Owning a beach home on Isle of Palms is a dream — but it’s also a financial decision that comes with real costs, considerations, and opportunities. Whether you're buying a second home, a full-time residence, or a vacation rental investment, understanding the true cost of coastal homeownership is essential.

As local residents, investors, and advisors with ownership stakes in 100+ properties across South Carolina, McConnell Real Estate Partners is breaking down what buyers should expect in 2026.

🌊 1. Insurance Costs: Flood, Wind & Homeowners

Insurance is one of the most important components of coastal homeownership.

Flood Insurance

Premiums vary based on:

• Elevation certificate

• Flood zone (AE vs VE vs X)

• Ground-level enclosures

• Age of construction

Newly built elevated homes typically benefit from more favorable flood premiums.

Wind & Hail Coverage

Coastal wind programs can carry higher premiums, especially for older homes with outdated windows or roofing.
Many buyers upgrade to:

• Impact-rated windows

• Architectural or metal roofing

• Reinforced framing

These materials reduce long-term costs.

Homeowners Insurance

Factors include square footage, materials, and replacement cost. New construction tends to be more efficient and less expensive to insure.

🔧 2. Coastal Maintenance & Wear

Salt air, humidity, and sun exposure mean higher and more frequent maintenance. Expect to budget for:

• Exterior paint or stain every 5–7 years

• Decking repairs / refinishing

• Pool service & equipment replacement

• HVAC + dehumidifier service (critical in coastal climates)

• Window & door sealing

• Landscaping & irrigation tune-ups

• Pest control (especially termites)

Homes built with durable coastal materials — Hardie siding, PVC trim, porcelain tile, metal roofing — offer significantly lower long-term maintenance.

💡 3. Utilities & Services on Isle of Palms

Electricity & Water

Larger homes with pools and outdoor living areas naturally have higher utility loads. Many owners use smart thermostats and energy-efficient appliances to reduce consumption.

Trash, Recycling & Yard Care

Expect slightly higher-than-mainland service costs due to island logistics.

HOA/Regime Fees (If Applicable)

In communities like Wild Dunes, fees cover security, road maintenance, landscaping, and resort amenities.

🏡 4. Renovations & Upgrades for Coastal Living

Many buyers choose to:

• Add a pool or expand outdoor living

• Replace windows/doors with impact-rated options

• Update kitchens/baths with coastal-tough materials

• Install whole-home dehumidification

• Upgrade roofing

These improvements boost both livability and resale value.

💰 5. Short-Term Rental Income Offset (If Applicable)

One of IOP’s strengths is its STR-friendly zoning. Many owners offset substantial ownership costs through seasonal rentals.

Key factors impacting revenue:

• Proximity to the beach

• Pool vs. no pool

• Bedroom count

• Condition & finishes

• Seasonality (strong March–October)

New construction and luxury turnkey homes often produce the highest occupancy and ADR.

We regularly prepare pro forma rental income analyses for buyers evaluating cash flow, DSCR opportunities, and long-term ROI.

📈 6. Long-Term Appreciation & Resale Value

IOP continues to show strong long-term appreciation, averaging ~5% in 2025 with stable demand heading into 2026.
Limited inventory, strong out-of-state interest, and the island’s luxury positioning all support long-term value.

⭐ Why Buyers Trust McConnell Real Estate Partners

Clients consistently share feedback like:
“So grateful we found McConnell Real Estate!… We can’t recommend McConnell Real Estate enough!”

And:
“They were always available, very knowledgeable about the area, and provided great recommendations.”

Our combination of:

• Local residency

• Deep market knowledge

• New construction expertise

• Investment + financial modeling background

…allows us to guide clients through every component of beach home ownership — lifestyle, cost, and long-term value.

Thinking About Buying a Beach Home on IOP in 2026?

We’ll walk you through:

• Insurance expectations

• Flood zones & elevation certificates

• Coastal materials & builder recommendations

• Rental income analysis

• HOA considerations

• Maintenance planning

Whether you're dreaming of oceanfront or exploring investment-friendly opportunities, we’ll help you make the most informed and confident decision.