What would you say is the goal of individuals interested in the real estate market? Are most looking for one property or a handful? Is it just searching for a vacation home? Many people are at a different level when it comes to owning property, so it is hard to pinpoint a perfect answer.
The Traverse City market is anchored by a strong community with great schools, amazing year round outdoor activities along with world class food and wine. However, there is still a segment of the market that is made up of seasonal residents rather than year round living. Traverse City has attracted the likes of people from southern Michigan all the way to Europe. Sam Flamont, one of Traverse City’s top real estate agents and brokers, has found the ultimate sweet spot for assisting this type of market.
The goal was always to invest in real estate. From day one, Sam wanted to sell real estate in order to buy more real estate so he could create passive income. When he realized that helping others create passive income was the key to this, Sam’s business naturally took off. Now, not only does he buy investment properties, Sam learned a great place to be is on the development side.
His latest project is a partnership with multiple teams, the largest being the builder Cornerstone Homes TC. As a collective, they are building a 50 unit condo building with a rooftop patio, four community hot tubs, 10 foot ceilings, and a dog run. The building is close to all kinds of food, a clean sandy beach, and beautiful downtown Traverse City. The highlight, and what higher tier real estate investors are interested in, is that the project allows short term rentals. It is the perfect purchase for those who would like to have a property they can rent out when they are not using it. These are the type of clients Sam now works with, the client who invests but also loves to travel and live life to the fullest.
This project represents three market segments that have emerged in Traverse City:
1. An investor that is just looking for a return.
- Traverse City is still relatively cheap compared to other national markets but investors have slowly realized the area has amazing returns along with world class living thanks to all the freshwater, fine dining, and award winning wines up and down the Leelanau Peninsula and Old Mission Peninsula.
2. Second Home buyers who are looking to offset costs via short term rental income when they are not using it.
- These buyers are willing to pay a little more because they are not looking for a return like the pure investor but don’t mind being in a building that allows short term rentals because it allows them to get a second home. They will spend 2-6 weeks per summer in TC and rent it out the rest of the time.
3. The buyer who is looking for a primary home but likes to travel.
- This is the newest market. These buyers can work from anywhere and want to be able to travel and rent their home out on a short term basis when they are gone in order to help them cover their costs or even make a little profit while they are on vacation. These buyers will spend the vast majority of their time in Traverse City, but 4 to 6 weeks out of the year they will take off on adventures. They do not like to be tied down, but are quickly realizing owning a home they can short term rent is a better option than simply renting an apartment to stay mobile.
If we look at the way the world is trending in corporate America, companies are beginning to allow more and more remote work. Productivity is up and people are enjoying the luxury of taking a laptop and working from anywhere. Real estate is adapting to this new trend and Sam is 10 steps ahead of this new curve.
For an updated sneak peak into what Sam is working on, please visit the link below: