I do have a simple excel spreadsheet that you can use to model your costs and returns. As Bernie implies, the real money to be made in short term rental is in the larger pool homes. Which is what he and his wife do very successfully. (Bernie is my next door neightbor.) I typically tell my clients to shot for at least 4 bathrooms. As I note in my popular vacation condo blog (see below) there is a ton of competition with suite hotels and Disney. It is a tough game to win. Frankly if I had to choose between a 3/2 villa in a remote location in Polk County and a 3/2 condo at Windsor Hills, I'd pick the condo everyday of the week. You have a much better chance of making a profit.
Godo luck. Short term rental can be a great business, but only if you treat it like a business and work at it.
It depends on where have you purchased.
Items to remebera are:
1) Tax (Could be any where between $2K to $5K - there are all rough numbers that can change drasatically depending on where the home is and what is the price)
2) HOA (For a home usually between $50 to $150/Month - It can go upto $400/Month in some communities)
3) Managment Company Cost ((Could be anywhere between $100 to $250/Month + anywhere from 20% to 50% of your rental reveue depending on the comonay plicies)
4) Maintenance Cost (Pool & Lawn Care). It can run aroun $200/Month
5) Utiities (Around $250/Month)
6) Cable and Phone ($100 Month)
7) Your Property Insurance ($100 to $200/Month)
8) Tenant Insurance ($50/Month)
9) If you are planning on renting it out you have some cost to get your tax ID and licenses,...(may $300 to $400/Year)
Below is the link to pool homes in the area:
Let me know what you think?
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1. Location of the house. HOA fees, taxes and utilities could vary depending on the subdivision, city, and county.
2. The age of the home and the maintenace it has had to date. An older home typically have more repairs needed but if it has been well maintained these could be fewer.
3. How you or your management company manage the home. There are numerous ways to reduce expenses with preventative maintenance.
The big keys to offsetting the cost of any vacation of is bookings and a good management company who takes pride in the condition and appearance of your home. Also as the owner you need to be proactive for getting bookings and keeping your property up to date.
Let me know if you have any other questions as this is just the tip of the iceburg.
Katie Sweet, Realtor
Watson Realty Corp