Like most things, the answer to this question is subjective. If done right, renting out a condo can present all types of benefits. When situated in popular vacation destinations, tenants can occupy your condo when you're not in residence. It can also be great for the whole family to experience.
However, we recognize there might be some barriers that make you think it’s a lot of hassle for minimal reward. That’s why we’ve discussed below if renting out a condo is really worth it.
- Usually More Affordable to Purchase
- Unrivaled Convenience
- Rental Income Contributes Towards HOA Fees
- Hotel Condominiums Make It Easy
Usually More Affordable to Purchase
Detached single-family vacation homes can be expensive to purchase, with many buyers turning to fractional ownership or timeshares to make them affordable, but at the same time, harder to rent. Condos are significantly less expensive to buy than detached homes, making them a lot more affordable in sought after destinations.
Previously, Bermudian residential property was only available to purchase by predominantly high net worth overseas buyers. This was mostly because of the highly restrictive legislative and policy framework which governed the supply of homes and condominiums for sale to buyers.
However, non-Bermudians can now purchase Bermudian real estate at a reasonable price point for the destination. You can learn more about what to expect from the island’s laid-back lifestyle below.
Condo owners can also have access to upscale amenities - such as pools, gyms and spas - that owners of individual single-family homes don’t. Even with fees to think about, it’s still a more affordable option if you’re buying a vacation home.
Unrivaled Convenience
With condos in hotel resorts, you’re not directly responsible for maintaining the common parts of the building or any shared areas. Instead, your monthly HomeOwner’s Association (HOA) fees should cover the maintenance which normally include tasks like mowing the lawn, fixing broken utilities and keeping pools clean.
Burst pipe? Damaged roof? Don’t worry, your HOA fees cover that and, provided you have a management company in place, you don’t have to rush around fixing it for your tenants. If everything is done for you before you come on your own vacation, it means you can relax and put your feet up.
Rather than starting on a list of chores, when you should be on vacation. This reason alone makes buying a properly structured vacation condo worthwhile.
For more information about renting out a condo on your own, we’ve gone into detail about questions you should ask yourself. From how easy it is to manage to if your place is rental-ready, find out more here.
Rental Income Contributes Towards HOA Fees
HOA fees may make you think twice about purchasing a condo in the first place. However, the work the HOA carries out makes each owners’ life easy and this kind of support is invaluable.
What's more, maintaining the standards of amenities and common areas protects and can even enhance property asset value. This is really important when you decide to sell further down the line when your family circumstances change. Rental income should contribute towards HOA fees.
For more information about what to look for when purchasing a vacation home for rental, you can click here for more insight.
Hotel Condominiums Make It Easy
Hotels condominiums are typically multi-story, upscale properties in popular vacation destinations. The best are operated by prestigious hospitality companies like Hilton, Four Seasons and Hyatt. There are great benefits to buying a condo in a hotel condominium resort branded under one of the big hotel names.
Take Bermudiana Beach Resort, the latest addition to Hilton’s Tapestry Collection. Owners can choose to put their condos into the rental program where they’re maintained to resort-quality standards. This is a convenient and effective alternative to managing a vacation home rental yourself. It allows you to potentially achieve a higher nightly room rate and better annual occupancy too.
To make renting out your condo even easier, the on-site management company takes care of everything from renting out to operating and maintaining your property when you’re away. It's one of the reasons hotel condominiums are turnkey vacation homes and worth your consideration. You don’t have to worry about maintaining an Airbnb profile or doing everything yourself.
If this convenient style of ownership sounds perfect for renting your condo, we've created a visual guide for everything you need to know about the advantages you can gain by renting out a condo this way.
Explore More About Renting out a Hotel Condominium
Vacation homeownership can be a breeze if you want it to be. Take a look at our guide ‘Why Bermudiana Beach Resort?’ to understand how to make it simple.
From our relationship with prestigious hospitality giant Hilton to how our condos can make great rental properties, you can find it all in this guide.
Click below to get access and start your journey.
