Purcase of a vacation home near WDW as an investment

[fcmcargo]

Hello,
Was interested to know if anyone here has ever purchased a vacation home near WDW for investment purposes. I rented a beautiful home last year and am doing the same this year. The rental was about the same $ as staying in a premium in the park hotel, but we were able to get 4 bedroooms, full kitchen etc and a pool! It was great, we even had friends stay over for a few nights.
I am thinking of buying one and noticed many of the management companies in Kississimme are owned by folks from the UK . Maybe alot of Englishmen are buying these homes ? Looking for any advise from anyone who has purchased one. Pitfalls, advise etc.
Thanks

 

[vernon]

Here are a couple of links that deal with this question. I think I've still got a letter I did that covers the difference between a home and a timeshare ( DVC) concerning the different commitments and costs each have

http://disboards.com/showthread.php?s=&threadid=199364&highlight=villa

http://disboards.com/showthread.php?s=&threadid=234430&highlight=villa

 

[athurstance]

As investments go I would say that owning a vacation home is hard work. If you have a mortgage on it then it will be very very difficult to make a profit (or even break even) without a huge amount of personal time spent marketing it, sorting out potential guests, taking bookings etc.
In the long term I'm not really in a position to say but property prices don't rise that quickly in Florida but overall I think it is a reasonable long-term investment.
Bear in mind that it is expensive to run a home which is 3000 miles away. You can't just pop round and fix things yourself so you have to have someone to look after it and any guests you put in. There are licensing requirements to comply with.
If you do buy expect to pay the mortgage and a huge chunk of the expenses for at least the first year. After that if you work at it then you will start to get return guests etc and things do pick up quite considerably.
A lot of British people do own holiday villas in Florida. There are also a lot of resales on the market by those for whom it just didn't work out. On the other hand there are a lot of very happy owners. If you love Disney and Florida - want to holiday there yourself and owning a property is just another part of all that (and you have plenty of spare cash to spend on it) then it is a great idea but its not something you should do if it would stretch you financially as you will find all kind of unexpected expenses coming up.

Angela

 

[fcmcargo]

Thank you for your information. Appreciate it. regards, Tom

 

[Elle]

I do have to agree with Angela, It is a lot of hard work but can be tremendously rewarding (not financially). We have only owned since June last year, we enjoyed the whole buying process and are now enjoying the renting, it is a nice feeling knowing you can go on holiday to your own place whenever you want (if it wasn't for the kids)
The most important thing we found over the 10 years it took us to buy is this, if you cannot afford to buy it and run it without a single person renting it from you then don't! It really is that simple because there are no guarantees that you will get any income from rentals.
If I can help with any more detailed info at all please do contact me.

Elle

 

[fcmcargo]

Thanks Elle,
Looks like you took some time shopping for your home. Glad you are enjoying it !
I assume you have employed a management company to look after your place. Are you pleased with the way they are working with you? Do they advertise your home, take the bookings and take care of the maintenance?
I have also been told that the location is so important with vacation homes as most folks do not want to drive more than 15 minutes to the "Main Gate" at WDW. We looked in Idian Creek, Formosa Gardens and Rolling Hills because of their close proximity.
Are you happy with your rental rates you are getting?
Glad to hear from you, Rgds, Tom