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Clay Baham Baham
claybaham1@gmail.com
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The Desert Lifestyle Realtor
  • Palm Springs
    • Palm Springs Map
    • Palm Springs Lifestyle
    • Palm Springs Resources
    • Palm Springs Mid-Century and Modern Furnishings Resources
    • Lenders
    • Palm Springs lodging
    • Home inspectors
    • Professional Services
    • Utility Companies
    • Insurance Agents
    • Where I like to eat
    • Architects of Palm Springs
    • Palm Springs Neighborhoods
    • Palm Springs North End
    • Palm Springs South End
    • Palm Springs Central
    • Condos In Palm Springs
    • Condos 100000-250000
    • New Homes in Palm Springs
    • Homes under $200000
    • Homes 200000-400000
    • Homes 400000-650000
    • Homes 650000-800000
    • Homes 900000 and over
    • Rental
    • Lots
  • Mid-Century
    • MID-CENTURY NEIGHBORHOODS
      • Deepwell Estates
      • Racquet Club Estates
      • Sunrise Park
      • Sunmor
      • Vista Norte
      • Deepwell
    • MID-CENTURY NEIGHBORHOODS PALM SPRINGS
    • MID-CENTURY CONDOS PALM SPRINGS
  • Cities
    • Joshua Tree
    • Desert Hot Springs
    • Palm Springs
    • Cathedral City
    • Rancho Mirage
    • Palm Desert
    • Indian Wells
    • La quinta
    • Indio
  • Office Listings
    • Single Family
    • Condos
  • Open Houses
    • Deville Homes | PKG Open Houses
    • Clay’s Open House
  • Testimonials
    • Real Satisfied Ratings and Reviews
    • Client Testimonials
  • About
  • Resources
    • Buyers
      • Vacation Rental property info in Palm Springs
      • Understanding Fee Land vs. Lease Land
      • 4 Questions to Ask Before Selling a Home
    • Sellers
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The Desert Lifestyle Realtor

Palm Springs is one of the rare places where you can purchase a home and rent it out when not using it, year round. Many of our clients purchase 2nd homes here in Palm Springs-  when not using it themselves, they rent it out to make additional income to help cover the home ownership expenses.  

Palm Springs remains one of the top vacation rental locations in the United States -  READ HERE.   Per AirDNA, 

So, where is the “right”

place to invest?

Without knowing your risk tolerance, your budget, and the strategy of your overall real estate investment portfolio, it is impossible to recommend any short-term vacation rental markets as a “slam dunk”. That said, current hot  [Resort] markets include:

Resort markets –  Palm Springs, CA, Seaside, OR, Tybee Island, GA, Orange Beach, AL, Kissimmee, FL

The Paul Kaplan Group will assist you to help you decide on the best rental investment property.  (However every home is unique.  We do not guarantee the potential income for any home).*

The following are frequently asked questions:

What homes and condos make the best rentals?

Well located homes and condos with private heated pools and spas and 2-3 or more bedrooms are prime vacation home rentals. Homes with 4 or more bedrooms can allow for even greater appeal and can produce higher yielding rentals. Upscale luxury homes and estates generate the greatest income, particularly luxury homes that feature expansive grounds, big pools, lush landscaping, luxurious amenities and suite-style bedrooms. More bedrooms and bathrooms are always a plus.

Paul Kaplan Group Vacation Rentals

How much rental income might I expect?

Income potential can vary considerably by house or condo, the number of days the home is available for rentals, its location, style, size, availability on key holidays and special events, amenities.

As with any investment, it is not possible to predict or guarantee future performance, but many of the 3 bedroom homes and condos in the Vacation Palm Springs program have consistently generated in the range of $25,000 to $35,000 or more in annual gross rental income.  Some of our clients that have 3 bedroom mid-century homes, have grossed over $50,000/year.   Larger and luxury homes, 4 bedrooms or more, have consistently exceeded $60,000 or more a year. Larger luxury estates  in prime locations have produced significantly greater incomes, as much as $70,000 to  over $100,000 annually and more.

Location, quality of furnishings, the appeal of the outdoor area and pool, views, all contribute to the marketability of a vacation home.  The Paul Kaplan Group's agents are trained and experienced to help buyers choose those properties that will be viable vacation rental homes.

 

What might I expect for wear and tear?

Wear and tear are both a reality and a risk associated with residential property rentals and is the responsibility of the homeowner. Vacation rentals are in many ways similar to hotel lodging, so wear and tear and routine maintenance is a reality and downside of the good fortune of generating income  and a cost of doing business  when renting a home or condo.

What about furnishings for the home?

Your vacation home should be furnished to reflect a balance of comfort and style. Having televisions and DVDs in all bedrooms and living rooms is important as well as reading lights in each bedroom and living area. In addition to appealing design and style, vacationing guests are looking for a place with furnishings  to allow for comfort, conversation, dining and relaxation both inside the home and poolside. Wireless Internet is a must. A local land line phone service is required for use in event of emergencies. We can supply a comprehensive checklist from vacation management companies of required furnishings and supplies.

 


 

Who handles maintenance?

Homeowners are responsible for paying utilities, pool service, gardening service as well as maintenance and upkeep. Your vacation management company checks the home before guests arrive, after the guests depart and again after it has been cleaned cleaning inspect for quality. They also regularly assist and notify owners of items needing maintenance as well as ordering and assistance in coordinating the necessary repairs.

If a guest experiences a malfunction while a guest is occupying your home, your management team coordinates the service response and notifies the owner of the resolution in order to reserve your rental income and satisfy the guest. If a repair item is significant, the company will first consult with you as the homeowner before authorizing the repair expenditure.

A few Vacation Rental

Management

Companies:**

Vacation Palm Springs
Palm Springs Rental Agency
Oasis Vacation Rentals

 

*NOTE:  The City of Palm Springs and other cities in the Coachella Valley have recently debated their individual policies regarding vacation rentals.  We suggest anyone considering purchasing a vacation rental home, to contact the appropriate City Hall to learn more about the current local ordinances & potential changes, regulating vacation rentals in each city.  These ordinances are subject to change, so best to check back regularly to keep informed on the latest potential changes to vacation rental policies in the area you are considering. The amount of income that can be generated from a vacation home can vary and is not guaranteed.  We recommend consulting with  local vacation management companies for projections for your particular property you are considering based on the current City ordinances regarding rental restrictions, prior to making a purchase.  

Additionally each City in the Coachella Valley has their own rules, regulations and ordinances regarding vacation rentals, which are subject to change.  Homeowner Associations will also have restrictions.  Anyone considering renting out their home is encouraged to check with their homeowner association (if they have one) and the  appropriate City regarding obtaining the necessary permits and current information on the city ordinances,  rules and regulations relating to Vacation Rentals.  City Ordinances are subject to change, so best to talk with City with regard to the current status of the Vacation Rental regulations.

Click here to contact The Paul Kaplan Group for more information. 

Resources: 

City of Palm Springs Vacation Rental Page

IRS Publication on Vacation Rentals.

 **We do not recommend, guarantee, or endorse any vacation rental company.  Information is provided as an example only of some of the companies that manage vacation rentals in the Palm Springs marke

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Clay Baham Baham
Real Estate
M: (760) 408-4563
E: claybaham1@gmail.com
Get in touch and let the magic happen!
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