can i pick your brains???

[terriandaaron]

Hi
This is a message to all you villa owners out there who rent out your villas, were thinking of buying a villa probably a 4 or 5 bed one,next year, and i want some help

if theres someone out there who doesnt mind me asking a tonne of questions, or helping us know where to start etc, id appreciate it.

Were hoping to rent it out and hopefully, it will pay for most of the cost of itself, is that a realistic thought??

My dad is a web designer etc, so wed have no problems with that side of it, just wanted to know where to start and some ?? questions answered.

Any help please ......... :) or suggestions on new developments.

How hard is it to finance out there?

terri x

[Cal and Dave]

Hi Terri


It depends on many factors, but it is not realistic to expect it to pay for itself, but i will send you a pm :)

[Ros & Jim]

Hi Terri,

Have to agree with above comment about not being realistic to expect to cover your costs. There are many "hidden" extras to home ownership in Florida that most people would never think of. Have sent to a long PM.

[LisaH]

Hi Terri,
Agree fully with the comments already made.
I'm at work at the moment but will try and send you an e.mail later tonight.

Am happy to answer any questions you have. :wavey:

[I love walmart]

Hi, I just wanted to echo the thoughts above. I won't send you a pm as I'm sure you will get plenty of advice from the others. We have not found it what we thought it would be financially,and we were lucky enough to buy a few years ago when prices were lower.
It was our dream to own a villa for many years and sometimes I wish we had kept it just that....a dream! I always change my mind when we visit though, it is wonderful being in our own villa but realistically for what it costs us we could just be renting from someone else instead and letting them have the headache!

I would also be very wary of new developments. A real estate agent friend once told me some of the people selling these places are on 20% commission :erm: They will tell you ANYTHING to sell a home. Including lines like "we guarantee 90% occupancy for the first two years" yeah yeah at what price £100 a week?

If you are still set on the idea I would say you should do your homework and find out what estates are sought after by renters and maybe look at a resale property in those areas.

Good luck whatever you decide and sorry if we sound so negative but it would be wrong to tell you otherwise.

[dismum]

As others have said it is hard and almost a 24/7 job renting out a home these days.Gone are the times when a request would come in and you knew it was in the bag.
In order for it to be successful -not profitable - it takes a lot of hard work .
Apart from the financial side of things -which are high -you need to get your home out there to people -having a website is great but unless you get on the good rental listing sites -and most of them are full -you will find it hard going to get requests .

I usually tell people who ask me this question -if you can't afford to run 2 homes and pay the bills on both -without extra income think very carefully as the bills will be there with or without guests in the Florida home and your dream may well sit empty for 6 months at first.

A lot of negatives are involved with buying a home in Florida at the present moment but that said it is a great feeling when you walk into your home every time .Just do three things before you buy and you will be OK.They are
1 Research
2 Research
3 Research.

[jcholidays]

Sound advice.
So you may ask the question why so many have done it?
Usually it's because they have a dream to have a villa in Florida and the rentals help to pay towards it. There are very few that can actually make it pay all the expences and if you factored in the costs of your time and labour I'm sure it wouldn't.

But if it is something you really want for yourself and you can put the time in, go for it. It's such a feeling walking into your new villa for the first time.

Good luck with you research.

[robbinsretreat]

Hi Terri

Like others have said - do your home work and ask away (e-mail me if you prefer)?
there are many points to consider such as where to buy types of houses etc etc look at our web sites see what dibb owners offer e.g spa, games rooms etc
Some one mentioned about areas that renters go for - look at availability calenders

there is a lot to think about - but there is nothing better than telling yoursel ' i own this'

hope this helps
Phil

[psharrock]

As I think everyone has said, the key is knowing what you are letting yourself into. I researched Florida villas for nearly 2 years before I finally took the plunge last year.

I am sure that all the advice you will get on here, will open your eyes, and if you still wish to proceed you will be forarmed with knowledge that most prospective owners can only dream of having before they purchase.

Paul

[janeprice]

Now is not the time to buy and it is not a good investment for anyone entering the market at this point as the US housing market is taking a nose dive and is not likely to get better any time soon.

Many owners have been sold a 'dream', only to find it is a nightmare with no exit strategy.

We are relatively successful but I would not be buying a home at this time. Be very careful.

I can p.m. you a link to an owners' forum where you will get lots of information about owning in Florida at this present time. The picture for many who have bought in the last couple of years is not pretty!

[WindwardGal]

Having owned 5 homes in Florida over the last 19 years I would agree with most thats said above.
If you can afford to pay for it without renting and plan to keep it long term and want a bargain now is the time to buy.

[Tweedledee]

Hi Terri,

I totally agree with most that has been said and think that if you were to buy and not cost yourself a lot of money you need to a) do tonnes of research and b) know that you have the right marketing, IT and business skills to keep the home occupied.

We have just completed our first year and I have dropped you a PM with a newbie perspective. It can be done but it involves much more work than you are led to believe.

I wish I had had the DIBB owners to talk to whilst we were going through the buying process - they are a very wise bunch :grin:

Hope this thread has helped.

Sue D

[WindsorHillsPad]

Agree with what someone else has said - it is a full time job. You need to be looking at the computer all the time and sending out quote. i probaby get one booking to every 15 quotes I send out.

I am just waiting for my 6000 dollar tax bill to come in. Don't forget there is that on top of all the other expenses. If you buy in a good location (ie close to Disney) you should get 35 weeks a year booked but it is a lot of work.

[psharrock]

I am just waiting for my 6000 dollar tax bill to come in. Don't forget there is that on top of all the other expenses. If you buy in a good location (ie close to Disney) you should get 35 weeks a year booked but it is a lot of work.


:cry: Wow - Mine is $10,000 and thats before they re-appraise me :omg:

Paul

[Tweedledee]

Better brace yourself for that re-appraisal Paul - that home cinema alone might add on anther $5000.00, get ready to put those rates up :d:

Don't you just love taxes :confused2

[psharrock]

Better brace yourself for that re-appraisal Paul - that home cinema alone might add on anther $5000.00, get ready to put those rates up :d:

Don't you just love taxes :confused2

I think it will be about $18-$20K when they re-appraise me

Paul

[Tweedledee]

OUCH! :erm:

[psharrock]

It may even be more, but I think Grand Formosa also in Formosa Gardens will get a property tax bill of around $27K

[WindsorHillsPad]

Oh my God! We'll all be selling at this rate!

[janeprice]

Those that don't charge rates to cover their ever increasing costs will have to sell, or be foreclosed, Annie, and that will be a tragedy for the poor guests who thought they had a bargain!

[andyhayley]

I wonder how much Grand Formosa is worth now?

It never seems to have any availability.

[psharrock]

I know he was offered $2M for grand formosa shortly after he built it, so I would expect it would be worth approx $2.4M now