My husband and I are thinking about buying a new construction in Ocala. We have a few questions as we are not from the area: 1. Are Marion Oaks and Silver Springs good areas to invest? 2. What are the pros and cons of each? 3. Is well-septic a disadvantage for a property in Florida making it less desirable to rent/re-sell? What is the average appreciation in Ocala and how does this compare to other parts of Florida such as Nort-Port or Cape Coral? Thanks a lot in advance. Shabii
Hi @Shabii Dilmagh ,
I can't speak for the appreciation of Ocala, but the current growth rates of Cape Coral and surrounding cities has been hard to beat recently. Over the past few months, I've seen multiple posts discussing Cape Coral as the best overall investment city in Florida, and even one of the best in the US. Many new construction duplexes are currently being built, and while these properties don't offer great immediate returns compared to other current on-market deals, it's very safe to put your trust in the fact that you're investing in one of the best markets Florida has to offer.
Good morning. I am a realtor and property investor in Ocala. Marion Oaks and Silver Springs Shores are good areas for rentals. Here is a blog post we recently did on the Marion Oaks area. As you will see in the article, there have been a number of distribution centers built in the Ocala area in the last few years that are bringing thousands of jobs to the area and fueling the housing shortage here. I would be happy to connect further if you like. I will private message you. To answer your other questions more directly, the pros to the 2 areas are that the home prices are lower than our median price in ocala (around $145ish to around $160ish vs median of $180) and the rents are high enough to produce a solid yield ($1,200 to $1500). The cons for both areas are the are higher renter populations and that can dampen appreciation. Well and septic are super common here, no drawback to having well and septic from a value standpoint. We recommend that our owners pump the septic every couple of tenants. But no negatives to well and septic. In terms of appreciation, I look at Marion County like this. When you buy your house, it is better to buy the least expensive house you can buy in the nicest neighborhood. Marion County has one of the lowest median prices in Florida. It is also in a great spot between Tampa, Orlando and Jacksonville. I hope this info is helpful.
I do not buy in Marion Oaks or the Shores as there are some good pockets in both, but they have a not so great reputation locally. The huge distribution centers are next to the Interstate north of SR200, so not close to either neighborhood. The new World Equestrian Center is on west HWY 40 between NW 80th Ave. and NW 100th Ave. - also a long distance from both neighborhoods. Read this Facebook group to see rents and neighborhoods in Ocala https://www.facebook.com/group... I have wells and septic tanks on my properties and many homes that have "city water" are still on septic tanks. The biggest problem I have is ants frying the pressure switches, which seem to happen nights and weekends - they are inexpensive ($15 - 20), and labor to replace is a service call fee.
Thanks a lot for your responses. They were very helpful.
@Marelyn Valdes , can you share the negative reputations in Marion Oaks and the Shores? Crime? Drugs? Thanks!
@Edwin L. The reputation for the bad areas of Marion Oaks is theft and drugs. For the Shores and the Forest is drugs, theft, and a haven for meth heads (forest). You need a good realtor who will steer you away from the bad areas if you buy in either Marion Oaks or the Shores. Both are too far from where I want to own rentals or for my repair people to travel. I prefer to be in the county (lower taxes) but close enough for people who work in the distribution centers or downtown. It is a personal preference since I self manage and am an older female - I have to feel safe to be able to go to anything I own by myself to collect rent or check on a rental.
@Marelyn Valdes , really appreciate the insight in the area. I totally agree with you since your are managing the properties yourself. Be safe.
Hello, I recently put a new construction SFH under contract, which borders Huntington Golf Club in Marion Oaks. Does anyone have any general opinions about this area?
@Alex Cortez , who did you go through for the new construction project? Did you close on it yet? I was just referred a lot in Ocala for new construction, 0 NW 15th Ln Ocala, FL. The surroundings look like a mobile home park via google maps.
Anyone familiar with this area? Thanks for any comments in advance!
@Edwin L. , I am an investor/realtor in Ocala. I am taking a look at the area around that specific lot now and will provide feedback shortly.
@Edwin L. , that neighborhood is a smattering of mobile homes, site built homes and vacant lots. There was only one rental in the MLS in the last year, a 3/2 bath mobile home that rented for $1,100. In terms of sales, the majority of the sales were mobiles, the highest sale was a 4/2 mobile home that sold for $110,000. Let me know if you want to connect and discuss what you are looking for and more about opportunities in the Ocala Marion County area.
@Clay Lehman , thank you for the information. The area doesn't seem to desirable for the tenant profile I want in my rental units. What intrigued me to look into Ocala new construction was the numbers. The agent provided a proforma on the new construction home, competed by May 2021, $169K, 3/2 , rents approx. $1,450-$1,550, after all expense will CoC about 14%.
It could be that the lot is on a different NW 15th Lane. In Ocala, vacant lots can be somewhat tricky, since they do not have the street numbers. What I was looking at was definitely NW 15th Lane, but it could be that there is another NW 15th Lane further east or west of this one. If you want to private message me the parcel number, I can figure that out. I would say that $1,450 - $1550 would be very hard to achieve in the area of the NW 15th Lane that I was looking at, but there are definitely areas in Ocala that those numbers make sense.
Will PM you the parcel number when I obtain it. Thanks!