Types of Property in Florida and Location

A Reality check on your Hopes and Aspirations for a Florida Vacations Home

Every builder and Realtor will have an opinion on where to locate your new property and strangely this always seems to coincide with either a "must see home" (been on the books too long) or the latest building project. In truth the majority of ordinary Realtors simply do not understand the vacation rental market and why should they, the majority of their clients are Americans simply looking for a new home. County licensing restriction, Homeowner Association and Deeded Community regulations are not something the average Realtor is looking for when recommending a home. In addition Condominiums without a clear set of association rules stating that short term rentals are specifically allowed should definitely be avoided.

And now a look at Gulf Coast locations working from North to South

Hudson - New Port Richey Located just South of the frost line and dubbed "Gateway to Tropical Florida". Hudson and New Port Richey are firm favourites amongst families taking a two centre vaction and theme park weary vacationers. Less than a two hour drive from Central Florida rental prospects are excellent, with most major travel operators now featuring this location in there brochures. Property prices have risen in the past few years but a pool home can still be purchased for around $150,000 to $175,000 in Hudson. There are also excellent waterfront homes available in Sea Forest and Sea Colony from around $325,000 to $450,000 including boat dock with direct Gulf access. Pasco County does impose some rental restrictions but vacation rentals are still possible. Virgin Holidays, Brithish Airways feature this area extensively.

Sarasota - Bradenton Sarasota is well known as a vacation resort and its beaches are first class, however property can be extremely expensive along the Keys and all types of waterfront property are rising in price. The best value is to be found just inland where prices drop dramatically and pool homes are available in the $175,000 to $200,000 price range. Sabal Harbor also has townhouses with a communal pool for around $115,000 each.

Homes with communal boat ramps range from $230,000 and those on canals with direct gulf access from $285,000 in Riverpointe. Further towards the beaches, homes with bay views and "walk to beach" vary greatly from $375,000 for older properties to $650,000 and up for newer models. Likewise older properties with boat docks are in the $450,000 range with newer ones reaching $800,000 on Holmes Beach. There is also a growing market in older homes purchased for demolition and replacement with more modern properties.

Sarasota County imposes a one month rental restriction and we advise our clients to purchase in Manatee County to avoid this complication. Rental homes are in demand around Sarasota / Bradenton and tour operators including Virgin Holidays, British Airways, JMC, Thompsons and Unijet are active in the area.

Englewood - Port Charlotte The Englewood - Port Charlotte area is a bit of a no-mans land between Venice and Fort Myers, the beaches are good and building land used is cheap, particularly in the wheel shaped sub-division of "Rotonda". However new home prices are rising through increased building costs and the area may be losing its "price edge" a little. A further drawback is the lack of central shopping and restaurant area.
In general tour operators are reluctant to feature this area and rental rates remain comparatively low.

Fort Myers An excellent vacation area, very popular with Americans. Located twenty miles North of Naples and adjacent to the famous Sanibel and Captiva Island. Home Prices are in the range $195,000 to $300,000 for a good quality home with a large screened pool and lakeside view. There are also Townhouse or Veranda homes available at The Legends and Heritage Palms Country Club Resorts that come complete with Golf, Tennis and Social Membership for around $170,000. This membership is transferable to your guests.

The Crown Colony Golf and Country Club features two bedroom villas starting at $250,000 and rising to $2,000,000 for a single family home. Appreciation is excellent in Ft. Myers due to the ripple effect of Naples down the road and homes in Wellington that sold new for $178,000 eighteen months ago are already re-selling for over $245,000.

Cape Coral This area of Florida is very popular boaters and waterfront lots with gulf access are now selling for over $160,000 each. Add the cost of a home with pool and the price range is approx. $360,000. There is a real investment opportunity in Cape Coral due to the State-wide restriction on further waterfront development and the 'Last Waterfront Community' is becoming a reality.
Rental rates are excellent in any home with a water view. When they are gone, there will be no more.

Naples Popularly known as the jewel of the South, Naples considers itself sophisticated by Florida standards and is commensurately more expensive than other locations. Unfortunately these homes are now pricing themselves out of the vacation rental market and no longer produce a realistic return on investment.

© Universal Reality, Inc. 2003