Anyone short term rent properties in St Pete Beach/Treasure Island/Madiera Beach?

[Brian Stike]

Help!!

I'm a New Jersey real estate investor with a few long term rentals.  
My wife and I have traveled to St Pete/Treasure Island and ABSOLUTELY LOVE IT. 
We'd like to start STR investing down in St Pete/Treasure Island.

I want to buy a small 1 bedroom condo and AirBnB it out when we're not using it.  We'd like to use it maybe 3-4 weeks a year, and maybe let family use it another 3-4 weeks.  
I can find these small ~500 sqft condos for fairly inexpensively, but when I look at regulation and code on the city sites, it seems they're not legal for short term rentals.  However, if you open the AirBnB app, you can book several of them for as short as a few days here and there. 

When I read the codes website, certain areas are clearly illegal to STR in Treasure Island, for instance, but I've stayed in several in that area and they are fully functioning, operating businesses within condo buildings that contain a mix of permanent residents and STR tenants. Further, they have on-site maintenance and managers who would CERTAINLY report code violations to the city. I've stayed for as short as 5 days before and the unit was clearly turned over before and after I left, and I even had maintenance in the property during that short stay for quarterly extermination spraying.

I reached out to a realtor in the area and he's of little help.  He basically told me that most likely, code enforcement hasn't caught on.  I find this hard to believe based upon the on site management of the properties and the business front that the landlord portrayed.  (welcome book, guide, procedures and policies, contact numbers, etc).

Does anyone successfully STR in this area and can shed some light for me? Or, if you're a realtor in the area specializing in investors and a track record of supporting and understanding investors, please reach out!!
Thanks!!

Brian

[Brooklyn McCarty]

Quote from @Brian Stike:

Help!!

I'm a New Jersey real estate investor with a few long term rentals.  
My wife and I have traveled to St Pete/Treasure Island and ABSOLUTELY LOVE IT. 
We'd like to start STR investing down in St Pete/Treasure Island.

I want to buy a small 1 bedroom condo and AirBnB it out when we're not using it.  We'd like to use it maybe 3-4 weeks a year, and maybe let family use it another 3-4 weeks.  
I can find these small ~500 sqft condos for fairly inexpensively, but when I look at regulation and code on the city sites, it seems they're not legal for short term rentals.  However, if you open the AirBnB app, you can book several of them for as short as a few days here and there. 

When I read the codes website, certain areas are clearly illegal to STR in Treasure Island, for instance, but I've stayed in several in that area and they are fully functioning, operating businesses within condo buildings that contain a mix of permanent residents and STR tenants. Further, they have on-site maintenance and managers who would CERTAINLY report code violations to the city. I've stayed for as short as 5 days before and the unit was clearly turned over before and after I left, and I even had maintenance in the property during that short stay for quarterly extermination spraying.

I reached out to a realtor in the area and he's of little help.  He basically told me that most likely, code enforcement hasn't caught on.  I find this hard to believe based upon the on site management of the properties and the business front that the landlord portrayed.  (welcome book, guide, procedures and policies, contact numbers, etc).

Does anyone successfully STR in this area and can shed some light for me? Or, if you're a realtor in the area specializing in investors and a track record of supporting and understanding investors, please reach out!!
Thanks!!

Brian

TLDR, I do think there's quite a bit of regulation here. I'd look somewhere more STR friendly

[Sarah Kensinger]

Alot of times cities don't have the manpower to go around and regulate STRs. Some places/people might not want to report the operation of a STR, because they see the benefit of having them and might not agree with the ordinance. There are so many STRs in areas that are illegal yet somehow, they don't get caught for years! Usually, it's not pretty when the city does catch on and takes care of it. I don't know too much about the area you're looking in, but I'm thinking in certain pockets you can have a STR if you're willing to jump through some hoops. Hopefully someone on here that knows the area can respond with more info for you.

[Doug Spence]

@Brian Stike My buddy Dustin Baldwin does STR's in the area, and he's an agent. I'm not sure if he's taking on new clients right now (he and his wife have a newborn) but he could be a good resource for you. You should be able to find him via google.

Good luck!

[Michael Baum]

Yeah @Brian Stike, most likely they are operating illegally.

You have to guess that the complexes are making money managing the properties so they won't rock that boat.

[Raymond J. Rodrigues]

@Brian Stike, I recommend reaching out to @Josh Green. 

[Bryan S.]

I’m close to that area and it’s super restrictive and heard of multiple people getting caught getting fined and then the cities cracking down further. 

There are unique properties in the area have it on the deed that allow STR but hard to find.

Definitely do the homework and even in the past 4 years the code has been revamped and been has become more restrictive as more STR have launched. I expect this trend to continue. 

There’s ways to make it work but confirm with the city first and get the overall pulse of when new code is coming out as well 

[Patricia Andriolo-Bull]

Not sure if this is the case in the areas you mention, I’m not familiar with them, but in other places (I’m in Marco Island) as they implement restrictions they don’t apply to the condo associations which make their own rules.  Perhaps that’s what you are finding?

[Brian Stike]

@Raymond J. Rodrigues I actually reached out to him yesterday!  Found some of his replies on other threads about Florida and we started a conversation.  

@Patricia Andriolo-Bull you could be right.  I am now in touch with a specialist in the area who can hopefully give me some guidance!!@Raymond J. Rodrigues

[Zach Edelman]

I don't think I would willingly get into a market in which the people that are currently operating STRs, are doing so technically illegally. Is the juice necessarily worth the squeeze? 

[Edgar Sanabia]

hey so I'm not sure about condos. but i do know that i just recently sold a house in south Pasadena turn key for about 280k and it was a AIRBNB play that was legal . so you could always got to SFH for your AIRBNB play unless you are 100% stuck on condos.

[Brian Stike]

@Zach Edelman definitely NOT interested in going into illegal markets, which was what I was trying to clarify.  The codes in the local town halls aren't perfectly clear.  I'm now in touch with someone who knows the areas well and the intricacies. 

@Edgar Sanabia - definitely interested in SFH's as well. My eyes are open to the whole market down in the Tampa Bay area. I just want the location to be such that people enjoy traveling there to use it as a vacation rental.

[Kristina Kuba]

@Brian Stike

I personally grew up in Treasure Island and code enforcement is small but mighty. In most of the beach cities you mentioned, you run an enormous risk running in an illegal STR. Indian Rocks Beach is the only unincorporated beach city in Pinellas County that allows STRs. I recently sold a 2.5 million dollar house on the water that grosses 400k. No need to worry about getting caught with fines, look to IRB.

[Andrew Steffens]

We manage 85+ units in the area, and those specific municipalities are super restrictive.  I know one person who has gotten away with Madeira but its a 6 unit apartment building with no immediate neighbors so he has had a leg up there.  I am happy to help with some points or very close by locales with good returns and relazed regulation

[Brian Stike]

@Kristina Kuba thanks so much for the tip.  I'll check that area out.  
I'm jealous that you grew up in Treasure Island - I absolutely love it there!!

[Luke Skinner]

I know several condos that allow STRs in St Pete. They're definitely out there!

[Branden Jordan]

Have you been to Indian Rocks Beach? I think it's better than Clearwater & St Petersburg. It's a hidden gem. I would like to connect and see how I might be able to help you here in Pinellas County.