By Jim Vogel
The housing market in Florida is hot right now. If you’ve been thinking of downsizing or retiring to a beachfront destination, the Gulf Coast might be the perfect choice. The subtropical climate means the weather is warm year-round. Florida also is one of the most tax-friendly states in America for retirees. It’s also a great spot to own a vacation home or to get started with small-time real estate investing. Here are some reasons why the Sunshine State makes a great choice for retirees or rental property owners: Why It Pays to Purchase in Florida It’s a great market for purchasing a home in Florida. The state’s housing prices were among the hardest hit during the recession a few years ago, and they haven’t fully recovered. This may not be ideal for sellers but if you’re looking to buy, it’s great news. Homes in the Gulf Coast are easy to convert into real estate rentals or to use as the perfect vacation home. Because they also maintain their property value reasonably well, they can provide a good return on investment. You can save even more money by purchasing a home with smaller square footage, a home that is slightly further from the beach, or by considering a condominium or townhouse. Purchasing Your Florida Home There are some things to consider before purchasing a vacation home or rental property, especially if you do not currently live in Florida. First, you’ll want to balance your budget and determine how much house you can afford. You’ll also want to carefully research the areas of Florida to determine which housing market makes the most sense for you. How close is it to the beach? To your family? To hospitals, gas stations, and grocery stores? Consider the local culture. Is there live music or an arts scene? Are there plenty of activities that fit your interests? Are there lots of tasty restaurants to satisfy your inner foodie? Not only will these things influence your enjoyment of the home, but it could draw guests and tenants, too. Be sure to consider crime maps, too. You want to be happy with your choice of location and in an area that will be ideal if you ever decide to resell or rent your home. In fact, if you’re interested in renting your home out as a vacation rental or other real estate property, ExtraSpace reports some parts of Florida are among the most profitable in the nation for homeowners who list on sites like AirBNB. Renting Your Florida Home Maybe you only spend a few weeks in your Florida vacation home each year. You don’t have to leave your home vacant the rest of the time — instead, you can turn it into a profitable rental business! If the distance is great or you don’t want to attend to every detail of running your business, you can work with a property manager. You might be nervous that your personal assets would be vulnerable if someone were to sue your rental business. By setting up an LLC for your business, you can alleviate this anxiety. Start an LLC in FL quickly and easily by going through an online formation service. CNBC notes this is also a great way to secure specific tax breaks! Protecting Your Florida Home Obviously, one of the biggest preparations you’ll need to make with any home in Florida is preparing for natural disasters such as hurricanes. There are physical preparations, such as installing shutters and impact-resistant windows, but you should also invest in the right insurance for your Florida home, especially flood insurance, and Atlantis Insurance can help you determine what is best in your situation. Although hurricanes are as unpredictable as they are expensive, preparing for one in advance can prevent expensive out-of-pocket repairs down the road. Enjoy Your Florida Home Once you’ve made the decision to purchase property in Florida, you’ll likely have no problems adjusting to the way of life here. With its sparkling white sand beaches, magnificent sunsets, and breathtakingly calm waters, the Gulf Coast is not only one of the most beautiful places in Florida; it is also one of the most livable. Atlantis Insurance offers services to meet all your needs. Call us today at 561-983-4333 to learn more about what we can do to provide you with peace of mind.
