best areas in Florida for investment

[Jake Warren]

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

[Juan Hasbun]

Ocala, Tampa, Orlando, Lehigh Acres, West Palm Beach

[Samuel Leatherwood]

I am in Orlando and the market for LTRs can be good if you are looking in the right areas. What brings you to FL from Ontario? Safe travels!

[Jake Warren]

Quote from @Samuel Leatherwood:

I am in Orlando and the market for LTRs can be good if you are looking in the right areas. What brings you to FL from Ontario? Safe travels!

 visiting family down there and have been wanting to get into the market down there. prices back in Ontario just seem to high to be able to get into the market.

[Drew C Grossman]

Ocala, parts of Jacksonville, Palm Coast, Deltona, DeLand 

What are yours specific goals for the investment? 

[Jake Warren]

Quote from @Drew C Grossman:

Ocala, parts of Jacksonville, Palm Coast, Deltona, DeLand 

What are yours specific goals for the investment? 

 goals I would like to reach are long term appreciation and cash flow would be great.

[Phillip Austin]

Tampa and Orlando corridor. 

The bigger national PM companies are all starting to open up offices in those surrounding areas. These companies partner with larger institutional investors who spend a significant amount of money in market research. So, I pay close attention to where they're going. 

[Tyler Gibson]

I would say Central Florida has many great opportunities. Others on this thread listed most of the cities here in Central Florida. 

[Joshua Black]

I know a lot of people who have responded to this question are more qualified than I am, so I will only speak from what I've seen over the years.  My wife and I are from Ohio, and have been vacationing in Clearwater for decades.  It has grown tremendously from year to year, so I would say that the whole Tampa area would be a nice place to invest.  I think it also depends on what you plan to do with the property.  We rent an AirBNB on the beach from a gentleman who used to own his own successful dental practice, and now he does AirBNB full time.  He says he loves it and can't imagine doing anything else.  Anyway, just my two cents.  Best wishes in your search!

[Bob Stevens]

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

 You can get much higher returns in other markets, But if you are only wanting FL then Cape Coral 

[Jossalyn Wallace]

Hi Jake!

I live in the FL Panhandle so I am definitely partial but we have awesome rental markets here. I would consider Panama City, Laurel Hill (areas around Tyndall Air Force Base), Navarre, Mary Esther, Fort Walton, Crestview, and Niceville (areas around Eglin and Hurlburt Bases). We also have very strong MTR/STR in areas like Destin, Panama City Beach, Miramar Beach, 30A. There are a bunch of medical offices around in addition to the military and the tourism so you really can't go wrong. Our appreciation has been pretty outstanding because of the growth that is happening.

I can't speak personally to any other locations in Florida but have heard good things about Jacksonville/Tampa areas. Happy house shopping and let me know if I can help with anything! 

[Don M.]

Quote from @Bob Stevens:

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

 You can get much higher returns in other markets, But if you are only wanting FL then Cape Coral 

 I agree with Cape Coral.  Deals to be found, but high rental demand and strong rents (even more so post-Hurricane Ian)

[Bob Stevens]

Quote from @Don M.:

Quote from @Bob Stevens:

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

 You can get much higher returns in other markets, But if you are only wanting FL then Cape Coral 

 I agree with Cape Coral.  Deals to be found, but high rental demand and strong rents (even more so post-Hurricane Ian)

 Yes this is what I hear, I may head down there, old, buddy/ client has about 400 there and said its strong. 

[David Pierce]

Good time to scout out areas. But I am pretty sure rents and prices are going to drop...

[Stetson Miller]

@Jake Warren I can second both Lehigh Acres and Cape Coral. If you're looking for a stricter cash flow market, Lehigh would be the better option between the two. Both currently offer great supply and availability for purchase, as well as high rental demand and low vacancy

[Samuel Leatherwood]

As @Bob Stevens said, there are some good deals in Cape Coral, depending on the location. Many sections of the Cape Coral metro area (near the River & SW Cape) have had really high appreciation which is great because they returned some of the highest returns out of all US metro areas in 2022. The high appreciation, however, has priced out some investors. North Cape has a much more reasonable price point. 

The other question is whether job growth and migration will be able to sustain Cape Coral's growth over the long run. Something to consider: Cape Coral was one of the hardest hit cities in the 2009 housing crash.

Cape Coral is my hometown <3! Currently living and working in Orlando. 

[Tom D.]

Quote from @Don M.:

Quote from @Bob Stevens:

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

 You can get much higher returns in other markets, But if you are only wanting FL then Cape Coral 

 I agree with Cape Coral.  Deals to be found, but high rental demand and strong rents (even more so post-Hurricane Ian)

 I have spoken to others about Cape Coral and read that they advise to find neighborhoods without HOAs (I guess they exist) and buy a home without spending the extra 150K for the canal.  They said the numbers are much better because no one ever brings a boat.  Thoughts?

[Joseph Beilke]

@Jake Warren

PM sent about Palm Coast and how it is very unique and different to many other places in FL.  Also @Drew C Grossman. has some great opportunities in Marion Oaks. I have personal met with him and his projects are on my radar too. Would love to meet you when you visit and show you around.

[Shawn McCormick]

@Jake Warren Plenty of great areas mentioned already. Many variables to your goals... do you plan on building a portfolio in Flordia..look more long term metrics if you do, not just finding a deal now.

Insurance is plaguing the state right now, so IMO, I would stay away from anywhere near the coasts and really vet the property for 4 point inspection items as providers are getting really tough on binding policies. 

Another thing to consider is financing. It looks like you are from Canada and that's 30% down with different underwriting guidlines, so be ready for that too. If you need a couple recommendations for mortgage brokers let me know. 

Best of luck to you!

[Samuel Leatherwood]

Always great insights from @Shawn McCormick!

[Carlos Julio]

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

I have been living in cape coral the last 2 years and have seen the development so far. There is a good growing plan and migration is evident, from north and south and also the profile has changed from retirement to family oriented... job growth has been led by retails. North area is interesting, my wife (realtor) and I (property management) have found some good spots and will continue to learn and try new things. If you need anything here let me know.... DM me

[Carlos Julio]

Quote from @Samuel Leatherwood:

As @Bob Stevens said, there are some good deals in Cape Coral, depending on the location. Many sections of the Cape Coral metro area (near the River & SW Cape) have had really high appreciation which is great because they returned some of the highest returns out of all US metro areas in 2022. The high appreciation, however, has priced out some investors. North Cape has a much more reasonable price point. 

The other question is whether job growth and migration will be able to sustain Cape Coral's growth over the long run. Something to consider: Cape Coral was one of the hardest hit cities in the 2009 housing crash.

Cape Coral is my hometown <3! Currently living and working in Orlando. 

 I think big box companies has been  working on increasing presence around here, walmart centers are in plans for development and also target has long term plan to increase presence in sw FL area . 

[Don M.]

Quote from @Tom D.:

Quote from @Don M.:

Quote from @Bob Stevens:

Quote from @Jake Warren:

I am heading to Florida for a month and would like to close on a deal if I can find the right one. what's the best areas for a rental to buy in for a LTR. 

 You can get much higher returns in other markets, But if you are only wanting FL then Cape Coral 

 I agree with Cape Coral.  Deals to be found, but high rental demand and strong rents (even more so post-Hurricane Ian)

 I have spoken to others about Cape Coral and read that they advise to find neighborhoods without HOAs (I guess they exist) and buy a home without spending the extra 150K for the canal.  They said the numbers are much better because no one ever brings a boat.  Thoughts?

Surprisingly, the majority of Cape Coral residences are not in HOA (although there are communities that exist).
I would say it's not totally black and white, but in general when discussing LTR, I would agree.  The premium price tag on saltwater canals would be hard to justify in terms of rents.
In terms of long-term appreciation or using the property as a STR, it could be a different story.
Just my opinion with my limited experience, but @Peter Davis and @Stetson Miller are two people with much more experience in the area.

[Stephen Dispensa]

I'm based in Tampa and work with investors regularly as a broker/property manager/project manager. I still like small to medium multifamily in our market IF you're willing to make investments in the property. The opportunity here is mainly in value add. You need to be willing to invest in renovations and turning over tenants to get properties in this market to cash flow at a decent level. However, we've had great appreciation year over year even before the most recent boom in 2020. 

[Samuel Leatherwood]

Quote from @Carlos Julio:

 I think big box companies has been  working on increasing presence around here, walmart centers are in plans for development and also target has long term plan to increase presence in sw FL area . 

It's good to hear about some job growth in the Cape. The largest employers with high paying jobs in SWFL seem to be more in the South Fort Myers & Estero area. Lee Health, Arthrex, Gartner, Hertz, & Chicos. 

[Avery Gilmer]

@Bob Stevens what other markets?