Want to buy a Park City Second Home Condo to place in a Nightly Rental Pool?

Posted by Julie Olsen on Tuesday, August 15th, 2006 at 9:33am.

Many people who are looking to buy a second home in Park City Utah want to be able to place it in a nightly rental pool so they can get some income and tax writeoffs on the property and still be able to use it for themselves.There are a few things you need to think about before buying. First you need to make sure you are able to place your condo in a nightly rental pool.  Not all condominium developments in Park City allow it. The CC&R's for a condo development which are the coventants, conditions and restrictions that control the requirements, restrictions and use of a property need to be examined first.The real estate agent you are working with should have a good idea in general which ones allow it and which ones do not but to protect yourself you should look carefully at the CC&R document for the condominium development you are considering.  It will be given to you to look at during your due diligence period of time when you are in the process of buying a property. So now you find out that you can place your Park City condo or home in a rental pool.  Many people would like to have their second home condo pay for itself but that is near to impossible unless you put a significant amount of money down or pay for it in full.  The price of ski condos and homes in Park City or any other ski resort town have gone up considerably and the amount of money captured from a nightly rental will not cover the mortgage.  Depending on the location and occupany of a unit the rental income can usually help offset the costs of the HOA fees and taxes.Most people reap the financial rewards on a second home investment from appreciation. In Park City the property management companies who will manage your condo for a nightly rental pool take anywhere from 40-60% of the gross rental revenue which also needs to be taken into consideration.  Those who don't mind the extra work may use the internet to advertise and manage the second home property themselves. Websites such as VRBO and Cyberrentals allow for a low fee owners to advertise their vacation rental properties. Then you just need to make arrangements for a maid service to clean between guests.Feel free to contact me if you have any questions on buying a second home in Park City Utah.  Most of my time is spent working with second home buyers and I really enjoy working in the resort and second home market.

 About Author  A Local Park City Utah Realtor with Equity Real Estate Luxury Group helping buyers find their Park City or Deer Valley dream home. I've lived full time in Park City for over 23 years.  I enjoy showing newcomers all that Park City  has to offer in this wonderful place I call home. 

 
 Connect with the author via: | Facebook | Linkedin 

Leave a Comment