Advice on Florida markets

[Holly Sarria]

Hello fellow BP members,

My husband and I are newbie investors from Los Angeles currently in the educational phase. We are looking to pull the trigger on a deal by the end of this year. We have about $20,000 saved up and have access to private money.

We have been studying the BRRRR method and plan to implement that strategy. We are interested in a SFH for buy and hold and are looking into investing OOS in a FL market. We are still trying to determine which FL market would be right for us. Interested in Jacksonville, Tampa Bay and Orlando. We would like to narrow this decision down in the near future because we are planning to make a trip to the market of our choice late September to check it out.

Does anyone with OOS investing experience have any advice for us as to what we should schedule during our visit? Who we should focus on speaking with? We understand it would have to be a pretty scheduled trip because we wont have to much time to explore.

Would anyone have any recommendations on which FL markets are cash flowing (if any) or should look deeper into? Also any recommendations for contacts in the are would be greatly appreciated.

Thank you all for reading! I look forward to reading all of your responses!

[Jim Hiler]

There are numerous good markets in Florida due to overall population growth of the state. You'll have to do you're own research and make a decision based on numerous factors. I would start by just googling "growing cities in Florida". In my opinion here are the top considerations when choosing a new OOS market. 

1. Population Growth

2. Job Growth

3. Employers/Industries in the area and the diversity of the local economy.

4. Do you prefer to have more cash flow or better chance for appreciation. Florida is microcosm of the country in that the coastal markets are typically appreciation markets and the inland markets are more for cash flow.

5. Market Size / Inventory - Is the market large enough and have properties available in order to to expand. Also is the market large enough to be able to find a qualified property manager.

6. Boots on the ground - Do you know anyone in the market. You'll need a go to team member in the market to help find, evaluate and manage your properties. That could be your property manager or even your RE Agent, or just another team member/partner/friend that you work with that knows and lives in the area. 

7.  Misc other factors - Hurricane risks, insurance costs, etc.

7. You may want to consider a place you may like to visit. Don't choose the market based on that, but it can be an added bonus.