A Waterfront property can be an idyllic escape from the everyday with its picturesque sunsets, enticing shores, and opportunities for recreation. It can also present some additional considerations for property owners.
Top 5 most important steps to consider before buying an ocean, river, wetland, or lakefront property.
1. Taking a thorough Property Inspection
It’s important to determine if the home or property you’re considering buying can withstand the water surrounding it. Waterfront properties are often located in wetland areas, flood zones, or along river banks that see rising water levels every spring. Make sure any structures are far enough from high water marks that they won’t experience seasonal water or flood damage. On structures, look for quality structural support, such as stilts/pilings, storm shutters, and a solid foundation. If the home has flooded previously, inspect that it was remediated properly so that there isn’t hidden mold in the walls or in the cabinetry. If on the ocean or lakefront, check the quality of the seawall, lake wall, or rip-rap edge. Consider the garage or storage shed – is it big enough to house all of your recreational equipment, including boats, canoes, kayaks, stand-up paddle boards, and jet skis? If the property has a dock, is the dock a legal length and does it have a boat lift and cover? Something to consider is the maturity (size) of the sand dunes on oceanfront properties, which can help protect the property against storm surges. On riverfront properties, where is the high water mark in relation to structures? What is the recreational condition of the river for fishing and water sports?
Southeast Regional Manager and Florida Native Greg Liddle provides additional suggestion and mentions that “Homeowners should be aware of the depth of the water at their boat dock during low tide and winter months. While it might be plenty deep during their showing, some areas can become so shallow that homeowners can’t take their boat out during other parts of the year.”
2. What Insurance will I need for my Waterfront Property?
You will want to consider flood insurance for your waterfront property purchase. A combination of your flood insurance, homeowners insurance, and windstorm coverage in your homeowners insurance premium will ensure coverage for hurricanes. Check with local insurance agents who understand any unique aspects of the water and associated weather in your area, and the coverage that will ensure you’re protected in the case of water damage or natural disaster. Consider getting a quote before you buy the property so you can accurately calculate the overall cost of your purchase.
3. Hidden Cost of Buying a Waterfront Home.
Waterfront property is unique in the fact that homes and landowners typically don’t own the water itself (unless you’re purchasing a private pond or body of water contained entirely on your property). Federal, state, and local governments typically own and oversee the water, which often results in costs to lease the land bordering it. Work with your real estate professional to understand the cost associated with your property and if they offset property taxes.
4. Additional Responsibilities of Waterfront Property Ownership.
Waterfront properties often come with additional maintenance needs due to consistent exposure to salty air and moisture-filled climates. They can border pristine wetland habitats that can’t be disturbed. Lake, river, and ocean properties are often home to wildlife that should be considered and protected. All in all, before you purchase your dream waterfront property, ensure your real estate professional walks you through the specific responsibilities and community expectations of ownership.
5. Are Waterfront Properties a Good Investment?
While owning waterfront property can come with additional costs, maintenance, and challenges, but it also offers a variety of ways to maximize your ROI. Waterfront properties are often highly desirable rental properties. If you want to rent your property throughout the year, do some research on premium rental rates in your area (both short-term and long-term as permitted). Additionally, waterfront property can appreciate in value more quickly than other types of property given its limited availability. Waterfront Specialist, Courtney Liddle agree and adds “There is only so much waterfront land. They aren’t making any more of it. This is one of the reasons it is in such demand and so valuable.”
Whether it’s a cabin overlooking a winding river, a house on a large lake, or oceanfront views, waterfront property offers a variety of inviting ownership possibilities. Learn more about waterfront property available near you, and connect with a real estate professional who understands the important considerations and questions to ask before purchasing your dream waterfront property.
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