With its warm climate, lovely beaches, natural sceneries, and theme parks, Florida vacation rentals for sale are in demand among Airbnb investors.
Table of Contents
- Why You Should Invest in Florida Vacation Rentals
- Things to Do in Florida
- Best Cities to Invest in Florida Vacation Rentals
- Airbnb Florida Rules and Regulations
- Subscribe to Mashvisor to Find Florida Vacation Rentals for Sale
Florida is home to a large number of attractions, making it one of the top tourist destinations in the United States. Both local and international tourists want to visit Florida, which is one of the reasons why the Sunshine State’s Airbnb rental market is thriving. In fact, the Florida Airbnb host community earned a combined supplemental income of around $1.2 billion in 2019.
The Florida housing market, similar to most real estate markets in the United States, saw high buyer demand and limited inventory amid the pandemic. The median property prices in Florida are expected to rise at a steady pace in 2022. In addition, Florida’s population is continuously increasing due to the migration from other high-tax states. It is another reason why Florida real estate expects to see a higher demand for housing and improved return on investment this year.
Aside from the increase in population, the tourism industry in Florida continues to flourish, especially now that the travel restrictions are being lifted. On top of the demand from homebuyers, there is also a high demand from real estate investors particularly for vacation rentals for sale. Since a large number of tourists flock to Florida all year round, many investors are looking for a good Florida investment property that they can use as a vacation rental.
Why You Should Invest in Florida Vacation Rentals
There are many reasons why there is a high demand for Florida vacation rentals for sale. Real estate market trends show that the Florida short term rental market will make a profitable investment.
Check out the following reasons why you should invest in Florida vacation rentals in 2022:
1. The Tourism Industry Has Reopened
More than two years into the pandemic, the tourism industry in Florida is finally bouncing back, thanks to the widespread availability of the COVID-19 vaccine. As millions of Americans are getting vaccinated, travel restrictions are being lifted and many people are ready to travel for a holiday. The expected influx of tourists will create a high demand for Florida short term rental properties.
According to Florida Governor Ron DeSantis, around 118 million domestic visitors came to the Sunshine State in 2021. Last year’s figure is the highest number of visitors in a year in Florida’s tourism history—it even surpassed the pre-pandemic levels. If you’re planning to invest in Florida Airbnb to take advantage of this demand, now is the perfect time to look for vacation rentals for sale in Florida.
2. Florida’s Tropical Climate Attracts Tourists All Year Round
Florida boasts of a warm, tropical climate all year round, especially in most cities in South Florida. The Sunshine State’s vacation weather is one of the reasons why tourists love to flock to Florida for a holiday getaway, no matter what season. Because Florida benefits from a constant stream of visitors any time of the year, Florida Airbnb owners can get their properties occupied even during the supposed low season.
If you want to be successful in your Airbnb business, it’s essential to choose a location that sees fair weather throughout the entire year. There are cities in Florida with almost perfect weather the whole year, like Tampa, St. Augustine, and Vero Beach. The weather is an important factor that you should consider if you plan to invest in Airbnb Florida.
3. There’s a Shortage of Vacation Rentals in Florida’s Beautiful Beaches
The beaches in Florida are among the most visited tourist locations in the state. Florida is home to 825 miles of accessible beaches all across the state. Many people who visit the state would most likely go to one of its beaches.
While visitors can easily find a beach almost anywhere in Florida, there is a shortage of short term rental properties near the beaches. So if you’re looking for Florida vacation rentals for sale, consider buying a beach house, as demand for such types of properties from renters is high.
4. Florida’s Airbnb Market Data Looks Good
Florida’s Airbnb market data is another important factor that makes it an excellent location for buying an Airbnb investment property. According to Mashvisor’s data as of March 2022, the Airbnb cash on cash return in Florida is at 2.73%, compared to its traditional cash on cash return of 1.91%. Since the Airbnb CoC for the state is higher than the traditional CoC, investing in Florida vacation rentals is generally considered a good idea.
Here’s the Airbnb Florida market data from Mashvisor as of March 2022:
- Number of Airbnb Listings: 47,514
- Monthly Airbnb Rental Income: $3,521
- Airbnb Cash on Cash Return: 2.73%
- Airbnb Cap Rate: 2.80%
- Airbnb Daily Rate: $213
- Airbnb Occupancy Rate: 58%
- Number of Listings for Sale: 31,237
- Median Property Price: $875,883
- Average Price per Square Foot: $481
- Days on Market: 87
- Walk Score: 49
5. The Migration From Other States Continues
According to an article from Florida Trend, a significant number of people from high-tax states began relocating to Florida in the past few years. Since most companies allow remote working setup, many Americans from big cities like New York go to the Sunshine State. Florida is an extremely popular destination for COVID migration because people prefer to stay somewhere with warm weather, lower taxes, and more affordable housing.
The new residents will need a home to stay in, so there will be more opportunities for traditional rentals. If you also plan to venture into long-term rentals, make sure to find the best place to live in Florida and buy an investment property there. However, it does not mean the Airbnb market will not benefit from the said migration. In fact, some of the new residents will temporarily stay in short-term rentals while looking for a home to buy or a property to rent for the long term. Additionally, the vacation rental market will also benefit from the new residents’ friends and families visiting from other states.
6. Florida Is Home to Business Districts and Large Companies
Tourism is not the only source of guests for short-term rentals. In fact, many Airbnb owners rent their vacation rental properties to guests who visit the state for business purposes. Many of Florida’s major cities, like Miami and Orlando, are home to business districts where headquarters, satellite offices, tech companies, and start-ups are located.
Florida is also home to large companies such as Publix, Darden Restaurants, Jabil, SFN Groups, Bloomin’ Brands, and more. Since Florida is also a business-centered state, many Americans from other states come to Florida for business-related travels. It opens more opportunities for investors to get their Airbnb rental property booked. It is why some investors are in search of Florida vacation rentals for sale located specifically in central business districts.
7. There’s a Wide Range of Attractions
Florida is not only famous for its sunny climate and beautiful beaches. People who are used to the tropics will still find Florida an interesting place to visit. Thus, its tourism industry is not only limited to beach-goers. Florida is home to a wide selection of attractions, and visitors will always find something fascinating to do.
Florida boasts a variety of natural parks, scenic sites, theme parks, museums, and entertainment venues, which help boost its tourism industry. People who love performance arts can watch dinner theater, Broadway shows, and concerts in various cities like Jacksonville, Orlando, Miami, Tallahassee, Tampa, and Sarasota. Family-friendly getaways are often centered in Orlando, where world-class theme parks are located. Plus, with its natural parks and sites, Florida is also a great destination for nature lovers.
Things to Do in Florida
There are numerous reasons why Florida is considered the vacation capital of the world. For one thing, Florida boasts a diverse history, making its culture interesting. The state’s food, language, architecture, and art are inspired by its rich historical culture. Florida is also a welcoming community—with beaches, parks, and attractions that offer a variety of experiences for different kinds of travelers. Because of its thriving tourism industry, investors are looking for vacation rentals for sale Florida to take advantage of the demand from travelers.
Florida welcomes an influx of visitors during the entire year. While many people visit Florida during the summer to enjoy its sandy beaches, others consider spring or fall as the best time to visit Florida. These are the seasons when they can experience the best of Florida since not too many travelers flock to the state at such times of the year.
Here are the best things to do as a traveler in Florida:
1. Bask in one of its beautiful beaches.
The most common reason why tourists book a trip to Florida is to enjoy the state’s sunny weather and incredible beaches. Many Airbnb investors prefer a beach house when looking for Florida vacation rentals for sale because there’s a high demand for rental properties. Vacationers who go to Florida for its beaches prefer to stay within the beach area, so renting a vacation beach house is the best option for them.
2. Enjoy the nightlife by the beach.
Night parties never stop in Florida. Nightlife by the beach is a popular experience that tourists wouldn’t want to miss. Miami Beach and Fort Lauderdale are famous nightlife spots, so buying an Airbnb Miami or Airbnb Fort Lauderdale property will make a hot investment. West Palm Beach is also another notable city for its nightlife parties.
3. Visit Florida’s theme parks with your family or friends.
Theme park fanatics go to the Sunshine State to experience the fun and magic with their family and friends. Orlando is the center of theme parks in Florida. It is home to four world-class theme parks, including the Walt Disney World complex, Universal Studios, Islands of Adventure, and SeaWorld Orlando.
Tampa is home to Busch Gardens Africa, which offers breathtaking coasters and a wildlife viewing experience. If you’re planning to rent an entire home, consider finding Florida vacation rentals for sale in these cities.
4. Experience Florida’s arts and culture.
Visitors who love performing arts will love Florida’s several entertainment venues that offer concerts, Broadway shows, dinner theater, and more. Most of these theatrical experiences can be seen in Tampa, Miami, Sarasota, Tallahassee, Orlando, and Jacksonville. Florida is also home to cultural sites like art museums, history museums, aviation museums, and science museums. Consider the cities that are home to museums if you are looking for the best Airbnb locations in Florida.
5. Reconnect with nature and enjoy scenic views.
Florida is also a great destination for those who love to explore beautiful outdoor spaces with lovely sceneries. With a wide selection of national parks, monuments, and seashores, Florida is a perfect vacation spot for people wanting to reconnect with nature.
The Everglades National Park is a must-see for nature lovers. It is located throughout Dade, Monroe, and Collier counties in Southern Florida. Other famous state parks include Sarasota’s Myakka River Park and Kissimmee Prairie Preserve State Park.
Best Cities to Invest in Florida Vacation Rentals
The best places to invest in Florida vacation rentals are the ones that are close to most tourist attractions and are frequently visited by travelers all year round. When choosing a location for your Airbnb investment, it’s essential to consider the safety of the city, as well as its amenities, walk score, and the availability of public transport.
A city is good for short-term rental investing if it provides a high Airbnb cash on cash return. When looking for Florida vacation rentals for sale, it’s crucial to know the Airbnb market data of the city where the property is located.
According to Mashvisor data as of March 2022, here are the top five Florida cities that are best for Airbnb rentals based on Airbnb cash on cash return:
1. Citrus Springs
Citrus Springs in Citrus County is a great destination for nature lovers. It is perfect for individuals who want to do outdoor activities, such as boat tours and water sports.
- Number of Airbnb Listings: 9
- Monthly Airbnb Rental Income: $3,522
- Airbnb Cash on Cash Return: 7.95%
- Airbnb Cap Rate: 8.17%
- Airbnb Daily Rate: $179
- Airbnb Occupancy Rate: 65%
- Number of Listings for Sale: 34
- Median Property Price: $291,083
- Average Price per Square Foot: $160
- Days on Market: 75
- Walk Score: 21
Deland, also known as the Athens of Florida, is home to famous attractions, such as Stetson University, Museum of Art – DeLand, and De Leon Springs State Park.
- Number of Airbnb Listings: 7
- Monthly Airbnb Rental Income: $3,770
- Airbnb Cash on Cash Return: 7.06%
- Airbnb Cap Rate: 7.26%
- Airbnb Daily Rate: $107
- Airbnb Occupancy Rate: 60%
- Number of Listings for Sale: 50
- Median Property Price: $410,630
- Average Price per Square Foot: $213
- Days on Market: 38
- Walk Score: 2
3. Florida City
Florida City is located in Miami-Dade County. It serves as the mainland entrance to the Florida Keys and as the gateway to the main section of Everglades National Park, making it a top favorite for those who plan to visit the said attractions.
- Number of Airbnb Listings: 10
- Monthly Airbnb Rental Income: $3,587
- Airbnb Cash on Cash Return: 6.81%
- Airbnb Cap Rate: 6.99%
- Airbnb Daily Rate: $145
- Airbnb Occupancy Rate: 79%
- Number of Listings for Sale: 9
- Median Property Price: $322,778
- Average Price per Square Foot: $257
- Days on Market: 38
- Walk Score: 67
Valrico is located in Hillsborough County. It is near several attractions like the Dinosaur World, Galactic Playgrounds, and East Hillsborough Historical Society. It is also home to several nightclubs and entertainment venues.
- Number of Airbnb Listings: 19
- Monthly Airbnb Rental Income: $4,563
- Airbnb Cash on Cash Return: 6.50%
- Airbnb Cap Rate: 6.63%
- Airbnb Daily Rate: $154
- Airbnb Occupancy Rate: 74%
- Number of Listings for Sale: 21
- Median Property Price: $439,619
- Average Price per Square Foot: $224
- Days on Market: 26
- Walk Score: 14
Crestview is a city in Okaloosa and is home to notable attractions, such as the Emerald Coast Zoo, Emerald Coast Zoo, and Divers Emporium.
- Number of Airbnb Listings: 14
- Monthly Airbnb Rental Income: $4,013
- Airbnb Cash on Cash Return: 6.50%
- Airbnb Cap Rate: 6.64%
- Airbnb Daily Rate: $122
- Airbnb Occupancy Rate: 79%
- Number of Listings for Sale: 18
- Median Property Price: $508,705
- Average Price per Square Foot: $269
- Days on Market: 111
- Walk Score: 57
Airbnb Florida Rules and Regulations
Short-term rentals refer to an entire unit that is being rented for periods of less than 30 days. All short-term rentals in the State of Florida should secure a license from the Florida Department of Business and Professional Regulation. If you only rent a single room or multiple rooms that do not contain the entire unit, the place may not need a license because it is not considered public lodging.
Before buying any of the Florida vacation rentals for sale, it’s critical to find out the city’s rules and regulations related to operating a short-term rental. It is also important to follow other rules that are applicable to your property, such as leases (if you’re planning to do an Airbnb arbitrage), HOA rules, condo board or co-op rules, or tenant organization rules.
Subscribe to Mashvisor to Find Florida Vacation Rentals for Sale
Are you ready to find the best investment property in Florida but don’t know where to begin? Check out Mashvisor’s subscription plans so you can search for available Florida vacation rentals for sale. Our database contains thousands of properties for sale. All you need to do is enter your preferred city or neighborhood, and you will see a list of all the available properties for sale in your chosen location.
You will see detailed information about the property, including real estate market analysis based on cash on cash return, cap rate, occupancy rate, and neighborhood comps. Mashvisor can also help you decide the best rental strategy for a particular property. Moreover, you can compute your potential income based on your custom expenses using the rental property calculator.
2022 is the perfect time to invest in Florida Airbnb. Schedule a demo or start a free trial now to find the best vacation rentals for sale in Florida.