All Forum Posts by: Frank Borzen

There are a lot of nice homes with proximity to Disney. Prior to the pandemic and the insane price increases Encore homes were being unloaded by foreign investors for 50-70% of purchase price. Windsor at Westside has huge, well appointed homes and a nice lazy river. I agree that the theme park like water slides at Encore are amazing, but I think you would lose bookings based on not having them available.

@Andrew Wilke that's a hard no on driving the houseboats. That's like putting the average renter behind the wheel of a semi truck.

We have some of those in the Florida Keys. Many liveaboard marinas are now forming bylaws against short term rentals. We had a neighbor who owned a fleet of houseboats and he was successful. The boats can be purchased relatively cheap and the slip rentals were several hundred per month.

Rich we purchased the boat for several grand and used to rent it for $100 per day. Weekly rentals only (guests arrive and are too tired to use the boat the first day. They go out on it all day second day. Sunburned to hell the third day. Go to Key West fourth day. Wind and rain fifth day. Use it again sixth day. Leave seventh day).

In regards to the boat: yamaha or suzuki outboard, four stroke only, no exceptions. If you aren't able to meet the renter to go over the safety checklist you will need to arrange that with the marina.

You will not get $4500 per month rent from locals, and in my experience not many tourists want to spend a full month in KW. Fighting the month by month battle for money will get tiring. The Keys are a 9-10 month rental area (Thanksgiving through Labor Day). The better value is a home with an existing transient license. Figure $200-300 per night x 225 nights.

We used to do it in the Keys, but as an independent rental in addition to the home. It worked out great. Best rental we ever had was a 19' Carolina Skiff. Tough enough to where you don't care about what happens to it, but rode like absolute garbage so nobody took it out on rough days.

I wouldn't offer the boat WITH the home. Then you would have to charge a premium and some people don't need or want the boat. Offer it in addition.

Ken brings up a good point. There is no right or wrong answers. Too many people get caught up on cap rates or cash on cash returns.

One of the biggest investors here in South Florida and one of my mentors simply says "how much money do you want to make on the deal?"

We do it in the Florida Keys. The islands are very close to land. It's more of a Swiss Family Robinson type of experience vs a Cast Away type of experience. The islands book at a similar rate to other vacation rentals. Probably a bit more $, but not too much more. The structures on them were existing. To build today at today's prices and today's codes would be cost prohibitive.

For vacation rentals KW is not so much a waterfront destination as an Old Town/quaint conch house destination. You can be easily over 1mm very quickly for a turn key home in Old Town. Transient rental licenses are a big deal. You could get into the Truman annex or even golf village and probably have less hassles with the home, but you would also lose a bit of charm.

The upper Keys generally have 30 day minimum rental restrictions. People violate that, but if you get caught the fines can be hefty. Plenty of stories of renters being evicted in the middle of their vacations.

Marathon allows short term rentals. You are looking at 600k++ to get onto the water. Figure 60-70% occupancy. I am well versed in the Keys if you have any questions.