The Best Places to Buy a Beach House this Year

If you’re looking to buy your own personal vacation escape, you might want to consider North Carolina, according to one report.

According to the report, Cape Hatteras, North Carolina, was the best place for beach house buyers. The area has a cap rate of 8.6% and a median home sale price of $379,248, Vacasa found.

For its report, Vacasa looked at home sales data around U.S. vacation destinations over the last year. The company then compared that information to performance data for U.S. vacation rental properties, according to the methodology.

The company used median home sale price and cap rates to determine its ranking. According to the report, Vacasa considered each location’s average property tax, average utility cost, average HOA fee, average insurance and property management fees, to calculate average cap rates.

Last month, the New York Times reported that the demand for second homes skyrocketed during the pandemic, even surpassing the demand for primary homes between January 2020 and January 2021.

If you’re one of those people looking for a second home and you’re curious where to look, here are the top 10 best places to buy a beach house this year, according to Vacasa.

1. Cape Hatteras, North Carolina

Cape Hatteras, North Carolina, is the best place to buy a beach home this year, according to Vacasa.

Cap Rate: 8.6%

Median Home Sale Price: $379,248

2. Ocean Shores, Washington

Cap Rate: 7.8%

Median Home Sale Price: $250,255

Dauphin Island, Alabama, has a median home sale price of $289,623.

Cap Rate: 7.8%

Median Home Sale Price: $289,623

4. New Buffalo, Michigan

Cap Rate: 7.1%

Median Home Sale Price: $319,306

5. Corolla, North Carolina

Cap Rate: 6.9%

Median Home Sale Price: $560,599

6. Kauai South, Hawaii

Cap Rate: 6.2%

7. Isle of Palms, South Carolina

The Isle of Palms, South Carolina, is a bit on the pricier side compared to other locations on the list. The area has a median home sale price of $708,920.

Cap Rate: 5.8%

Median Home Sale Price: $708,920