best fort lauderdale real estate agent

Jim Esposito

Intercoastal Realty

954-336-3776

Invest in Vacation Rentals

 

Scenario #2

Fort Lauderdale Real Estate Investments

 

 

best fort lauderdale real estate agent

 

Fort Lauderdale Real Estate search translated into Espanol and Portugues Ft Lauderdale Real Estate search translated into Francais, Italiano and Deutsch South Florida Real Estate search translated into Polski, Russian, Korean and Japanese Miami Real Estate search translated into Dutch, Chinese and Taiwanese

 

How to Invest in Vacation Rental Property in Fort Lauderdale, South Florida



Scenario #2

 

30% Cash on Cash Return
With 30% Down on a 6% Mortgage



Coral Ridge Triplex with Pool
NE Fort Lauderdale Location
Close to Beach
One 2/1, Two 1/1s
Pool Recently Refinished
Repairs & Remodel Required



how to guide invest in vacation rentals in ft lauderdale

We've put together some "Ball Park" Scenarios using sample Properties, consulting with Rene and Matty from iTrip Fort Lauderdale about projected rent and occupancy. Hopefully, these will assist you in getting a handle on the numbers.

Please be aware these are ball park estimates based upon our "best guess" professional opinion, may not necessarily be based upon the "Industry Standard" 60% average annual rental rate, but what we estimate, which will differ from property to property. In addition, there is no way of knowing exactly what any projected property might require in repairs, renovation or design to maximize your investment. We will assist you, getting the best numbers possible through your due diligence period, however, the actual projections for any specific property will be up to you to determine.

These numbers are computed using an Occupancy Rate of 70%. Again, we project a property near the beach in one of the better neighborhoods of Fort Lauderdale will be a little above average in terms of demand.




Estimated Income Property Financials

 

(Occupancy Rate 70%)


Purchase

980,000

Estimated Repairs & Remodel

60,000

Total Investment

1,040,000

 

One 2/2

(Estimated 36.4 Weeks @ 2,884 per)

104,978

Two 1/1s

(Estimated 36.2 Weeks @ 1,097)

79,423

Estimated Gross

184,401

 

iTrip Management Fee (25%)

18,440

Effective Gross

165,961

 



Estimated Property Expenses


Property Taxes (Estimated)

17,651

Insurance (Estimated)

6,000

Pool

3,000

Landscaping

1,200

Electric (Est. 500 per month)

6,000

Water (Est. 200 per month)

2,400

Estimated Expenses

36,251

 

Estimated NOI

129,710

 





Estimated Cash on Cash Return

 


Projections above are for Cash Deal. Obviously. We don't know what down payment you plan to post, what your interest rate may be. Depends upon the loan you might qualify for. For an investment property you might be required to put at least 30% Down. In this example that would be $294,000. An Interest Rate of 6% on the balance of $686,000 adds up to $41,160, lowers the estimated NOI to $88,550 per annum. An estimated "Cash on Cash Return" of 30%, versus a Cap Rate of 12.5%.


30% Down Payment

294,000

Estimated Repairs & Remodel

60,000

Total Cash Investment

354,000

 

Effective Gross

165,961

Estimated Expenses

36,251

Debt Service

(6.0% Interest on $686,000)

41,160

 

Estimated NOI

88,550






Don't Forget to Add In Property Appreciation

 

In 2021 Average Sale Price for a SFR in Fort Lauderdale
went up 36.2%

 

Median Price increased 20%

 

And 19% in 2020


S&P Dow Jones Home Price Index

 

s&p dow jones home price index, u.s. vs south florida 1988-2022

 

South Florida (Red) versus United States (Blue) from 1988 thru 2022
Shaded areas indicate U.S. recessions




See 2021 (and 2020 Year-End
Real Estate Reports

 

for Fort Lauderdale, Broward County & The State

from Florida Association of Realtors

 




Fine Print

 

This is a "Sample" Scenario. How much you can actually get in rent for any property will depend upon the location, the features (pool, hot tub, waterfront, etc.) and the condition of the property, and can only be estimated at this point. There are a number of resources you can utilize to determine your own estimates, and we suggest you do so before entering into any contract.

In addition, there is no way of knowing exactly what any projected property might require in repairs, renovation or design to maximize your investment. The ulltimate decision of how much money to put into any particular property is up to you, of course, but that may affect how much rent you can receive.

The "Tourist Taxes" for the State of Florida (6%), Broward County (6%), and the Tourist (1%) are not included in these numbers because they are collected by the Booking Website when the property is Booked. As part of their services, iTrip pays these taxes to the appropriate entity.


Everything You Always Wanted to Know About
Investing in (Owning & Renting Out)
Short Term Vacation Rentals in Fort Lauderdale

 

But Didn't Know Who to Ask

 

 

Would You Like to Invest in Vacation Rentals?

 

Get Answers to These FAQs

 






 

Jim Esposito

 

Fort Lauderdale Foreclosure Real Estate Agent

 

954-336-3776

 

Mobile Users

Call Me



great realtor testimonial from satisfied customer

 

5 Star Rated Realtor

 

zillow reviews and testimonials

 

Internet Marketing Expert

 

trulia reviews and testimonials

 

Click This Button to See

What Clients Say

 

About Jim Esposito

LIST YOUR HOME

with

The Best Realtor in Ft. Lauderdale

 

Click The Button Below to Receive a Complimentary

 

Property Evaluation

 

Of the Market Value of Your Home!

Before You List

 

You Should Read

 

10 Tips to Increase Your Home Value

 

Real Estate Pros Share Valuable Insights How To Get The Most for Your Home

 

Click Here
Fort Lauderdale Beach Webcam

 

webcam ft lauderdale beach

Click Image See Live Webcam

Ft Lauderdale Home Value

 

ANALYSIS & PROJECTIONS

 

fort lauderdale home price values

 

Click Here

 

A Comprehensive and Intelligent Consideration of What's Ahead For The Local Real Estate Market

 

FREE MLS ACCOUNT

 

Save Listings

 

Saved Searches

 

Email Alerts & Updates

 

Client Log In

 

Registration Required

 

Most Recent Real Estate Statisics

 

Fort Lauderdale, Broward County, South Florida, Statewide & Beyond

 

Just The Facts

 

Latest Statistics

 

Home Buyer Assistance

 

Programs Offered
by Broward County
& The State of Florida
Make It More Affordable
to Buy A House

 

Find Out More!

 

Homebuyer Programs

 

Sitio en Español
Site en Français
Site em Português
Seite auf Deutsch

 

 

google translate site into chinese translate site to russian

CEOs & Founders

of

 

For Sale By Owner
Buy Owner
Craigslist

 

List THEIR Homes

 

with

 

Realtors!

 

Read About It Here

 

Like – I Know What I Say, But Now We're Talking

 

MY MONEY!