Mariners Way (North Myrtle Beach) – Investment Case Study

Overview: Mariners Way is a small ocean-view condominium community in the Cherry Grove section of North Myrtle Beach, SC. Consisting of two low-rise (3-story) buildings at 4305 and 4309 North Ocean Blvd, it was built in 1984–85 with wood-frame construction. The entire development totals only 15 units, each with private balconies overlooking the Atlantic. An elevator serves all floors, and the complex offers a refreshing outdoor pool. Laundry and storage are on-site. Mariners Way’s location is a key amenity: it sits directly across Ocean Boulevard from the beach, so owners can literally “cross over Ocean Blvd and … be on the sand”. The building’s end-unit orientation yields ocean and marsh views with extra windows and privacy. The HOA is relatively modest – for example, one-bedroom units show HOA ~$432/quarter (about $144/month) – because it includes almost all utilities (water/sewer, trash, cable TV, pool and building maintenance). (Owners pay only for interior insurance (HO6), property taxes, and optional flood policies.) Golf carts and pets are explicitly allowed, and short-term rentals are permitted. The association is currently updating the exterior (“new siding, fresh for summer”) to maintain curb appeal.

Balcony view from a Mariners Way condo showing an ocean view. Mariners Way’s second-row location offers direct Atlantic views just across Ocean Blvd.

Floor Plans and Unit Types

Mariners Way offers one- and two-bedroom condo units. The 1BR/1BA layouts range roughly 550–650 sq ft. For example, second-floor units have about 612 sq ft of living area, while oversized end units can reach about 651 sq ft. (A few 1BR units on the first floor are smaller, ~550 sq ft.) Each 1BR has an open kitchen/living/dining area and a private balcony facing east toward the ocean. All one-bedrooms include a stacked washer/dryer and closet/storage.

The 2BR/2BA units are roughly 950–1000 sq ft. Typical two-bedroom condos in Mariners Way measure about 951–975 sq ft, while some top-floor units have up to 1,000 sq ft. These 2BR plans feature two guest bedrooms plus a master suite (each with two full baths), a combined living/dining area, full kitchen, and balcony. Many 2BR balconies also capture ocean views and partial views of the Cherry Grove marsh. (For example, 4305 #202 is 2BR/2BA, 1,000 sq ft.) All units are sold fully furnished turn-key, with interior finishes upgraded over time. Recent listings emphasize new vinyl flooring, fixtures, and appliances in the condos.

Sales History and Pricing Trends

Mariners Way values have risen dramatically over the past decade. In the early 2010s, 1BR units sold in the mid‑$80K to $114K range: e.g. Unit 105 (550 sq ft) sold for $84,000 and Unit 205 (651 sq ft end unit) for $90,000. By 2018–2019, similar one-bedroom condos commanded roughly $115K. In 2022–2023, fully upgraded 1BRs fetched about $210–225K (e.g. a 612-sqft 1BR (Unit 205) sold for $223,000 in April 2022; another 612-sqft 1BR (Unit 201) sold for $213,000 in 2023). This roughly doubling of 1BR prices reflects strong local demand and limited supply.

Two-bedroom units likewise grew in value. In the early 2010s, 2BR condos (≈951–975 sq ft) sold around $114–130K. A 2BR (951 sq ft, Unit 202 at 4309) sold for $130,000 in 2015. By 2022, mid-level 2BRs were in the mid-$140Ks (e.g. Unit 302 (975 sq ft) sold $146,500). Today upgraded two-bedrooms are closer to $260–330K: for instance, a 2BR (1,000 sq ft, Unit 202 at 4305) sold $330,000 (recently), and another 2BR (951 sq ft, Unit 202 at 4309) sold $265,000. A summary of key sales:

These trends suggest Mariners Way appreciated strongly during the 2010s. Notably, the same 1BR #205 went from $90K (2010) to $223K (2022) – roughly a 7% annualized gain before costs. However, very recently the market has softened: Redfin data for Myrtle Beach shows median prices down about 5% in early 2025 vs 2024. Even one listing at Mariners Way (4305 #205) shows a 2022 sale at $223K followed by a 2025 listing at $239K that was reduced to $215K. This indicates pricing is roughly flat or modestly lower since the 2022 peak, reflecting higher interest rates.

Short-Term Rental Market

Mariners Way is highly attractive for vacation rentals. The condo association permits short-term rentals, and individual listings emphasize that aspect. According to AirDNA, North Myrtle Beach (including Cherry Grove) averages about 57% annual occupancy and an ADR around $341 (average daily rate). This yields a RevPAR (revenue per available unit) of about $191. (AirDNA also notes revenue growth ~+3% year-over-year in NMB.) An Airbtics report of Airbnb bookings similarly indicates ~60% occupancy with an average night’s rent of $231, implying even higher ADRs are achieved in summer. Peak season demand is in the summer months (especially August) – for example, a tourist data graph identifies August as the visitor peak. Overall, the North Myrtle Beach STR market is strong: AirDNA gives NMB a “Good” market score (62/100) with year-round demand and relatively limited off-peak drop-off.

Actual rental data: Mariners Way units on Booking.com and Airbnb often show nightly rates of ~$150–$250 depending on season. With ~60% occupancy, a 2BR might gross on the order of $50K–$70K per year. (For example, 60% of 365 nights = ~220 nights; at ADR $300 that is $66K gross.) After accounting for management (commonly ~20–30%), utilities, cleaning, and HOA, net operating income could be in the mid-$30K range, yielding cash-on-cash returns often in the 20–40% range on a 25% down payment (see ROI section). Seasonal variation is significant: summer rates can be double winter rates. In summary, Mariners Way fits the profile of a high-demand beach rental (allowed by HOA) with occupancy and ADR typical for NMB, driven by families and beach-goers.

The private beach path near Mariners Way. The complex is just steps from Cherry Grove Beach, with a nearby dune walkover providing direct Atlantic access.

Long-Term Ownership Considerations

Costs: The ongoing costs of owning a Mariners Way condo are relatively low compared to hotel alternatives. As noted, the HOA fee (often ~$150–220/mo depending on unit size) covers almost everything: water, sewer, trash, cable TV, exterior maintenance (roof, siding), pool upkeep, and building insurance. Owners must carry their own condo insurance (HO-6) and pay property taxes. Current Horry County taxes are roughly 0.6–0.8% of assessed value; for a $300K condo that is on the order of $1,800–$2,400/yr. One example breakdown (from a 2025 listing) shows taxes ~$$648/yr ($54/mo) and insurance $900/yr ($75/mo). Flood insurance premiums (not required by Fannie Mae if only 2nd floor+, but prudent) would be extra. In sum, annual non-mortgage expenses might be on the order of $3–4K for tax/insurance plus the HOA ($2.5K), easily covered by rental income in a good season.

Financing: As of 2025, interest rates are higher (appx. 6–7% for condos). Buyers should budget for mortgage payments in their underwriting. For example, a $300K loan at 7% over 30 years implies ~$2,000/month principal & interest. On the other hand, bank financing leverages the investment: a 25% down payment amplifies cash yields (see ROI modeling below).

Appreciation: Historically, beachfront properties in South Carolina have appreciated in the mid-single-digit annual range, though with volatility. Mariners Way’s own sales history implies roughly 6–8% annual appreciation through 2022. Post-2022, the broader market has cooled (MB condos down ~5% YOY as of early 2025). Looking ahead, modest appreciation (e.g. 2–3%/yr) is plausible if the market stabilizes and NMB tourism remains robust. Over the long run, owning a well-maintained ocean-view condo offers a lifestyle benefit (seasonal personal use) that pure investment rentals lack.

Lifestyle use: Buyers at Mariners Way gain direct beach access (a private dune walkover leads right to Cherry Grove sand) and can enjoy amenities like the pool, ocean breezes, and coastal sunsets from their deck. The Cherry Grove/Carolina Forest area also has year-round amenities: golf courses (Barefoot courses 8 miles away), boating (Cherry Grove public boat ramp), and the nearby Barefoot Landing entertainment complex. The HOA’s golf-cart policy even enables quick drives to local shops or restaurants in Cherry Grove.

Nearby Comparables

Other oceanfront or second-row complexes in Cherry Grove/NMB provide useful context. Ocean Terrace (2001 N. Ocean Blvd.) is a neighboring 4-story, 1985-built condo with a pool, elevator and similar floor plans. Recent sales there are in a similar range for 2BR units: e.g. a renovated 2BR (930 sq ft) sold for $287,000, and another 2BR (930 sq ft) for $250,000. Tilghman Lakes (1801 N. Ocean Blvd., built 1984) is a larger complex with lakefront amenities. It shows 2BR/2BA ~1,100 sq ft selling around $240–250K and 3BR/2BA ~1,300 sq ft at ~$245–250K. Notably, Mariners Way’s 2BR units (951–1000 sq ft) have sold up to $265–330K (see above), indicating it commands a premium. That premium reflects its smaller, newer condition and closer proximity to the beach. (By comparison, true oceanfront towers like Pilgrim’s Point or Sea Winds typically sell for $400K+ for 2BR.) All these Cherry Grove condos offer similar amenities (pools, elevators, ocean views). Mariners Way’s unique selling points are its very small scale (just 15 units), updated interiors, and strict owner occupancy (no resort-style management).

Mariners Way common area: the pool and one of the low-rise condo buildings. The complex has a private pool and easy access to the beach promenade.

Rental Demand Drivers

Mariners Way benefits from strong tourist demand in North Myrtle Beach. Its immediate beach access is a prime driver: the Atlantic is literally steps away. Cherry Grove is quieter than central Myrtle Beach, yet still offers amenities. The famous Cherry Grove Fishing Pier and restaurant (Crabby Joe’s) are within walking distance. Barefoot Landing – a major shopping, dining and entertainment center (with House of Blues, Alabama Theatre, specialty shops and golf) – is only about 8 miles southwest. In summer, guests can easily reach events like the Coastal Uncorked wine festivals, NASCAR races (40 min away), and water parks, while in shoulder seasons golfers enjoy nearby courses. Within North Myrtle Beach there are several festivals and concerts (many at the North Myrtle Beach Park and Sports Complex) that boost off-season occupancy.

Transit and walkability are bonuses: Mariners Way allows golf carts on-site, so guests can zip over to local markets or the Cherry Grove welcome center. The condo’s balcony views and quiet residential feel also appeal to families and retirees. In short, short-term renters are drawn by the combination of ocean proximity, family-friendly beaches, nearby attractions and the privacy of a small complex.

2025–2027 Outlook & ROI Projections

Looking ahead, market forecasts for Myrtle Beach are mixed but cautiously optimistic. The broader local market saw prices soften in 2024–25 (MB median price –5% YOY in April 2025), which may moderate near-term appreciation. However, tourism fundamentals remain solid: AirDNA reports North Myrtle Beach revenue and occupancy still growing year-over-year. If interest rates stabilize or retreat slightly by 2026, we expect Mariners Way prices to recover or modestly rise 2–4% annually by 2026–27. Rental rates are likely to creep upward (AirDNA shows ~3% ADR growth recently), supporting steady cash flows.

ROI Scenarios: For a sample 2BR unit priced at $300K, assume 25% down ($75K) and 7% mortgage. At 60% occupancy and ADR $300, yearly gross rent ≈$66K. After 25% property management fees and $10K in operating costs (HOA, tax, utilities, cleaning), net cash before debt ≈$40K. Subtracting ~$13K interest on the mortgage yields ≈$27K net to equity. On a $75K cash investment, that is 36% cash-on-cash pre-tax return. Even with more conservative 50% occupancy and ADR $250, net profit might be ~$10K (≈13% cash ROI). These illustrative models indicate a strong leveraged return is possible, though owners must be prepared for occasional slow months and maintenance costs.

Risks: Key risks include market volatility (e.g. further price declines if interest rates climb) and oversupply (any surge in new condo/hotel inventory could pressure rental yields). Mariners Way’s coastal location brings climate risk: flooding and hurricanes are a factor (Zillow data flags this area at 9/10 flood and wind risk). Owners should carry flood insurance and plan for periodic storm repairs. Regulatory changes (e.g. new short-term rental rules) could also impact revenue. Finally, high maintenance or unexpected HOA assessments could cut into margins (though the HOA’s recent exterior upgrades suggest prudent reserve management).

Conclusion: Mariners Way remains a compelling beach investment: a premium ocean-adjacent location with proven demand, strong historical appreciation, and attractive cash-flow potential. The building’s limited size and amenities (pool, elevator) command a price premium over typical 2nd-row condos, yet it trades well below true oceanfront towers. For 2025–27, we expect moderate price growth with rental income as the primary driver of ROI. A 5–7% cap rate on effective gross income seems achievable based on current data. Conservative underwriting (e.g. 50–60% occupancy) still yields double-digit returns on equity. Investors should balance these upside scenarios against the coastal and interest-rate risks mentioned above.

Sources: Public listing data and market reports (coastal MLS history, Zillow/Trulia archives) provide all sales, HOA, and property details. Rental market stats are from AirDNA and Airbtics for North Myrtle Beach. Local market trends are from Redfin and realtor sources. All figures and analyses are as of mid-2025.

Disclaimer: All information given is meant to be educational. I am only passing on historical information shared with me by owners, rental companies, and various publications. I am not guaranteeing these numbers, nor can I guarantee future rentals or appreciation. This information is not intended to replace your own research, or to provide legal, investment, or financial advice. Please consult an attorney for legal advice.