Stocks market indexes are trading at record high levels, bond markets are strong, and the price of real estate continues to leap upward. Rarely (if ever) have all three of these investment areas risen so sharply in unison. With the ability for many to work remotely or build a business from home, the demand to move out of urban areas has become much more than just a reaction to the pandemic. Moving to the mountains for either primary residence or for a second home is a long-term trend.
Changes have also been occurring in the traveler industry with reports of strong demand for affordable rural vacation rentals. Vacation homes located outside urban areas seem to be doing well while short-term rentals of small apartments, condos, and hotels are not. With continued uncertainty around travel, families are looking for alternatives to traditional resorts and having a private compound within driving distance of home seems to be growing into something that may last well beyond the virus.
Airbnb’s successful IPO is further evidence of the shifts happening in the tourism industry and the success of VRBO (Vacation Rental by Owner) has made it the star performer of Expedia Group are further signs that private vacation home rentals may be sticking around for the long run. Despite the higher cost of purchasing the property, this may actually be a great time to get started in building a vacation home rental business. Tools like AirDNA can help you in developing a Vacation Rental business plan
The Pocono Mountains region of Pennsylvania is benefiting from this shift. The region is readily accessible to the New York area via Interstates highway’s 94, 80 and 78 and to Philadelphia by the Pennsylvania Turnpike (I-476). For many in those areas, the Poconos are less than a 2-hour drive away. The Poconos offer year-round activities with ski resorts for the winter and outdoor activities in the warmer months. For days when the weather is not cooperating, there are indoor water parks, indoor attractions and a host of shopping and dining options for vacationers. There is truly something for everyone.
The real estate market for vacation homes in the Poconos and Carbon County is very strong. The area has a number of subdivisions that have been built with the vacationer in mind. Some have lakes, beaches, pools and outdoor hiking trails. A couple even have their own ski slopes! Not all subdivisions allow for short-term rentals and each municipality (township, borough or city) has their own zoning rules that may affect your business plans. One top of that, a number of municipalities have instituted Short-term rental rules and regulations for property owners so before you jump in, do your homework and find a local realtor who knows the market.
See the following:
Short-term Rental Rules and Regulations for Pocono area Municipalities
Pocono area HOA’s and Community Rules and Regulations for Short-term Rentals
More about Mark Shay, Realtor Specializing in the Purchase of Short-term Rental Properties. Book my Blue Mountain Vacation Home or Blue Mountain Private Camping.