Buying a Beach House in Maine: What to Know Before You Invest

Hunter Letendre
Jul 24
3 min read

Is Buying a Beach House in Maine a Good Investment?

If you’ve been dreaming of waking up to ocean views, buying a beach house in Maine could be a rewarding financial and lifestyle choice. The Pine Tree State boasts over 3,000 miles of rugged coastline, charming seaside towns, and a steady demand for vacation rentals. But before you dive in, it’s important to evaluate your investment goals, potential rental income, and long-term appreciation.

What Are the Best Locations to Buy a Beach House in Maine?

Location is everything when investing in coastal real estate. Some of the most popular spots for buying a beach house in Maine include:

Old Orchard Beach – Affordable with strong summer rental potential.
Kennebunkport – Upscale, scenic, and perfect for luxury buyers.
Bar Harbor – Tourist-heavy and adjacent to Acadia National Park.
York & Ogunquit – Classic Maine charm with high rental yields.
Belfast & Camden – Great for year-round appeal and scenic harbors.

Look for properties with walkable beach access, ocean views, and proximity to dining and entertainment.

What Should You Know About Maine Coastal Property Taxes and Insurance?

Buying a beach house in Maine means understanding the full cost of ownership. Property taxes can vary significantly by town, and many coastal properties require flood insurance, especially in FEMA-designated flood zones. Additionally:

Windstorm and hurricane coverage may be separate policies.
Premiums for coastal homes tend to be higher due to storm risk.
Some towns offer tax relief for primary residences, but not for vacation homes.

Get quotes early from local insurers and budget accordingly.

Can You Earn Rental Income from a Maine Beach House?

Absolutely. Vacation rental demand in Maine surges from late spring to early fall. To maximize your return:

Choose high-traffic tourist areas like Bar Harbor or Ogunquit.
List on platforms like Airbnb and VRBO with professional photos.
Consider a local property manager if you’re out of state.
Comply with local short-term rental regulations and taxes.

On average, beach houses in popular towns can gross between $25,000 to $60,000+ per season, depending on location and amenities.

What Are the Year-Round Maintenance Needs for Coastal Homes?

Oceanfront properties require diligent upkeep. Salt air, moisture, and wind can lead to faster wear and tear. Plan for:

Annual roof and siding inspections
Routine HVAC and plumbing maintenance
Deck and foundation checks for water damage
Winterization if the home won’t be occupied year-round

Hiring local contractors who specialize in coastal properties can help protect your investment.

What Legal and Zoning Issues Should You Check Before Buying?

Before buying a beach house in Maine, make sure you understand:

Zoning restrictions: Especially for additions or short-term rentals
Shoreland zoning laws: These protect Maine’s coastal habitats and may limit what you can build or modify
Septic and well regulations: Common in remote or less-developed coastal towns
HOA rules: If the home is part of a community

Always work with a real estate attorney or local agent experienced in Maine’s coastal markets.

Final Thoughts on Buying a Beach House in Maine

Buying a beach house in Maine can be a savvy financial move and a lifestyle upgrade. From investment income to family getaways, the benefits are clear—but only when you buy with knowledge. Do your due diligence, understand your true costs, and choose the right location to make the most of your coastal property.