What do you wish you knew before investing in Florida?

[Whitney Ortiz]

Hi there! I'm wondering if anyone from California/ out of state has any tips on investing in Florida or any lessons or "dumb tax" to share? My investing partner has lots of experience here in CA, but we're interested in investing in SFH rentals in Florida. Is there anything you learned/ wish you knew before investing in Florida versus California? Big thanks in advance!!

[Fred Cannon]

@Whitney Ortiz. One thing not mentioned in the responses. Rentals less that six months are taxed by both state and county. I have A couple of short term rentals and have to collect and pay 11.5% tax on the rent. 6.5 to the state and 5 to the county. Due to our environment houses require more maintenance and with SFH the landscaping is constant. Florida is pretty much a swamp that has been developed into a paradise. For rentals you will need a good lawn guy, don't trust your tenants to do the lawn. In the summer it's 95 degrees outside and 90% humidity and the grass grows 2 inches a week . Your tenant is not going out there to mow the grass. Also you will need pest service at least after every tenant move out. You can get rid of the swamp but the bugs don't leave. 9 months out of the year it's a wonderful place. 3 months ( June, July, August ) not so wonderful. Hurricane season is September- November, if you have property near the coast you are going to face "mandatory" evacuations occasionally. A few years back I had to force a tenant to move because of damage. Make sure your lease contains a clause that states that if the premise become uninhabitable or require major repairs the lease is terminated automatically. Make sure your lease contains a statement that the tenant is requested to buy renters insurance and that you are not responsible for any damage to their belongings. Don't want to be a naysayer but if your not from Florida and you are a new property owner, especially a landlord, these are important points.