If you have been thinking about buying luxury homes for sale in South Lake Tahoe and using it as a vacation rental, you came to the right spot. While there are some changes that have occurred in the city of South Lake Tahoe with our Vacation Home Rental (VHR) Ordinance, the county hasn’t felt the impact, yet, which means that now is a great time for buying luxury homes for sale in South Lake Tahoe! Summer in this area is one of our busiest seasons, which as a result, causes a lot of visitors to consider their options when it comes to buying South Lake Tahoe luxury homes for sale and using it as an investment opportunity. Especially with the economy doing well and interest rates still staying low, now is a great time to take the plunge into vacation home ownership.
Before you go out looking at South Lake Tahoe luxury homes for sale, ask yourself, is this for you and your family and friends? Or do you want to rent it out and make money off of it when you are not using it? Your answer changes the process just a bit. If you are in the market to simply buy luxury real estate in South Lake Tahoe for your benefit, well then, you can buy wherever you like in our area and not have to worry about the VHR ordinance impacting you negatively. You also will be able to keep your search criteria specific to you and your needs. When you are buying luxury homes for sale in South Lake Tahoe just for yourself, you only have to search for homes that have the amount of beds, baths, your desired amenities and key features. For example, if you don’t cook, a large kitchen may not be necessary, but a large living room or luxurious master suite may be non-negotiable. When you are buying luxury real estate in South Lake Tahoe with the intention of turning it into a vacation rental, you need to consider what other people are looking for. Thankfully, your luxury South Lake Tahoe realtor will be able to tell you what folks are looking for in a vacation rental. Large kitchens, large living rooms, additional bonus rooms or game areas, close proximity to local amenities like skiing, beaches, nightlife, etc. all top the list. So you are essentially searching for a property for yourself, and someone you have never met before.
Once you have spoken with your luxury South Lake Tahoe realtor on what you need to be looking for and keeping in mind with the VHR ordinance (if it applies to you), you need to know that owning an additional home has an additional set of expenses. When it comes to renting out the property as a vacation home to strangers in the hopes of making an extra income, a lot of owners are overly optimistic. They just assume that the home will be instantly booked and pay for itself. However, you will need to completely furnish and outfit will all the necessities of home. This includes pots, pans, silverware, sheets, beds, all furniture and electronics. You can’t skimp and think folks will be ok with it. They are booking a vacation home instead of a hotel for a reason. There are also maintenance costs, cleaning fees, management fees if you choose to have someone else manage the property for you (which is recommended), insurance and more. Also, there may be some times due to weather that booking rates remain low. Like during the winter for example: If there isn’t any snow, the ski enthusiasts won’t be coming in droves. However, if a vacation home is handled properly, it can be a great way to make a fabulous extra income while building your investment portfolio and wealth.
When it comes to buying luxury real estate in South Lake Tahoe and using it as a vacation property, be sure you work closely with a luxury South Lake Tahoe realtor who knows the ins and outs of the market. They will be the best person to advise you on how to navigate the journey of vacation home ownership!