The Vacation Rental Market
With all of the responsibilities of the holidays I often find myself needing a vacation from my holiday vacation. Which is why I love the idea of having a winter vacation property to retreat to after the New Year. Now, if you’re like me, having a house you visit only once a year may seem like an unattainable luxury but purchasing a rental property in a winter vacation destination could actually be a wise investment. My brother purchased in Vermont, so it was the most likely place for us to consider. Our price range is not the same, so I needed to investigate further, luckily my research yielded some helpful data, I did not want to overpay for an over developed area.
The key to finding an amazing rental property isn’t just knowing the best locations, it’s knowing what locations are up and coming. I discovered a new report from the vacation rental pros at Vacasa that has confirmed something that I’ve believed about the Vermont winter rental market for a long time. A lot of folks from my area have purchased there, and I needed to go somewhere that would contain the next wave of buyers, not the already established and more expensive areas, but close enough to my family and friends so that we could visit!
Ludlow, Vermont is primed to explode. And I want to get in at the beginning of the explosion!
Vacasa applied their prodigious data analysis skills to the copious amounts of data they have on vacation rental markets around the country and pinpointed the Top 10 best places to buy a winter vacation home right now, I immediately checked to see what was close by in Vermont, that is how I located Ludlow.
Winter month occupancy in winter vacation destinations are up almost 25% year over year since 2016. That means that winter vacation destinations are a real trend. But there’s more to finding a truly lucrative vacation property than proximity to skiing and snowboarding. Vacasa’s Winter Vacation Report identifies the markets with the highest average occupancy increases in the winter months and chose the ones with the best one-year return on investment. This is how I can afford to own a Vermont property!
And, lucky for me, Ludlow, Vermont was #1 on the list, here’s why:
Ludlow VT‘s Stats:
- Median Annual Rental Revenue: $32,020
- Median Home Price: $273,600
- One-Year Return Rate: 6.1%
As you can see, Ludlow’s low median home price and relatively high amount of annual rental revenue offers a very competitive one-year return rate. Also at #8 on the list is Stowe, Vermont: the prices are higher, but still an option! Maybe I can afford a second property in a few years!
You can check out the report . This is how you afford a second home for vacations and weekend getaways throughout the US!