If you are looking to make money in investing in 2022, consider investing in the Florida real estate market. Putting your money in the real estate market and expecting a return can be tricky, as it can be difficult to know exactly where to invest in or what property to invest in. The key to investing in real estate is finding a profitable location. If you purchase a property in a less-than-ideal location, it is impossible to create a positive cash flow.
Whether you are an experienced real estate investor or someone beginning their investment journey, you should consider looking at Nokomis FL for an investment property. An Airbnb Nokomis FL can be a great location to invest this year.
No matter where you invest, there are many factors to consider before purchasing a property. It can be difficult to navigate through all the steps that come along with real estate investing. Mashvisor makes it easy for investors to do anything related to real estate investing.
In this article, we will look at the Florida housing market, specifically, Nokomis FL, to discuss why it can be a great location to invest in 2022. Continue reading to learn all about Nokomis FL and its investment opportunities.
Is Airbnb Nokomis FL a Profitable Location?
If you are a real estate investor, you know just how difficult it could sometimes be to determine how profitable a location is. Though a city or town can have all the qualities you find desirable, they may not be to everyone else. When you are considering a certain location for an investment property, you should always look at the nearby attractions and the tourism the location attracts. Anyone traveling and looking for a short term rental property must be traveling to that area for a reason. It is essential to make sure your location has many proven popular amenities. We will look at Nokomis FL and what amenities this town offers tourists.
Related: The Best Place to Buy Vacation Rental Property 2022
Things to Do in Nokomis FL
Nokomis FL has many different attractions that draw tourists year-round. To start, Nokomis FL is located right on the shoreline, with almost half of the town adjacent to the Gulf Coast of Florida. This means there are plenty of beaches for Nokomis visitors to attend. Beaches are great for many outdoor activities, such as swimming, water sports, volleyball, etc. This is one of the biggest draws of Nokomis FL.
Other than the many beaches Nokomis FL is home to, the town is actually a neighboring town to two very popular FL cities: Venice and Sarasota. This makes it a great option for people looking to have access to these cities without staying right in the heart of the city itself. Visitors will be looking both in the cities and the neighboring town for rental properties to stay in. Nokomis is very close to Venice, just north of the city. Renters will view Nokomis as a great option to stay in if they are looking to go to Venice.
Nokomis itself also is an excellent place to fish and attracts a lot of people interested in fishing. They have their own boat ramp that makes it very accessible for visitors to access boats for fishing. Nokomis can be described as a small, relaxed town, compared to its populated neighboring cities. This makes it a desirable location for renters who want to stay somewhere quiet but still be close enough to visit other popular cities in Florida.
Why Should You Invest in Airbnb Nokomis FL?
Even with all of the attractions Nokomis offers, there is still much more to look at before determining if the Nokomis real estate market can be profitable for your investment. Looking at the real estate data is a surefire way to determine how profitable a market can be. Below is the Airbnb Nokomis FL real estate market data:
- Airbnb Rental Income: $3,037
- Airbnb Cash on Cash Return: 1.30%
- Airbnb Daily Rate: $169
- Airbnb Occupancy Rate: 47%
- Median Property Price: $1,236,950
- Average Price per Square Foot: $613
- Days on Market: 50 days
- Walk Score: 27
The above data can be an excellent indicator if Nokomis FL is a profitable location.
Related: What is a Good Cash on Cash Return?
What are the Rules and Regulations for Airbnb Nokomis FL?
Before purchasing an investment property in any area, it is essential you research the laws for Airbnb properties in that area. Different locations have different rules and regulations for short term rental properties. It is important to research your specific location to ensure you are up to code on everything before you list your property. Nokomis FL has a few rules and regulations on their short term vacation rental properties you should be aware of before deciding if you want to purchase a property in that location.
You Need a State Vacation Rental License
All short term rental properties in the state of Florida need to obtain a State Vacation Rental License before they are able to list their Airbnb property. There are some cases in which certain Airbnb properties do not qualify for a State Vacation Rental License but this is rare. To find out more about if your specific property will qualify as a vacation rental property, you should visit your city’s local government office.
If you are the host and you are planning on living in your Airbnb vacation property, you do not need to obtain a State Vacation Rental License from the state. If the host is not planning on residing in the property, it is likely that Airbnb will need this license. Always double-check the local guidelines before assuming your property does or does not qualify for any specific license.
Also, it is important to note that there are different applications for the State Vacation Rental property depending on what type of property you have. For example, homes, condominiums, and apartments all have Serpent applications for this license. Make sure you are applying for the correct State Vacation Rental License.
In the State of Florida, all short term rental properties are required to file for any taxes they meet the requirements to or are applicable to for the property.
Despite the state laws in the location of your investment property, all local cities and towns could have additional requirements needed for listing an Airbnb property. If you have questions regarding the local laws for your Airbnb Nokomis FL, visit the town’s local office or consult with a local lawyer familiar with real estate guidelines in the area.
Though this may not be the case in every state, in the State of Florida, if the owner of the property registers that property as their permanent residence, they likely qualify for a tax exemption. Though this exemption is approved most of the time, there are some cases in the state in which the owner does not qualify if it is an Airbnb property. Always double-check with the Florida Department of Revenue website for more information regarding a tax exemption for your property in any Florida town or city.
Even though you might think you know everything there is to know about rules and regulations for Airbnb properties in your area, it is always a good idea to research the area again to double-check if there are any additional licenses or permits you need for your Airbnb Nokomis FL. Other things that usually need to be considered for any Airbnb property are HOA rules and regulations, Co-op rules, condo board laws, or any rules established by tenant organizations.
How Do I Choose the Best Airbnb Property in Nokomis FL?
Check out the steps below to find the best Airbnb property in Nokomis FL for your real estate investment.
Step 1: Determine What Kind of Property You Are Interested In
After reading the information above, if you have decided the Nokomis housing market is a good place to invest in, you need to then find a property in that area. There are many things to consider when figuring out what kind of property you want to purchase as your investment property.
The first thing to think about is what sort of renters you want for your investment property. Different styles of properties attract different renters. For example, smaller units such as condominiums and apartments typically attract single travelers or couples. This is because they don’t need as much space as a family might. If you purchase a single-family home for an Airbnb, it will more likely attract families or larger groups as there are more bedrooms, bathrooms, and space in general.
For an Airbnb Nokomis FL, either type of property can be profitable. There are plenty of family activities to do in Nokomis, such as going to the beach, fishing, or ant water sport activities. Additionally, Nokomis is known to be a quiet and relaxed beach town, which can be desirable to families. It means a traditional house can be a good investment property.
Nokomis also will likely attract younger couples or single travelers looking to visit the surrounding cities. It means an apartment or condominium can be profitable as well. In a town like Nokomis FL, you can’t really go wrong with either type of property.
If you can’t decide which type of property to invest in for an Airbnb Nokomis FL, consider using Mashvisor’s Neighborhood Analytics tool to analyze how different properties perform in the area. This tool collects data from Airbnb to show investors how similar properties in the area perform. It can give you a good idea of the type of property you invest in based on how other properties perform.
You can customize your search based on budget, type of property, and how big that property is to look at ones similar to what you are interested in purchasing. The Neighborhood Analytics by Mashvisor is great for helping investors see what properties are profitable in an area. You can book a demo to find out more about how Mashvisor’s tools can help you in your investment journey.
Step 2. Set a Budget
Before purchasing any property, you need to come up with a budget and stick to that budget throughout your entire investment. It ensures you will have a return on your investment. These are some factors to consider when setting a budget:
- Selling Price
- Closing Costs
- Repairs and Remodeling Costs
- Property Registrations and Licenses
- Other Unexpected Costs
Step 3: Search for a Property
After you have created a good budget for your investment, you can begin your property search. Mashvisor’s Property Finder tool is great for searching through properties in any area. As the Airbnb demand is quite high, the Property Finder tool makes it easy to find properties that are perfect for your investment. This tool lets you filter through properties based on:
- Property Type
- Number of Bedrooms
- Number of Bathrooms
- Rental Strategy ( Airbnb vs Traditional)
Once you have found the perfect property with Mashvisor’s Property Finder tool, you can purchase it and begin your real estate investing career.
Step 4: Purchase your Property
After finding your property, you might want to check it to ensure it is a good property for making money in real estate. To ensure the property will be profitable, use Mashvisor’s Airbnb Property Calculator tool. This Airbnb calculator shows investors how their property is expected to perform by comparing it to similar properties in the area. The Airbnb Property Calculator shows investors specific data related to their property such as:
- Airbnb Rental Income
- Short Term Rental Strategy
- Return on Investment
- Cash on Cash Return
- Cap Rate
All of the data above will help show investors how their Airbnb income property is expected to perform. Investors can use this tool to formulate a short term rental strategy to achieve the best property management strategies.
Lastly, when purchasing a property, always work with a local real estate agent. Use Mashvisor’s Real Estate Agent Directory to search through the local agents’ real estate portfolios to find an agent who will work best with you.
Related: What Does 7.5% Cap Rate Mean in Real Estate?
Time to Invest in Real Estate!
An Airbnb Nokomis FL can be a great place for an investment property in 2022. There are many attractions that draw tourists from all over to visit the town. If you are interested in investing in Nokomis FL, visit Mashvisor to access all of the tools mentioned above to make your investment journey easy.
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