Does anyone invest in Ocala Florida

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Does anyone invest in Ocala Florida

Brian Plajer
Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes

I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks

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Murali Jesudoss
New to Real Estate 路 Reno, NV 路 Member since 2020 路 58 posts 路 34 votes
3y
Quote from @Brian Plajer:

I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks


We have about 17 rentals in Ocala and has been a huge success for us. We got them right in time during the 2021 and got quite good deals. It's different market now and I am slowly getting back to explore to see if we can still cashflow in the new price. For a 3/2/1 of 1200 sq ft, you can easily rent it for 1650 which is what I did last week for a lease break out and had a tenant move in 3 days after the vacancy. Lease was signed before. So depending on how much you pay for it, you can assess your cashflow.

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  • Murali Jesudoss
    New to Real Estate 路 Reno, NV 路 Member since 2020 路 58 posts 路 34 votes
    3y
    Quote from @Brian Plajer:

    I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks


    We have about 17 rentals in Ocala and has been a huge success for us. We got them right in time during the 2021 and got quite good deals. It's different market now and I am slowly getting back to explore to see if we can still cashflow in the new price. For a 3/2/1 of 1200 sq ft, you can easily rent it for 1650 which is what I did last week for a lease break out and had a tenant move in 3 days after the vacancy. Lease was signed before. So depending on how much you pay for it, you can assess your cashflow.

    5Reply
  • Clay Lehman
    Member since 2018 路 107 posts 路 92 votes
    3y

    Good morning Brian,

    I am an investor in Ocala. The area is fairly landlord friendly. There are no municipal-level rental restrictions. You will want to watch out for HOAs, that is where you will see rental restrictions. But there are tons of areas where you can buy that are not in an HOA. I think the main thing people would point to as a red flag for Ocala is that it is not a large employment center like Orlando, Tampa, and Jacksonville and as a result may be more exposed to a pull back in values when there is a downturn. In the past 10 years, Ocala has greatly improved the employment base, adding tons of logistics and distribution jobs on top of the medical, service and equestrian jobs that we have always had. I agree with @Murali Jesudoss, I had pulled back from investing when things got super crazy in the last year or so, but I believe things are stabilizing and deals will start to become more attractive.  Good luck and welcome to the area!!

    Thanks,

    Clay

    3Reply
  • Vicki X.Pro Member
    Investor 路 Member since 2022 路 186 posts 路 155 votes
    3y
    Quote from @Clay Lehman:

    Good morning Brian,

    I am an investor in Ocala. The area is fairly landlord friendly. There are no municipal-level rental restrictions. You will want to watch out for HOAs, that is where you will see rental restrictions. But there are tons of areas where you can buy that are not in an HOA. I think the main thing people would point to as a red flag for Ocala is that it is not a large employment center like Orlando, Tampa, and Jacksonville and as a result may be more exposed to a pull back in values when there is a downturn. In the past 10 years, Ocala has greatly improved the employment base, adding tons of logistics and distribution jobs on top of the medical, service and equestrian jobs that we have always had. I agree with @Murali Jesudoss, I had pulled back from investing when things got super crazy in the last year or so, but I believe things are stabilizing and deals will start to become more attractive.  Good luck and welcome to the area!!

    Thanks,

    Clay

     @Clay Lehman@Murali Jesudoss Thanks for sharing! I'm also looking at opportunities in central FL, and Ocala was on my radar. I wonder if you have any experience and insights about Sanford - Deltona - Deland?

    0Reply
  • Clay Lehman
    Member since 2018 路 107 posts 路 92 votes
    3y

    Hey @Vicki X., good morning.  I don't have any experience in those areas.  Welcome to Central Florida!!

    0Reply
  • Giuseppe PavonePro Member
    Specialist 路 Orlando, FL 路 Member since 2015 路 183 posts 路 83 votes
    3y

    I invest in Ocala and really like it.  But there aren't many parts of Central Florida I don't like!!

    1Reply
  • Shawn McCormickPro Member
    Realtor 路 Central Florida-Orlando 路 Member since 2014 路 1k+ posts 路 892 votes
    3y
    Quote from @Vicki X.:
    Quote from @Clay Lehman:

    Good morning Brian,

    I am an investor in Ocala. The area is fairly landlord friendly. There are no municipal-level rental restrictions. You will want to watch out for HOAs, that is where you will see rental restrictions. But there are tons of areas where you can buy that are not in an HOA. I think the main thing people would point to as a red flag for Ocala is that it is not a large employment center like Orlando, Tampa, and Jacksonville and as a result may be more exposed to a pull back in values when there is a downturn. In the past 10 years, Ocala has greatly improved the employment base, adding tons of logistics and distribution jobs on top of the medical, service and equestrian jobs that we have always had. I agree with @Murali Jesudoss, I had pulled back from investing when things got super crazy in the last year or so, but I believe things are stabilizing and deals will start to become more attractive.  Good luck and welcome to the area!!

    Thanks,

    Clay

     @Clay Lehman@Murali Jesudoss Thanks for sharing! I'm also looking at opportunities in central FL, and Ocala was on my radar. I wonder if you have any experience and insights about Sanford - Deltona - Deland?


     I could help a bit in Sanford and Deltona areas if you like. I do a fair amount of busines in that area. What specifically are you wanting to learn?

    0Reply
  • David PierceBusiness Member
    Property Manager 路 Deland, FL 路 Member since 2019 路 71 posts 路 28 votes
    3y
    Quote from @Vicki X.:
    Quote from @Clay Lehman:

    Good morning Brian,

    I am an investor in Ocala. The area is fairly landlord friendly. There are no municipal-level rental restrictions. You will want to watch out for HOAs, that is where you will see rental restrictions. But there are tons of areas where you can buy that are not in an HOA. I think the main thing people would point to as a red flag for Ocala is that it is not a large employment center like Orlando, Tampa, and Jacksonville and as a result may be more exposed to a pull back in values when there is a downturn. In the past 10 years, Ocala has greatly improved the employment base, adding tons of logistics and distribution jobs on top of the medical, service and equestrian jobs that we have always had. I agree with @Murali Jesudoss, I had pulled back from investing when things got super crazy in the last year or so, but I believe things are stabilizing and deals will start to become more attractive.  Good luck and welcome to the area!!

    Thanks,

    Clay

     @Clay Lehman@Murali Jesudoss Thanks for sharing! I'm also looking at opportunities in central FL, and Ocala was on my radar. I wonder if you have any experience and insights about Sanford - Deltona - Deland?


     I manage quite a few properties in those markets.

    PMI Central Florida4.468 Reviews
    WebsiteView Page
    0Reply
  • Michael K.
    Investor 路 Boston, MA 路 Member since 2024 路 16 posts 路 2 votes
    2y
    Quote from @Brian Plajer:

    I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks

    Hey Brian. Reading this old thread. What did you decide? DM me if easier. 
    0Reply
  • Oded Bahiri
    Investor 路 Ocala, FL 路 Member since 2018 路 5 posts 路 1 vote
    2y

    I am currently looking for a rental in this area. Could you please recommend any local real estate agents? Also, I would love to hear from you privately about how things are going for you.

    0Reply
  • Brian Plajer
    OP
    Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes
    2y

    @Michael K. Hi Mike, I am still interested in learning more about Ocala FL for potential future investment. Last summer we bough a vacation rental on Emerald Isle NC so that was a little distraction. 

    0Reply
  • Elmer Urias
    Investor 路 Boston, MA 路 Member since 2023 路 3 posts 路 2 votes
    2y
    Quote from @Michael K.:
    Quote from @Brian Plajer:

    I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks

    Hey Brian. Reading this old thread. What did you decide? DM me if easier. 

    Hey Michael, I just came across this as well now. I'm from Boston and I just bought a 3/2 1550sqft SFH in Ocala. Trying to decide between doing long term rental or short/mid term rental. Let's see how it goes 馃槵

    0Reply
  • Elmer Urias
    Investor 路 Boston, MA 路 Member since 2023 路 3 posts 路 2 votes
    2y
    Quote from @Oded Bahiri:

    I am currently looking for a rental in this area. Could you please recommend any local real estate agents? Also, I would love to hear from you privately about how things are going for you.


    I have a 3/2 1550sqft SFH avaliable

    0Reply
  • Brian Plajer
    OP
    Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes
    2y

    @Elmer Urias I ended up buying a vacation rental on Emerald Isle NC instead of Ocala. Keep in touch if you buy there

    1Reply
  • Chris Rich
    Property Manager 路 Orlando, FL 路 Member since 2023 路 106 posts 路 64 votes
    2y
    Quote from @Brian Plajer:

    I am thinking of investing in rental property in Ocala Florida. Wondering if anyone has experience there? If so, is there any red flags such as rental restrictions, limitations, etc. Thanks


    Hey Brian!  My company manages a little over 400 properties in Ocala and most are OOS investor owned.  Depending on property size you can expect rents between $1500-$1850.  And while like Clay said, there aren't any large employment centers like a metro, you do have a solid job market.  Red Rock Development spent $50 million building the 600,000sqft warehouse (that Amazon now occupies) without a tenant lined up based off the projected growth.  Since then, Chewy, Auto Zone, AT&T, Dollar Tree have all built distribution centers in the area.  Additionally, the Villages are close by and with an aging population it attracts a lot of healthcare field workers.

    Now, with a lot of rental properties you may run into slightly longer vacancy periods if you have a unit turn at the same time as others, but generally speaking renter demand is solid. 

    Here's a link to a Realwealth article ( ) that discusses why Ocala is a great area for investors.  While it's a year old, the 137% equity growth from 2014 to 2022 is quite nice. 

    2Reply
  • Brian Plajer
    OP
    Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes
    2y

    @ChrisRich Thank Chris....is that really your name? Its perfect! Let me see if I can find the article and take a look. 

    1Reply
  • Chris Rich
    Property Manager 路 Orlando, FL 路 Member since 2023 路 106 posts 路 64 votes
    2y
    Quote from @Brian Plajer:

    @ChrisRich Thank Chris....is that really your name? Its perfect! Let me see if I can find the article and take a look. 


     I'll DM you the link Brian.

    1Reply
  • David PierceBusiness Member
    Property Manager 路 Deland, FL 路 Member since 2019 路 71 posts 路 28 votes
    2y

    Ocala is a good rental market and is growing. Good place to invest.

    PMI Central Florida4.468 Reviews
    WebsiteView Page
    1Reply
  • Brian Bussey
    Member since 2009 路 30 posts 路 6 votes
    2y

    Hi Brian, everyone on this thread has great input! Ocala is definitely growing and can get great deals in comparison to the rest of FL. We are currently building many investment Single Family Homes on independent lots that focus on maximizing rent. If this is something you are interested in, let me know and I will send you our projects. 

    Wish you the best! 

    good name by the way!

    1Reply
  • Suzet A.
    Investor 路 Member since 2021 路 3 posts 路 7 votes
    2y

    Hi Brian,

    I鈥檓 not sure if you are still interested in Ocala. It鈥檚 a growing city and in a great location close to Orlando, Gainesville and Jacksonville.

    here鈥檚 the link to the RealWealth article that was mentioned above by Chris

    https://realwealth.com/learn/best-places-to-buy-rental-property/amp/#
    0Reply
  • Brian Plajer
    OP
    Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes
    2y

    @Brian

    @Brian Bussey Sure, I'd love to see some of your projects. Do you build any multifamily units?

    0Reply
  • Brian Plajer
    OP
    Rental Property Investor 路 Chalfont, PA 路 Member since 2021 路 189 posts 路 90 votes
    2y

    @David

    @David Pierce I see that you manage a few properties in that area.  I'll keep you in mind if I device to pull the trigger. I'd visit in advance to get the lay of the land. 

    1Reply
  • David PierceBusiness Member
    Property Manager 路 Deland, FL 路 Member since 2019 路 71 posts 路 28 votes
    2y

    @Brian Plajer - sounds good.

    PMI Central Florida4.468 Reviews
    WebsiteView Page
    0Reply
  • Shane Regnier
    Member since 2021 路 1 post 路 0 votes
    1y

    Hello everyone, we know this post is a few months old now, however we are interested in the Ocala, FL market as well, primarily looking at LTR SFHs in the Silver Spring Shores, Heath Brook, or Marion Oaks neighborhoods. We live in San Diego so would be long-distance, TBD if we self-manage or enlist a PM. A couple questions:


    1) Has anyone worked with local lenders like a local bank or credit union? We are out of state but would be open to working with someone local if they can offer favorable terms.


    2) Any local realtors you have worked with and been happy with?

    3) Any experience in those particular neighborhoods?

    Thanks everyone for your input!

    - Shane & Jen Regnier

    0Reply
  • Giuseppe PavonePro Member
    Specialist 路 Orlando, FL 路 Member since 2015 路 183 posts 路 83 votes
    1y

    @Shane Regnier I've flipped a bunch of houses in Ocala but have yet to dabble in the rental market.  Any particular reason you've chosen this market from all the way in San Diego?  Just curious.  Those were very good areas a couple of years ago when people were less aware of Ocala but it's gained in popularity so it's become tougher to make the numbers work, but there are still deals to be had, especially for rentals.

    0Reply
  • Chris Rich
    Property Manager 路 Orlando, FL 路 Member since 2023 路 106 posts 路 64 votes
    1y
    Quote from @Shane Regnier:

    Hello everyone, we know this post is a few months old now, however we are interested in the Ocala, FL market as well, primarily looking at LTR SFHs in the Silver Spring Shores, Heath Brook, or Marion Oaks neighborhoods. We live in San Diego so would be long-distance, TBD if we self-manage or enlist a PM. A couple questions:


    1) Has anyone worked with local lenders like a local bank or credit union? We are out of state but would be open to working with someone local if they can offer favorable terms.


    2) Any local realtors you have worked with and been happy with?

    3) Any experience in those particular neighborhoods?

    Thanks everyone for your input!

    - Shane & Jen Regnier

    Hey @Shane Regnier like Giuseppe said, it's become a little saturated in some areas of Ocala compared to 3-6 years ago. I did a quick search and there are 187 total rental listings in Marion Oaks in the last 90 days. 90 are vacant listings, 18 canceled, 70 that have leased, and 4 pending.  Silver Springs has 89 active listings,  27 canceled, 4 expired, and 56 that have rented. Heathbrook has 61 active, 13 pending, 21 canceled/ expired, and 46 that have leased, so not as bad as the other two. And talking with my leasing team, the properties that are moving quicker are on the lower end of the rental range $1450-1600. I know DR Horton and Lennar are still building a lot, but they seem to be building smaller communities. I would be cautious buying in the saturated areas because there are so many similarly sized properties that price is becoming increasingly the deciding factor.

    0Reply
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