Anna Maria Island single family real estate even after our little correction appreciates at 10% year over year on average.  So if you can find an investment that pays for itself through vacation rentals life is really good!  Right?

On Anna Maria island vacation rentals are extremely popular.  Anna Maria Island is located on the Gulf Coast of Florida and there are two buildings above 37' and that is it...no more.  So no chain hotels which lends itself to an excellent vacation rental market.  We have 7 miles of Gulf Coast and about 2 miles of the Tampa Bay Coast and the island at its widest point is about 10 blocks.

Currently there is a 4-5 bedroom on the market for $425k.  Its about 2 blocks to the Gulf which means it should rent fairly well.  There is no pool but a NICE pool would cost $40k and furniture, fix up would be another $50k....so up front capital of $80k down, and $90k for pool etc...$325k mortgage should be about $2k per month, property taxes $6k/yr, insurances $5k/yr, op costs $500/month.  So, carry the one, hmm, hmm, ok if I did my math correctly $3400 expenses per month including DEBT expenses.

Now for the gross income.  The gross income on similar properties would be at least $55k with an UPSIDE of $65k minus a commission of 20% for management.  Lets remain conservative, income AFTER commission = $44k.  Income per month -------$3666 per month.  Ta Da!!!

So, expenses per month INCLUDING DEBT service = $3400
NET Income per month                                       = $3666

Lets just call it break even to cover repairs.

So in summary, for $170k in capital you too can create a 10% deferred savings account of $1,100,000 that you can cash out.  That's almost 6.5 X your original investment of $170k!  Boy I love Real Estate!!!

For more information on Anna Maria Island Real Estate visit www.IslandReal.com or our website.  For more information regarding the specific property listed in my blog visit 407 80th..if the link is broken the home has already sold but give me a call or visit our web site for more bargains.  I did include a picture below.

Of course there are always risks to investing.  Hurricanes, red tide, oil spills, travel crunches and of course all figures above are estimates however call or comment with more questions.  The analysis is NOT perfect but it is within 5-10% and in now way is this a commitment of rental income.