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renting

Why You Should Start Looking for your Summer Rental in The Hamptons Now

Main Beach East Hampton

Thinking about renting a house in The Hamptons this summer? Now may be a good time to begin your search, especially for the 2018 Summer Season. It may seem early, however, it is never too early to start scouting out properties and negotiating with owners to ensure you get the house you want for the summer. Remember, you will have the house for the summer so spend the time and effort to ensure you get what you want!

The Summer 2018 Hamptons Rental season is already off to a quick start thanks to the U.S. Open Golf tournament coming to the Shinnecock Hills Golf Club in June. This event is expected to draw a sizeable crowd and has already resulted in inquiries for rentals on the East End. Additionally, because some owners are now listing properties that they might not have otherwise given the opportunity, now is the optimal time as it relates to inventory selection.

We are expecting the number of transactions to be higher for the 2018 season as compared to 2017 because of a change to the Rental Permit Law enacted by the Town of Southampton. The law was revised to allow rentals shorter than the previous 2-week minimum. There is now a waiver for special occasions and large events which can put a squeeze on the limited hotel inventory in the area. With that said, wealthy individuals may turn to renting a home for their stay during something like that U.S. Open rather then turning to a hotel.

Additionally, we have talked a lot about the changes to the tax code and how it could impact real estate markets. We believe that the tax changes will impact the Hamptons Rental Market by increasing the size of prospective renters looking for property. Most people have now had an opportunity to see how the changes impacted their paychecks and have worked with their tax advisors to forecast their 2018 tax lability under the new guidelines. People are feeling wealthier and, generally, increased wealth leads to people being more likely to and willing to spend money.

Get ahead of the curve and begin your search for a summer rental in the East End now. Inventory is better earlier in the season as compared to later in the season (May/June).

Things to Consider When Looking for a Summer Rental:

  • Allow yourself time to find a rental and carefully review all the stipulations, etc. put in place by the land lord

  • Questions to consider: do they allow pets? are utilities included? are you, as the tenant, responsible for paying for pool maintenance, gardener, etc.? what is the security deposit? 

  • Owner may be more likely to negotiate the rate for the summer if you commit to locking in early (now).

  • A good summer rental can make or break the summer, so be sure to do your research before committing

  • Read the description thoroughly as well as the amenities. Try using services like GoogleEarth to scope out the property to see if it is located near any 'annoyances' (remember you will be spending the summer there!)

Opportunity to Rent in Southampton

82 Pheasant Close North, Southampton

82 Pheasant Close N Rental

First time offered on the rental market, this brand new magnificent home with 22' ceilings boasts 9 bedrooms, 8.5 baths and has all one could wish for in a summer retreat. The lower level has a 15 seat movie theatre, wine cellar, arcade, full gym, sauna and steam rooms and 2 bedrooms with 3 baths. Sited behind electric gates with a heated edgeless infinity saltwater pool, asphalt surface tennis court and hot tub, this location is prime as it is close to village shops and ocean beaches. Call for details as they are too numerous to mention. This will not last - contact us below for your private showing today!

Rental Terms:

June: $150,000

July: $350,000

What to Expect When Buying a Property for Investment Purposes

investing in real estate

Recent stock market volatility have you concerned about your portfolio? Real estate is one of the largest sectors of investment, both public and private. In times of volatility and uncertainty, we are reminded about the safety of a real estate holding. While it could never be guaranteed that something will definitely appreciate in price, the long-term trend suggests that real estate does appreciate in value over the long-run while not being subjective to wild price swings that you might see in an equity.

Many financial planners would argue that real estate should be a holding in any well-balanced portfolio. Additionally, real estate has the potential to create substantial yield while you hold the asset thanks to the ability of renting the property. Thinking about investing in real estate and planning to rent it out? We assist many clients with buying, whether resale or preconstruction, as an investment vehicle to rent out. It is always recommended that you speak to your financial planner and tax advisor to understand the role of real estate in your portfolio and tax situation.

We can help you hone in on an apartment that meets your needs for an investment, and additionally, can help you successfully rent it as we understand what prospective tenants are looking for and what they value.

So, you made your investment purchase and want to rent your apartment, what are prospective tenants looking for? What can you do to extract more value out of your investment?

What Prospective Tenants are Looking For:

Value- The state of the rental market will dictate just how much value a prospective tenant may seek, but value is always something a renter will be looking for. Hire a broker to help position your apartment on the market to remain competitive with other listings in the building and within a similar price range.

  • How much are the application fees? Should you consider paying them as a concession to remain competitive?
  • Will you pay the broker’s fee?
  • What are the building amenities? Is access to them an additional fee?

Aesthetics- While this is something more personal, we do see, however, that the majority of renters are looking for a unit that offers light and some views as well as an overall clean condition. If you bought preconstruction, your unit should be in brand new condition for the first tenant. On the other hand, if you bought a resale unit, be sure to make sure the unit has a clean appearance to attract as many prospective tenants as possible.  They will be paying attention to things such as:

  • Condition of bathrooms, kitchen, and flooring – are edges of doors, counters, etc. clean? Do the appliances function properly? Is the flooring cracked?
  • Does the apartment need a fresh coat of paint?

While some of these may seem like small items, they ultimately influence a prospective renter’s decision to pick one apartment over another, especially if they are deciding between units within the same building.

Ways to Extract Additional Value out of Your Investment:

There are additional ways to squeeze a bit more rent out of your unit and also have an increased likelihood to win over a prospective tenant as they are shopping around. While some of them are an expense upfront, they are some of the most common requests we see from prospective renters. Thus, you will most likely recoup the cost of these investments into your property.

  • Consider building out the closets to maximize storage with systems such as California Closets
  • Install Electric Shades/Window Treatments
  • Ensure the washer/dryer are good machines. It may be worth it to upgrade the machines from the base units that came with the apartment

Hiring a broker will be crucial to maximize the rent received. They are able to position your apartment on the market to appeal to the right audience and spend the time to understand the intricacies of the board package and fees.

  • Price correctly! Rely on your broker’s expertise to price correctly so you can rent sooner rather than later.
  • Get the condo leasing application to review the fees. That way, your broker can speak to prospective tenants about all fees associated with the unit. Additionally, this is important to understand in case you need to offer concessions to remain competitive
  • Good photos matter!
  • Get a floorplan of the unit to place online with the listing

We currently have a wonderful selection of apartments on the market for rent:

50 Riverside Boulevard, 11L

50 Riverside Boulevard, 11L

4 Bed | 4.5 Bath | $24,995/MO - View Listing

One West End Avenue, 28C

One West End Avenue 28C

3 Bed | 3.5 Bath | $14,995/MO - View Listing

188 East 64th Street, 2603

188 East 64th Street 2603

1 Bed | 1 Bath | $3,995/MO - View Listing

Additionally, we have successfully executed leases for our clients around the city including:

  • One Beacon Court - 32C, 39D, and 34B
  • 255 East 74th Street, 5B
  • 20 Pine Street, 1007
  • One57

Questions about investment in property with the goal of renting the unit for income? Contact us to arrange an appointment to discuss your goals and we can tailor a collection of units to meet your needs.