07-17-2020, 10:59 PM
(07-17-2020, 08:38 PM)HAULN-SS Wrote: Residential Real estate on average returns 6% YoY. You might do slightly better than that based on resort rental, but I don't know the numbers on that. I'd sell and put my money in the market on the first big dip I saw (thought that may be bad advice if you're playing a long hold, as it's been shown you should put your money in as soon as you get it, versus trying to time the market). If you want to feel diversified, buy into an REIT
Yeah, can probably get a better return percent wise in the market for sure. Talking with an agent today confirmed that number, 6% is a pretty safe long term estimate here as well. One thing I'm considering is it's 6% on 350k right now VS whatever return I get on the market with ~35k (what I walk away with if I sell today). Even if I can double my return it's just not going to match what I can gain by holding what I have. The profit potential is really just added bonus but also a very real possibility. Just for reference: next weekend, there is a single option on Airbnb right now for a place to stay on the mountain for under $1,000: it's a crappy one bedroom timeshare that looks like a 90s motel and it's still $760. The water park isn't even open, nothing is going on for miles and almost every single thing is booked up for at least the next 3 weekends. That's just insane to me. I can't even imagine what the fall looks like when the leaves start changing and people start losing their minds or when the slopes open up.
(07-17-2020, 05:37 PM)Apoc Wrote: You either have to travel to do work yourself or pay someone you've never met and won't be around to watch to do the work.
I'd wager HQ2 has exactly zero effect on Massanutten real estate.
That first point is actually a bit of a selling point for me. I 100% would not mind coming back up to this house/area for "maintenance weekends" at all. Just grab my bike, a stash of beer and head off early on a Friday. Call me crazy but I call that a good time. Hell I'll probably be up here for the bike park anyways a few times every spring, summer and fall.
I don't think the housing prices here will go up any noticeably because of HQ2, just the demand for short term rentals which seems to have a pretty limited supply already. Not too many places to go within a few hours of Arlington that aren't completely desolate and/or containing anything of real interest. Bryce, Winchester, Front Royal, Lake Anna, Richmond, Charlottesville just don't really hold a candle to here for a quick 3 day trip imo. That's actually the main reason I ended up here in the first place. Of course it's anyone's guess but I'd still be fine with the demand I see today.
I do agree with playing it by ear though I'm just going about it the opposite way. Maybe it's just the middle age crisis talking but I need to drop an anchor somewhere with BOTH things that make me happy AND decent job prospects. Harrisonburg just isn't ever going to have that for me jobwise so if anything goes it's going to be the house in Harrisonburg. Rent this place out and drop it at the first sign of trouble. Even if I lose 50K overnight I still break even but I kinda HAVE to make NC work.
I hope this doesn't come across as me being defensive, I do appreciate the insight and definitely agree with both of you guy's standpoints from where you're standing. Please keep the input coming as I said before I'm kind of a moron and I'm still trying to figure this out. I'm sure there's a lot I'm not really considering.