Can you do snowbird rentals in 55+ community?

Question

I'm looking into purchasing a home in a 55+ community in one of the desert communities of Southern California; probably, Palm Desert or Rancho Mirage. My husband is 52 and I'm only 50, but we would like to eventually move into the home full-time. So, the question is - can we buy it as an investment property and rent it out 6 months of the year to snowbirds (over age 55) and use it ourselves the rest of the year?

Or, is it better to buy it as an investment property, put a long-term renter in there until my husband turns 55, and then do the above strategy? Thoughts??

JD Martin · Answer

Depends on the rules/laws of the community. If they don't allow short-term rentals then it won't matter. Some places don't allow anyone under 55 to stay at all, while some will allow under-55 guests for a prescribed time.

Biggest downside to me is that you are limiting your pool of possible renters significantly in a 55+ area.

Lisa Graesser · Answer

We purchased in A 55+ community in Fla, with the idea of being snowbirds ourselves after retirement, so we do rent to snowbirds and throughout the rest of the year. We stay at the house as much as possible, when it is not rented and do maintenance and at the same time enjoying being there. You can only use the house for a limited amount of days for personal use( I think it is 14) if you want to be able to write off your expenses as a business. Since we are usually there doing maintenance, it is not considered personal use and as long as you are doing 4 hours of work per day you can write off your expenses. Our community does allow renters that are less than 55, so in the off months we will get families that come to visit their parents/grandparents. It has worked out great. We have always had great guests and we always look forward to being able to use it ourselves.

Katharine Gonzalez · Answer

I recently started researching different 55+ communities as a potential snow-bird retirement for my parents now and myself in about 5 yrs when I'm hoping to early retire. I found a few recommended communities with a few that specified STR was allowed. Definitely warrants inquiring directly with community.

@JD Martin - you make a good point as to limiting renter pool, but @Lisa Graesser suggests an interesting strategy to inquire about as well.

The Villages is well-known (a bit notorious, too). Your strategy is very helpful - thanks for sharing!

Can you do snowbird rentals in 55+ community?

Can you do snowbird rentals in 55+ community?

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