Im looking to make my 1st Rental Property purchase here in Miami, FL. I have been approved for a 390k conventional mortgage as well as a 375k FHA. I understand I cannot use my FHA to Finance my Investment property. I plan on keeping my budget at $200,000 or under as I have the 20% down payment at this price point with money left over to make any renovations needed. I was looking into purchasing a home to live in but was sad to find that Miami is more expensive than I thought. Anything nice, worthwhile, and in a decent area will cost me $2,100 a + a month including PMI. I decided it would be better to continue to rent as my current rent is only $800 because me and my partner split the bills 50/50, while I start a real estate investment portfolio. At $800 a month, it leaves me with more than enough free cash flow a to live comfortable and keep emergency funds. My questions to you Guys/Girls are the following:
- What are good Rental producing areas in Miami at this price point?
- Are there any websites I can use to find out what I would be able to rent my investment out for?
- Any advice to someone looking to begin their real estate portfolio?
- Is this even a good idea?
- What renovations can be made to increase the value of your investment?
- What is considered a "good" ROI?
Sorry for the ignorance, I just want to make sure i'm making the right decision. Thank you for your time.
Wow, Miami is a big area! I grew up in Hollywood and can tell you Dade county has so many different communities in it. Hopefully, someone on here will be able to point you in the right direction. What areas are you looking at? In your price range you have lots of options.
All the best,
I was thinking somewhere near the universities, I.E UM or FIU but then I realized that I would probably be dealing with 9-10 month leases which isn't so smart. Im leaning more towards FontaineBleu or South Miami, Im not too sure. Is there any websites where you can find analytics such as:
- Average time a place is on the market before rented?
- % of people who rent vs own in a specific area?