If you are considering purchasing Florida investment properties, you likely have been researching information that you can find online. There are many great sources of information and there are also bad sources of information. It is difficult to distinguish between the two when you are just starting out. There are common myths about Florida investment properties that you should know to put the rumors to rest and get comfortable making investments.
Myths Surrounding Florida Rental Properties 1.
It is Too Expensive to Buy Rental Properties in Florida
The rise in foreclosures and declining property values has lowered the costs significantly to purchase Florida real estate for investment purposes. The growth of the rental property market is very strong and out of state investors and foreign investors are capitalizing on property vacancies to boost their monthly rental income.
2. Beach Homes Earn More Money Than Residential Homes
The popularity of staying in a home on the beach cannot be ignored. Many of the homes used for rental income are vacation homes rented to an ever-changing client base. Residential rental properties are single or double family homes that have long-term lease agreements. All rental properties are positioned for monthly rental income growth.
3. All of the High ROI Properties are Already Rentedbr/>
Most all investment properties in Florida earn high ROI due to the close proximity to the Atlantic and higher than national average monthly rent prices. The tropical Florida climate helps to expand the annual tourism industry and fresh faces are quickly moving into surrounding communities. There are thousands of properties that are currently available including beach homes, lake homes and residential homes.
4. Rental Property Management Companies are Expensive
There are many companies that provide rent collection services, but not every company provides additional assistance. Property tax assistance, long-term lease agreements, upkeep and maintenance, evictions and administrative work are only some of the tasks completed by excellent property management companies. A variety of different price structures should be reviewed to make sure that you get the help required to manage a successful rental property.
5. Now is Not the Right Time to Invest Money
Every down economy creates a shortfall in cash for those without strong investments. Doing nothing to grow your money in a fragile economy is one of the worst things that you can do. Interest rates are at rock bottom and there are few ways to invest money that produces a guaranteed monthly income like rental properties or vacation homes. Now is the perfect time to make investments before property values double or triple in price.
What to Know Before You Invest
Your investments will only be as strong as the opportunities that you have available. Rental properties have never dropped off in popularity due to the basic need for housing that every person needs for survival. Some of the most successful real estate investors in the world started with and continue to invest in rental properties.