There are many reasons to purchase a property at the beach, as if you needed one more.. With the fast pace life most of us lead today, the beach allows a peaceful setting to re-charge. Whether you do yoga on the beach or take a stroll along the water, it allows you to take a breath and relax.
Most of my clients are interested in two things..(1) Making life-long memories with their family and (2) Working toward their future and financial goals. It use to be that the buyer pool was mostly retired baby boomers with grown children and grandchildren. Today we also have a lot of young professionals, working remotely with amazing technological resources, and renting the property out when not here. When I help a buyer search for an income-producing property, I look for at least at 10% return on the numbers. If the property is $400,000. I look for at least $40K in annual income. Now, I will make this clear, I am not a financial counselor or an accountant, but a 10% return is what I like to see. Also, when you are searching for a vacation rental, the closer to the beach, the better. If you can provide a golf cart, depending on the neighborhood, or bikes for your guests to utilize (along with a signed liability waiver) that is an added value. I managed numerous properties in the same resort, and a one bedroom, beachfront, grossed the same as a three bedroom off the beach.
In Florida, you need to be aware that there is a tax associated with purchasing called a “Doc Stamp Tax” which equals .70 per $100 of purchase price. Take a $600,000 home and divide it by 100, which = 6000 x .70 = $4200.00 in Doc Stamp Tax. The average cost of the closing title company is $500. I always suggest purchasing an Owner’s Title Policy and you can actually request the seller to pick up that cost in your offer. For a $600,000 home, the Owner’s Title Policy is $3,075. per one of our local title companies. Remember that the state of Florida does NOT have state income tax.
As the owner of Classic Luxury Real Estate and Classic Luxury Vacation Rentals I work to set my buyers up for success, whether it is personal or financial. Your needs and wants are my first priority. Please let me know how myself and my team can help you!