Understanding Condo-Hotels In Daytona Beach. Condo-Hotels vs. Condos. Living and Renting is the  fourth installment in this series. Previous installments are:
Understanding Condo-Hotels In Daytona Beach. Condo-Hotels vs. Condos. Management
Understanding Condo-Hotels In Daytona Beach. Condo-Hotels vs. Condos. Safety of your Investment Understanding Condo-Hotels In Daytona Beach. Condo-Hotels vs. Condos 

Condos in Daytona Beach started in the 60s. Those condos were not investments in anticipation of rental income, they were residential in nature, and limiting rentals seemed logical. Take Pendleton Club for example. Minimum rental is one year. Others that came a bit later have rental limitations from a month to a year. It was not until relatively recently, that developers recognized that their customers were interested in renting their vacation properties when not using them themselves.

As the prices escalated in recent years, the idea of a vacation place just sitting empty and used only a week or two a year was less and less attractive, so it is no surprise that some of those super luxury condos in Daytona Beach actually have very short rental limitation starting from 1 week. This can cause tensions in a condominium, as if you chose it as a quiet place to live in this utmost luxury, you may find that it is not as quiet, and you have to deal with people, who  have very little appreciation for the property and respect for the rules. They paid serious bucks renting a luxury condo, came to relax, it is their party time on the pool, and this can come into a conflict with full time residents.

Some condo associations attempt to change the rules and set longer minimum stay requirements after they get the reigns from the developer. I do not think it is fair. If you did not like the limits in the condo docs, why did you buy? But buying and then changing is not fair to others. Some people bought specifically because the rules and regulations fit their needs. If someone bought a condo with a limitation of minimum 2 weeks, and the association then changes that to 3 months, this may hurt the owner. And this is not just with minimum rentals, it can be about pets. If pets are allowed by the condo docs, then the association can change the rules and allow not 50 lb dogs, but 25 lb dogs, etc.

The good news is that by Florida law you can't change the minimum rentals requirements for people who already own the unit in the condo. The new rules would affect those who buys after the rules were set in place, but the arrangement would stay the same for the existing owners. The same does not apply, however, to dogs, and other things.

While in Condo-hotels the minimum stay is the most liberal - 1 day, it does not mean that there are no problems with rentals in a condo-hotels. the issue is often with the right of owners rent themselves. And here there is no universal rule. Each condo-hotel runs their own rules. Form "no way" to "do what you want". Fountain beach adamantly fights with owners and does not allow them to rent long term (which they define as over one month), Oceanside Inn has no problem with long term rentals, but do not like people doing short term rentals, Plaza Resort wold not allow long term rentals at all. The issue is also with the owners themselves. Yes, their stay may be limited. In Plaza Resort & Spa the owners can occupy their unit not more than 60 days a year and not more than 30 days in one visit.

Can it be that the line in the condo docs "This cannot be a primary residence" is interpreted by the Boards too narrow, as it never says that you can't stay in the property? So all those "6 months and one day" maximum stay for the owner may be  nothing more than a wish. But to my amazement, so far I did not here that anyone contested it in court.

What often comes as a surprise to owners of units in condo-hotels in Daytona Beach Area, is that owning a unit may not guarantee them the right to use it whenever they want, or rent whenever they want, or even stay there as long as they want. Read the Rule & Regulations, and be ready that it might be changed.

If you are looking for condos or condo-hotels in Daytona Beach area, call us at 386-405-4408.