Need for rentals?

[TamRE]

Here are some things to keep in mind if you are planning to purchase an investment property. First of all decide how long you plan to own the property before you buy it. The longer you own the home, the more money you will need to put into it for maintenance, repairs, and improvements.

Don't count on appreciation. With the market the way it is right now, appreciation is not a guarantee. When looking at homes, you want to purchase a home that would have an attractive resale value no matter what the market is like. Obviously you would like to make a profit if you did resell.


It is necessary to make sure your rental income will cover your out of pocket expenses such as the mortgage payment, taxes, insurance, maintenance, repairs and vacancy rate. Right now, demand is higher than supply. Check with local real estate agents or call rental ads to see what the going rental rate is within the areas you are looking to purchase a property.

Southwest Florida is flooded with foreclosure (REO) and short sale homes that are ripe for the picking for investors. Investors are seeing this as an opportune time to purchase homes below market value. It is definitely a buyer's market. Many homeowners have lost their homes, but still need a place to live. They are being forced to rent.

Investors can pick up a home, condo, mobile home, or townhouse at a low price. Some of these properties need little fixing up other than cosmetic work. They can immediately turn around and rent them. Rental companies such as Rent Me Florida don't always have enough homes to rent. See their web site at Florida Property Manager | Florida Homes For Rent | Florida Rental Listings | Property Management. Tenants are just waiting in the background for something to open up.

Investors can rent properties as annual, short term, long term, and vacation. Investors can choose to manage the property themselves or hire a property management company to do some or all of the work. This may include items such as marketing the property, handling calls from tenants, collecting rent, and maintaining the property.

If you are going to rent a property be sure to know Florida's Landlord/Tenant Law. You can find information on this at Florida Landlord/Tenant Law Division of Consumer Services, DOACS (http://www.800helpfla.com/landlord_text.html - broken link).

[Florida Paradise]

I have owned a rental for the past 2 years in South Ft. Myers... near Summerlin & Cypress Lake Dr. Originally I intended just to rent it as a "seasonal" rental usually for the winter span of 3-4 mths. Well, I have had it rented almost 9 out of the 12 mths (each year). Perhaps I am just lucky, but every time I place it on craigslist, someone calls and needs the place for a short term stay. Last tenant stayed 7 months becasue he had a short term job at the courthouse. My next winter tentants from Canada move in Jan 1st.

This is what you can probably expect from a 2 bedroom/2 bath 1100 sq. foot condo/townhome in a pretty good neighborhood like South Ft. Myers. Near McGregor Blvd... approximatley 7 miles from Sanibel & Ft. Myers beaches.

"Winter" $1600 (give or take depending on ammenities)
" Summer & Fall" $800

BTW... I screen ALL my tentants very intensely.