Yahoo Finance 10 Best Places To Buy a Beach House To Rent Out for Passive Income
Buying a property to use as a short-term rental via sites like Airbnb and VRBO can be a very wise investment — if you choose the right location. Properties near the beach can be particularly lucrative, as many people desire proximity to the water for their seasonal getaways.
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Realtor.com has identified the best places to buy a beach home as a rental property by comparing a home’s average annual returns to what you’d have to pay for it — also known as the yield. Based on this analysis, these are the best places to buy a beach property if you’re looking for short-term rental income.
1. Pawleys Island, South Carolina
Median home price: $497,237
Annual revenue potential: $41,995
Expected yield: 19.8%
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2. Michigan East Coast, Michigan
Median home price: $208,513
Annual revenue potential: $20,265
Expected yield: 16.7%
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3. Cape San Blas, Florida
Median home price: $798,807
Annual revenue potential: $64,264
Expected yield: 12.8%
4. Gulfport and Biloxi, Mississippi
Median home price: $303,930
Annual revenue potential: $23,646
Expected yield: 12.4%
5. Wilmington, Delaware
Median home price: $614,856
Annual revenue potential: $35,361
Expected yield: 11.2%
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6. Lincoln City/Newport, Oregon
Median home price: $597,379
Annual revenue potential: $43,241
Expected yield: 11.10%
7. Grays Harbor, Washington
Median home price: $421,627
Annual revenue potential: $29,331
Expected yield: 11%
8. Outer Banks, North Carolina
Median home price: $705,939
Annual revenue potential: $34,237
Expected yield: 10.5%
9. Corpus Christi, Texas
Median home price: $541,169
Annual revenue potential: $27,154
Expected yield: 10.4%
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10. Gulf Shores, Alabama
Median home price: $615,535
Annual revenue potential: $112,281
Expected yield: 10.3%
Data is sourced from Realtor.com and is accurate as of June 23, 2024.
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