Top 7 Cities to Buy a Vacation Rental in Florida
Thinking about a vacation rental in Florida for your portfolio but not sure where to find the ideal one? Then, this blog post is for you.
With countless spots on the map offering everything from natural forests to Disneyworld to the epitome of comfort and luxuriousness, Florida has something for everyone.
It’s easy to see why the Sunshine State attracts more than 122 million visitors yearly and why a vacation rental property in Florida might be the ideal addition to your investment portfolio.
Are vacation rental properties good investments?
Both short-term vacation rentals, as well as longer-term rentals, can offer advantages to almost any portfolio.
According to Realtor.com, average vacation rental revenues in hot markets have jumped by more than 70% yearly. Considering the average annual rental revenue in 2021 was $56,000, this could be a great time to buy in Florida.
Let’s look at some of the top destinations for finding the perfect vacation rental in Florida.
The island of Key West, part of the archipelago more commonly known as the Florida Keys, is the United States’ southernmost point. It’s also a prime vacation rental destination for thousands of visitors annually.
In January of this year alone, it saw almost 75,000 visitors. And the new $100 million expansion to the Key West International Airport—scheduled to be completed within two years—is expected to increase the existing tourism numbers.
What’s your loan scenario?
Cape Coral, Florida, is a destination for sailing enthusiasts, golfers, and just about anyone looking for the convenience of city amenities without all the hustle.
The Cape Coral Yacht Club, Palmetto-Pine Country Golf Club, and the Royal Golf Club are popular with tourists and locals alike.
The Palmetto-Pine, designed by course architect Arthur Hills, caters to seasoned and pro golfers, while casual players often head over to the more relaxed atmosphere of the Royal Golf Club. Available properties include single- and multi-family units, condos, apartments, villas, townhomes, and more.
Hollywood, Florida, is home to world-class golf courses, miles of sandy beaches, and more than 60 parks. And its Beach Boardwalk, stretching almost 2.5 miles along the Atlantic Ocean, was named one of the best Beach Boardwalks in the country by Travel + Leisure magazine.
In 2021, the greater Hollywood area saw almost 120 million tourists—who injected more than $18.8 billion into the local economy. Hollywood is located between Fort Lauderdale and Miami and is easily accessible from both the Fort Lauderdale-Hollywood and Miami international airports.
Connected to the mainland and Miami proper via bridges, Miami Beach is an island city popular with students, celebrities, and “spring breakers” worldwide.
In March of this year, Miami-Dade County saw a spring break average daily room rental rate of $358.95, up from $250.70, an increase of $108.25 in 2019. Additionally, occupancy and room revenue have increased from pre-pandemic levels.
Naples delivers world-class retail experiences, fine dining, amazing beaches, golf courses, and access to the warm waters of the Gulf of Mexico. A golfer’s paradise, the “Golf Capital of the World”, attracts more than a million visitors annually to its 1400 golf courses. But there’s more to Naples than golf.
Naples offers vacationers, and outdoor enthusiasts miles of beaches, and beautiful parks, including Lowdermilk Park and Delnor Wiggins State Park.
Located in Pinellas County and a short drive from St. Petersburg, Clearwater Beach, Florida, is a popular choice for an investment property. It boasts more than 2.5 miles of sandy shoreline that TripAdvisor recognized among the top ten in the world, making it a popular vacation destination.
In 2021 the combined area of St. Petersburg and Clearwater—including Clearwater Beach—recorded a whopping $73 million in tourism income, an $11 million increase over 2019.
Santa Rosa Beach
An often overlooked location for vacation rentals is the unincorporated community of Santa Rosa Beach in Walton County, Florida. Santa Rosa sits on Florida’s famed Emerald Coast, offers luxurious beach homes, turquoise waters, sandy beaches, and upscale dining, and acts as an entranceway to Point Washington State Forest.
Santa Rosa Beach is also home to the nation’s first underwater sculpture garden, the Underwater Museum of Art. Walton County saw winter tourism in 2021 of more than $1 billion despite COVID-19 restrictions.
What is the best way to find a vacation rental to buy in Florida?
Checking out online real estate listings can give you a general idea of the prices in certain areas and can be a great first step toward buying a vacation home in Florida. But the best way to find the right property in Flordia is to partner with a local real estate agent.
Local agents can not only help you navigate state-specific regulations, but they can also help you get a foothold in up-and-coming neighborhoods before the prices jump.
Local agents are a wealth of information about neighborhood demographics and vacation rental market trends and can share important insights on local amenities, which areas are more popular with vacationers in the winter versus year-round, and much more.
How to buy a vacation rental in Florida with Marquee Funding Group
If you’re considering vacation properties for your portfolio, Marquee Funding Group can help.
Our team of experienced loan officers is ready to provide the respectful, honest, transparent, expert service you need to help you grow your portfolio.
Successful business deals depend on good relationships, and we take great pride in the fact that our clients have continued to work with us on a variety of investment deals throughout the years.
If a vacation rental in Florida is on your horizon, we want to hear more about your deal.
We thrive where other lenders flounder. We provide fast decisions and same-day approval and often close in less than a week on the unique or complex deals traditional lenders can’t—or won’t approve.
Marquee Funding offers loan amounts between $50,000 to $20 million, common-sense underwriting, single-, multi-family and land loans, deal-specific loan-to-value of up to 70%, and more. Each deal is carefully assessed based on its potential for success.
Contact Marquee Funding for more information or submit your vacation rental in Florida loan scenario today.
We look forward to learning more about your loan scenario.