Hello New Girl, below is some information that I and others posted over the last few years about purchasing a rental home. I posted my monthly estimates about 4 years ago. I changed some of them to reflect inflation and the changes in the market here. I used $300K for a home. You might be looking at less than that so adjust the figures accordingly.
If we can be of further help, let us know. Location is important. The
Formosa Gardens Blvd area seems to be the most popular. Communities include but not limited to Formosa Gardens, Windsor Hills, Windsor Palms, Rolling Hills, Indian Creek, Sunset Lakes, and others you can find on the Dibb map below.
Good Luck,
Ted
http://www.disboards.com/showthread.php?t=2394260
A little history. We bought a 7 bedroom home in Emerald Island shortly after 9/11/02 and sold it about 5 years ago. We aggressively rented it out by owner and through a management company that was average at best.
We have been through the euphoria of buying, the costs of set up, the long evenings answering emails from "by owner" sites, then the long evenings of getting no emails and sweating the payments. We sold because the market has become saturated and the price of the home skyrocketed. This was not a "dream home" that would one day retire in. This was a home we loved as an investment, but only an investment. We now winter 3 months in a home in Indian Ridge that we rent from an owner who is more than happy to have a guaranteed rentor for 3 months.
You must run these numbers to make sure you can afford to do this...OR if you happen to be financially in a postion to fund this home with rents that do not meet costs and hope for long term appreciation, then you will be able to sleep nights. In other words if you can eat $2000 to $10,000 a year and not worry, you are in an enviable position.
Here are the numbers:
300,000 home furnished...20% down (these are my best guesses based on costs two years ago...some may be low or high, but not off by much.)
P/I...............$1516
Ins...............$250
Tax..............$500
Elec..............$350
Management..$300
Pool.............$100
Bugs............$30
HOA.............$150
Cable, internet, phone..$130
advertise......$40
cleaning........$350
monthly main..$200
Total............$about $4000...appx...$46,000/year
Income....20 weeks at $1000/week is $20K/year
25/weeks at $1000/week is $25K/year...30 weeks is 30K...just do the math...
Now look on
www.vrbo.com at 4-5 bedroom homes...look at the availability calendars and see how many look like they are on pace to do over 25 weeks/year. This is a quick gut check on whether to take the plunge or not.
When we started, our PITI on a 7 bedroom was under $1500, and we would average $270/night and do about 24 weeks...But when the 7 bedrooms went from about 8 total in the whole area to over 120 just 7 bedrooms, the handwriting was on the wall....plus we had to look at upgrading to game rooms, High Def TVs just to keep up with Jone's.
It can be exciting, fun and quite a trip...but like Jannyanns said, DO NOT listen the realtors...they are realtors and goal is to make money and they will stretch the rental potential to any length to get a sale...And never never believe a managment company that will promise you a high number of bookings...either it will never happen or they will wholesale your home to any travel company they can and your cut of the week rent is not enough to meet costs even if it over 30 weeks/year....not to mention the wear and tear that 30 plus weeks will do to a rental home...
Below is a map of the rental communities. You will find all of the developements you listed....IMHO, please note that none of these are in the "closest to Disney" catagory and all are either out on Highway 27, or way south off the end of Old Lake Wilson Road....not the kiss of death, but these are areas that are a longer drive to Disney than those located immediately south of 192 around Formosa Gardens Blvd and the far north part of Old Lake Wilson Road.
http://www.thedibb.co.uk/villa/map.htm
Good Luck, keep and open mind and let us know if we can be of help...Ted
__________________
GRANDPA TED,
Too tall to be Mickey and too short for Goofy, but will find a job at Disney yet!