Owning property in Florida

[Lovesholidays]

Hi
I know lots of questions get asked about owing a property in Florida and I have done lots of reading of posts on here about this. However I wanted to put forward a few questions myself about owning if I may?

We would love to buy our own property but would not rent out at all. Our goal is to spend a couple of months at a time probably in the winter months, when hubby retires. He says we would be better off just renting for this time, I have added up costs say for 12 weeks and I get an approx. cost of around £12k with pool heat etc. I'm thinking could we actually own our own house/condo and after the initial outlay (investment) run it on the same type of costings ?
Like I say we wouldn't be renting the house/condo out so no costs for that. Am I being naïve here? Any villa owners insights would be appreciated. Thanks

[claireyfairy8]

I know of a few owners who don't rent out.
Their approx costs are £16ishk+ a year. But it really depends on the size, location, faciltiies etc. You still need to pay a MC to look after it. Albeit not as hands on an MC.

To be honest, I think you'd be better adopting the snow bird life and renting.
Owning a property in FL is not simple and things go wrong a lot.

What type of property is that for £1k a week?
Some owners like snowbirds and do offer very good rates. Size & local amenities will be an important factor in the cost.

[DonnaD]

Sorry I only have time for a quick reply. You can't just turn off the electricity and leave a place empty here. You would still have quite high bills when it was vacant. For instance you mentioned pool heat. A private pool would require weekly maintenance. A small condo could also be rented for less than 1000GBP a week and would be a much cheaper option than buying anything.

[McSleepy]

If you are not going to rent out you will still have considerable running costs. For example Water, Electricity, HOA Fees, Insurance, Pool Maintenance, Pest Control, AC maintenance, Management company, Property Taxes.

While we do rent out and it involves a lot of time and effort staying on top of everything, keeping bookings coming in, resolving issues, paying mortgage and bills, keeping the villa in tip top shape for all guests, we have enjoyed it over the last 5 years of ownership.

When people ask me about the villa I say that I am managing it for the bank. I have been asked if looking back would I still choose to do it again, I have to answer yes and no. Yes in that while it has been hard work and costly we have really enjoyed it. And no in that we could have had lots of other holidays for the financial outlay that we have had to put in.

The main advice is do your homework. There are lots of underlying costs which they do not tell you about when trying to sell you a villa. These people get massive commission on arranging the sale of a villa to you which is part of the closing costs which you pay and is not in their interest to advise you of the pitfalls.

[angelbabe]

Depending on the house value and location, property taxes run into thousands per year. Most roofing only lasts approx 15-20 years before they need replacing so it would pay to buy one with a recent new roof as this can run at around $12K depending on the size of the house. Exteriors of houses need painting every 4-5 years, the deck if painted, more regularly if you want it to look nice or at the very least, jet washing. Pool surfaces need acid washing and/or replacing when needed, a/c units, pool heaters, pool pumps all have heavy wear and tear in this climate.

These are just a few things villa owners deal with.

[Lovesholidays]

Many thanks for all your replies, and honesty. Wow prices stack up fairly and in hindsight perhaps the snowbird route is the way to go very disappointing though as my dream of owning seems ‘a dream’. Purchase prices seem so reasonable for the villas etc, the running costs are extortionate though.

[angelbabe]

Originally Posted by Lovesholidays

Many thanks for all your replies, and honesty. Wow prices stack up fairly and in hindsight perhaps the snowbird route is the way to go very disappointing though as my dream of owning seems ‘a dream’. Purchase prices seem so reasonable for the villas etc, the running costs are extortionate though.

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Dreams can come true, I think if you do as much research as possible and go with your head as much as your heart, then you can decide if it's for you. Good luck with everything

[steve@mac155.f]

If you are looking to buy i would suggest a condo if you are not going to rent it out as the running costs can be lower than a pool home with some of the costs incorporated in the condo association fees.

Do your research on the running costs and see if the figures work for you.

You would need a property manager to look after the place while you are not there but as a caretaker the management costs could be lower.

Steve

[Lovesholidays]

Had a look at condos at reunion resort, with taxes and hoa fees they come to approx £7k then I would have running costs etc. Maintenance, pest control etc was included.
Any condo owners on here that could give me rough costings ? Remembering I wouldn’t be renting the condo out...

[markwatts]

Whether you are considering a condo or a villa you cannot be picking a worse time to invest in an asset denominated in US Dollars given the exchange rate. Doesn't need to stop you, just pointing it out. Everything is now much more expensive than the "norm" given the level of the Pound to the Dollar and you should be savvy about that. We want to seriously buy something nicer over there on the Gulf Coast but I won't do it until the exchange rate improves, if it does!

Of course I am assuming you are not already sat on a pile of Dollars waiting to invest and therefore don't have an exchange rate issue.

Mark