Myth #1
"Now is not a great time to invest in real estate.”
FACT: Now is a great time to invest in Outer Banks real estate! A competitive market means competitive pricing. The time is right to find a good deal on a solid long term investment for your future.
Myth #2
“Good homeowner’s insurance isn’t available or affordable on the Outer Banks”
FACT: Insurance is available and is more affordable than you think. Conventional policies are available for many homes. Others are insured by the “Beach Plan,” a specialty insurance tailored to the needs of oceanside properties.
Myth #3
“I’m worried about my cash flow. I’ll only have income during the summer months. How am I going to make my mortgage payment during the off season?’
FACT: Great news! Sun Realty’s Advantage Property Management Program will help you make the most on your investment. You could receive rental income for summer reservations as early as January.
Myth #4
“I live too far away to take care of my rental property.”
FACT: Don’t worry! Sun Services, Sun Realty’s maintenance division, has the necessary man power and experience to help take care of preventive maintenance and repairs, 24/7.
Myth #5
“To get my maximum tax benefits I won’t be able to use my property myself.”
FACT: Full tax write-offs on investment property allow recreational owner use of 14 days/year during the rental season. Maintenance and business visits are not limited. You can also close your rental calendar and visit off season without restriction.
Myth #6
“I understand that most properties on the Outer Banks have septic tanks. Isn’t it going to require pumping out or periodic replacement?”
FACT: Most septic systems on the Outer Banks require little or no maintenance. Due to our sandy well drained soil this is the ideal place for these type systems.
Myth #7
“Most loans for this type of property require large down payments.”
FACT: Today there are many financing options available. Our local lenders offer mortgage programs with up to 90% financing!
Myth #8
“If I decide to sell my Outer Banks property I’ll have to pay capital gains taxes because the IRS home capital gains exclusion only applies to the house I live in.”
FACT: A 1031 tax deferred exchange may be the answer. This allows you to roll the gains from the sale into the new property and defer your capital gain taxes.
Myth #9
“I’ve been told that I can’t take title to my beach home in the form of an LLC unless I get a commercial mortgage with a higher rate.”
FACT: There are several Outer Banks lenders that are be able to do conventional rate financing for LLCs with proper qualification.
Myth #10
“There’s nothing on the Outer Banks that’s affordable.”
FACT: There’s a wide variety of property for sale which means a large selection for you to choose from. There are many different areas with different price ranges so there’s something for everyone. Rental cashflow and different financing options can make owning Outer Banks property more affordable than you think!