Investment property in GA or FL ?

**tasteestuff** · 08-09-2007, 12:56 PM

Hello. I just joined this forum. What a wonderful place. I was feeling lost

My background.

32 yrs old. Decided to go back to school and become a physician. I will be starting Med. school next August, 2008

I would like to invest in a property while I am gone to school with perhaps 20% down or more necessary. Hoping to find a property soon so I can mortgage while working rather than as student.

Hoping to find a property in $300000 area in FL or GA that is going to be a good rental property (somewhere I can find renters and reliable renters

) with minimal management or intervention

First of all, Is this a good idea? Bad idea? If it is bad.. better idea what I can do while I am gone to school for 8-10 yrs?

Thank you

**HHI Golf Guy** · 08-09-2007, 05:41 PM

If you're looking in the south - especially in Florida or along the coast - you may want to look at insurance rates in those areas first. All along the coast, major insurance companies have stopped issues policies during the past few years. Because there is less competition and the history of recent hurricanes insurance costs have skyrocketed.

What looks like a good price on a home may not be such a good price once you factor in insurance costs - especially if it's a rental property.

**tasteestuff** · 08-09-2007, 10:14 PM

thank you. I will look into that

btw, do you think it is a good idea to get into rental property right now?

**HHI Golf Guy** · 08-10-2007, 06:46 AM

Personally, I'm not a fan of being an absentee owner. I'm a control freak

Whether you plan to be in the short term rental business or the long term rental business, I think the best thing to do is check with a number local rental companies and get their stats on occupancy for the overall market and other rentals in the area/community where you purchased your property.

If that property is already a rental property, your real estate agent should be able to get some direct data for you. Actually, your agent should also be willing to get all of the local market rental data that you need as well.

Each market is different, and the short term rental market is largely dictated by the economy of the "drive from" feeder cities. For example, here in Hilton Head our prime feeder market for short term rentals is the state of Ohio. If the economy is decent in Ohio we can expect a decent vacation rental season.

If you do purchase a rental property, spend a lot of time researching rental companies and checking their references. I would also make sure that your income expectations are low. Shoot for breaking even or writing off the losses on your taxes. That way if you make money, it's a windfall. If you lose money, you won't ruin your finances or lose the property. Always budget rental property revenues conservatively and escrow part of that income (at least 10%) into a bank account reserved for future repairs and maintenance.

**REbuyersgroup** · 08-11-2007, 06:25 PM

Please contact me to discuss possible Condo/Hotel opportunities in Orlando.

These are investment property with no maintenance. Current occupancy in a resort that just completed it's 3rd building is 78%+

Condo/Hotels offer not only reliable income, but a great place to stay when you are in town.

Original contract price was $419,900. We have 2 units that buyers could not close. Developer gave them back to us for a quick sale at $309,000 for a brand new, fully furnished 2br, 2bth condo on high floor and pool view.

Current nightly rates are $179 and will rise as the ammenities come online as well as property values.

Management split is 66% to Owner, 33% to Management Company.

80% Financing available.

Only 1.5 miles to Disney, 3Mi to Sea World and 6 Miles to Universal Studios.

**Rich_in_CT** · 08-16-2007, 07:04 AM

FL is a terrible place to invest now. Too many wannabe investors bought into new developments that now can't sell them and are renting them. That means there are now far more rentals available and the home prices and rental prices are softening bigtime. Couple that with EXTREMELY high insurance and high property taxes and you've got negative cashflow that looks like something out of a nightmare. I frankly do not know how ANYONE is making money investing in FL at this point.

**tasteestuff** · 08-20-2007, 08:34 AM

Originally Posted by Rich_in_CT

FL is a terrible place to invest now. Too many wannabe investors bought into new developments that now can't sell them and are renting them. That means there are now far more rentals available and the home prices and rental prices are softening bigtime. Couple that with EXTREMELY high insurance and high property taxes and you've got negative cashflow that looks like something out of a nightmare. I frankly do not know how ANYONE is making money investing in FL at this point.

Wow... I guess I should educate myself before deciding to do anything. Thanks a bunch.. I will do some serious research.

**REbuyersgroup** · 08-21-2007, 01:28 PM

RUN The Sky is falling!

Investing 101: Wait till everyone is buying, prices rise, pay top dollar.

Oops, that didn't work.

Lets try this one! Buy when everone else is selling, at low prices, plenty of inventory. Sell when lesson 101 kicks in.

There are opportunities in EVERY market. Don't be stupid and think Florida is a bad market. Great weather, awesome beaches, strong economy, and plenty of people move to here every month.

We just sold the last of the 2 units in the Orlando,Condo Resort. Great price. YES there are still people buying Florida. I have 8 contracts this month.