All Forum Posts by: Melissa Jolley

@Simon Collins

I really hate that. I am located just across the bridge from Destin and...while my family and I enjoy it during the off season, I much prefer Mexico Beach. I went to school in Marianna so Mexico Beach was close as a kid. I had a ton of investors contact me and they were all looking for cash flow...thinking they would score big. I hated to tell them but...it wasn't there. My mom grew up in St. Joe..those mom and pop place were the best.

I grew up in the panhandle and I agree with a few of the comments above. Panama City, FL got hit hard by hurricane Michael- so it looks messy right now and, frankly, some of the areas that were hit hardest were very old and not desirable as far as traditional tourists go. Panama City Beach is making an attempt to set itself apart. I see it blending with 30A based on the direction Inlet Beach is going with some of its developments. Laguna beach area used to be the least expensive area with close access to the beach- start there? The kind of revenue you are wanting to "net" is outside of what I have seen in Destin, PCB and surrounding areas. In fact, I see around 10% net on most properties and that is if they do a great job at marketing. So, a property listed for 1M has that potential...if all goes very well. The thing that most don't consider or try to avoid is the possibility of buying a fixer-upper as a STR. Finding an older place that needs updating for much less...updating and furnishing might serve you better. Please be sure to investigate the STR regulations in the specific subdivision (area) you end up with. The rules are changing frequently- I feel it is important to know the local govt. feelings toward STR first. As you likely know, close proximity to the beach will be key with STR.

I am looking at a mixed park now but RV's are monthly. There does seem to be a divide as far as the RV's are concerned. We lived in Yuma, AZ for a while and all of the parks there are long-term. It is an area that is big on RV's and snow birds. Avg. rent was $400 monthly. I am looking at a park in FL now that is close to the bay. I feel like a short-term park needs to have some type of attraction while a long-term park only needs demand for affordable housing. Like all short-term, management expense (or your time) is much more involved.

I have always assumed that a 30amp or 50amp RV cannot use that much electricity but I would be interested in a cost break-down since MH residents can be billed back. 

If I was coming in to buy a mixed park like you described, I would want to see utility bills. I would want to know about the sewer/septic situation (of course). What kind of jobs are nearby that would help keep the RV's? Are the jobs temporary?

Are the other homes in the HOA single family? If so, it might be hard to get the zoning changed.

@Imran Ahmed I typed a good response but it wouldn't post for some reason. Off season nightly rates are at least $50 lower per night than in-season rates. Some owners opt to rent on 3-6mo leases to snowbirds during this time. The West end is full of newer developments like Pier Park (large outdoor mall with popular restaurants). It is also closer to 30a and Inlet Beach. Laguna Beach area has experienced a good amount of appreciation even before the hurricane and I anticipate new builds in this area before long. I have shifted my focus to MHP's so I don't own short term in PCB or PC. I lived there when I was going to college and my family still lives there. In order to determine the area you really have to think about price and about what kind of guest you want to entertain. St. Andrews in Panama City is a historical area that is slower paced. All of the condos on Front Beach do well during season but some HOA's fail at maintaining the grounds in my opinion. As you approach Destin, the prices will increase.

@Tyler Erickson If you have a Realtor® where you are hoping to buy- have them request that information if the property is listed. You can ask for NOI, and to see all reservations. I recommend going back to 2018. ****Take these with a grain of salt....or two. Some agents or owners will try to fluff numbers. If the property is off market and you are dealing directly with the owner- don't be shy about asking for all of this. In my area of NWFL it is common for STR's to be listed during off season....the good agents go ahead and post this information on the MLS.

As mentioned previously, marketing/photos/furnishings have a HUGE impact on bookings. Don't be afraid to lower the price a little when you see a break in the calendar. That is the most effective method to make sure you stay booked. Observe when the slow times are and make sure you are priced right. Check out the podcasts that mention STR....there are some awesome strategies discussed by folks who have been in the business for a long time and newbies.

@Amy A.

You must be talking about Shores of Panama. The condo/hotel type thing you are referring to is just a short term rental. Some condos are classified as condo-tels....that makes financing a little more challenging.

Shores of Panama had some legal issues with the developer a while back. It is a popular spot for tourists because of the pool layout.

From the outside looking in.....it would have really helped if the host made simple things available. We ended up having to run to the store for dish soap, dish washing detergent....paper towels. If it were me, I would make it clear on my Airbnb listing that these things were provided. We chose a terrible time to go, but it was the time we had. The first night we had to go to Walmart to grab those items....it took 2 hours. That was the start of our vacation. If a host had provided these things we could have been in the pool for 2 hours. The traffic in those areas can be terrible. Have professional pictures taken. Have furniture that is comfortable and clean (fold out beds would be a plus). The neighborhood that we stayed in had a club house type building that sold things like Ice, drinks and snacks. That was great since we could grab something without getting on the road.

I stayed at an Airbnb in Kissimmee in March. We went to Disney. There were several STR in the resort neighborhood. It seemed to me that in that area the "off season" is much less....however, I can see the competitive aspect of it. The particular home we rented was dirty. I believe we paid $150 a night for a 4BR 3BA home with a pool. While we were there I was looking up how much the home cost....it was only $200K.

I agree with some of the advice that you have gotten already. Parts of Panama City are more C-, D...and worse properties. That is likely to change since so many people have moved out of the area and you will be able to rent those properties all the same....but...if you are living in the property then I suggest the west end of Panama City Beach. This part of the beach is rising in popularity and is closer to 30a area. Inlet Beach is great but the prices may be too high. I suggest looking at Laguna Beach. There is a duplex (upstairs/downstairs) on the market in the 400's. I found the price high but it had been remodeled. They were marketed as STR because you can see the gulf from the back deck....around 3 blocks from the shoreline with public access. Hop on Airbnb and see where and for how much STR's go for in whatever area you may be considering....check the reviews too. Keep in mind,...the area is still recovering and investors have jumped at the opportunity to purchase damaged homes at prices that they think are good.....not all of the prices are good. In fact, even damaged homes have increased in value. I lived in Panama City Beach for a while and I can tell you that the current prices are much higher than they used to be...sometimes for much less house. However, PCB was behind the times as a beach town in my opinion....it was the cheapest you could buy that close to the beach back then. Make sure the numbers work for you...whatever you do. Keep flood insurance in mind and focus on the items that would cause your insurance rates to be higher. Don't give up the search! I will add...STR's do great in the Orlando area year-round. What is holding you back in that area? One notable exception to staying away from Panama City is The Cove. This area of PC is very popular but it is one of the areas hit hardest by the storm. What is your rehab limit?