Home Buying in Daytona Beach>Question Details

shanti4ever, Home Buyer in Sugar Land, TX

I would like to buy a FL Beach Property for vacation and rest of the time for investment. What are all the things I should consider ?

Asked by shanti4ever, Sugar Land, TX Mon Mar 10, 2014

I am thinking about high rise multi-unit condos. I have no ideas how the cleaning, maintenance, rental management and costs, etc. for these services work. How do I calculate the profitability of owning such a condo.

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Call me or email me. Ihave aoceanfront condo for sale--full kitchen,full size refrigerator with new air conditioner-heater, new keypad lock,new faucets--and much more. Walking distance to the pier wheere all the action is. Currently being rented (last 15 months) with another year's lease. Willing to work out a BUY deal you will be happy with. Health conditions are the reasons for the sale. Please call--you'll be glad. Patt LaVoy
1 vote Thank Flag Link Tue Mar 11, 2014
Patt- I have time to help you sell your home. Please call--you'll be glad you did.

Elliott Hagood Broker
"Everything I touch turns to SOLD"
386-690-6546 (Anytime SELL Phone)
NSBeBroker@aol.com
Flag Tue Mar 11, 2014
As a lender, condos represent a "risk layer" as compared to single family residences. You will find rates slightly higher for condos (nothing major).

You and the condo will have to be approved. This is called "warrantability." If the condo proves to be non-warrantable, then the overall loan will be denied.

For more info on condos, give me a quick call. No hard sell, just info.

Sincerely,


Ray R. Stevens
GSF Mortgage Corporation
Branch Manager
Branch NMLS #1122003

NMLS #177825
Office: 239-471-7971
RStevens@GoGSF.com
1 vote Thank Flag Link Tue Mar 11, 2014
Your first step is determining what type of rental do you want? Condos in the Daytona Beach area vary largely on what type of rentals are allowed. They usually fall under the following: one day, one week , one month, two months, three months, six months, one year. To no rentals at all. Before beginning your search its best to decide what rental term you want, so you can weed out the ones that don't allow the rentals the way you want it

Personally for investment I would only consider units that allow weekly rentals or less. Since this will give you the most opportunity to rent to vacationers. Yes its more work renting the units arranging cleaning and checking people in and out but the return on investment is typically higher than if you only rent per month or longer.

I am a real estate investor myself and have been a local since 1984. I know the Daytona Beach market inside and out, and can help you in your search and answer any more questions you have about investing in condos in Daytona Beach. Feel free to call or email me.

J Byron Hebert
321-296-8000 direct line
EXIT Real Estate Property Solutions
0 votes Thank Flag Link Wed Mar 12, 2014
What you need to do is first calculate the potential income. The condo's vary in their ability to rent by the night, week month or even by the year. Always ask for a rental income history. Often this is number might not be as high as you would like because it is Daytona Beach and the owners like to use it for their own pleasure and family. Good rental time is Jan,Feb,March..(monthly to snow birds) Then June and July are very good. You have many solid holidays to rent and spring break. Weaker rental times are May Sept, Nov, Dec.

On the expense side Condo's mainteneance fees vary between 300-550/mo. Some include utilites and others do not calculate accordinly. Also you want to figure your annual taxes and property insurance.

If you would like some assistance in finding an investment that makes sense for you life style don't hesitate to contact me for assistance.

Regards,
Richard Merlino
386.233.5279
0 votes Thank Flag Link Tue Mar 11, 2014
Call me Im ready to guide you through!

Elliott Hagood Broker
"Everything I touch turns to SOLD"
386-690-6546 (Anytime SELL Phone)
NSBeBroker@aol.com
0 votes Thank Flag Link Tue Mar 11, 2014
shanti....

There are so many factors to weigh in on when considering investment property...especially a condo option. First and foremost is price and location. Smart buyers are able to identify a highly desirable location, one that attracts visitors during more than January - April and one that doesn't cost a fortune.

With this accomplished, the next hurdle is accounting for the expenses associated with living in the unit. What are the HOA fees, are there other hidden costs, what is the condition of the complex, are there any future major assessments, are there vacancy issues, is the complex financially stable, etc. etc.

The cleaning, management, and service related pieces are fairly easily take care of as a good management company will step up to the plate and account for them-for a fee of course. One of today's darkest clouds associated with owning waterfront property is the cost of insurance. There is so much uncertainty today with flood insurance and it's future that many buyers are taking the "wait and see" position to make sure this issue doesn't become a "nightmare!"

Hope this is helpful,

Bill
0 votes Thank Flag Link Tue Mar 11, 2014
Our office is located on Condo row. Each condo is completely different and we have investment profitability sheets to help you with your process. We also have a management company to handle your rentals if you do not purchase one that has onsite management - feel free to call me
0 votes Thank Flag Link Tue Mar 11, 2014
If your primary focus is investment and return on your money, you should be considering a condotel. See my blog on the subject. Best way to maximize income on a condo and still be able to use it yourself occasionally. Here's the link: http://www.trulia.com/blog/jim_olive/2012/06/key_west_resort…
0 votes Thank Flag Link Tue Mar 11, 2014
If you're looking to use the condo as a rental investment then you definitely need to understand the rental restrictions in each building you are looking at, along with all the maintenance fees, any upcoming assessments, age of the building, etc. There's so much involved and i would love to help guide you through the process. There are some great residential condo buildings here in the Daytona Beach area. Please contact me at your convenience to discuss your plans and your ultimate goals!
My website http://www.buyhomesindaytona.com/
0 votes Thank Flag Link Tue Mar 11, 2014
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