Residential rental property may be a condominium, condo-tel, villa, townhome, duplex, or single-family home. Income potential depends on various factors and can be profitable and worthwhile if evaluated and analyzed carefully. While they are capital-intensive, cash flow dependent, and have low levels of liquidity, they also tend to be more stable, have tax benefits, and are more apt to hedge against inflation versus equity markets.
The best method in determining the performance of a real estate investment property is using the CASH ON CASH RETURN metric. ROI's are used to assess equity and appreciation, whereas this metric measures profitability and how much you will earn back every year towards your initial out-of-pocket investment. It is also a useful tool when comparing properties you are considering or when evaluating the long-term potential of all your portfolio properties.
Call me if you would like additional information on investment properties currently for sale or strategies to maximize the sale of your investment property.
Locations such as Siesta Key, Holmes Beach, Longboat Key, Englewood, Anna Marie Island, and the other barrier islands or keys, attract nightly and weekly vacationers all during the year. Investment properties that cater to them are "condo-tels" and can generate a lot of income.
SEASON - JAN, FEB, MAR
10% OFF DEC & APRIL
20% OFF NOV & MAY
50% OFF JUNE - OCT
Annuals typically are 70% of season rates.
**Please note that this year we have seen less of a discount due to the high demand.
Condo-tels are condos that rent daily and cannot be financed through Freddie Mac or Fannie Mae. Financing for this type of property is a Real Estate Investment loan or sometimes called a Portfolio loan. This type of mortgage allows you to borrow up to 70% and is exempt from restrictions due to proceeds of the loan being used primarily for a business.
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50+ 15% 20%
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