The plan is simple. You can buy an investment in Charlotte & Sarasota counties (in Florida) before values have reached the top of the market. Costs can be off-set with rental income and the investment can be utilized for several fun-filled years. While approaching the 5-year plan time frame, one can implement one of several options. They could readjust their personal retirement plan, simply enjoy the property, or sell the investment while enjoying the traditional positive equity factor. Buy now at lower prices and rent either seasonally or annually to offset expenses while you build equity and plan for your style of retirement.
Through the years, we have all dreamed of the time that we can relax and enjoy the fruits of our labor. We may have saved and planned for the retirement of our dreams. The active retiree dreams consist of coming to Florida while we are able to enjoy the beaches, boating, fishing, walking, bike riding, golfing in the sunshine, or perhaps simply sitting in an Adirondack chair watching the beautiful sunset and sipping on a cocktail. Florida has it all! According to Lauri Ringer’s article, “Dancing with Destiny,” “By all means, make plans and pursue your dreams, but always remember that Destiny is the lead partner and you are the follower. So long as you are willing to surrender the lead, there is a possibility that Destiny will take you to wonderful places you never could have imagined.”
Our story begins with John & Mary Baby-Boomer who are living up north. The morning temps are now in the 30s and 40s when going out to get the paper. Future retirement conversations have been more and more common around the kitchen table and tropical breezes are calling them to SW Florida. They start to formulate their 5-year plan. They know that prices are just right to buy now and lease it during high season to offset taxes and insurance. Annual rentals will allow year-round income to allow them to buy now, cover costs, and work towards retirement. Seasonal rental opportunities still allow Owners to be able to utilize the property during non-high-season timeframes. This concept utilizes the best of both worlds: buy now at lower prices and rent either seasonally or annually to offset expenses while you build equity and plan for your style of retirement.
Lately, every time the phone rings it’s someone from a cold Northern state wanting to make arrangements for an extended seasonal stay or someone looking for a high-demand, year-round, annual rental. The rental market in SW Florida is on fire! Do you remember the phrase, “If you build it they will come?” It was made famous by Kevin Costner in the movie Field of Dreams. I say, “If you buy it and furnish it they will come.” Last year they were standing in line in the lobby pleading for additional accommodations. This past winter was so long and bitterly cold that everyone is looking to our Sunshine State for a much-needed reprieve.
As of late 2015, the median sold price of a Charlotte County property is $155,000 (according to MFR). At the same time, our Property Management division quotes the average year-round annual rental was $1,007.33/month and the average seasonal rental (3-month minimum) was $2,385.42/month! We live in extremely exciting times. You can buy an investment in Charlotte & Sarasota counties before values have peaked, costs can be offset with rental income, and the investment can be utilized for several fun-filled years! While approaching the 5-year plan timeframe, John & Mary can implement one of several options: they could readjust their personal retirement plan, simply enjoy the property, or sell the investment while enjoying the traditional positive equity factor.
John & Mary made arrangements to come down to SW Florida’s “palm tree paradise” for some fun in the sun and to look around for a little piece of paradise of their own. They quickly realized that this decision was just meant to be. Currently, my husband and I now find ourselves smiling, sitting back, and simply enjoying our “Florida Lifestyle.” We are so happy with our decision to live in a climate that suits our family. The lifestyle theme is even evident in our housing choices, featuring bright, open concept designs with lots of windows.
We look forward to seeing you at the tiki bar, on the beautiful golf courses in Charlotte and Sarasota Counties, and of course, the white sandy beaches of the Gulf of Mexico. To quote Lucille Ball, “I’d rather regret the things I’ve done than regret the things I haven’t done.” It’s like jumping into the cool, blue pool- sometimes you have to just do it!