First Time Investor trying to get some tips
Hi, all!
I am looking to try and buy a property in Orlando (or surrounding area) in the next year or so to use as a vacation home/short term rental property. I would like to try to be within a 30 minute drive to Disney to make it appeal to those who want to rent through Airbnb or something similar. At this point I'm looking at a price point of around $250k. I want to try for a standalone home as I don't know how well the Airbnb aspect works w/ Condos and such. I'm also looking for a not crazy HOA. Just browsing some of these homes, there are some that are more than 50% of what the mortgage is (like $800 mortgage, $500 HOA). I just cannot see the value in that. I feel like I'm one of those people on House Hunters that is asking for unreasonable things, so let me know if I am. I'm not quite ready to buy yet, as I just have enough saved for the 20% down payment - and I know there will be other out of pocket costs and I don't quite want to completely clean out my savings. So, I guess my main questions are this:
1) In addition to the 20% down payment, how much money should I have on hand for things like closing costs, inspections, other fees. I'm from NC and don't know anyone who lives in FL to ask what to expect for these type of things. Also any experience from those who have done anything similar who are like, "I wish I had put money aside for this," would be greatly appreciated.
2) I don't want to waste anyone's time by starting to look too early w/ a realtor or apply for lending or anything until I'm really ready to commit. I also don't want to fall in love with something and not be at the point where I'm just not able to buy it yet. When and how do you start reaching out to people? I guess the when is really when I have the finances, but just wanted to get some feedback.
Sorry for the novel and thanks in advance for any advice. I really appreciate it!
Thanks!
Steph