Thinking of taking on an income property? Though the Northeast Florida beaches aren’t a particularly transient area, there are still plenty of opportunities for short-term rental properties. We have beautiful beaches. Our weather beats 90% of the country in the winter. And we have Mayo here, which is a short-term destination for many.
Here are some things to consider when examining a rental property:
Define your price. Rent rates are the first and most important step in determining whether or not you will have a good return on investment for your property. The average price for a house like the one above (6 bedrooms, 5 bathrooms) on Airbnb and VRBO is over $650 a night. It’s oceanfront, can sleep a crowd, and is conveniently located between Ponte Vedra Beach and St Augustine. A house in a different location without direct access to the beach will likely not rent for as much. Just know that for any property, plan to factor in location, # of beds/baths, and proximity to ocean or other area highlight.
Do it yourself or hire a property management company. For some, the idea of screening renters and handling maintenance including scheduling cleaners and lawn care for short term rentals is overwhelming. Watson Resort Rentals is a well-respected local company that handles all of that with services that run in the 15% range for total management.
Market the property well. If you are going it alone without a property management company, take good photos and use popular descriptors. For example, this house on Ponte Vedra Boulevard has granite countertops with top of the line stainless steel appliances.
Highlight unique features and great locations. “Beachfront property perfect for family reunions” both describe the property and contain keywords people are likely to use when searching for a property.
Know the tax implications and local rules. Taxes must be paid on all rental properties. St Johns Country recently formed a new committee for short term rentals to help residents, investors and business owners communicate best practices.
If you are interested in investing in a property that has great rental potential contact The Volen Group or check out this link for more information on the home featured here.
More information on short term rental tips can be found at The Wall Street Journal.