Is 20% CoC and low money down possible in st Pete?

St. Petersburg, Florida
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Is 20% CoC and low money down possible in st Pete?

Damian Callaghan
Member since 2022 · 21 posts · 7 votes

I have a few commercial and LTR but keen to get in to STR for some monthly returns but also as a tax strategy. I'm in Sarasota but I like st Pete. I was originally looking at Indian rocks beach but have extended my search to Seminole (both zoned for STR). I'm struggling to find anything which is frustrating…..

my aim was to buy somewhere early in 2024 but I’m analyzing a lot of deals and coming up short. Quite frankly I can’t be parting with a few hundred grand to make a few bucks a month 


any advice? 

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Michael BaumPro Member
Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
2y

Hey @Damian Callaghan, I haven't looked much down in FL since insurance has gotten so expensive that I wasn't sure anything would get near 20%.

@Andrew Steffens has a good finger on the pulse in that area, so give him a call.

Make sure you get the STR insurance quote into the mix when doing your calculations.

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  • Devin PetersonBusiness Member
    Lender · Sarasota, FL · Member since 2022 · 2k+ posts · 665 votes
    2y
    Quote from @Damian Callaghan:

    I have a few commercial and LTR but keen to get in to STR for some monthly returns but also as a tax strategy. I'm in Sarasota but I like st Pete. I was originally looking at Indian rocks beach but have extended my search to Seminole (both zoned for STR). I'm struggling to find anything which is frustrating…..

    my aim was to buy somewhere early in 2024 but I’m analyzing a lot of deals and coming up short. Quite frankly I can’t be parting with a few hundred grand to make a few bucks a month 


    any advice? 

    Hi Damian, Local to you in St. Pete! I’d be happy to connect with you more on your scenario to discuss in more detail what you were looking to accomplish. There are a lot of friendly investors in the area that can help.
    [email protected]860-538-3672
    ProAlpha Capital56 Reviews
    WebsiteView Page
    1Reply
  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    2y

    Hey Damian!

    I co-own a STR PM Company HQ in Tampa with many properties in Hillsborough and Pinellas. Saint Pete proper (city limits) is a 30 day minimum but as you indicated IRB, Seminole and some others jurisdictions like Largo etc are legal. 20% CoC is tough, but not impossible. I am also a broker and work with investors to find the best STR properties in this area. I curate a weekly list for them of vetted properties and out of about 20 properties currently on the list only 1 is above 20% currently. There are a lot of nice properties around 17% and then a lot in the 13-15%. Let me know if you would like some further assistance, I would be happy to help!

    [email protected]813-563-0877
    Vacation Rentals of Florida53 Reviews
    WebsiteView Page
    0Reply
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    2y

    Hey @Damian Callaghan, I haven't looked much down in FL since insurance has gotten so expensive that I wasn't sure anything would get near 20%.

    @Andrew Steffens has a good finger on the pulse in that area, so give him a call.

    Make sure you get the STR insurance quote into the mix when doing your calculations.

    1Reply
  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    2y
    Quote from @Michael Baum:

    Hey @Damian Callaghan, I haven't looked much down in FL since insurance has gotten so expensive that I wasn't sure anything would get near 20%.

    @Andrew Steffens has a good finger on the pulse in that area, so give him a call.

    Make sure you get the STR insurance quote into the mix when doing your calculations.


    Thanks Michael! Also FYI insurance has gotten a lot better. I am now paying about half of what I was a year ago, generally about 0.75% of value per year and that STR compliant hazard w/ wind insurance. I still stay away from flood zones for the most part (depending on elevation).

    [email protected]813-563-0877
    Vacation Rentals of Florida53 Reviews
    WebsiteView Page
    1Reply
  • Sarah KensingerPro Member
    Real Estate Consultant · OH · Member since 2023 · 2k+ posts · 1k+ votes
    2y
    Quote from @Andrew Steffens:
    This is good to know! I'm guessing local insurance companies are still better then out of state?
    [email protected]330-557-3021
    0Reply
  • Jorge VazquezBusiness Member
    Real Estate Broker · Tampa, FL · Member since 2017 · 1k+ posts · 685 votes
    2y

    Have you considered investing in Ybor? I've had great success with two properties I bought for under $170k each, renting for $4k each.

    Graystone Investment Group4.6271 Reviews
    WebsiteView Page
    0Reply
  • Raymond J. RodriguesBusiness Member
    Lender · Miami, FL · Member since 2017 · 1k+ posts · 797 votes
    2y

    @Damian Callaghan, reach out to @Josh Green. He's an investor/ investor focused agent that helps clients source STR and LTR properties in the area. He also manages quite a few STR's as well. I've worked with him in the past and he's great to work with. I hope this recommendation helps!

    [email protected]619-456-8311
    Helm Mortgage Corp.5127 Reviews
    WebsiteView Page
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  • Damian Callaghan
    OP
    Member since 2022 · 21 posts · 7 votes
    2y
    Quote from @Jorge Vazquez:

    Have you considered investing in Ybor? I've had great success with two properties I bought for under $170k each, renting for $4k each.

    What type of property in Ybor? Purchase price sub $170 and $4k monthly revenue? 
    0Reply
  • Jorge VazquezBusiness Member
    Real Estate Broker · Tampa, FL · Member since 2017 · 1k+ posts · 685 votes
    2y

    Off-Market Bungalow.

    Graystone Investment Group4.6271 Reviews
    WebsiteView Page
    0Reply
  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    2y
    Quote from @Sarah Kensinger:
    Quote from @Andrew Steffens:
    This is good to know! I'm guessing local insurance companies are still better then out of state?

     Actually no! The gov signed into law some legislation that is unfortunately good for insurance companies/bad for anyone making a claim but that brought companies back in the market at the increased competition drove the rates down.

    [email protected]813-563-0877
    Vacation Rentals of Florida53 Reviews
    WebsiteView Page
    1Reply
  • Joseph Stern
    Investor · Tampa, FL · Member since 2020 · 287 posts · 152 votes
    2y

    Hey Damian, I will be running some off market campaigns for rental property in Pinellas county for deals similar to that criteria. Let me know if you're interested, I can shoot some leads your way.

    0Reply
  • Aaron A.
    Member since 2023 · 22 posts · 1 vote
    2y

    Hey guys!

    Saint Petersburg, FL.
    Looking for your thoughts on ADU's. Stick or block, 2/1's, 600-650sq ft, and very well done. $110k for stick. $130k block.

    Do you think they hold better ROI and long term investment to put on a SFH house hacked property that has enough space for the ADU or do you think it's better to do the shipping container route for $20k?

    Thank you in advance!


    Aaron

    0Reply
  • Aaron A.
    Member since 2023 · 22 posts · 1 vote
    2y

    Hello everyone!

    How do you feel about the area just south of downtown Saint Pete now that the Tropicana project has been approved? Think it’s good area to buy for a LTR house hack? Do you foresee those older areas having high possibility of excellent appreciation over the next 5-15 years?

    0Reply
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