I've spent countless time looking to purchase a STR property in Florida and I can't seem to find anything that fits the numbers to get any sort of cash flow with 10-20% down! Is it just me, or are the prices too high to turn any sort of positive cash flow while projecting conservatively.
Lender · Tampa/Saint Petersburg, FL · Member since 2014 · 356 posts · 148 votes
8mo
Hi Andrew, you can definitely find some pockets that will cash flow with 10-20% down. On the lending side, I've funded several over the past couple of months and we had the PM underwrite with projections ahead of going under contract & they were solid cash flow.
@AndrewSteffens is a great contact for you as he is PM and an agent. he would be helpful in providing insights on the pockets he's seeing the best cash flow & can also help identify the property for you.
Real Estate Consultant · Member since 2025 · 9 posts · 3 votes
8mo
You’re not crazy, Florida STRs are just hard right now with 10–20% down.
If the numbers don't work conservatively, forcing an STR probably isn't the smartest move. A lot of people are doing better with long-term or mid-term rentals, house hacking, or even wholesaling to build cash first. Partnering or looking in less hyped markets can also make deals work.
Rental Property Investor · Member since 2025 · 85 posts · 35 votes
8mo
I invest in STR in South Florida. After OBBB the demand spiked, but the deals are still there. I also believe in today's FL market, you won't make money on LTR, and have a marginal return on MTR. Creative financing deals do exist, and 10-20% down is possible, though the choice may be limited.
Have you explored the numbers on long-term rental as opposed to short-term? What is your motivation for wanting to go the short-term route?
I am curious as well why one over the other. Generally, STRs outperform LTRs though, if managed properly. Andrew, do you already operate STRs? If not, I could connect you with some great operators.
Property Manager · Orlando, FL · Member since 2025 · 110 posts · 50 votes
8mo
Yes, but it depends on the market. STR is actually very tough in Orlando / Kissimmee right now...supply is sky high and tourism has dropped only slightly, but enough to majorly disrupt the Airbnb market here. Lots of STRs in Central Florida are struggling to get bookings now as opposed to even 12 -18 months ago. Many costal regions of FL remain strong for STR
Lender · Tampa/Saint Petersburg, FL · Member since 2014 · 356 posts · 148 votes
8mo
Hi Andrew, you can definitely find some pockets that will cash flow with 10-20% down. On the lending side, I've funded several over the past couple of months and we had the PM underwrite with projections ahead of going under contract & they were solid cash flow.
@AndrewSteffens is a great contact for you as he is PM and an agent. he would be helpful in providing insights on the pockets he's seeing the best cash flow & can also help identify the property for you.
High leverage is definitely going to make cash flowing more difficult, but it is by no means impossible. In my local market I have turned previous primaries with 5% down, into very profitable STR's even though leverage was high and I have mortgage insurance!
We have several folks that use second home loans in the Tampa/Clearwater area and still cashflow. The caveat is you need the exact formula that is going to allow you to perform in that market, and the liquid cash to design the property properly. If you do, I HIGHLY suggest connecting with a STR expert like @Josh Green who knows that market like the back of his hand. This is likely your highest ROI option if you have the funds to support it.
If you want high leverage because cash is limited, you are better off looking in lower competition markets that don't require the same amenity driven design that Tampa has. College towns can be a great place to look for example, and they offer numerous back up options in regards to renting. Feel free to PM me if you have any specific questions.
Real Estate Agent · The Panhandle | The Emerald Coast | Panama City Beach | Destin · Member since 2017 · 257 posts · 101 votes
8mo
You are definitely not alone. A lot of investors are running into the same wall right now, especially in Florida's more popular vacation markets. Prices have gone up, interest rates are higher, and expenses like insurance and maintenance are cutting into margins more than they used to. When you add conservative projections on top of that, it is tough to make the numbers work with just 10 to 20 percent down.
That said, it does not mean the opportunities are gone. It just means the approach might need to shift. Some investors are putting more down up front to lighten the monthly payment. Others are looking in secondary or emerging markets where pricing has not fully caught up yet. Places like Panama City Beach and Destin still have strong rental demand, and there are pockets where the math can work if you are patient and looking at properties with upside.
Cash flow might not be as easy to hit as it was a few years ago, but if you factor in appreciation, tax advantages, and long term equity, the full picture can still be attractive. You are not crazy for feeling like the numbers are tight. That is the market right now. But if you are willing to get creative or dig a little deeper, there are still deals out there.