Buying holiday home in Orlando (Sunset, Hunters Creek: for sale, rent, how much)

[Magicmehdi]

Hi,

I live in Belgium and i'm in the same situation as gsbell.

I also want to buy a holiday single family home in Orlando (Kissimmee or Davenport) to use it 1 month/year for my family and leave for renting the rest of the year.

I've read some threads on this board that frighten me a bit. The agents in Orlando i talked with "promise" me that a single family pool home will be rent for around 30 weeks a year. But some posters wrote that there are too many homes, hotels, condos,...in the area and we'll be lucky if the home is rent for 15 weeks a year.

Some people say that Orlando will have the same problem Miami has with too many homes and condos to sell with few buyers.

I plan to borrow for the home (around 70% of the value) and with all fees applicable (managment, water, cable, garden, pool,...), i don't know if it's a good deal because i love the city but i want that deal to be an investment opportunity for me (with the subprime and the dollar value).

Can someone('s) please help me in making the best choice.

Thanks a lot.

[cflfan]

Poinciana is a strange place, you either like it or hate it. Its funny because i have a client who has just come down to visit, and from talking to him they were looking at purchasing over in Poinciana, and have just scrubbed that area off their list as they dont like it and they have only been here less that 1 day. I guess you would have to visit it to see whether you like it or not. For my taste, purely from a location stand point and the general area, i wouldnt entertain Poinciana either, but each person is different and you may like it.

[cflfan]

The info you have recieved is true. There are alot of holiday rentals, and if you want to cover all your expenses, the liklihood is you wont. You say you live in Belgium so I assume you are a foreign investor. The amount you want to finance would be in line as i work with mortgage companies that if you purchase to use yourself without renting it out then you need to put 25% down, if you are purchasing as an investment, then you need to put 30% down. this varies from company to company, but they are the general rules of thumb.

I already posted my views on Poinciana, in my opinion Davenport is a little better, but these are the types of areas you would have to buy to ensure the property is zoned for short term rental. Alot of my clients use companies in the UK to rent out their homes. I dont know how good this is, but there are alot of companies who offer the same service here, but management has never been cheap, esp with short term rentals simply because there is alot of wear and tear as you have different people in the property every week or every other week. It depends on your situation. For you lifestyle that may be a good thing for you so you can use the proeprty for a month at a time. For me personally, unless you live here and can maintain the property yourself it will get pricey. Prices are fantastic at the moment regardless of what people say, i showed a property in Poinciana which was i pretty good condition, although it didnt have a pool, for $115,000 for 4 bed 2 bath over 2500 sq ft. But i would suggest you look into the management side first and see what the pricing is and how many weeks a year they can guarantee you occupancy, because if you cant rent it out, in my opinion you would be better of looking in another area which might be yearly rentals, rent it out for a year, when the year expires, come over and stay a month, do the property up then re rent it. But again, dont expect to get all your expenses covered, anyone who tells you that you can do that doesnt have a clue, with mortgage payments, tax, and home owners dues, you wont be able to have all yoru costs covered.

Hope this helps

[Magicmehdi]

Thanks for your post.

I'm indeed a foreign investor. I don't expect at all to cover all my expenses, i just want to buy a SFH and keep it for my vacations and maybe resell it in 10 years or so.

I'm not interested into long term rental as i want to come over there twice a year for 2 weeks.

Though, if i can rent it for let's say 20-30 weeks/year, that would be an upgrade.

Do you think i can make offer below the listed price, and if yes how much below? There are homes listed for several months, that's why i ask.

I plan to buy the home only in Kissimmee or Davenport as these areas are very close to the theme parks. And yes, i plan to work with a property managment in connection with the UK.

I received this information about the fees, can you correct me please? :

Annual tax : between $2500 to $4500/year
Home insurance : around $1200/year
Lawn : $80/month
Pool : $75/month
Electricity/water : around $150 (depends on the locations)
Cable : $45
Telephone : $45
Cleaning : $75 after each location
Managment property : up to 10% of the bookings.

Income : around $600 per week

I'm interested in 3 homes that seem well located for the short term rental, can i have your advice pls :

Davenport - Reserve Pl.
Davenport - Saddle Ridge Dr
Davenport - Dalton Ct

Thanks

[Alphaman]

Forget celebration that is a fake wanna be town try windermere or winter park for a home.

[xgemaxmwahx]

Hi, we moved over here 4years ago and bought a home in poinciana kissimmee, we used that as a holiday home and then we stayed in it everytime we came across. It got very busy. You could decorate it all touristy and rent it out..

[JC1972]

Poinciana I've heard some things about so do your homework and research. Apparently there's a lot of crime in the area with gangs and if you can speak Spanish you'll be okay.

[luvthatmouse]

I would avoid Poinciana. There is one 2 lane road in and out and I would hate to be stuck on it with rush hour traffic. Also, lots of quickly built homes and lots of lower income folks there. Davenport also looks like cheaper homes to me (a friend lives there.) Get any home inspected thoroughly.

[OTownHelper12]

Poinciana is too far out of the way....not enough road access.

Davenport, Kissimmee, and Celebration if you don't mind the price. I would recommend Celebration if its in your budget. Reunion is in Champions Gate area and it is nice but very pricey. If you want short term rental a bit further away from Disney but not the tourist feel then Ventura Golf Club in Orlando....its an older community in East Orlando on the golf course...beautiful grounds. 24 Hour Gated Community Restaurant and Bar onsite. Good rental as its popular with snowbirds from up north.

[Germc]

I too am thinking of buting in Orlando. Did you get any further with your pland to buy.

Ger