When my clients come to me looking for second home and investment properties on the Outer Banks, the first and foremost item I look at when choosing homes for them is rental performance.
To me, the perfect investment home pays its own way. To make this happen, I look for around an 8 to 10 percent return on the purchase price through annual rental income. With this return, I feel comfortable assuring my clients that home expenses, including mortgage, taxes, insurance, household bills and property management fees will be covered by the rental income.
With this in mind, below are a few of my Northern OBX home picks for best return on investment. These homes range in price but all share one vitally important factor -- they are perfect for the savvy investor.
114 Acorn Oak Avenue, kitty hawk - 4 BRs, 3 Baths
$439,000
2016 Rental Performance: $37,350 - 8.5% of selling price
Priced-to-sell ocean-side home with private pool and hot tub. Located 5 lots off the ocean with beautiful ocean views from top floors and decks. Spacious rooms and nice layout with bedrooms on mid-level, plus a ship's watch and brand new kitchen appliances make this home more than just a great investment.
100 Flight Drive, duck - 6 BRs, 4 BAs, 1 Partial BA
$599,000
2016 Rental Performance: $45,876 - 7.6% of selling price
Semi-sound front home with great views. Take in perfect Outer Banks sunsets on the expansive decks. With amenities like a game room and pool, sound views, easy access to the beach and a central location between Duck and Corolla, this house makes the perfect investment and second home.
113 Baldpate Drive, duck - 7BRs, 5 BAs, 2 partial BAs
$649,000
2016 Rental Performance: $55,238 - 8.5% of selling price
This ocean side home features two master suites, a large game-room, and a private pool & hot tub. Stunning extra large wrap around decks, a well-appointed kitchen and additional amenities like a volleyball court, basketball goal, & horseshoes & outdoor shower make this home a consistent rental performer.
100 Hatchcover Court, Duck - 6 BRs, 6 BAs, 1 partial BA
$679,000
2016 Rental Performance: $56,261 - 8.3% of selling price
This well-maintained home is just a short walk away from Four Season's amenities including the community clubhouse and indoor pool, tennis and basketball courts. Great details like cathedral ceilings in the master suite, new appliances and granite countertops in the kitchen make this the perfect home for discerning renters.
143 Four Seasons Lane, duck - 6 BRs, 6 BAs, 1 partial BA
$770,000
2016 Rental Performance: $67,351 -- 8.7% of selling price
An unbeatable location in the exclusive Four Seasons community + walking distance to Duck Village shops and restaurants makes this home a worthy investment. With a private pool and hot tub, game-room and ample decking including lounge chairs and picnic tables, this is an OBX vacationer's dream.