Posted on: 16 December 2019Share
When you purchase a waterfront property, you need to make sure that you look beyond the appeal of purchasing a waterfront property and really consider the quality of the property that you are looking at. When looking at waterfront homes for sale, there are some unique things that you need to check out.
1. Look into Flood Insurance
When you purchase property next to the water, you need to make sure that you also purchase flood insurance. Look into the water levels in the area and figure out what level of threat the property you are interested in has of being flooded.
Get a few quotes from an insurance provider to find out what annual flood insurance is going to cost you. Make sure that this is a yearly cost you can afford. Flood insurance can be expensive, so you need to prepare for this expense.
2. Find Out About Improvements
Next, you need to figure out if you can make improvements to the waterfront property. Oftentimes, waterfront properties have certain rules and regulations that they have to follow that are set in place by the city. If you are interested in making improvements to the property, make sure that they will be allowed by the city before you purchase the property.
For example, you may not be able to put in a new dock, or there may be rules about how much brush or trees you can clear from your property -- especially near the water line.
3. Find Out About Utilities
When you are purchasing a waterfront property, you need to look into the utilities that come with the property. Are you connected to the power grid, and how reliable is the power grid? If the power grid is not that reliable, does the property come with a generator? Are you connected to the city water supply, or do you have your own well and septic tank? Make sure that the utilities are reliable.
4. Learn About Homeowner's Association
When it comes to waterfront properties, homeowner's associations or property owners' associations are common. With an HOA or POA, you will have to pay a yearly fee and you will be expected to follow certain rules and regulations regarding what you do with your property. Check and find out if the waterfront property you are interested comes with an HOA or POA.
When it comes to purchasing a waterfront property, make sure you know what regulations the city and the local HOA/POA place on your property. Find out the yearly cost of flood insurance and how the utilities work. This information will help you determine if the waterfront property you are looking at is the right one for you.