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Personal Finances / Buying or Selling a Home
|Subject: Re: Buying Retirement PLace in Fl||Date: 10/25/2013 6:31 AM|
|Author: inparadise||Number: 126480 of 127886|
Well until retirement we would visit it maybe 2-3 times a year so all the other time during the year..idk
That would mean if you want the flexibility of using the place, renting would have to be as a short term vacation rental. Many parts of FL are flooded with these properties, but take a look at VRBO.com to see what a comparable place could rent for. While this will give you some idea of possible income, realize that there are many costs involved as well, including management which can run around 30% of gross income. Or you can self-manage, a challenge from a distance and a job from no matter where. And realize if you want to rent it out, your mortgage rate and down payment will likely be higher, since it is now an investment.
I recently evaluated a purchase in N GA, an area I really like where I feel real estate bargains can still be found. When I looked at the opportunity cost of capital invested towards purchase and furnishing, we could keep our capital and just use the income to rent a place for a few months each year.
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