Tag Archives: Mammoth Village Properties

What’s the Best Use of Your Investment Property?

The residential rental market is now the fastest-growing segment of the housing market. In the United States, the demand for single-family rentals, defined as either detached homes or townhouses, has risen 30 percent in the past three years. And in Canada, rental units now account for nearly one-third of the country’s homes, with particular demand for multi-family units, including apartments and condominiums.

At the same time, the short-term, or vacation, rental market is also booming. The popularity of online marketplaces like Airbnb, HomeAway, and VRBO has helped the short-term rental market become one of the fastest-growing segments in the travel industry.

Now, more than ever, there is an abundance of opportunity for real estate investors. But which path is best: leasing your property to a long-term tenant, or renting your property to travelers on a short-term basis?

In this post, we examine the differences between the two investment strategies and the benefits and limitations of each category.

WHY INVEST IN A RENTAL PROPERTY? The Top 5 Reasons

Before we delve into the differences between long-term and short-term rentals, let’s answer the question: “Why invest in a rental property at all?”

There are five key reasons investors choose to real estate over other investment vehicles:

  1. Appreciation
    Appreciation is the increase in your property’s value over time. And history has proven that over an extended period, the cost of real estate continues to rise. Recessions may still occur, but in the vast majority of markets, the value of real estate does grow over the long term.
  2. Cash Flow
    One of the key benefits of investing in real estate is the ability to generate steady cash flow. Rental income can be used to pay the mortgage and taxes on your investment property, as well as regular maintenance and repairs. If appropriately priced in a solid rental market, there may even be a little extra cash each month to help with your living expenses or to grow your savings.

    Even if you only take in enough rent to cover your expenses, a rental property purchase will pay for itself over time. As you pay down the mortgage every month with your rental income, your equity will continue to increase until you own the property free and clear … leaving you with residual cash flow for years to come.

  3. Hedge Against Inflation

    Inflation is the rate at which the general cost of goods and services rises. That means as inflation rises, the money you have sitting in a savings account will buy less tomorrow than it will today. On the other hand, the price of real estate typically matches (or often exceeds) the rate of inflation. To hedge or guard yourself against inflation, real estate can be a smart investment choice.

  4. Leverage
    Leverage is the use of borrowed capital to increase the potential return of an investment. You can put a relatively small amount down on a property, finance the rest of the investment with a mortgage, and then profit on the entire combined value.
  5. Tax BenefitsDon’t overlook the tax benefits that can come with a real estate investment, as well. From deductions to depreciation to exemptions, there are many ways a real estate investment can save you money on taxes. Consult a tax professional to discuss your particular circumstances.

These are just a few of the many perks of investing in real estate. But what’s the best strategy to maximize returns on your investment property? In the next section, we explore the differences between long-term and short-term rentals.

LONG-TERM (TRADITIONAL) RENTAL MARKET

When most people think of owning a rental property, they imagine buying a home and renting it out to tenants to use as their primary residence. Traditionally, investors would use their rental property to generate an additional stream of income while benefiting from the property’s long-term appreciation in value.

In fact, that steady and predictable monthly cash flow is one of the key advantages of owning a long-term rental. And as an owner, you don’t usually have to worry about paying the utility bills or furnishing the property—both of which are typically covered by the tenant. Add to this the fact that traditional tenants translate into less time and effort spent on day-to-day property management, and long-term rentals are an attractive option for many investors.

However, there are also limitations to long-term rentals, which often come down to your ability to control the property. Perhaps the most obvious one is that you do not get to use the home or closely monitor its upkeep (this is different from a short-term rental, which we’ll share in the next section).

In addition, while you can usually generate a steady, predictable income stream with a long-term rental, you are limited in your ability to adjust rent prices based on increasing or seasonal demand. Therefore, you may end up with a lower overall return on your investment. In fact, according to data from Mashvisor, in the 10 hottest real estate markets, short-term rentals produced “significantly higher rental income” than long-term rentals.

SHORT-TERM (VACATION) RENTAL MARKET

Short-term rentals are often referred to as vacation rentals, as more and more travelers enjoy the benefits of staying in a home while on vacation. In fact, according to Wells Fargo, vacation rentals are steadily growing and predicted to account for 21% of the worldwide accommodations market by 2020.

Investing in a short-term rental or funding your second-home purchase by renting it out can offer many benefits. If you purchase an investment property in a top travel destination or vacation spot, you can expect steady demand from travelers while taking advantage of any non-rented periods to enjoy the home yourself. In addition to greater control over how your property is used, you can also adjust your rental price around peak travel demand to maximize your returns.

But short-term rentals also have risks and drawbacks that may dissuade some investors. They require greater day-to-day property management, and owners are typically responsible for furnishing the property, upkeep, and utilities.

And while rental revenue can be higher, it can also be less predictable based on seasonal or consumer travel trends. For example, a lack of snowfall during ski season could mean fewer bookings and lower rental revenue that year.

In addition, laws and limitations on short-term rentals can vary by region. And in some areas, the regulations are in flux as residents and government officials adapt to a new surge in short-term rentals. So make sure you understand any existing or proposed restrictions on rentals in the area where you want to invest.

Urban centers or suburban communities may be more resistant to short-term renters, thus more likely to pass future limitations on use. To lower your risk, you may want to consider properties in resort communities that are accustomed to travelers. I can help you assess the current regulations on short-term rentals in our area. Or if you’re interested in investing in another market, I can refer you to a local agent who can help.

 WHICH INVESTMENT STRATEGY IS RIGHT FOR YOU?

Now that you understand these two real estate investment options, how do you pick the right one for you? It’s helpful to start by clarifying your investment goals.

If your goal is to generate steady, predictable income with less time and effort spent on property management, then a long-term rental may be your best option. Also, if you prefer a less-risky investment with more reliable (but possibly lower) returns, then you may be more comfortable with a long-term rental.

On the other hand, if your goal is to purchase a vacation or second home that you’ll use, and you want to defray some (or all) of the expense, then a short-term rental may be a good option for you. Similarly, if you’re open to taking on more risk and revenue volatility for the possibility of greater investment returns, then a short-term rental may better suit your spirit as an investor.

But sometimes the decision isn’t always so clear-cut. If your goal is to purchase a future retirement home now to hedge against inflation, rising real estate prices, and interest rates, then both long- and short-term rentals could be suitable options. In this case, you’ll want to consider other factors like location, market demand, property type, and your risk tolerance.

 HERE OR ELSEWHERE … I CAN HELP

If you’re looking to make a real estate investment—whether it’s a primary residence, investment property, vacation home, or future retirement home—give me a call. I’ll help you determine the best course of action and share insights and resources to help you make an informed decision. And if your plans include buying outside of our area, I can refer you to a local agent who can help. Contact me to schedule a free consultation!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

Photo by Leeloo Thefirst

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For Sale ~ 1111 Forest Trail #1123, Mammoth Lakes CA 93546 — $959,000

FULLY FURNISHED MAMMOTH VILLAGE CONDO!

Fabulous fully furnished 2 bedroom/2 bath unit in the heart of the Village of Mammoth. This ground floor condo overlooks the reflecting pond and pool. Peaceful location. Has newer carpet and paint. Sold fully furnished and ready for a quick sale for the upcoming ski season.

The Village has it all — fitness room, ski access, walk to gondola, restaurants, coffee shop, retail shops, music festivals, underground parking, charging station, pool and spa.

For more information visit Grand Sierra Lodge #1123.

Contact Nancy Davidson for All Your Real Estate Needs! For more information or to schedule a showing visit www.MammothCountry.com or email [email protected]. Let me make your home selling and or buying experience one of a kind!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

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Unseasonably Good Advice

The real estate market changes frequently; it seems that something happens daily to affect it. Mortgage interest rates, home prices, inventories of homes for sale – all affect the real estate market, as well as other complicated factors to do with lending and regulations.

Fortunately, best practices don’t change. Consumers may not know how to buy a home under today’s conditions. Whether it’s a buyer’s market, seller’s market, or something in between, these tips will help you buy a home in any market.

  • Don’t try to time the market. Purchasing a home is a long-term investment. You are going to live in this house for several years. Don’t rush to buy because you think prices are going up, or put off buying because you think prices are falling.
  • Do work with a good Realtor®. A knowledgeable real estate professional can help you get a good house at a fair price, instead of overpaying for a home you don’t like, or not finding a property at all. Your Realtor® knows the market and can help you find the best options in your price range. They’ll also help you structure your offer to make it attractive to the seller.
  • Don’t to get too emotional about the process of buying a home. It’s easy to lose your cool if the property you love is sold before you get a chance to look at it, or if someone outbids you for your dream house. Remember that there are always more properties out there, and that you will find one that is right for you.
  • Do make your best offer. A lowball offer on a property simply wastes the seller’s time, and your own. If you are serious about buying the house, put your best foot forward and make an offer that reflects the value of the home and the neighborhood.

Contact me today for an appointment to discuss the property you’re looking for. I can guide you through the buying process and help you end up with your dream home. In any real estate market, home buyers could use a helping hand.

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

Image by Oleksandr Pidvalnyi from Pixabay 

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Pricing Your Home to Sell

One area of listing a property that sellers tend to worry over most, is pricing a home. You want to sell your home quickly and get a fair price, but how do you know what to ask for it? Here are some tips on pricing your home to sell.

  • Leave your emotions out of the process. The price of your home shouldn’t include how much you paid for the house, how much you enjoyed living there, or the fact that your kids grew up there. You’ll need to base your price strictly on what your house is worth today in your neighborhood.
  • Look at similar homes in your neighborhood that have sold recently. This will give you an idea where to start pricing. You can also visit any houses that are currently for sale, to see how they compare to yours. Don’t rely strictly on square footage when you look at comps. You need to know details about how the home is laid out, what features are inside, and any upgrades to get an accurate idea of price.
  • The person who buys your home is going to have a mortgage in most cases. That means that your home’s appraised value must be at least the sales price. Keep this in mind when you are setting your price, so you don’t price your home too high. If the appraisal comes in lower than the sales price, the buyer won’t be able to get a loan for that amount.
  • Start with the right price. Unless you are in a really hot market with very low inventory, you will just end up lowering the price on your house, which will send a signal to buyers that it was overpriced. Likewise, pricing your home under market value to encourage multiple bids can backfire, if there is a lot of inventory or homes are not selling fast in your area.

The most important step in pricing your home is to talk to your real estate agent. A qualified real estate professional knows what’s going on in your neighborhood and can advise you on the best pricing strategy for your home.

Are you ready to sell your home? If so, contact me today. I’ll give you a market analysis to determine the value your home, so you can be sure to price it right for the local market.

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

Image by mohamed Hassan from Pixabay 

Get the Best Deal on Your Home

The more people there are bidding on your dream property means less chance of getting a great deal on it. Competition is generally considered a healthy, natural happenstance in life. Unfortunately, the same cannot be said for buyers looking into real estate. Here are some tips you should know as a buyer that will help you negotiate the best real estate deal.

Determine whether you want an established home or a fixer-upper. Houses can sometimes be priced comparably even though one may need significantly more work than another. Understanding property values in your area can help.

There’s nothing worse than insulting a seller with a lowball offer before you’ve even done your research. If you find that house you’re looking for, look for comparable sales in the area. A good seller will know what houses in his/her market are going for, so don’t try to outsmart them.

There are other ways to get the “discounts” you’re looking for. In your proposals ask for things that you’d like to see done, or left in the house. Keeping appliances or replacing carpet or other amenities in the home are good ways to save money on changes or additions you’d make anyway. Getting these into the agreement can help you save on your bottom line.

That said, don’t get caught holding all the cards. Remaining in a bidding war over a few thousand dollars is meaningless on a 30-year loan, especially if the house you’re looking at it is your dream home. It’s OK to stand your ground for a good deal, but don’t run yourself out of the deal by asking for too many things at once.

Find out why the seller is getting rid of the home in the first place. If you find out if it’s because of job relocation, divorce, retirement or any number of other factors, you may be able to come to a better understanding which often means a better deal.

Following these guidelines will help improve your chances of getting the best on your home. Contact me today for a consultation. I will be happy to answer any questions you may have, and/or help you find your dream home.

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

Photo courtesy Flickr.com/kteegarden

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Design a Fabulous Bathroom in a Small Space

It’s a room most people spend very little time in, and they often think about it even less when decorating their homes. In many homes, it’s a tiny space barely adequate for the daily routines. However, the bathroom is an important part of any house or apartment, and it should be given the attention it deserves. Here are a few ideas on how to create a space you won’t want to leave even if it is compact.

  1. Go White

A white or light-colored bathroom makes the space feel bigger and brighter. If your room is small and dark, paint the walls a light color and install a white vanity to instantly make it feel more welcoming and expansive.

  1. Choose a Small Vanity

A large vanity in a small bathroom can make the space feel even smaller and tighter. Instead, opt for a small vanity or pedestal sink to give you more floor space. While the tradeoff is less storage, you can find other ways to replace it.

  1. Think Vertical

Speaking of storage, make use of the vertical space in your bathroom, and install shelving on the walls. Wire shelves are ideal in this room because they seem more transparent and won’t shrink the space as much as wood shelves. Place less used items on the higher shelves while keeping things you use every day at eye level or below.

  1. Focus on Lighting

A lot of bathrooms are dark and don’t have windows for natural lighting. Increase the lighting in this room to make it feel bigger and more inviting. Start with lighting around the mirror with one wall sconce on each side and another light above it to eliminate any shadows on your face when you’re getting dressed. Place sconces and other lights around the room as needed. Pendants and chandeliers create a touch of luxury in this space as long as you choose an appropriate size.

  1. Decorate

While you don’t want to take up limited space with a lot of decorative items, you do want to create a sense of warmth through your décor. Use functional items to enhance the space in a fun way. For example, roll up brightly-colored washcloths and place them in a basket on end. Put small soaps on a tray by the tub or on the sink. Display decorative lotions to add color.

Get creative and have fun decorating one of the most important and most forgotten spaces in your home.

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

Photo by Steven Ungermann on Unsplash

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53 Hidden Canyon Court, Mammoth Lakes, CA 93546 – SOLD

Mountain view from this affordable easy build flat lot in Sierra Meadows subdivision. Great opportunity for builders or investors. Soils report has been completed. Crowley Lake is a wonderful community close to Mammoth with a lot of outdoor activities.

For more information visit 53 Hidden Canyon Court.

Contact Nancy Davidson for All Your Real Estate Needs! For more information or to schedule a showing visit www.MammothCountry.com or email [email protected]. Let me make your home selling and or buying experience one of a kind!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

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Hidden Canyon Court Lots in Sierra Meadows Subdivision, Crowley Lakes – SOLD!

Enjoy the mountain view from these affordable easy build flat lots in Sierra Meadows subdivision. Great opportunity for builders or investors. Soils report has been completed.

Crowley Lake is a wonderful community close to Mammoth with a lot of outdoor activities.

Click Here to view the virtual tour!

For more information on each lot view the MLS reports here.

Contact Nancy Davidson for All Your Real Estate Needs! For more information or to schedule a showing visit www.MammothCountry.com or email [email protected]. Let me make your home selling and or buying experience one of a kind!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
800 421-7005 office
866 278-7765 efax
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.


 

4000 Meridian Blvd #206, Mammoth Lakes, CA 93546 – $699,000

CLOSE TO THE LIFTS!

Looking for a place close to the lifts? Look no further! You cannot get any closer to Eagle Lodge than the Juniper Springs Resort area. This remarkable, south facing 2 bedroom and 2 bath unit at Juniper Springs Lodge has been exquisitely remodeled in the most tasteful fashion. All new appliances, granite countertops, LVP flooring, new carpeting, and upscale furnishings. Overlooks the pool.

Incredible views to the Sherwin’s, Mammoth Pass ,Mammoth Rock, Crystal Crag, Dave’s Run, top of Mammoth Mountain, top of Lincoln Mountain and more. The complex has an outdoor pool that is heated year-round, 3 spas, private owner’s locker room, exercise facility, underground parking, a convenience store and a large hearth room.

Enjoy immediate access to the Town of Mammoth Lakes paved trail system and dirt hiking trails. HOAs include electricity, gas, water and trash in addition to common area.

Click Here to view a 3D tour of this condo.

Click Here to view the virtual tour!

Contact Nancy Davidson for All Your Real Estate Needs! For more information or to schedule a showing visit www.MammothCountry.com or email [email protected]. Let me make your home selling and or buying experience one of a kind!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

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100 Ski Trails #11, Mammoth Lakes, CA 93546 – SOLD JULY 2021!

UPDATED 2 BEDROOM MOBILE HOME!

This mobile home is in a great location and right across from the manager’s unit. It’s 2 bedrooms and 2 baths plus an enclosed den with built-in bed and shelving. LVP flooring in part of the unit. Bathrooms have been partially remodeled. Washer/Dryer included. Woodstove in living room is raised for safety if you have young children.

Recently rehabbed on the exterior with siding, insulation, windows and skirting. Covered porches and a shed. Park rules and regulations available. Buyer must be approved by the management.

Click Here for Virtual Tour! For more information visit 100 Ski Trail #11.

Contact Nancy Davidson for All Your Real Estate Needs! For more information or to schedule a showing visit www.MammothCountry.com or email [email protected]. Let me make your home selling and or buying experience one of a kind!

 

Nancy Davidson
Mammoth Village Properties
760 937-2301 mobile
[email protected]
www.MammothCountry.com
CA Broker’s License #01264041

Nancy Davidson is your ultimate real estate resource for Mammoth Lakes, CA and The Eastern Sierra. Visit my website for detailed information regarding today’s real estate markets.

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