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Buy a villa in Florida
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Buying a villa in Florida ?  Seriously thinking about buying a villa in Florida?  In the process of buying a villa in Florida? Looking for advice on how to go about it?

If you have answered yes to one or more of the above then we can help.

If you are already in the process of buying a villa in Florida then some of the information and advice we can give potential purchasers will be 'a bit late in the day'.  However, that said, the information can still be used to anticipate and make preparations to overcome potential future problems.

For all others, the information and advice that we can give you BEFORE you even start looking for a villa or condo, will be invaluable.

Villa Property Companies

In most major villa holiday magazines you will see adverts and at overseas property exhibitions you will see and meet many of the above.  They WANT you to buy and will paint you a rosy picture - after all this is how they make their money.  Once you have committed to purchasing there is no going back - well not without financial loss.  If you need to rent out your property to finance its purchase, whether you succeed or fail at this is not of concern to them - once you have bought your villa they will have made their money (from a realtor commission) and you will be left to get on with it.  Beforehand they will have introduced you to a mortgage broker or financial consultant (more commission).  Post purchase, some MAY introduce you to tax accountants (you will have to submit an annual tax return to the US Inland Revenue Services) provide an introduction to a property management company (more commission) - or they may have their own (another way to make money from you).

Be extremely wary of promises of guaranteed bookings.  Take the recent events of 9/11.  Villa owners saw drastic declines in bookings following this atrocity.  No one knows the future.  The only way to receive a guaranteed number of weeks bookings is by 'selling' weeks to large tour operators.  You will know from your own experience of using tour operators that they try and keep costs to a minimum to make the 'package' attractive to the traveller.  To enable them to do this they have to purchase the various elements at a vastly reduced cost.  This means purchasing your rental weeks at a vastly reduced cost!  The income you will receive will probably barely cover your  mortgage payments (assuming you have a mortgage and not bought the villa outright) let alone cover your management company fees and the property running costs (e.g. utilities, air conditioning maintenance, garden maintenance, irrigation maintenance, home owner association fees, pool maintenance, interior and exterior pest control, telephone, cable TV etc. to name but some).  Utility costs are not cheap - electricity and water in Florida are both extremely expensive.

Renting Out Your Florida Villa

This consideration should form a key part of your decision BEFORE you purchase - assuming this is how you intend to finance your purchase.  How are you going to position your business in the marketplace?   Who are your potential customers?  How are you going to segment your market and how are you going to target them?   What budget will you have to do this?  How much can you afford?  How are you going to maximise this expenditure - i.e. get 'bangs for bucks'?

Continue On To 'Buying A Villa' Page 2

To see our comprehensive 'Buyer's Guide' visit our sister site - World of Orlando


E-mail: [email protected]

Telephone: (001) 863 420 6468

Postal address: 851 Corvina Drive, Davenport, Florida, Fl 33897, USA

Owners: Sue and Alan McConnell

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