Myrtle Beach

Overview

Myrtle Beach is the center of gravity for the entire Grand Strand. The city holds the densest concentration of rentable oceanfront units on the coast, draws the bulk of the region's roughly 19 million annual visitors, and trades more inventory more often than any other submarket here. For an investor, that liquidity matters: it is easier to buy, easier to sell, and easier to find comparable sales and rental history than anywhere else on the Strand.

The market splits cleanly into two worlds. Along Ocean Boulevard, the Boardwalk corridor, and Kings Highway, the inventory is overwhelmingly resort condominiums built and operated for short-term vacation rental. Move a few miles inland to Carolina Forest, The Market Common, or Socastee, and you find conventional single-family neighborhoods that behave like a normal residential market with long-term tenants and owner-occupants.

Property types and pricing

The entry point for most first-time investors is an oceanfront studio or one-bedroom condo inside an established rental program. These are the most liquid, most financeable, and most predictable units in the market. Two-bedroom oceanfront and resort condos step up in both price and revenue. Inland, single-family homes and townhomes serve the long-term rental and primary-residence buyer.

Pricing spans a wide band, from sub-$200,000 oceanfront studios to single-family and luxury oceanfront well past seven figures. Because the spread is so wide, the median list price and median nightly rate vary enormously by building and corridor. For current figures on a specific building or street, a licensed agent can pull live CCAR MLS and rental data.

Where investors are looking

Within the city, investor demand concentrates in a few distinct pockets. The Ocean Boulevard high-rise corridor is the heart of the short-term-rental market, with the deepest pool of rentable condos and rental-program history. The Golden Mile holds single-family oceanfront for higher-budget buyers. The Shore Drive and Arcadian Shores area north of the strip mixes condos with strong rental demand and a slightly quieter setting. For long-term-rental and primary-residence plays, Carolina Forest is the dominant inland choice, with The Market Common offering a walkable, newer-construction alternative and Socastee providing the most approachable single-family entry.

The rental market

Short-term rental is the dominant strategy near the ocean, and revenue follows a sharp seasonal curve. Summer weeks command premium nightly rates and near-full occupancy, shoulder seasons soften, and winter thins out everywhere except the snowbird-friendly buildings. The single biggest driver of return is not the unit's finish level but the building's rental program and location: the right building can produce forty percent more revenue than a nearly identical unit a block away.

Short-term rental eligibility is not uniform. The City of Myrtle Beach concentrates vacation rentals in its resort and oceanfront zoning districts and restricts them in many single-family residential zones, and individual buildings layer their own rules through the master deed and HOA. The practical takeaway: confirm both the zoning and the building's rental rules for the exact address before you write an offer, never after.

How the returns work here

On an oceanfront condo, returns start with gross rental revenue, but the number that matters is what is left after the building takes its share. Cleaning and turnover, the management split, HOA dues, accommodations taxes, and utilities commonly absorb 45 to 60 percent of gross before debt service. Underwrite to net operating income and a realistic annual occupancy, not the headline summer weeks, and deals that look average on gross often separate sharply on net. Cap rate and cash-on-cash return, run on conservative numbers, are the honest way to compare one building against another.

Financing notes

Financing is where oceanfront gets specific. Many resort condos are classified as condotels, which means larger down payments, higher rates, and fewer willing lenders. Warrantability, owner-occupancy ratios, reserve health, and litigation status all affect whether a conventional loan is even available. A lender who has financed these buildings before can flag which ones close cleanly and which will cost you a deal, before you spend on an inspection.

Local rules and costs that move the numbers

Two cost levers move a Myrtle Beach pro forma more than buyers expect. First, South Carolina assesses non-owner-occupied property at a 6 percent ratio rather than the 4 percent applied to a primary residence, so the tax line on an investment condo runs materially higher. Confirm the current millage and ratio for the exact parcel. Second, short-term rentals collect and remit state and local accommodations and hospitality taxes, and the city requires a business license and a permit. Build both into the model from day one. Older oceanfront buildings also carry special-assessment risk, which is why the reserve study deserves as much attention as the rental history.

The investor thesis

1. 01Oceanfront studios and one-bedrooms inside an established rental program are the lowest-friction entry to Myrtle Beach short-term rental investing.
2. 02Building-level rental history matters more than unit-level finishes. Underwrite the building, then the unit.
3. 03Confirm City of Myrtle Beach zoning and the building's master deed before you offer. Not every address is short-term-rental eligible.
4. 04Inland single-family in Carolina Forest and The Market Common offers a steadier long-term-rental alternative when you want less seasonality.

What a first deal looks like here

A realistic first Myrtle Beach deal is an oceanfront studio or one-bedroom in a building with a documented rental program. The work happens before the offer: pull two or three years of the building's rental revenue, read the HOA budget and reserve study, confirm the unit's short-term-rental eligibility under both city zoning and the master deed, and verify condotel status with a lender so financing is locked. Buyers who do that homework can compare two similar-looking units and know which one actually nets more. The ones who skip it inherit a special assessment or a soft rental program they never priced in.

What to watch before you buy

• Condotel financing. Many oceanfront condos are classified as condotels, which means larger down payments and a shorter list of willing lenders. Line up financing before you shop.
• Special assessments. Older oceanfront buildings face salt-air maintenance, elevator and balcony repairs, and reserve shortfalls. Read the budget and reserve study, not just the listing.
• HOA rental rules. Some buildings cap rental frequency or require you to use the on-site program. That changes your numbers materially.