NOTE: This blog post was updated on 1/25/23.
I created and manage a very popular Snowshoe Facebook Group. Members are always seeking advice on buying a condo in Snowshoe WV. There is no boilerplate answer because there are so many variables involved.
The group, as of this update, has over 17,200 members with varying opinions. Below, I’ll describe my experiences and advice. You may ask, who is this Jim guy?
I’ve owned and self-managed multiple condos in Snowshoe and Myrtle Beach since 2003. I’m also a certified public accountant, so I understand the financial and tax implications of rental real estate. I will focus more on those who buy and rent since that’s what I did.
The people asking for advice should first answer this VERY important question.
Why do I want to buy a place in Snowshoe?
- You love coming to Snowshoe so often that it warrants this financial obligation.
- You heard that they are easy to rent and you can make money doing it.
- You are tired of renting and bringing your equipment home each time.
- Your friend has a place and it seems like a great idea.
Once you answer the question above, let’s talk about what to do next.
You need to define your usage. Are you going to use it every weekend and never rent it? Are going to use it once a month and rent it out to defray the costs? Easy math here, the MORE you use it, the LESS rental income there will be.
Now that you have defined your personal usage, you need to be realistic about a budget. What can you realistically afford? For those like me who rent their place out, be prepared. Did you hear about the Covid 19 pandemic? Most of us got butchered by the closing of the resort and the lack of rentals. You need to make sure you can pay those bills without rental income.
Rental management is always a tough call. You can put it on Airbnb or VRBO and rent it yourself and take in all of the rental income. I did that for many years and it was very time consuming. You could hire a management company to rent your unit. If you go the management route, I strongly recommend the folks at Mountaintop Condos. I turned over my condo to them and was completely satisfied. Tell them I sent you.
As you look at these properties, remember this is a home just like the one you live in. It requires maintenance, things wear out and need to be replaced. These are real dollar expenses and you should set aside funds each year for these expenses. If you rent your unit as I did, be prepared for these items to be replaced sooner than if you did not rent. Simple wear and tear from guests coming in and out are unavoidable.
The next step is to find an agent you can trust. When we decided to sell our condos, we were lucky enough to have a friend who was an agent in the Snowshoe area. My friend Chris has been a Snowshoe homeowner for over 15 years. Here is a link to his website. He can guide you through the entire buying or selling process. Tell him I sent you so he’ll buy me a beer at the Junction.
You’ll begin to start looking at properties. Make sure you fully understand the HOA fees and what is covered and what is not. Some cover almost all the utilities and some do not. You also want to see the HOA budget. Are they in good shape financially or on the verge of going broke? Ask about contingencies such as legal claims and pending capital assessments for repairs and maintenance.
Real estate is about the “3 Ls”, Location, Location, Location. Units close to the slopes will command more rental income but will also cost more. In my search, paying a little more to be on the slopes produced better financial results. Things have changed since 2005. Snowshoe has become much busier so perhaps that is no longer true.
So you have hopefully done all your due diligence and are ready to buy. I wish you the best of luck on your adventure into buying a condo in Snowshoe, WV.