The most common reason people have for investing in a vacation home in Eleuthera is the opportunity to enjoy your own slice of paradise in one of the most spectacular locations in all of the Caribbean.
But what about the financial burden of indulging yourself this way? Isn’t a vacation home an expensive luxury, an indulgence you can’t afford?
Perhaps not. You will be pleasantly surprised at the economics of ownership at Buttonwood Reserve.
Since opening for vacation rentals three years ago, the condominiums at Buttonwood Reserve have consistently generated positive cash flow for condo owners. The reason is that the Buttonwood Reserve Rental Program has generated enough rental income for owners to cover more than 100% of their annual expenses, including HOA fees.
Here’s how the Rental Program works:
The consistently positive cash flow – in other words, “negative cost of ownership” – has been a hallmark benefit of owning a condo at Buttonwood Reserve, and steps are being taken to improve performance further in the coming years:
(All numbers in $000’s)
|Past Results||Future Targets||Comments|
|Average Rental Revenues||$50||$70 to $85||• Targeting 55-70% occupancy rates|
|Annual Owner Costs||$35||$40 to $45||• Includes all out-of-pocket operating expenses|
|Net Proceeds Distributed||$15||$30 to $40||• Payouts in Spring and Fall|
In short, the program removes one of the major hassles associated with owning a vacation rental property, provides for professional management of all key functions, ensures a positive experience for rental guests that builds the positive reputation of Buttonwood Reserve in the marketplace, and maximizes financial returns to owners.
The potential for long term appreciation in Eleuthera is based on a multitude of factors:
First, outsiders are rapidly discovering Eleuthera as a “hidden gem” in the Caribbean
Second, prospects for continued development on the island are strong – but not so intense as to destroy the charm that makes it such an appealing destination. In recent years, a half dozen significant resort and hotel development projects have been completed, begun, or announced, including some major luxury brands names such as the Four Seasons, Echantment Group, and Marriott.
Third, the performance of the nearby real estate market in Miami could point to some nice cyclical gains in the next few years. Bahamas real estate market typically lags Miami by a year or two, and the Miami market is very strong.
Fourth, the Bahamas government is stable, the legal system is sound, and property rights are protected.
Fifth, Bahamian currency is pegged to the US dollar, eliminating currency risk.
Finally, current prices are attractive relative to comparable properties elsewhere in the Caribbean and the US.
Limited Time Promotional Offer on ground floor unit 2B:
Last Unit Available At This Rate
Contact Us for Details
- Prices include mini-garage (for golf cart) and all appliances
- Luxury furnishing packages shown in unit photos also available for purchase; pricing on request. Or units can be custom-furnished, if desired
Financing available: Up to 75% seller financing available to qualified buyers
*Additional details available for review, along with Purchase Contract and Condominium Association documents. Costs include marketing, housekeeping, guest services, maintenance, utilities, property management, insurance, replacement reserves, and HOA Fees. Does not include depreciation allowance (e.g., for tax benefits)