Category: Seashore Real Estate

Tenant observations:

We rented a condo last week in South Carolina to accommodate a family vacation.

Even after a long career of managing rental properties in Avalon and Stone Harbor, I still gain important perspective from each experience as a tenant.

For instance, our son and his family arrived Saturday evening hoping to watch the end of the World Series.  There was a small, handwritten note to log on to YouTube to operate the televisions (no cable).  I scrolled through while they were unloading their car, and could only find the game on a Japanese channel!  I gave up after a few minutes.

Our young grandsons were sharing the bedroom with twin beds.  There were cloth mattress pads on those beds, but no plastic wraps underneath- not practical for a kids’ bedroom (or any bedroom for that matter).

The unit had been attractively renovated- including the appliances.  Odd that there was no ice maker (just one ice cube tray in the freezer).

Although none were major issues, it made me realize that tenant expectations play a key role in the overall opinion of a rental home.

Landlord Observation:

During that same week, we handled landlord duties in our place across the street.  These working visits allow me to empathize with fellow rental property owners.  Yet by the time we are walking out the door (dragging the Swiffer behind!) I feel a sense of pride for our efforts to please the incoming guests.

The recent rate increase for mortgages is understandably a hot topic.  Buyers considering a 30 year fixed rate loan are facing sticker shock!

Yet there ARE other options.   I’ve had personal experience with almost every type of loan over 40 years of property ownership, and each was well suited for a specific circumstance.

Examples of shore house purchases and possible loan solutions:

1) Are you considering an older cottage to keep for a few years and then build new?  If so, a 30 year fixed rate loan may not be the best fit.   A 7/1 ARM (adjustable rate mortgage) offers an initial lower rate (and the protection of rate caps).  When you are ready to build, you are likely to refinance and incorporate a construction loan that converts to conventional financing once the project is complete.

2) Did you know that “jumbo money” is less expensive to borrow.  If you are close to the threshold of a jumbo loan, borrowing slightly more may save you 1% off your interest rate.

3) While owner financing is not the norm, it can be worthwhile to discuss if a short term loan is needed.  The near future building scenario is a practical example.  Obviously this only works if the seller does not have debt to satisfy with the sale.

4) Although a 30 year mortgage provides a sense of security with a locked in rate, most property owners don’t keep the same loan for the full 30 years.  It’s not unusual for shore property owners to decide to sell after 10 years (or less) so that they can purchase something larger or closer to the beach!

5) Refinancing is a realistic option to take advantage of future lower rates.  Or, some lenders allow property owners to “re-cast” their loan with a payment toward their principal balance.  We have taken advantage of that perk several times with our Wells Fargo loans.  Although the interest rate stays the same, the monthly payment is recalculated off the lower principal amount.  It allows us to reduce the overall debt (principal balance) and the monthly payment at the same time.

I’m happy to provide additional information, and recommend lenders familiar with our local market.

ann.delaney@tksir.com  or 609-967-7950 office

These are actual statements I made today as we returned to our rental property after a busy season:

1) Oh, it doesn’t look too bad.

2) Ewww, what is dripping off the cabinet?

3) Where did they put the _____? (a guessing game that can last for days)

4) Aww, look at the sweet notes in our guest book.

5) Ugh, did they leave ANY sand at the beach?

6) Purple sequins from a kid’s craft project are hard to vaccuum!

7) Is that chocolate?  I’m going with yes, hopefully that’s just chocolate on the rug.

After a few days of cleaning and organizing, we will enjoy our time here, and mentally prepare for the next round of renters 😎

P.S. Day two of cleaning and mumbling my frustrations.  These treasures were found under the beds in the “kids” room!

For over 40 years (gulp!), I have handled summer rentals in Avalon and Stone Harbor, NJ.

Although property issues have evolved with the times, cleaning issues remain our number one challenge.

Each local service has a full roster of homes to be cleaned within the 4 hour window between departing and arriving tenants. One hiccup (someone on the crew doesn’t show up for work, a home is left especially dirty, etc.) and the cleaners quickly fall behind.

By the time the August guests arrive, rental properties are often in need of some extra TLC.

Ideally, rental owners should be on site for one or two change overs each summer to handle these tasks:

Outside shower (toss used soap and shampoos, spray with cleaner and hose out the sand)

Deck/porch furniture (scrub off mildew and food crumbs)

Patios and decks (hose off the sand)

Clean the gas grill grease drip pan (major fire hazard when full)

Change the AC filters for better efficiency, and vacuum the return vents

Launder all mattress pads and bed quilts

Wipe off placemats

Check the condition of the inside and outside trash and recycle containers (replace, and/or wash out if needed)

My go-to supplies as a landlord are Dawn Dishwashing Detergent and Spray Nine Heavy Duty Cleaner (removes mold better than a bleach spray).

We are about half way through our summer rental season, and many properties need some extra attention in order to meet the expectations of incoming guests.

1) More detailed cleaning of the ceiling fans, return vents, mattress pads, quilts, and throw rugs. The change over cleaners do not have time to handle these extra tasks.  The number one tenant complaint this week was stained bedspreads and mattress pads.

2) Clean the outside shower- removing any old soap and shampoo.  Scrub accumulated mildew from the walls or floor.

3) Check the condition of the outdoor furniture.  Sweep excess sand from patios and decks.

4) How are the trash containers holding up? Replace broken cans, and rinse out the others.

5) Clean the grill and empty the drip pan (built up grease is a fire hazard).

6) Restock the necessities- clothes hangers, basic cleaning supplies, and some paper products.

7) Quickly inventory the kitchen for adequate glass and dish ware.  Wipe out the silverware drawer and around the kitchen trash can area.

It’s always worthwhile for property owners to visit mid-season to tackle these important items.

Electronic keypads, Ring doorbells, security cameras, and Nest thermostats…all innovations to make our homes “smart”.

Yet how do we balance these conveniences with the right to privacy for summer tenants?

As a rental agent, I appreciate an owner’s ability to remotely reset a thermostat if the previous tenant accidentally changed the settings.  And a touchpad entry is practical for tenants (no keys to lose on the beach!)  Side note: there should always be a key available locally in the event the keypad/battery fails.

Last month, we stayed in a rental cottage in North Carolina while attending a family graduation. The home had a Ring doorbell, keypad entry, and security cameras on the 2 outside patios.  It was odd knowing that the owner could hear our conversations as we entered the house, as well as watch us as we hung out in the back yard.

I’m in and out of homes all year round.  If I see cameras or a Ring doorbell, I wave so the owner knows it’s just me 😉

But tenants don’t want to feel like they are being monitored by the landlord.

As always, we must adapt to new technology while understanding the concerns of owners and tenants.