Making an investment decision can be difficult at times, particularly for new investors. There are several options for real estate investments, which makes deciding where to invest much more challenging. The real estate market is ever-changing. Prior to investment, it is critical to understand the price, rate of interest, and demand. Naturally, you would not like to purchase a property with a poor rate of return. So, to help you see the big picture, we've compiled a list of recommendations for investing in Myrtle Beach.
You need to dig deeper into local patterns to determine whether Myrtle Beach real estate is a successful investment or not. The real estate developments in Myrtle Beach will reveal what the market will look like in the coming year. Although this article might not be a definitive resource for finalizing investment decisions on Myrtle Beach property investment, we have assembled a collection of evidence-based benefits for those considering it. In the long run, investing in Myrtle Beach rental properties would pay off handsomely, as home prices in the area have been steadily rising year after year.
Let's take a look at some of the positive developments in the Myrtle Beach real estate market that are beneficial to investors looking to purchase an investment property in this area. Instead of providing you abstract appeals to purchase a home or an investment property because of the overall ambiance and mere promises of future prosperity, we will focus on concrete reasons for investing in Myrtle Beach real estate.
The Prices of Rentals Are Increasing
Located along the Atlantic coast of South Carolina, Myrtle Beach is a popular tourist destination and an excellent holiday destination. Every year, millions of tourists come here to relax or simply enjoy the scenery. However, how affordable is Myrtle Beach? You can afford your own beach house or condos when you come here for a vacation. Others choose to rent apartments or stay in hotels. Thanks to its affordability, Myrtle Beach short-term rental demand is always high and popular amongst tourists., So, if you own a home in the 65-kilometer Myrtle Beach district, you won't have to worry about it having to leave it vacant for too long if you take the right approach.
It will be an excellent way for you to earn an income from your home. The income is consistent and reliable. If you have a mortgage on your home, you can use this money to pay it off. Perhaps more intriguing, rental prices are increasing. Even in the midst of COVID-19's immobilization, there is an increasing demand for beach houses, which is unsurprising - considering how everyone is looking for tranquil peace and serenity away from big crowds.
The High Return on Investment in Myrtle Beach Properties
In the Myrtle Beach real estate, the average rent for an apartment was $1100 per month. A month's rent for a one-bedroom apartment is about 900 dollars. The most popular types of properties in the Myrtle Beach real estate market are two and three-bedroom homes.
This means that a rented single-family home could comfortably fetch $1400 per month or more. What about vacation rentals? The rental income on these properties can range from $20,000 to $40,000 per year, depending on how desirable they are and how much occupancy you can get during the busy summer season.
The interest rate on mortgage loans has dropped.
First and foremost, you should be aware that, since the housing and mortgage loan crisis of 2007-2008, mortgage lending services have been subject to stringent regulations and are now very safe. The risks of house building and mortgage loans are now smaller. There is often a negative link between house prices and interest rates. Interest rates on loans are exceptionally high when markets are down or stable, and vice versa.
However, both interest rates and prices have remained steady this year. Mortgage interest rates are currently at an all-time low. Earlier this year, the average interest rate on a 30-year fixed-rate mortgage loan was less than 3%, which had not occurred in nearly 50 years. As a result, real estate investment and purchases have hit a record high. Many factors related to the pandemic are going to keep interest rates low for a long time still. So, this is a perfect time to lock in a 30-year fixed-rate mortgage!
The Tax Rate is Low
South Carolina has a lower tax rate than the national average. The combined federal and local tax rate is the eighth lowest in the fifty states. South Carolina also has one of the lowest income tax rates in the nation. If you are thinking about investing in Myrtle Beach real estate, keep in mind that the state has some of the lowest property taxes in the country. The typical home has a property tax bill in South Carolina is around 0.5 percent. In contrast, the national average property tax rate is 1.1 percent.
Property Insurance at a Low Cost
The first region most people think of when they think of beachfront property in the southeastern Atlantic coast of the United States is Florida. Property prices in the state are generally high, but this can be offset by potential tourism revenue. The cost of maintaining the land, on the other hand, is high, in part because Florida has some of the highest insurance rates in the nation - thanks to the likelihood of hurricanes making landfall in Florida.
On the other hand, South Carolina has home insurance rates that are comparable to the national average.
That's because hurricanes rarely reach Myrtle Beach directly. Coastal flooding can be a problem, but you can avoid it by not purchasing a property that is directly on the water or high enough above the water to avoid being destroyed by ten-foot waves. One advantage of investing in Myrtle Beach real estate is the property's appreciated value. Furthermore, only a few coastal and resort areas can match the facilities available here.
Take safety into consideration.
As is the case with all homeowners, it is essential to maintain the property and keep it safe. It is even more critical if you own a place in Myrtle Beach. Trespassing and crime rates are higher than average in Myrtle Beach as a result of its popularity.
Myrtle Beach is the country's third most dangerous city. As a result, you will need to put in a little extra effort to ensure the security and safety of your property - a safe neighborhood attracts more renters.
What's so special about Myrtle Beach?
These are some of the most important considerations to make before purchasing a second home near the beach. Now let us look at the wonderful Myrtle Beach and figure out what it is about it that captivates us.
Let's start with the top ten things to do in Myrtle Beach.
1. Take a trip to the beach. Sixty miles of sand and sun make up the perfect beach.
2. Play a round of mini-golf. The "miniature golf hub of the world" has around 50 courses.
3. Broadway at the Beach is a must-see. Three hundred fifty acres of fun await you at South Carolina's largest entertainment center. It has a plethora of entertainment choices for tourists.
4. Visit Replei's aquarium to see the sea critters. This aquarium is home to 10,000 sea creatures. From 9.00 a.m. to 7:00 p.m., it is available to guests. There are a variety of educational materials available in addition to thrilling activities such as the stingray experience and live penguin cam.
5. Enjoy a round of golf at your favorite club. Playground in the world's "seaside golf capital."
6. Take a walk around the Brookgreen Gardens. See the country's biggest display of American figurative sculptures. Other attractions include the low country zoo, botanical gardens, and low country history.
7. The family kingdom is a great place to have a good time with your family. This amusement park, which is located on Ocean Boulevard in the heart of Myrtle Beach, has 35 rides that make it a family favorite.
8. Have a splash in the sun with your friends and family at one of the three water parks.
9. Make your way to Barefoot Landing. Dine and shop near the intercoastal waterway while amusement and music fills the atmosphere at the Alabama Theater. There are also the fireworks displays and nightlife establishments where you can unwind with friends and family while enjoying live music.
10. Take a stroll along the Boardwalk. Take a ride on the Ferris wheel or stroll along the 1.2-mile promenade.
The Best Areas in Myrtle Beach to Invest in Real Estate
Horry County's Myrtle Beach is a relatively walkable neighborhood. There are 15 primary schools, ten middle schools, seven high schools, and nine private and charter schools in this district. Myrtle Beach is divided into 22 neighborhoods.
South Myrtle Beach, Arcadian Shores, River Oaks Golf Plantation, Carolina Forest, Myrtle Beach, Waterway Palms Plantation, Southgate at Carolina Forest, The Bluffs on the Waterway, Market Commons, Myrtle Beach Boardwalk, Covington Lake, Arrowhead, Myrtle Pointe, Dunes of Myrtle Beach, Myrtlewood, Grande Dunes, Forestbrook, and Seag are some of the best neighborhoods in Myrtle Beach, South Carolina.
Investing in real estate has the advantage of increasing in value over time. Furthermore, few coastal and resort areas can match the facilities found in Myrtle Beach's diverse selection of properties. With that in mind, do some thorough research into the neighborhoods and weigh the pros and cons of the property you are about to invest in. Good luck!