
Owning A Vacation Rental
Is Owning a Vacation Rental a Good Idea? I suppose the answer to this is complicated and really depends on one’s goals with the vacation rental, how much work one wants to put into the rental process and the cost / benefit analysis of purchase price and rental income. I will use my vacation rental as an example. We own a vacation rental on the Big Island of Hawaii at the upscale Mauna Lani resort. We purchased it in 2014 when prices were still somewhat depressed from the great recession. We put down 30% and have a second home mortgage with rate less than 4% for the rest. We have large HOA (about 1400 per month) due to the fact that in Hawaii the HOA takes care of all exterior elements including landscaping, exterior paint, roofing, common areas such as fitness center, pool, beach club etc. But considering we are