Most people would think about California or Florida when asked about where they might get a vacation rental home if they had the money. Even though both of these states are fantastic choices for a vacation home, there is a reason why they don’t come even close to Maine.
Maine, also known as Vacationland, is a state that has between 12% to 19% of properties for vacation rental use. This means the state is an unbelievable opportunity for real estate investors looking to cash in on the vacation rental niche.
Let’s explore some of the cities and towns in Maine that offer the most lucrative opportunities in the rental markets.
Typical home value: $399,000
Average daily rate: $297
Occupancy rate: 90%
Approximate population: 1,764
Southwest Harbor is the largest municipality that is located on the southwestern side of Hancock County’s Mount Desert Island. The market is just a 30-minute drive from the Acadia National Park and is a quiet and serene community that is known for its tranquil and relaxed pace.
The municipality has several excellent accommodation options available for travelers, from bed and breakfast to single-family homes as vacation rentals. People can access the offshore island via ferry, mail boat, boat rentals, and taxi service. This Maine vacation spot has an array of shops, cafes, and galleries that attract tourists by the horde.
One of the quaintest locations in the town is Manset, which offers a stunning panoramic view of Bear Island Lighthouse, Little & Great Cranberry Islands, Sutton Island, and the sparkling blue ocean.
Typical home value: $510,000
Average daily rate:$263
Occupancy rate: 77%
Approximate population: 66,706 (2020)
A lot of real estate development is taking place in the entire Portland metro area. The largest city in Maine, Portland, offers a wonderful mixture of outdoor adventures and art. The city is stylish, sophisticated, and modern, offering the latest fashion, tech, and culinary scene to residents and vacationers alike.
Portland is considered a hot market for Maine vacation rentals since homes consistently sell for above the initial listing price. In fact, about 58% of homes receive above-asking price offers. Homes sell in three days on average, and particularly hot homes sell for 9% above the asking price and sell in just six days. Homes that have the best offers have features like high, open ceilings, finished basements, and built-in washer and dryers.
Some of the best places in Portland for investing in rental properties are Riverton, Back Cove, Rosemont, and Stroudwater, which offer the perfect mix of safety, affordability, and closeness to important locations.
Typical home value: $682,000
Average daily rate: $380
Occupancy rate: 74%
Approximate population: 11,529
The gorgeous coastal town of Kennebunk is the perfect Maine vacation spot for investing in single-family homes since the town attracts plenty of retirees and families with kids to settle down. The city is filled to the brim with tourists and vacationers since it offers opportunities for water activities and family fun.
Kennebunk Beach is one of the most famous spots for families, thanks to its open expanse of sand and gentle foams. It is also a popular area for boat tours, nature walks, dining, and shopping.
Investors interested in working with Airbnb can expect a whopping monthly income of $4,355 from a single property.
Typical home value:$792,000
Average daily rate:$302
Occupancy rate: 92%
Approximate population: 5,089
Bar Harbor is a picturesque town near Acadia National Park that offers rustic air and a gorgeous waterfront setting that is straight out of a painting. The town has a relaxing atmosphere and invites tourists who love to explore the scenic Shore Path to experience the seaside parks and luxury yachts. The town hosts the delightful Maine Street, where people can buy fresh seafood, explore novelty art galleries, and buy souvenirs from specialty shops.
This charming town is a great place for some fascinating whale-watching experiences. If you love taking long strolls on the beach at sunset and like experiencing the mouthwatering local grub, then Bar Harbor is the place for you to invest in a vacation rental of your own.
Typical home value:$607,000
Average daily rate: $480
Occupancy rate: 43
Approximate population: 17,001
Windham has an educated population and a higher median income. The city is famous for its rivers, lakes, and streams, making it a fantastic choice for beach bums and boaters. The town offers a range of thriving bakeries and eateries, shops, and recreational centers. The city also offers snow tubing, mini-golf, and go-carting opportunities, as well as an IMAX theater for entire family fun.
Vacation rental investors can choose from an array of housing options, from residential neighborhoods to lakeside camps and cottages. This place has the potential for house flipping and renovating residences for renting.
Typical home value:$262,000
Average daily rate: $177
Occupancy rate: 77%
Approximate population: 18,662
The capital city of Maine is often foregone as visitors head over to better-known cities and towns for beaches and family-friendly activities. However, Augusta offers plenty of lucrative opportunities for investors who are interested in vacation rentals.
The city’s downtown area is littered with majestic Victorian mansions and cozy B&B inns alongside the Maine State Museum and Maine State House. The city is also frequented by history fans who visit the Old Fort Westerns, which is a British outpost from the French and Indian War. People who enjoy nature can head to the Viles Arboretum, picnic on the lush green grass of Capitol Park, or take a hike on the Bond Brook Trails. The city is also famous for its scrumptious local shellfish and chowder.
Typical home value:$413,000
Average daily rate: $200
Occupancy rate: 82%
Approximate population: 20,329
Home to Bowdoin College, Brunswick attracts many college students who are not just looking for places to rent but also places to spend their vacation. Thousands of visitors come to the town for its exciting outdoor activities that take place all year around.
The city is home to many fascinating museums, mouthwatering restaurants, and high-end shopping malls, making it a great place to invest in vacation rental properties.
Due to the city’s various attractions, the Airbnb market in the area is quite high and can bring about $4,141 per month. There is also a big market for affordable housing for college students.
So there you have it – some of the finest locations for vacation rental properties in Maine. If you are looking for a lucrative opportunity in Maine for this niche, Integrity Mortgage LLC (NMLS #1692497) can help you out. We offer excellent mortgage rates and refinancing options for investors looking to buy a vacation property for rent or a second home in Maine.
Reach out to us today.