Reply to Should I buy a beach vacation home?

Forum Index » Money and Finances

Reply to "Should I buy a beach vacation home?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Ha, have fun with climate change.

Only a sucker would be investing in anything near the water these days.

Seriously—insurance is only going up, and that's your best case scenario. Most places you're probably consider are extremely vulnerable to catastrophic storm damage.

Get a mountain house.[/quote]

Op - also a consideration, but we aren’t sure we are boat people. [/quote]

Maybe something mid Delmarva peninsula—easy drive to the beach with much less risk. We stayed at some airbnbs—beautiful large old houses on open fields, only like 30 minutes from Rehoboth. [/quote]

That's not really a beach house.[/quote]

Yes, we've established that only a literal moron would consider buying a beach house in a day and age when they're shortly all going to be uninsurable and/or severely damaged on a regular basis. The idea is a nice family home that can be an escape and a retreat that also has easy/close access to the beach so, while it's all still there, the OP can enjoy what the beach has to offer. [/quote]

Why all the aggression and name-calling, PP?  We have a beach house, and yes, our insurance premiums are increasing.  We've also experienced several hurricanes.  But we can afford the insurance as I suspect OP can.  We didn't buy ocean front (we're deliberately four houses from the ocean) and we looked carefully at the flood zones, so we've never experience even a dollar's worth of damage due to storms or floods.  This "literal moron" has seen her beach house value rise by $500K in the 3 1/2 years since we bought with a 3% mortgage.  My personal opinion is that, if you have to get in your car and drive 30 minutes to a beach, you might as well drive 2 hours to the beach from DC.  It's the same amount of effort to pack everything up and get in traffic.  We walk down the lane to a beautiful uncrowded beach. [/quote]

No one called anyone a name.

I'm glad you're enjoying your beach house, but you've made a disastrous financial decision. Humans, as you're showing us, are terrible at evaluating risk. It doesn't matter what has happened in the past, it matters what will happen in the future. The beach—any beach—is only going to get MORE risky, the question is how quickly. All evidence points to it accelerating in the near future. Insurance rates going up but still affordable is a sign that your investment is going the wrong way—get out before you're uninusrable. Don't think it can happen? Look at Florida, look at California. Hawaii. [/quote]

NP. Sorry, but you're completely wrong about this. We bought in 2012, cash, for $900,000.  House is worth well over $3 million now.

I know you think the sky is falling, but that's not the realty of the beach market.[/quote]

If you invested the same amount in the S&P 500 for the same time period it would be worth $3.3 million today.

Now, how much do you think you’ve spent over the last 13 years on your beach house for taxes, maintenance, insurance and utilities.

The dividends alone that you’d earn from the stock market would pay for very very nice vacations every year without the hassle of a beach house.

[/quote]

Since you're so interested, I'll tell you that we've broken even on all of that, due to the hefty rental income we take in each year.

And we do manage very very nice vacations every year on top of owning a beach house, as well.

What you're also not accounting for is the personal value of the enjoyment of the house that my close and extended family has enjoyed for all of these years. We would not all travel together on these very very nice vacations, but it's nothing for 12 or so of us to gather at the beach house for holidays or other occasions. [/quote]

Christmas in rehoboth sounds like a nightmare. Pass. [/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics