Rate increases for 2009 | OBX Connection Message Board (2024)

By: Rene Coutts
10/25/2008 11:56 PM

Has anyone heard what the rate increases will be in 2009. Looking for information on Resort Realty and Village Realty. Tim, what do you know????

LikeQuoteFlag

Our house is with Twiddy and we kept our increases to a minium for next year. I also cross check dates pre-booked by return guests and hold those prices as low as possible.

LikeQuoteFlag

LikeQuoteFlag

By: HBKFishing
10/26/2008 12:06 AM

Not trying to tell anyone what to do. But, with this economy, why increase the rates? Especially if the house is paid off masny times over. The place I stayed at in HArvey Cedars , NJ in October of 2007 was 840 for two solid weeks. I paid 400 and something in May of 2008. Now for October of 2009 he raised his rates over 200 bucks for the weeks I had just last year. A house in Haven Beach, NJ which is single family went up double for 2009 in the month of Ocotber. This is crazy. Just my humble opinion. Keep the rates the same or lower until this country gets turned around or possible, folks won't rent.

LikeQuoteFlag

By: marylander
10/26/2008 12:21 AM

Tourist areas all over the nation and world are already seeing a major decline in bookings. Most resort areas are forecasting next summer at a 25% decline from last year, and that was before this past weeks' continued drop in market confidence. More jobs are being lost now (lots of them), which means this down cycle isn't done and pessimisitic forecasts before are only going to get worst. There's no question rentals will be down in the outer banks as well, you'll know better how much when the first half of payments start rolling in the next month or two. The relevant business question is whether or not you need to fill a certain number of weeks for financial reasons. If so, you MAY need to consider a strategy of discounting your place at key times in order to compete for the renters who are coming.

LikeQuoteFlag

By: HBKFishing
10/26/2008 12:45 AM

Marylander, you said it. I have been on Long Beach Island for the last 10 days. I am not kidding. I have been coming here all my 42 years. There are tons of houses normally rented in October for the older set or for fisherman ( our surf tounament is now and this is our prime time sea bass time) and the houses are vacant. Nobody!! With the high seas and the heavy winds I had time to drive around. It is not good. And just my own thoughts, for an owner to raise their rates in this economy, when folks are losing their jobs in record numbers. Your "rental" pool will be slim to none. The "normal hard working just trying to get by and provide some kind of vacation for their family" people, won't rent. I wanted so badly to come to the OBX for the first time in 20 years in October 2009. Heck, I don't know if I still have a job when I go home tomorrow. And if I do. I have no idea if I will be able to do a long weekend at the NJ shore the rest of this year or next year. Let alone going to the OBX in October 2009. Every year since I became an adult and did vacations aside from the family deal, I always knew and thought about "next year". This is the first time I have not had those thoughts. I am a hard worker and I always work OT and give the extra mile. Just so I can have a vacation. This is the first year I have not had those thoughts. Trust me. You will never know what the two weeks I have earned mean to me. And you want to raise your rates???????????? Just close the house. Nobody is going to call. Trust me. The house I wanted in Avon..... The realtor told me via email that the rates will go up a desent amout. I laughed and said good luck. It wasn't rented now!!!!!!!!! And you want to raise it for 2009? When a record number of folks will be on welfare and food stamps........ Sorry, but get real folks. I am not trying to be mean here, but this is crazy. Be good!

LikeQuoteFlag

By: hookedonfishing
10/26/2008 12:46 AM

Our house is with Twiddy and we kept our increases to a minium for next year. I also cross check dates pre-booked by return guests and hold those prices as low as possible.

So I guess you have an incress for 09 then,just not as much for repeats.

Noticed that Surf or Sound is waving fees for 09.That could be a big savings for some.

LikeQuoteFlag

Not trying to tell anyone what to do. But, with this economy, why increase the rates? Especially if the house is paid off masny times over. The place I stayed at in HArvey Cedars , NJ in October of 2007 was 840 for two solid weeks. I paid 400 and something in May of 2008. Now for October of 2009 he raised his rates over 200 bucks for the weeks I had just last year. A house in Haven Beach, NJ which is single family went up double for 2009 in the month of Ocotber. This is crazy. Just my humble opinion. Keep the rates the same or lower until this country gets turned around or possible, folks won't rent.

In most cases the houses are not paid off unless they are 15-25 years old. As stated in other posts most owners run at a loss. True the economy is getting worse but unfortunately the insurance companies, utilities, etc. are not holding their rates and will be increasing their rates. Therefore the owners will need to raise their rates or run deeper in the hole. I think you will see $50-200 more a week depending on the week.JMO.

LikeQuoteFlag

By: HBKFishing
10/26/2008 2:34 AM

In most cases the houses are not paid off unless they are 15-25 years old. As stated in other posts most owners run at a loss. True the economy is getting worse but unfortunately the insurance companies, utilities, etc. are not holding their rates and will be increasing their rates. Therefore the owners will need to raise their rates or run deeper in the hole. I think you will see $50-200 more a week depending on the week.JMO.

Jim, I hear ya. But, you can raise it $5 or $500. Close the house. Turn off the power and water. With this economy, they won't come. I hate to say it. They won't come. Be good!

LikeQuoteFlag

By: marylander
10/26/2008 2:37 AM

Raising rates in a recession is a sure-fire way to ensure at least one or two of your renters look for a cheaper home, thus offsetting any gains you make with the raise. Not trying to be argumentative, just offering something to think about. It's been a while since any business has been faced with this kind of recession and the attitudes it causes in even those who can afford it. If you need to raise rates to keep up with expenses, then you need rental income and again, may need to rethink the strategy for next summer. Fewer renters will mean competiting with other owners to fill your calendar. Even if you've already raised rates, which makes sense in normal times, just wait to see how the contracts roll in. If everything is filling up nicely, then no need to do anything different. If not, then consider adjustments. As key weeks approach, consider discounts to draw in renters who are waiting in the wings to see if there are any houses in their reduced price range due to the recession. This is a year raises are being cut and bonuses cancelled, which is what pays for many vacations.

LikeQuoteFlag

Jim, I hear ya. But, you can raise it $5 or $500. Close the house. Turn off the power and water. With this economy, they won't come. I hate to say it. They won't come. Be good!

People always manage to find the money for Christmas and vacation. You may see more people from NC & VA going to the banks instead of SC, FL or the Caribbean.

LikeQuoteFlag

Just my humble opinion.....the majority of the current pain will be subsiding in mid 09. There will be many late rentals and lots of negotiations. The increases will be challenged and the visitors will win.Don't shoot me,Bobby

LikeQuoteFlag

By: marylander
10/26/2008 2:58 AM

Doubtful . . . many are just starting to realize this is going to get worse before it gets better . . . far worse [URL]Click to follow link...[/URL] We haven't even begun to see how bad Christmas buying will be, but when it happens, even more jobs will be lost and lots of them.

LikeQuoteFlag

By: mnhenderson
10/26/2008 4:14 AM

I posted last week about looking for a new rental.Our 3 bedroom condo that we have rented for 2 years went up 300 dollars for our week.We have started looking for something cheaper.As much as I do not want to leave Corolla Light,we may have to go further south to afford our vacation. I would think that a repeat renter that has been kind to your rental and wants to come back,would be preferable to raising the rates so much and hoping for a new renter.I certainly don't begrudge the owners thier income,but the reality is that we just can not go over budget.Wish me luck in our search.Good luck to all the owners with thier rentals.I wish us all a prosperous year.

LikeQuoteFlag

By: justbeachy
10/26/2008 5:52 AM

I had posted a question earlier in the year about what it would take for some of you NOT to go to the Outer Banks for vacation. With gas prices high, housing going up, food prices up....its not easy. Some of us said...we would give up going out to eat and the such just to get to the Outer Banks. I think that prices being raised on everything is just a mustard seed of what will keep us ( us as in vacationers/ppl in general) from going on to our beloved Outer Banks vacation. It is the insecurity of what is in our future....with jobs being loss at a rapid speed, businesses closing shop, banks closing down,.........it will NOT be a wise decision to spend 1000.00 (more or less) of our money on a vacation...especially when we are not sure that we wont need it for survival. It is a vicious cycle....with insurance companies, utilities, etc. raising their rates I understand the owners may need to raise theirs.......but this very act will stop people from vacationing and renting the very house that the owners need rented.....I do not have the answers...but I do know this: If the rent starts rising much more and you start seeing even the little sound/oceanside houses costing more then a person can budget it will keep ppl from going. [B]BTW: If any of you know me at all......if I do not go to the Banks.....[/B][B]THINGS ARE BAD!! :-) :smiley58: lol[/B]

LikeQuoteFlag

By: justbeachy
10/26/2008 5:53 AM

[b]nm[/b]

LikeQuoteFlag

By: danstef723
10/26/2008 5:58 AM

We received a conformation letter for our 2009 rental with Carolina Designs last week, and the rates for the house we're renting stayed the same as they were this year.

LikeQuoteFlag

For a planned family reunion in Aug 2009 we have decided to rent our largest house ever from Carolina Designs and the place is OF, pet friendly, has an elevator, pool, hot tub, and about every other bell and whistle you can get. We got the "new rate letter" yesterday and the place is the same price as this year.Since we are financially fortunate enough to be able to afford to "host" this without asking for financial input from any of the other dozen plus folks who would come, we were not too concerned with a possible price increase. But even if there had been one we would stay this course unless we felt the increase was absolutely out of proportion to "reason."

LikeQuoteFlag

We're self employed, and have hospital bills piling up from 2 family members having surgery. Not so sure about us next year... If we can't go to the banks, we will be a very sad bunch of people. We work 7 days a week, morning and evening, obx is our saving grace !!!! I'm going to Resort Realty and and check out the rates. We would still stay at the same houses !! I'd just cut out seafood or something...That's usually 100.00 twice that week. But I don't want to hurt Sandra and her husband at Austin's either..What a mess this country is in !!!!!!!!!!!!

LikeQuoteFlag

I totally understand a slight increase in rental rates due to utilities, insurance and repairs/maintenance costs. To some extent I believe there will be a trickle down effect...if you can't afford the cost of last years house, perhaps you'll make due with a house slightly smaller or w/ less amenities. Last years house may then be the smaller home for someone else. I have never worried about having all the frills/amenities. There will always be a need for a small, basic cottage that is comfortable and clean! It's the beach I absolutely must have!

LikeQuoteFlag

Just my humble opinion.....the majority of the current pain will be subsiding in mid 09. There will be many late rentals and lots of negotiations. The increases will be challenged and the visitors will win.Don't shoot me,Bobby

In our case I would have to agree with you. My brother recently was laid off from his job due to the economy and his family is one of the families that shares our rental every year at OBX. We usually book our home in January, as soon as all the family members can guarantee the same vacation week from their employers.Now that his financial situation is uncertain the rest of us too worry about the security of our own jobs. For that reason our families have already decided that we will take the wait and see approach to renting a beach house this year.If things are looking better by late spring next year we will consider coming down.We know this may limit our choices .. we usually rent a 5-6 bedroom with a pool between the highways in Nags Head .. or just stay closer to home and experience our own backyard. While some may suggest cutting back on some amenities like the pool, in our case I feel we just can't.I have an Autistic son that LOVES the pool and it truly makes his year having one in his own backyard for a week. All the families in our group enjoy seeing him having a blast in that pool.Without the ability to share the cost with other family members we can't afford the type of house that comes with one on our own. Due to that we have already started telling both of my children that Nags Head just may not happen next year in hopes it will soften the blow come next summer. I am not sure about the negotiations or the winner aspect for the renter, but for some of us in our group it's just the matter of having the income/job in this economy to book too early out of the season.

LikeQuoteFlag

By: hookedonfishing
10/26/2008 2:38 PM

LikeQuoteFlag

This is just so sad and our beltway leaders did not see this coming.NOT to turn this any more "political" than it already is but I am CERTAIN you'll see some voting RESULTS next week.

LikeQuoteFlag

Has anyone heard what the rate increases will be in 2009. Looking for information on Resort Realty and Village Realty. Tim, what do you know????

I know 100% for sure that Resort and Village have not disclosed anything of their plans for 2009, to me. Sorry. It is ALWAYS up to the owners.

LikeQuoteFlag

This is just so sad and our beltway leaders did not see this coming. At least you still have your VOTE,please use it.

Amen to that !

LikeQuoteFlag