Starting out investing in rental property in Florida

[Michael Morris]

Very interested in investing in a vacation rental in Navarre and looking for some tips on how to start. Currently living in the Nashville area. Is this a bad time to get into an investment property due to the skyrocketing housing costs? We have about 225 cash to put toward a property to start out. Thanks all

[Douglas Fox]

Hi Michael,  I would say "Go for it."   We had a vacancy at one of our long-term rentals and we took the opportunity to convert it to a Short-Term Vacation Rental and we are not looking back.   We used to get one of the highest monthly rental rates in our area but now we are getting 1.5x, 2x, and 3x the previous monthly income rate.  So we are, in some months, tripling the return that we used to be getting and we started this new initiative in the middle of the pandemic.   Guests are giving our property rave reviews, and we are enjoying being hosts to many people from around the country and even around the world.  So NO, this is not a bad time to get into this amazing revenue stream.  One thing that helped us make the jump, which included about 3 months (without any rent) of renovations and the considerable expense of furnishing the house, was attending a 3-day Vacation Rental boot camp where about 20 or 25 like-minded people came together to share their experiences.  Once I experienced the energy of these folks, I knew we were on the right track and I came back home with lots of good ideas and suggestions.  We are very happy that we made this move, I think you will be too.