The crystal clear water, cool breeze, and shimmering sun are more than enough to attract anyone, whether you’re an urban city dweller or traditional rural folks. Aesthetics and nature go hand in hand leading to some of the most beautiful views one can ever ask for. Yes, we’re talking about waterfront properties and the charm these types of properties exude. Before you start searching “waterfront property for sale near me” and consider which one to get, read our comprehensive guide on waterfront properties.

What Is A Waterfront Property?

What Is A Waterfront Property

There have been many definitions of what a waterfront property is however, we’re going to let you in on the legal definition of waterfront property. This is important to know before you even consider searching “waterfront property for sale near me”.

The legal definition of the waterfront property states that a property is a waterfront if the available area of water and the adjacent land to the water can be used together. This is to ensure that people don’t start building properties in front of any body of water and claim that the property is waterfront and they own the land and part of the water.

Waterfront properties have been in everyone’s imagination after watching the serene pictures of the Maldives and their famous waterfront properties or any other tourist spot with waterfront properties. These types of properties are not only beautiful to the eye but also peaceful to the mind as you sit and marvel at nature taking its course.

Waterfront properties are expensive and you would realize that even renting out one for the weekend can set you back a couple of thousands of dollars. This is because there are a lot of legal requirements that need to be fulfilled for a property to be waterfront property. Not only that but their uniqueness and demand for it have pushed prices upwards over the last decade.

Although real estate prices are soaring high, people still purchase real estate to build themselves a new home, have a second home as a vacation home, or have it as an investment property to make money off it in the future. But the question remains, are waterfront properties a worthy investment? Before you think about searching waterfront property for sale near me, let’s look at whether or not these properties are considered a good investment.

What Makes Waterfront Property For Sale Near Me A Good Investment?

What Makes Waterfront Property For Sale Near Me A Good Investment

Here are some of the reasons why we think waterfront property for sale near me is a good investment.

Soaring Demand

Travelers prefer staying in vacation homes or hotels that are near water. This is because it can be relaxing and also aesthetically pleasing. When many travelers start to seek the same thing, it pushes up the demand for it, in this case, waterfront properties. If you were to invest in waterfront property for sale near me, you can expect a high occupancy rate and since these properties are considered unique, you can even charge higher rates and enjoy a good healthy revenue.

Appreciates In Value

You may have heard that real estates are a good investment, however, that is not always the case. The housing bubble that crashed the financial markets is a good example of how real estate can be a bad investment for several years. But that is not the case with waterfront properties.

If you’re searching for waterfront property for sale near me, you should know that these properties are limited in supply and quite high in demand, This is a good measure to know that these properties are a good investment as they won’t fall in value over time. Appreciation of a property is a sign of good investment and waterfront properties are one of them.

Save Cash

Having waterfront properties gives you access to cheaper rates for activities conducted nearby such as boating, kayaking, and more. Besides that, although these properties are an investment to make money, you can always stay in them over the weekends or have a party over the weekend thus saving you quite a bit of money.

Although you might be wondering that there are substantial advantages of investing in waterfront property for sale near me, there are some disadvantages as well.

What Are Some Of The Drawbacks Of Investing In Waterfront Property For Sale Near Me?

Very Expensive

If you’re searching for waterfront property for sale near me to buy as an investment, you should know that these types of properties are quite expensive. Since real estate is in limited supply in many parts of the world, waterfront property is even lower in supply and therefore this pushes the price of the property up considerably. Secondly, waterfront properties are known to have a lot of taxes applicable to them such as water insurance, general insurance, and more. There are also high homeowners association fees for these types of properties hence consider all these expenses before purchasing a waterfront property.

Climate Change

Waterfront properties have their fair share of risks associated with them such as climate change risk. Since these properties are connected to the body of water making them quite near to it, changes in sea level or water levels can affect the property. In times of storms, your property might face flooding which can result in a low to zero occupancy rate as the place might be inaccessible to guests. Also during such climate disasters, your waterfront home might get damaged and therefore lose its value or incur high annual maintenance expenses.

Maintenance Can Be Off The Roof

Talking about annual maintenance costs, waterfront property comes with high maintenance expenses as these properties wear and tear faster than those properties inland. This is due to the humidity levels resulting in rot, mold, and rust. Your property structure also goes through rough wear and tear due to the salt in the air. This can add up to the annual maintenance bill.

Tight Regulations

This is a really important point to consider if you’re searching for waterfront property for sale near me. Waterfront property comes with a lot of regulations and you may not be able to expand your home or renovate it without prior approval from the local bodies. If you were to violate such rules, be prepared to pay hefty fines.

Little Privacy

It might be rare that you get your waterfront property with acres of land around it as well. Usually, that is not the case. You might find that there are more waterfront properties in the area than you would’ve imagined. This attracts a lot of locals and tourists which can lead to little to no privacy. It also poses a certain level of security risk to your property.

Now that you know all the pros and cons before you start searching waterfront property for sale near me, here are a couple of things to keep in mind when you’ve made up your mind to invest.

Things To Keep In Mind When Investing In Waterfront Property For Sale Near Me

Things To Keep In Mind When Investing In Waterfront Property For Sale Near Me

Here are a few things that you should keep in mind when you’ve made up your mind and want to convert your search of waterfront property for sale near me into an investment.

Financing Your Property

If you’ve decided on looking for waterfront property for sale near me, then that means you are going to splurge a lot of cash to buy one. This is important as you need to decide how you’re going to finance your home, whether you’re going to finance it as a second home or as an investment property.

In the United States, loans for second homes are cheaper and come with a lot fewer restrictions as compared to investment property loans. However, you can only get a second home loan if you are going to be living in it for some time annually.

Saltwater Problems

Searching for waterfront property for sale near me can be very exciting however many forget the problems a property comes with if near a body of water. If the property is near a sea or an ocean, the salt air can cause a lot of erosion, much faster than what you would see anywhere else.

Before thinking about how to pay for the waterfront property for sale near me, hire an expert to do a thorough investigation of the premises. The expert will be looking for wear and tear, possible issues, and erosions caused by salt air. This will help you in getting a rough estimate of how much maintenance money you would need to spend if you were to finalize your search of buying a waterfront property for sale near me.

Have A Rental Plan

Many people think about investing in property to get rental income without having formulated a rental plan. Once they’ve purchased the property, they are not sure what direction to take or who to call to rent out the property. Sit down and get your strategy aligned with your rental plans. Think about whether you’re going to need a property manager or going to manage the property yourself through Air BnB. Think about whether this will be a long-term or a short-term rental arrangement and if so, have your plans curated to that.

Insurance Is Important

You would need to purchase a few different insurances such as flood insurance or windstorm insurance depending on the situation your property may be likely to face. If your waterfront property is raised, then flooding insurance would be minimal, however, if that is not the case then expect to pay big bucks for this sort of insurance. These are specialized insurances that are additional to the general home insurance that you need to purchase. Insurance is a great way to save money if your property is vulnerable to many different things. If you don’t have insurance, then expect to pay for all the damages later on.

Fees Can Be High

This is about the homeowners association fee which is ridiculously high, however, these fees do cover all types of insurances. You would only need to pay homeowners association fees if your waterfront property is a condo. If it is a condo, then don’t worry about purchasing insurances separately as they all come as part of the package, homeowners association fee.

Be sure to keep in mind that the more facilities you have on your waterfront property such as swimming pools and private beaches, the higher the condo fees are going to be. It is not unheard of to be paying roughly a thousand dollars each month as condo fees. This is why we suggest having a rental strategy to ensure the highest occupancy rate to help pay for such fees and maintenance charges.


In the end, it depends on how you want your property to look. You can spend a couple of hundred dollars on relevant cheap furniture or you can go all out and spend thousands of dollars adding aesthetics to the home, outdoor furniture, jet skis, and more. It depends on your vision of what you want the waterfront property to be.
Your vision should go hand in hand with your rental plan. If you plan to have this property as a long-term rental investment property, then think about spending capital to attract tourists, foreigners, and even locals to your property. You would also need to spend money to keep the property maintained to the max so that guests visiting have a great staying experience rather than having to deal with molds, rot, and rust. However, if you plan to have this property as a second home then only getting the necessary furniture to ensure a suitable living is more than enough. Save the rest of the money to pay for fees and insurance as you won’t be making any rental income to pay for these.

Whatever decision you make should be based on your vision of what you want this waterfront property to be.

Leave a Reply

Your email address will not be published. Required fields are marked *