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The Benchmark house designation refers to a select group of beach houses specifically designed and constructed with the intent from the beginning to be maintained in a “like new” condition year after year. This standard embodies a commitment not only to high-quality construction but also to a rigorous maintenance philosophy that ensures longevity and continual appeal in a competitive vacation rental market.

When builders know they are responsible for the ongoing upkeep of a beach house property, it fundamentally alters their approach to construction. The mindset shifts from merely creating a building that meets code to designing a durable, resilient structure that withstands the rigors of seasonal use. This heightened awareness influences every aspect of the building process, from the choice of materials to the types of finishes and fixtures employed.

Quality Materials and Construction Techniques

The foundation of a Benchmark Certified Home is built on high-quality materials and superior construction techniques. For instance, certain construction techniques to make the siding more durable, and weather-resistant can be utilized to prevent damage from saltwater and extreme weather. How the railings and decks are constructed has a huge impact to handle the weather as well as wear and tear of guest traffic.

In addition, the selection of materials often leans towards those with low maintenance requirements. For example, composite decking, rather than traditional wood, may be used to minimize wear and prevent splintering and rotting, ensuring that exterior spaces look pristine longer. The internal finishes will also reflect this ethos; using washable paints and durable flooring ensures the property remains attractive between deep cleanings.

Smart Design for Enduring Appeal

A Benchmark Certified Home also incorporates smart design principles that promote functional beauty. Open floor plans encourage natural flow, while strategically placed windows maximize natural light and coastal views. Thoughtful layout decisions can help minimize wear; for example, having entryways designed to absorb the dirt and debris brought in from the beach can keep the rest of the space cleaner.

In addition to aesthetics, the inclusion of amenities that enhance durability is crucial. Items like quartz countertops tend to resist stains and scratches better than softer materials, ensuring that the kitchen always appears well-maintained, while high-quality appliances are selected for their ability to withstand rigorous use.

Proactive Maintenance and Guest Management

Understanding that construction is only the first step in a property’s lifespan leads builders to implement a proactive maintenance strategy that complements physical structure. When a builder knows they will manage the property, they can create a preventative maintenance schedule that addresses issues before they escalate.

This approach also aids in managing guest interactions and potential damage. When cleaners report damages—like a towel bar pulled off the wall—it becomes clear to the property manager that what occurred was not merely accidental but a result of guest misuse or abuse. This understanding empowers both builders and property managers to establish clearer guidelines and expectations for guests, helping to mitigate risks associated with property use.

Sustainability and Long-Term Value

Lastly, a Benchmark Certified Home is inherently designed with sustainability in mind. Builders consider not just the immediate future of the property but its long-term value. Incorporating many systems, and materials, not only enhances the home’s appeal today but sets the stage for reduced operational costs and higher resale value down the line.

By establishing a property as a Benchmark Certified Home, is a commitment to excellence in construction and maintenance. This designation not only reflects a high standard in design and materials but also signals to prospective buyers and renters that the property has been kept “like new” since the first day and never wavered. Ultimately, this comprehensive approach ensures that these homes remain attractive, functional, and profitable for years to come.

Introduction

Successful Vacation Rental Investments

North River Properties (NRP) specializes in building, remodeling and maintaining successful investments in vacation rental beach houses. It is all about each property profitability, and sustained value. The premise is simple. A higher attention to details of the property, and guest satisfaction, results in higher revenue, and higher appreciating property values.

A profitable vacation rental investment begins before starting construction of a new beach house, or any renovation on an existing. During construction the focus on obtaining a lucrative investment is more about building quality, and longevity, than keeping down costs. Of course, all three are factors, but when the beach house is finished and ready for first guests, their job at NRP is just beginning. Quality counts in the beginning, and every day going forward.

Everyone involved must understand the standard. There is a dedicated staff, and a long-established group of sub-contractors. Maintenance and cleaning crew must be taught that what was acceptable at previous properties, is not the way here.

The Last 30 Years. Past 15 years Most Important

The current direction of North River Properties started to evolve around 2010, at a time when the older principal family members had already been involved in Outer Banks beach house construction and vacation rentals for almost 20 years. Managed by Gary Woodson, a licensed general contractor, and real estate broker, his degree is in accounting. With over 20 years of experience in Outer Banks real estate and construction, they understand the key to vacation rental success, having themselves owned more than 15 beach house rental properties.

Their business model has always been focused on extended involvement in the beach houses they build. But back in 2010, the question was posed, what if they never let a new beach house build fall below the first day “like new” condition. Would renters recognize the effort? Would they pay extra to know they are coming back to the same standard every time, even if to a different property in the investor group? Today, 15 years later, NRP mandate is refined and clear. Assist owners in operating and producing the best possible revenue and market value for each specific beach house.

Establishing New Standard In Beach Houses

A growing population of guests is seeking “like new” properties. The result is more revenue, with a property sustained to a higher standard of condition. NRP knows they will be called weekly by guests and owners for years after construction. Their training of maintenance and cleaning staff requires these people to only work on their investor group properties. Their standards are so high it is impossible for staff to intermingle with lower standard properties and maintain the standard in the investor group properties. Their process begins in planning a new build, or remodel and continues indefinitely.

To further raise the bar across more properties, North River Properties is sponsoring the Certified Grade Program in partnership with the Outer Banks Home Association. This initiative brings together high-quality properties managed by various property managers. The association’s certificate rating featured in property manager listings serves as an effective marketing tool, helping travelers identify “like new” beach houses. By searching available vacation rentals on the association website across all certified properties, guests can avoid confusion and confidently select rentals that meet their high standards.

Crew Is Most Important

It is an extended family directly involved. Wife Rebecca has been involved since inception, takes house revenue, and guest experience as a personal reflection. Daughter Merritt, and son Finley, have been involved since their teens, each returning after college. Many staff and sub-contractors with 10yrs plus relationships.

For direct inquiries, please contact Gary Woodson at gwoodson@obhoa.com or call 252-473-7240.

We’re excited to announce that soon, guests visiting the Outer Banks Home Owners Association (OBHOA) website will be able to search specifically for beach houses with certified grade ratings. This new feature will allow guests to refine their search by home size, location, and grade level, ensuring that their next stay meets the highest standards of quality and hospitality.

Short-Term Value of Certification

While we develop this search capability, the current most effective way for property owners to leverage their certification is by prominently featuring the grade in the property descriptions on their property manager’s website. This visibility has already proven to enhance guest confidence and drive more bookings, as certified-grade properties stand out for their excellence in maintenance and guest satisfaction.

Direct Booking Links for Convenience

Guests who explore certified-grade properties on the OBHOA website will continue to find direct links to the property manager’s reservation page. This ensures that, when guests wish to learn more or proceed with booking, they can do so seamlessly. This integration remains key to providing an efficient and user-friendly experience, taking potential guests from curiosity to confirmation with just a few clicks.

A Game-Changer for Discerning Travelers

The influence of certification is profound, particularly for guests who prioritize quality. Knowing a property has been certified to meet rigorous standards reassures guests of its superior upkeep and amenities. For many, this peace of mind is a deciding factor when choosing a beach house. Certified-grade properties become a clear favorite for discerning travelers who seek exceptional stays that reflect their standards.

Strengthening the Preferred Guest Membership

The OBHOA’s Preferred Guest Membership program continues to grow, attracting those who want more than a typical rental experience. Members of this program are committed to selecting only the best properties available. As a result, your certified-grade beach house becomes a pivotal element in meeting the demands of this elite group, helping maintain the program’s success and boosting your bookings.

As we roll out the new search feature, we anticipate it will become an essential tool for guests seeking the best of the Outer Banks. Certified-grade properties will be front and center, catering to those who demand high-quality vacation experiences. This service not only enhances guests’ ability to find their perfect beach house but also positions certified properties as premier choices for maximum bookings and revenue.

Stay tuned as we continue to elevate the vacation experience in the Outer Banks, one certified-grade beach house at a time.

Guest Welcome Packs

An important aspect of guest’s taking good care of the beach house is drawing them into the group. Making them feel a part of the owner, the staff, and management. It is important to make a connection.

The guest welcome packs are integral. The minute they walk-inwe make them part of Outer Banks Home Owners Association. A few gifts, and access to the member store they feel a part of the group. As part of this we have the “Tip Your Crew” program. It is a win-win situation. Cleaners work harder to catch every detail. Guest’s feel a connection expressing their thanks. Especially on those times when extra work is required. The cleaners greatly appreciate the tip.

As the Outer Banks vacation rental market continues to experience tightening budgets due to reduced rental income, many property owners are tempted to delay necessary offseason improvements and maintenance. This neglect can lead to a decline in both revenue and property values over time, ultimately impacting their competitiveness in the market.

Historically, the last significant downturn in Outer Banks rental revenue and property values occurred over 15 years ago, beginning in 2008. During such economic slumps, properties often fall into disrepair, making it increasingly difficult for discerning guests to find suitable beach houses. Ironically, this results in a concentration of prime properties because well-maintained, high-quality rentals stand out amidst a growing number of less desirable options.

Guests looking for prime beach houses come with a range of needs and budgets, seeking everything from cozy cottages to expansive oceanfront homes. Regardless of size or location, maintaining a property is crucial. In past economic downturns, properties that have been neglected tend to require extensive renovations, which pose further challenges for owners who are already operating at a financial deficit. The gap in funding exacerbates the issue, leading to an inventory buildup of discounted properties on the market, further depreciating overall values.

When considering offseason improvements, property owners should recognize the critical role of two categories of upgrades: basic maintenance and substantial enhancements. While both are essential to attract guests and ensure their satisfaction, the importance of addressing fundamental issues cannot be overstated.

Often, property owners assume that their rental is in attractive condition, overlooking the significance of freshening up the space. A discerning guest’s first impression is primarily influenced by how “fresh” the property feels. Key factors include the condition of the paint and the overall cleanliness and upkeep of the space. If these basics are ignored, even more significant upgrades, like adding pool heat, installing an elevator, or renovating bathrooms and kitchens, may not draw the desired attention.

Ultimately, prioritizing both fundamental and more significant renovations during the offseason can not only maintain but also enhance vacation rental revenue. By investing in upkeep during quieter seasons, property owners can ensure their rentals attract discerning guests who are willing to pay a premium for quality, leading to sustained profitability in the competitive Outer Banks market.

Show Your Appreciation with Our Easy Tip Collection Service

As a beach house owner, you know the importance of maintaining a clean and welcoming beach house for your guests. Cleanliness and maintenance can make or break a vacation experience. That’s why Outer Banks Home Owners Association offers a simple and effective service for collecting tips for your cleaning crews.

This service provides an easy way for guests to show their gratitude for a job well done. By making it convenient to leave a tip, you motivate your cleaners to deliver exceptional service every time. A motivated cleaning crew ensures that your property is spotless and ready for each new guest, enhancing their overall experience.

Our tip collection service is straightforward and efficient. By acknowledging the hard work of your cleaning staff, you not only improve their job satisfaction but also foster a culture of excellence that benefits your entire rental business. Let us help you keep your property pristine and your guests happy

Historically, on the Outer Banks when buyer exuberance for beach houses over inflates values, then is subsequently triggered by a fall in vacation rental revenues, the divide becomes too great for many to justify their carrying the investment.

In the past, when increasing beach house values pushed down the vacation rentals’ gross cap rate percentage falling below 7%, it has consistently signaled a correction in property values within the following 2-3 years. Currently, recent sales reflect a gross revenue cap rate consistently around 6% or lower, leading many long-term investors to question the market’s trajectory. Previously when this occurred, Outer Banks vacation rental properties values have depreciated to where gross rental revenues are 10% – 15% of the property selling price. In 2010 that equation resulted in depreciations as much as 50%.

Currently verses 2010, there are different well publicized factors at hand. The underlying mortgage rates are drastically lower, and this round of 2nd home borrowers are much more financially stable, at least they were when they qualified to buy their beach house. So, the fall-off, if there is one, should not be as drastic. But the fact remains there are many ownersdealing with far less rental income than they were expecting.  And when looking to reduce family costs often the beach house is the first to go.

On the upside, well-healed investors will ride out the cycle. And for certain there a many long-term Outer Banks investors waiting and ready to step back in. Owners that purchased prior to 2022 typically enjoy solid equity, while newer purchasers, even though values have continued to increase may find it challenging to sell profitably. Some property owners are exploring cash-out strategies while still planning to reinvest later in the Outer Banks market once the outlook becomes clearer.

Joining Outer Banks Home Owners Association offers numerous advantages for property owners seeking to elevate their vacation rental investments. Here are some compelling reasons to become a member:

  1. Enhanced Revenue Opportunities: Our strategic marketing initiatives and promotional efforts are designed to increase visibility and attract more guests, directly boosting rental income.
  2. Quality Assurance: Properties in the Certified Grade program are maintained to the highest standards, ensuring guest satisfaction and repeat bookings.
  3. Community Network: Engage with a community of like-minded owners and benefit from shared experiences, recommendations, and support.
  4. Resources and Support: Access to industry experts and a wealth of information on property management, market trends, and investment strategies.
  5. Exclusive Access: Members enjoy exclusive promotions and events that enrich the experience of owning a vacation rental.

Join today to take the first step toward maximizing your investment potential while benefiting from a supportive network dedicated to excellence in vacation rentals.