Higher end rental market viability?

Question

Selling rental property in Honolulu and hoping to re-invest it via 1031 exchange in a rental that generates more income. Considering Orlando but am unsure what the rental market is like for single family homes in the $5K-$6K/mo range (purchase price $1mm+). Appreciate any thoughts/advice from people with expertise and knowledge of the area. Thank you!

Tyler Gibson · Answer

How do you feel about short-term rentals?

Shawn McCormick · Answer

Hi @Gordon Hee The Orlando rental market is virtually always vert strong. In the past, we have had mostly hospitality and tourism jobs that had high demand for rentals due to the low wages they produced. In the past decade, we have come a long way. A lot more tech jobs, medical, VA medical, our main university (UCF) has grown the be on of the largest campuses in the country, now that the space race has picked up too. All of these and just overall growth in Florida with people working from home etc has made Orlando a great destination for higher end jobs.

With that said, Disney just transferred 2000 jobs to Lake Nona area from California, which already has incredible demand for housing, so that would be a great option, Short term rentals near the theme parks perform amazingly if done properly and can generate tens of thousands a month in income. The Windermere/Winter Garden areas are always very sought after with the proximity to theme parks, airport, downtown etc too.

So you have lots of options for higher end homes and prospective tenants, good luck, keep us updated.