Nantucket’s real estate scene is growing fast, registering impressive figures in the past few years. You might want to buy a house on this island for a second home or as an investment.
Buying a house is a big deal, requiring you to be extra careful lest you end up with an unwanted purchase. Focusing on Nantucket, you will realize that property investment differs slightly from other parts of the country.
We present you with crucial things to know before buying a house in Nantucket.
Are You Ready to Live on an Island?
You already know that Nantucket is an island, but are you ready to live on an island? It is an ideal place to stay if you value things like the oceanic scenery and diverse landscape. You should also brace yourself for fluctuating weather patterns characterized by humidity, rainfall, and temperature changes.
Transport to and from the mainland can be a hassle as there is no connecting bridge. Instead, you use water and air transport. Water transport is affordable, though it is slower than air transport, which is pricier.
You must have an open mind when moving to Nantucket, be willing to enjoy its niceties, and also pull through various hurdles that may come your way.
Building a House is Costly
Building vs. buying a house, which is the way to go? This is a common question among people who want to invest in real estate. Building in Nantucket is an excellent idea, as you get to develop your dream house.
However, it is an expensive engagement that needs utter financial stability. You must account for labor, land, transport, and more, plus the stringent construction and renovation rules.
Thus, buying a house is better, as it saves you from the hassles of expenses and licensure. Get a credible agent to help you get a worthy place on the island.
Vacation Rentals are Booming
You can do several things with your newly acquired Nantucket house, especially if it is your secondary residence. A viable idea is having it as a vacation rental, one of the booming businesses in Nantucket. It is an excellent way of making passive income, seeing that many visitors prefer vacation rentals to hotels.
You may also buy a house and sell it in the future when prices appreciate. Property prices on the island have been steadily appreciating, making it one of the country’s most attractive real estate markets.
The Strict Renovation Rules
We compromise on many things when buying a house with the hopes that renovations will come to our rescue. You can rely on renovations to upgrade your Nantucket home, but you have to deal with one hurdle – strict regulations.
While touring the island, you may notice uniformity in the town’s structures. That is the work of the Historic District Commission. You need permits from this body before beginning any modifications. A contractor or a real estate agent, experienced with construction in Nantucket, can guide you through the regulations.
Nantucket has several neighborhoods, whereby you can pick your most preferred one. The good thing is that the island has something for everyone. You can stay around the town center to easily access restaurants, shops, and other crucial facilities.
Madaket and Cisco, to the west end of Nantucket, are popular among the youth. Their beaches and surfing hubs are quite impressive.
The east end of the island is Sconset, which has an exotic coastal appeal with well-manicured lawns. It is an ideal place for families.
Your real estate agent can guide you on the best neighborhoods to settle in according to your taste.
The Land Bank Tax
You have to pay a land bank tax when buying property in Nantucket. It is 2% of the property purchase fee. This levy is a source of funding for acquiring and managing land used for agriculture and recreation.
Presently, you can get an exemption from this fee if you are a first-time homeowner.
Nantucket is a Tight-Knit Community
You should also know that you will be part of a close-knit community when you get a house on this island. The people are friendly and promote the notion of neighborliness. You should be ready to participate in community projects, such as charity donations and more, to be part of Nantucket.
The other thing to keep in mind when buying your Nantucket house is to keep it local. It is best to get your utilities and services like consultation from the island. While you may prefer products from the mainland, the transportation costs may be prohibitive.
On services, you should go for local service providers, as they know more about Nantucket. For instance, if looking for a real estate attorney, you should source one from Nantucket, as they are conversant with the island’s laws.
You May Need Help
You will need help if you are new to Nantucket, considering there is a lot to know about the property market. Get a lawyer, an architect, a contractor, or any other person experienced in the real estate sector to guide you to prevent avoidable mistakes.
Nantucket is an excellent place to diversify your investments, with the fantastic weather and scenic beauty being some of this island’s niceties.
This article highlights crucial things you should know If you want to invest in a house on this island. You should know the rules on building and renovation to avoid being on the wrong side of the law.
Additionally, get help from someone conversant with the real estate scene, such as an agent or a lawyer. They will help you get a good deal and guide you through the paperwork.