All Forum Posts by: Paul Pratt

I've been seeing tons of forums about rising insurance costs. However, this should help you out if you are not already doing this. Find an agent (not all will do this) that can give you a quote based on a solid 4pt inspection (Roof, Electrical, Plumbing, HVAC). And if you already own, and have updated any of these, make sure to get and forward a new 4 pt report to your agent. I see tons of investors/residents who replace a roof, ac, etc and don't bother to update their insurer. For all you number crunchers this will save you thousands over the years. At least in my market we are seeing major savings, and if the property is older see if the projected rate is worth the fix.

Like I mentioned earlier I'm sure most of you are doing this, but you'd be surprised how many people let property updates go non accounted for by their insurers. Hope this helps!!

2 Votes

Orlando, Florida

Quote from @Carlos Ptriawan:

How's STR in FL ? I heard many owner is selling their house in Destin; not because of the decline in revenue but mostly due insurance hikes ?

STR in my area (Daytona beach) remains strong. Again it depends on the property, have a few clients pulling in great numbers currently and are acquiring more properties. Can't speak for other parts of Florida.

2 Votes

Quote from @Nathan M kiefer:

Quote from @Carlos Ptriawan:

How's STR in FL ? I heard many owner is selling their house in Destin; not because of the decline in revenue but mostly due insurance hikes ?

thats a whole other issue- the insurance is going to drive a lot of str investors out of fla for sure!

Depends on the area. Most of the people I know are paying 1500 ish a year (residential) and around 3000 (STR) I would not consider that a factor based on the returns they are getting.

0 Votes

When something becomes popular... everyone does it. Especially those who don't know what makes an STR good. No, you can not buy any property, do little to no renovation, finance it and expect to have a solid return. People on vacation still have standards.

1 Vote

If you need a good landscaper let me know! He does my listings quick and affordable. I will say any photos that are highly edited stick out, and agents/buyers sometimes avoid them.

1 Vote

Quote from @Andy Rousch:

Hello!

Looking for a realtor that has Airbnb experience in the Daytona Beach

Absolutely, I can send you the Daytona STR map and provide you with any questions you may have. Feel free to message or email me!

0 Votes

Jacksonville, Florida

Daytona Beach! Message me I can send you zoning information on permitted areas along with restriction free STR zones!

1 Vote

Quote from @Andrew Steffens:

Quote from @Paul Pratt:

Hey everyone,

I figured I would share some info on mid-term rentals in my area, and help you build a strategy in case it's something you've been considering. So one of my contacts is a successful airbnb operator in the area (over 10 properties) and he actually made a mistake in buying a property without realizing it wasn't zoned correctly. However, it was sort of a blessing in disguise. He applied the same strategies in regards to renovations and furnishings. For a 3/2 SFR home on beachside, he was grossing $5800 a month on average compared to a long term rent rate of $2600. His clientele made up mostly of snowbirds and people displaced from their condos from storms. THE 2 KEYS are this, 1. Have a solid renovation budget and 2. Make sure you furnish everything as if it is a STR!

Hope this helps, how well you prep your property will reflect in the rates. If you do the bare minimum, expect nothing more.

Is the city very strict about proper zoning? I have some clients who did the same in Saint Petersburg. We agreed to run it as an STR until the notice of violation came and it never did, 3 years strong as an STR. Most cities either take nearly a year to build a proper case against you, or do not bother you if you are not a nuisance (i.e. carefully screening guests).

It all just depend, I've had investors get fines and others one street away have not had any issues even if the zoning was off. I would suggest everyone do numbers on the conservative side, in case you start to get fined. However its pretty clear cut here where you can and can't have an STR. With that said, it also doesn't stop a lot of people from doing them if they are outside of zoning.

1 Vote

Quote from @John Underwood:

Quote from @Paul Pratt:

Hey everyone,

Hope this helps, how well you prep your property will reflect in the rates. If you do the bare minimum, expect nothing more.

Another Key point is to do your due diligence. This could be a critical error if you can't make the number work as a MTR or LTR after you found out it doesn't have the zoning you assumed.

Agreed, luckily in this case it was a blessing in disguise!

1 Vote

All Forum Posts by: Paul Pratt

Paul Pratt has started 8 posts and replied 89 times.

Post: Insurance Advice for Florida

Post: Insurance Advice for Florida

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Post: AirBnB Revenue Collapse? Near 50% in some areas......?

Post: AirBnB Revenue Collapse? Near 50% in some areas......?

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Post: Daytona Beach area, airbnb friendly realtors?

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Post: Daytona Beach Florida Mid-Term Rentals

Post: Daytona Beach Florida Mid-Term Rentals