For the record...
Posted: Tue Apr 14, 2015 11:58 am
Just for the record, the vast majority of the homes on the island that are not already occupied year round are not owned by year-round residents. They are second homes owned by summer residents or vacationers, and the owners want to be able to use them for the week or two (or month or two if they are lucky) that they are able to come to the island. When they are not here, if they rent them out at all, it is on a weekly basis during the peak months. Some are also owned by snowbirds, some who once lived here year round, but no longer do, others who have always been seasonal, and most of those homes are not rented at all.
In most cases, it makes economic sense that folks would try to defray the cost of that second home (mortgage, taxes, upkeep, etc.) by renting it out when they can, and it also makes sense that they wouldn't buy a second home (a vacation home, that is) in a vacation community and then rent it out year round--if they did, they'd have to stay in a motel or rent someone else's cottage when they come up for vacation!
The problem is that the cost of buying and owning a home on the island has historically made buying something just to rent out a poor business decision. Year round residents who need housing cannot, in general, afford to pay rent as high as would be required to make such an investment profitable.
Some of these second homes are indeed owned by full-year residents, through investment or inheritance or what have you. However, to imagine a plutocracy of wealthy islanders owning scads of homes and using the power this hypothetical monopoly on rentals provides to keep "outsiders" from moving here full time is exactly that: an exercise in imagination. It is simply economic pressures that prevent there from being a large surplus of homes or apartments available for year-round rental.
Those who live on the island and own their home obviously can't rent it out. Those who don't live here year-round want/need to be able to use their vacation home, so renting it out year-round wouldn't make sense. The majority of the renting then is weekly during the peak months, and the rest of the year, most of those houses sit empty. Sad but true.
I've actually heard of people being offered a 9-month lease, where they would have to make other arrangements for the peak months but could otherwise have a house through the winter. Certainly not ideal, but it was a seasonal homeowner trying to help out.
I certainly don't have the answer to the housing problem for year-round residents (or for would-be year-round residents). It is a difficult place to make it, and unlike a small town almost anywhere else, you can't just decide to bite the bullet and take that job in the next town over even if it does mean a longer commute. Until either homes become affordable enough to make them a good investment as year-round rentals, and/or something happens that starts creating full-year jobs so that more residents can afford to pay the rents required to make a rental a good investment, things are unlikely to change much.
In most cases, it makes economic sense that folks would try to defray the cost of that second home (mortgage, taxes, upkeep, etc.) by renting it out when they can, and it also makes sense that they wouldn't buy a second home (a vacation home, that is) in a vacation community and then rent it out year round--if they did, they'd have to stay in a motel or rent someone else's cottage when they come up for vacation!
The problem is that the cost of buying and owning a home on the island has historically made buying something just to rent out a poor business decision. Year round residents who need housing cannot, in general, afford to pay rent as high as would be required to make such an investment profitable.
Some of these second homes are indeed owned by full-year residents, through investment or inheritance or what have you. However, to imagine a plutocracy of wealthy islanders owning scads of homes and using the power this hypothetical monopoly on rentals provides to keep "outsiders" from moving here full time is exactly that: an exercise in imagination. It is simply economic pressures that prevent there from being a large surplus of homes or apartments available for year-round rental.
Those who live on the island and own their home obviously can't rent it out. Those who don't live here year-round want/need to be able to use their vacation home, so renting it out year-round wouldn't make sense. The majority of the renting then is weekly during the peak months, and the rest of the year, most of those houses sit empty. Sad but true.
I've actually heard of people being offered a 9-month lease, where they would have to make other arrangements for the peak months but could otherwise have a house through the winter. Certainly not ideal, but it was a seasonal homeowner trying to help out.
I certainly don't have the answer to the housing problem for year-round residents (or for would-be year-round residents). It is a difficult place to make it, and unlike a small town almost anywhere else, you can't just decide to bite the bullet and take that job in the next town over even if it does mean a longer commute. Until either homes become affordable enough to make them a good investment as year-round rentals, and/or something happens that starts creating full-year jobs so that more residents can afford to pay the rents required to make a rental a good investment, things are unlikely to change much.