get caught in a real estate "correction" like 2008/2009.

Your call.

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plusses

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Sounds like you enjoy Destin. So, you'll have a place to stay when you visit.

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negatives

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8 years too late if you're looking for a deal.

I own a place in Sandestin & enjoy it. It's well worth the extra hour drive IMO (when compared to OB/GS). It all depends on what you want the place for.

Pro’s - you have a place in paradise you can leave your crap at so you don’t need to haul supplies back & forth. You can rent it out when you aren’t using it to help offset expenses. You don’t need to plan anything, you just go. We have several friends who own a place there as well, so we always have a great time.

Cons - while not impossible, don’t expect to make any money off of it if thats your goal. Prices are high right now since there’s been no hurricane or oil spill lately. It’s a headache when something goes wrong like AC, leaks, etc. Especially if you haven’t checked on it in a while. Granted, I manage my own to save $. HOA dues can be very expensive. I pay about $350.mo, which is on the low side since my place isn't directly on the beach.

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You would be better off spending 5 grand a year for a nice 1 week vacation rental than owning.

You will not make money - you will have to deal with headaches - and you may want to travel somewhere cool and new.

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So you mean, no different than buying any rental or vacation property? None of what you said is true if the right property is purchased, and all of it can apply to any property anywhere.

Buying an investment property involves looking at it like an investor. You need to understand the risks, income, expeneses, etc. A vacation short term rental is really not much different in that regards than a long term rental.

Prices in Destin are very high right now. But the rental market is also very high, and growing at a similar rate. The beaches may get busier, but the scenery is not going to change. Everywhere will get busier, not just Destin.

ask yourself these questions:

Does this place have private beach access that no one else shares?

What are the maintanence fees? Property tax? Insurance (if a 1st or 2nd story unit, think hurricane) ?

June, July, August = mad house
A 30 minute trip thru Destin in March is a 90 minute trip in July.

So, will you use it during the summer months? If not, can you rent it out to offset your cost somewhat?

Personally , I love Destin . But I only go in October (still warm) and April (warm). I avoid Destin like the plague during the summer high time. I find quieter (although not as nice ) beaches .

no, not all property is subject to hurricanes, oil spills, dome exploration, etc.

If you are dependent on rental income to cash flow you vacation property, you will lose your arse in Destin right now if you purchase.

Prices are simply too high - if you missed the sell off in 2008, 2009 and 2010 then keep your powder dry and look for the next problem / downturn.

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So you mean, no different than buying any rental or vacation property? None of what you said is true if the right property is purchased, and all of it can apply to any property anywhere.

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