With long-term rentals becoming more frequent, now is the time to buy investment property in Sarasota.
Current market conditions make this one of the best moments in decades to purchase investment property in Sarasota, Florida. As the general economy begins a slow recovery, many Americans are once again renting vacation properties, and Sarasota has always been a top vacation destination. Additionally, current lending restrictions still keep many Americans out of the property-buying process; many consumers who fall into that category — including younger families as well as retirees — are now seeking long-term residential rentals. With current low home prices and a growing demand for high-quality, short-term and long-term rentals, this may be the ideal time to consider purchasing an investment property in Sarasota for lease and rental purposes.
According to the U.S. Department of Commerce, rent hikes (when adjusted for inflation) have averaged less than 1% a year for the last ten years, so they are now expected to make up lost ground with a 5% to 7% average hike in each of the next several years. (This still represents an outstanding deal for tenants, who’ve essentially been paying at discounted rates since the recession started in 2008.) Additionally, a drop in supply, with a rental-property vacancy rate of only about 5%, is creating a rental market where rents are almost guaranteed to rise sharply in the near future.
Sarasota offers a variety of high-quality residential properties that are perfect for the investor. Condominium properties are available at good prices throughout the area, and fine single-family homes are to be had all around the city. Sarasota’s beautiful barrier islands, including Siesta Key, Lido Key, Longboat Key, and Casey Key, offer some of the choicest waterfront single-family homes and condominiums anywhere.
If you’re thinking about investing in a rental property, low prices and low interest rates make this the best time in years. And Sarasota’s unique market makes it one of the best locations anywhere. The following tips can help you take advantage of this first-rate opportunity.
Know your options:
Do you want to be a landlord, or do you want to restore and resell properties? Determine what kind of property fits your plans and personal tastes.
Find experienced help and advice. Locate a real-estate agent with experience in investment property deals. Such an agent can help you quickly locate properties that fit your strategy. You’ll also want to talk with landlords and with experienced real-estate investors to glean wisdom from their experiences.
Find the right location:
You’ll want to locate a property in metropolitan Sarasota or on the barrier islands. Rural areas outside the city and away from the beaches mean fewer people and fewer potential tenants. Properties near schools and shopping malls not only attract renters; they’ll make your property more valuable when it’s time to resell. Line up your capital: Make sure you have the assets to deal with the pitfalls that come with investing. Even if you intend to rent a property, you’ll be paying the mortgage whenever there’s a vacancy. If you’re restoring to resell, you may end up holding the property for several months.
Make some new friends:
Line up maintenance professionals in advance so that you can call them the minute a repair or maintenance need comes up. An attorney can advise you on tenant issues, and a property management firm can handle everyday rental affairs.
Following these tips can make buying an investment property in Sarasota one of the best choices you’ll ever make.