Home Buying in Coral Gables>Question Details

Alfredo, Home Buyer in Miami, FL

Invest 200K in a home in Miami

Asked by Alfredo, Miami, FL Wed May 7, 2008

I am italian and I live in Italy.
I would invest 200.000 $ about in a home in Miami.
My aim is to buy it to use it a few times for short holidays then to rent it....
Anyway, it should be maily just an investment.
I'd like to buy it and rent it and, in the future, to resell it.

Questions are:
Where? (I was looking at Gabbles, Pinecrest, South Miami ... do you believe is the right choice?)
Single family or condo?
Is it easy to rent it?
And lastly ... is it the right moment to invest in a house in Miami?

Thanks!
Alfredo

Help the community by answering this question:

Answers

8
Hi Alfredo,

It is definitively the right time to buy in South Florida. The combination of a high Euro and depreciated property values is why so many Europeans are making their move now. I am now averaging two or three europeans buyers each week for the past couple of months. At this time I am working with two French, a German and a Spaniard. To a lesser degree, I am also working with Mexicans, Costa Ricans, Argentinians, Brazilians and other Central & South Americans.

While a single family property will most likely give you a higher return over a 10 year period as, it will not be the best type of property for you since you want to use it for vacations and rentals. I own rental properties and I can tell you that single family properties require more care than a condo. I strongly suggest a condo for your situation.

The areas you mentioned are all great locations. But for a vacation spot you want to have sun and the water - the reason why people come to South Florida. There are some buildings in the Gables waterways that could meet your needs. But from the picture you look fairly young and I think you may enjoy communities like the Grove, Brickell, Key Biscayne or Miami Beach.

If you want a more urban environment with access to the Downtown People Mover or the Rapid Transit, the Theater, Arena and other venues, there are a number of buildings along Brickell, Downtown Miami and the north Corridor of Biscayne Blvd.

The north side of town in Aventura has a wonderful resort community called Williams Island that offers a great quality of life, too. I just got a listing at the Mediterranean Village with a view of the Marina that is great. That development has marina, tennis courts, spa, restaurants, etc.

There is financing for international buyers with at least 30% down. I am currently helping several european buyers find their dream properties in South Florida and I would be happy to assist you also. I may be reached at ruiz.c@ewm.com or 305 510.0647.
1 vote Thank Flag Link Mon May 12, 2008
Hi Alfriedo
My answer will be positive. And my opinion it is time to buy, because prices are low, you can find very good deal on the market.. My suggestion for you, as a South Beach condo specialist, start looking in South Beach area, you can get nice charming art deco studio or 1/1bedroom for this price range, it will be small, but you never have problem to rent it out and resell it with in a few years and in the mean time stay for vacation in paradise . South beach is great location where still a lot of demand from the buyers. As well as you close to the beach and you can walk everywere.
1 vote Thank Flag Link Fri May 9, 2008
Alfredo - as much as I would like to give you positive information. $200k will not buy you a house in Coral Gables, Pinecrest or South Miami - you have to at least double your price in order to get into a fixer upper in those areas.
My advice to you is to start looking at properties in the MLS to get an idea of price ranges in the areas you mention. Although that price range could get you into a condo, it will generally be in a studio or one bedroom apartment in an older building.
We deal with a lot of Italian investors and are still trying to figure out the magic $200k formula.
1 vote Thank Flag Link Wed May 7, 2008
Dear Alfredo,

Yes, Homes prices have fallen dramatically. Please keep in mind, Miami is one of the most expensive places to live in Floridaand you are looking at some the most expensive area inside of Miami to live in. Most homes in these areas are closer to approximately $200.00 a square foot, and not too many homes are only 1000 square feet. I am looking for my existing buyers myself in areas close to these neighborhoods. Rentasl, there are not enough rentals right now so it is very easy to rent out property.

Susan Penn, PA
EWM Realtor, NAR CertitiedShort Sales & Foreclosures
2000 Main Street
Weston, Florida 33327
954-557-5993
penn.s@ewm.com
0 votes Thank Flag Link Fri Jul 9, 2010
Buongiorno Alfredo,
ho visto adesso la tua richiesta d'informazione su trulia. Io sono Pier Paolo Visconti broker associate e community association manager per l'American Request prima compagnia di real estate full service a Miami da oltre 15 anni. Se hai bisogno di informazioni sul mercato di miami o comunque desidere essere seguito nella tua ricerca da un professionista che parla la tua stessa lingua e che capisce l'esigenza di un investitore straniero chiamami e sara' mia premura seguirti in tutti gli steps pre e post vendita. offriamo anche servizio di gestione dell'immobile per chi come te investe lontano da casa.

un caro saluto.
0 votes Thank Flag Link Fri Jul 9, 2010
The Miami area is always a decent place to be a renting landlord. However, you do have to have the right house in the right location.

Do you plan to offer the home furnished? do you want to do short-term rentals at higher prices to capture the "holiday season" or are you going to do standard 1-year leases?

With $200k, you won't find much in Pinecrest or Coral Gables, but you could find good properties in an adjacent area of unincorporated Dade county.

If you want to look at the High Pines area, that seems to be a great opportunity. You might also consider Palmetto Bay (my hometown).

Look me up and I'll send you the latest...
Web Reference: http://www.miamihal.com
0 votes Thank Flag Link Thu Oct 22, 2009
Dear Alfredo,

Hi! I just worked with a very nice client from Italy. It sounds as though you are familiar with the high priced areas in Miami. For $200,000.00 you can purchase a Miami home, but it may need work or the size may be small. Pinecrest homes usually tend to start at a minimum of $500,000.00 because they are usually on a piece of land that is at least a 1/2 acre in size and the Gables lowest prices are usually in the $300.00 a square foot range. Most of the lower priced homes in South MIami that sold recently on the low end were in the $350,000.00 range. You can buy a home, but the areas may be somewhat further away than the cities you have mentioned. Sincerely, Susan Penn. penn.s@ewm.com, 954-557-5993
Web Reference: http://www.susanpenn.com
0 votes Thank Flag Link Tue Jun 3, 2008
Hello Alfredo,

I must agree with several of my colleagues on two points now is the perfect time to invest in Miami and surronding areas. With so many preforeclosures and bank owned properties you can get a bargain whereas five years ago it was nearly impossible. Although it is very unlikely you will find a house in the areas mentioned for 200K I do suggest looking in lower priced areas where you can find a great deal on a condo. I will be more than happy to assist you with your search. Please send me an email to andreshambley@keyes.com. Ciao!
0 votes Thank Flag Link Thu May 22, 2008
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