All Forum Posts by: Krista Goodrich

Did you see the news this week about some possible changes in regards to STR investing in Daytona Beach? This has been a long time coming and may be the best opportunity we have seen in awhile. If you have read about me, you know that I am the Short Term Rental Expert and Guru for Daytona Beach and am SO excited about this. Join me tonight to learn the updates and here's to Daytona's biggest comeback yet!

Krista Goodrich is inviting you to a scheduled Zoom meeting.

Topic: STR Update Daytona Beach

Time: Jan 24, 2022 07:00 PM Eastern Time (US and Canada)

Join Zoom Meeting

https://us04web.zoom.us/j/7931...

Meeting ID: 793 1458 1660

Passcode: Nvuf0B

Hey everyone!  A few of you have reached out and it's been another hectic week so I am trying to get back to all.  Several people have asked for maps/etc about the zones-I have compiled information over the last 7 years and basically have it on crazy maps in my office and in my brain memorized.  Unfortunately, there is not a central place for everywhere in the area, but you can always reach out to each individual zoning office to be directed to where to go or look at the zoning maps for the various cities/county.  

Our next investor meetup will be Feb. 8th at 5pm at Stock and Brew on A1A in Daytona.  I'm going to be creating an event on FB so follow me there if you haven't already, it's Krista Dowling Goodrich.  

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $300,000
Cash invested: $150,000

A1A dilapidated house that we purchased for cash and fully renovated into a glorious 4 bedroom vacation rental. Pool add Fall 2022.

What made you interested in investing in this type of deal?

I love investing in vacation rentals, especially when we have to use fun strategies to make them become legal vacation rentals.

How did you find this deal and how did you negotiate it?

MLS, multiple offer situation, found the cash to win.

How did you finance this deal?

Hard money plus personal cash.

How did you add value to the deal?

Renovated the entire house

Hey all!  Sorry for the delayed reply!  @William Camacho- A Salty Dog Property Management (but I'm biased lol) is the best vacation rental management shop in Volusia and Flagler IMO.  I"m surprised to hear you haven't had issues as Volusia and Daytona have been crazy with stopping STRS lately.  @Sean Carroll, yes we still have the group but have been way too busy with all our new properties to meet lately but want to soon!  @Andres Triveno, it's all over the place with where you can and can't, some parts of Daytona you can, very few in Ormond, Ponce is sporadic, etc.  I have maps and basically every address that is legally zoned memorized in the County (except NSB), @Cory Cannon, Daytona is definitely enforcing, many that you see in city of Daytona are condos or just haven't got hit with the fine yet...IMO not worth the risk in city of Daytona at all...unincorporated Volusia maybe but I personally know at least 15 of those that got in trouble too.  City of Daytona is 6 months, Volusia 30 days, @Ian Fried, yes, glad you found this as you don't want to learn the hard way. I had a couple call me devastated this morning-they bought a house next to a STR that they thought they could rent, posted it and immediately got called to special magistrate and hit with the fine....so now just two months after buying they are selling (but lucky for them it's a good sellers market)...they are devastated as they thought they finally had their beach house but they just didn't know the rules.

Reach out to a commercial lender at a local bank. They have different rules and can be at times more flexible and at times less, but my bank contacts have gotten me set up nicely on my STR homes and homes with ADUs.

@Valentina Naumenko, while it's true that Daytona (Daytona is Daytona Beach there aren't two different cities) has limitations, there are incredible opportunities in Volusia County and the Daytona area that allow for STR, you just have to know the exact zoning like you pointed out (but potential investors would want to call the city not the county if in Daytona Beach to verify or check with someone like me). For unincorporated properties in Volusia they would call the county. Thank you for pointing out there are limitations-as you can imagine there are so many heartbreaking stories of people all over Florida being sold a property only to find out 1. they can't rent it for short-term and 2. getting slapped with a ridiculously (and IMO criminal) fine! Many investors are unaware that in many places STR requires specific zoning. This is true in many (if not most) Florida counties and cities, however, Volusia County and our neighboring Flagler Counties and St. John's Counties, have performed exceptionally well for myself and the investors around me in the Short-Term Rental market. We closed on a STR last week for $368k (3/2) and have a closing next week for $249k 3/2 (both single family residences) and have a motel conversion currently under contract for $1.1M for 13 units that are STR as well as numerous other STRs under contract or in negotiation. I'm showing STR condos all weekend long this coming weekend to some Orlando investors that the numbers so far look good on. Last year, my investor friends, colleagues and clients purchased numerous STRs and I am not aware of anyone that is not pleased with their ROI, most are still looking to buy more in Volusia or Flagler, (definitely getting more difficult with more people looking and prices rising). As you can see, I'm passionate about the area so just don't want to scare investors away from the Daytona market as I think we are one of the best markets in the country right now to invest in, like you though, we definitely want them to understand there are very specific zoning areas and huge fines for doing STR where it's not currently allowed. I see that you like Orlando-we are interested in learning more about that market too as Kissimmee is on my radar so can you share more about that market? My limited understanding of Kissimmee is that (excluding any HOA restrictions) it's allowed in Kissimmee and what other areas around Orlando allow? I'd love to become more educated about that area if you care to share.

SFR's in Volusia, Flagler, St. Johns and Brevard are literally killing it right now (2 bedroom condos too). Happy to help, feel free to message me and I can give you the breakdowns of our numbers currently:)

Completely agree Kade!   I'm still picking up condos and homes under $200k that cash flow great and I think have incredible cap app upside...not banking on that part because I invest for cash flow but it's a reality that I'm certainly looking forward to.  

Hey BP Fam!

It's me, Krista Goodrich, vacation rental guru and real estate warrior here in Daytona Beach. I am so happy to say that Volusia County (think Daytona Beach) ranked #3 in this year's most affordable beach towns per a recent (June 2020) Realtor.com article. 

You may be wondering why this makes me happy, right? I mean, don't people want to live in upscale places like Park City, Scottsdale, Miami or San Diego? Sure, those places are great, but as an investor don't you wish you bought there BEFORE they were great? Imagine that ROI!

When I started investing in Daytona Beach seven years ago, people thought I was crazy and they couldn't see the vision. Homes here are certainly dated, the nightlife pretty lackluster (except my new brewery on Main Street is great lol) and other Florida cities are more "trendy." Those things are all true. And all reasons why I continue to invest in Daytona Beach and surrounding areas. I mean, where else can you get a house minutes from the beach in the 300's, 200s and yes, even, $100k range?

Now 18 houses later with a portfolio of vacation rentals, long-term rentals and one commercial property, I continue to buy Volusia. We still have a long way to go here in Daytona and the ride so far has been amazing...and while we don't know what the market in general will do, I see a lot of reasons why Daytona is primed for continued growth:

1. We just, after 17 looooonnnngggg years, got a new pro-active and pro-growth City Manager. He is gung-ho and ready to rock...this is great for our town.

2. With Orlando expanding and every beach town south of us extremely more expensive than here, it seems to me we have one way to grow.

3. We have a labor shortage (who doesn't, right) but our town runs on tourism and there are not a lot of high-paying jobs so our rental market is, and always has been since I've been here, on fire.

4. Have you checked out our weather? Beautifully perfect for 10 months out of the year, August can be warm and Jan a little cold but it sure beats the heck out of shoveling snow or never being cool. I think we have the greatest weather in the world.

5. Elon Musk-our coast is simply the best place on the planet for the growing space industry.

That all being said, I'd love to hear from others on great places to invest in Vacation Rentals in areas where you can adventure travel-so ski/mountain towns, fun cities and even the desert...or anything with awesome hiking as I don't get to do that a lot in Florida (but we do get to surf and fish a lot so it evens out).  

Until then, happy investing!

The short term future in my market-continued lawsuits and fighting city commissions.  Long term once we get younger people in government should be outstanding as it's the way of future travel.