All Forum Posts by: Edgar Rodriguez

@Pam Ryan I think it truly depends on your goals. I always suggest that, even in a high growth area, you should still try to get a place that cash flows. 

In terms of areas in Florida, there have been some good airbnb options out on the beach in Pinellas and Manatee counties but those are costly (usually 800k+). There is a tiny area called Ruskin that has a small beachfront called Little Harbor. Condos in there run between $225-400k in sales price and those units are airbnb legal. However, there are plenty of other areas to consider in Florida all the way from the panhandle down to this area and Jacksonville down to the Space Coast/Daytona area. I would do some research and see where you would ultimately like to buy and see what strategies/options exist in those areas. 

I think it is important to point out that the mortgages that back these financial vehicles, for the most part, are a lot more solid than in the previous crash. There are extensive checks on credit, income, employment verification, etc that were not happening in the mid-2000s with the subprime mortgage crisis. 

With that, I do not foresee a crazy crash as a result of the housing market. I do foresee a pullback and possible selloff as people are not able to afford their nice, big homes. To be honest, that is healthy especially with how much of a seller's market it has been for the last few years. 

There could be other reasons for an economic collapse such as the insane amount of student loan debt, credit card debt, and other consumer debt a lot of people have. 

I am of the school that a shift was coming regardless. It has been a seller's market for way too long and the supply has been very low even pre covid. I do not think it will be the 40-50% crash like in 2008 but I do foresee a lot of people looking to sell their homes that, like you said, lost their jobs, took pay cuts, etc. I know a lot of people that are seriously in deep if they lose their job. People have not been saving as much money as in the past because of various factors. 

However, there is still very little affordable housing and that is the sector, at least in the Tampa area, that I do not foresee taking a dive in good areas. This includes sub 200k homes normally. Sub 100k or 150k within 30 minutes of Tampa in good, safe areas for single family is basically impossible now. 

The city of Tampa is allowing airbnb as far as I am aware. 90% of Pinellas county is a no go on airbnb or shorter term rentals. Most of the allowable areas are in tourist beachfront locations in Pinellas or condos close to water. 

Your best bet is probably staying on the Hillsborough county side but with homes that are not in subdivisions (HOAs) as they may also have restrictions with leasing. 

It is VERY competitive right now in Florida. However, the growth is still there. You can still cash flow if you purchase at the right price/location.

There is still a lack of affordable rental inventory especially in good areas where I am located (Tampa). I foresee a growth in multifamily conversions/building in areas. 

I would also add that, when comping out the ARV of your flip, make sure to compare like to like construction (block vs frame). There may not be a price disparity but, in some cases, there are. If you cannot find a similar frame home in your area, expand your radius and compare like for like in similar areas.

I would not worry too much about it but it is something to consider when a neighborhood has both block and frame homes. 

Good evening @Juan Chang

I would love to help in any way I can. Do you have a specific budget or unit mix in mind?

@Marcelo Veizaga 

The main issues with those areas in the north Pasco and some of southern Pasco is sinkholes. In regards to flood insurance, Florida is essentially one big flood zone. Haha. But yes, you can purchase properties that do not require flood insurance. You would just have to verify what zone the property is in.

If you want something safer with lower return, you can definitely find it closer to that wesley chapel area after some searching. If you want a good deal with solid returns, you may have to get a bit creative. 

Hey @Marcelo Veizaga  

Welcome to the area! Wesley Chapel is a great area but prices do not necessarily lend to good rental properties. Your best bet would be to find an auction property that needs work or something in an adjacent area such as Zephyrhills or further north. Other options are areas of East Tampa and Palm River. New Port Richey and Port Richey also have some decent deals but they are a little further from central Tampa. 

@Nathaniel Walker 

you're welcome sir. Your intuition is probably correct and, in the future, the airbnb potential in and around the casino will be pretty good considering their recent expansion. A lot of people prefer to be right at the hotel but I'm sure more and more people would not mind being 5-10 minutes away for more space. 

That 33610 zip is one to watch for sure. I also really like 33619 as there are a lot of blue collar workers/families there and not as much crime as other areas that have similar demos.