[hiknapster]

Originally Posted by thebigr

I lived in North Fort Myers, still have home with 3 1/2 acres in future devolopment area, zoned 16 units per acre. Bought in 03 for real cheap and is paid for. When the next building boom comes, and we all know it will happen, I will sell.
My buisness was involved in all the crazy building going on during 05 and 06 in Charlotte and Lee counties and I made very good money. I knew it would not last so I saved money and invested some, and not in real estate.
Use to look at permit boards on all the new homes and the same names came up as buyers.

Good for you! Someone with some common sense during the crazy days.

[TampaKaren]

I think that many of the vacant properties are a result of HOA rules that prohibit tenants. I'm sure their intentions were good, but now we have issues. My HOA permits 20% investors which is a regular topic of discussion in our meetings.

[luvthatmouse]

We have a ton of homes and condos for rent here in Celebration. The rents they are getting are nowhere near the mortgage/tax/insurance cost but I guess it is better than the home just sitting there. Tons of condos for sale. Yet they keep building them! Prices still way too high.

[Nancy-NJ-NY-ME?]

Originally Posted by TampaKaren

My HOA permits 20% investors which is a regular topic of discussion in our meetings.

Karen - How is this investor limitation enforced? As condo units are by definition individually owned, how can an unit owner be prohibited from leasing out his property?

I'm a 20-year condo owner in NY state and I do not believe it's possible (or legal) in NY to have such a limitation in condo by-laws. However, in a co-op, since teants and prospective purchasers require board approval, I think it's possible to have such a limitation.

[TampaKaren]

Originally Posted by Nancy-NJ-NY-ME?

Karen - How is this investor limitation enforced? As condo units are by definition individually owned, how can an unit owner be prohibited from leasing out his property?

I'm a 20-year condo owner in NY state and I do not believe it's possible (or legal) in NY to have such a limitation in condo by-laws. However, in a co-op, since teants and prospective purchasers require board approval, I think it's possible to have such a limitation.

It's in the HOA docs and enforcement must be a nightmare for the management company. It also happens quite often in new communities where the homeowner has to agree to live in the property fulltime for a period of time, usually two years. There is a new high rise near TIA that is sitting nearly empty because of this owner-occupant requirement. Of course there are allowable exceptions for military, relocations, etc. Sounds absurd, yes?

[Copernicus]

Rental homes are bought by speculators for profit.

I'm one of them.

Speculators always sell sooner than long time residents and may be willing to take lower prices.

If the percentage of rental homes is low, then you are in good shape. But if it gets too high, it's time to get out.

I would bail once the rentals exceeded 20%.

Its too hard to keep your value after that.

Good luck!

[MrTudo]

Originally Posted by THX 1138

Many are being used as grow houses to grow Mary Jane. Big problem here.

That may be what some are being used for but other than Fla being essentially a police state when it comes to pot, I fail to see any problem with it.

[firemed]

Originally Posted by Copernicus

Rental homes are bought by speculators for profit.

I'm one of them.

Speculators always sell sooner than long time residents and may be willing to take lower prices.

If the percentage of rental homes is low, then you are in good shape. But if it gets too high, it's time to get out.

I would bail once the rentals exceeded 20%.

Its too hard to keep your value after that.

Good luck!

This has some numbers from just one builder in Lee County. Most of the homes are now up for rent."Fort Myers/Cape Coral is the worst market in the country right now; it saw the most rapid inflation in prices and now it's seeing the most rapid deflation. It just doesn't have the industries that would attract new residents. People are either already here or retirees."


The News-Press, news-press.com, Business, How Hovnanian lost big in Lee County (http://www.news-press.com/apps/pbcs.dll/article?AID=/20071117/BUSINESS/311200009/1075 - broken link)