Are Condotels a good investment?
My Wife and I have been visting the same resort (condotel) in Florida for about 8-9 years. We love the place. The people, the atmosphere, the location, etc. We had talked about the idea of owning a unit and being able to come down when it's vacant with the possibility of income from unit as well. We've met some residents "snowbirds" as we call them in Chicago, who come down for months at a time and stay in the same unit. We know that the place attracts those type of people who are willing to plunk down that kind of cash and avoid the chicago winters. I'm new to investing but I do have real estate agent experience. My questions are: 1) Do these types of investments make sense for someone not necessarily looking make A LOT of money from it but rather have the convenience of a vacation getaway with the possibility of income? 2) What are some things I need to be sure of on something like this?
I am familiar with terms like NOI, and ROI and trailing 12 and I will look at all that before we make a decision. Any help would be appreciated. Thanks!