The Ultimate Guide to Transient and Non-Transient Vacation Rental Properties in Key West
Are you considering Key West Real Estate as an Investment? Did you know there are two different types of Vacation Rentals permitted by Monroe County? Key West is a very desirable destination, even in 2020, the total numbers of passengers that flew into Key West was 318,760. Our daily average hotel room rate in 2020 was over $400.00. Instead, why not rent a beautiful home with pool and parking in walkable Old Town, or a waterfront home with pool and dockage for a Month and enjoy Paradise with family and friends.
Summer month occupancy is gaining popularity, during 2020 in the month of July, there were over 20,000 flying into KWIA in July according to the statistics from the Key West Tourist Development Council. In Summer entire families travel to Key West to enjoy delightful weather, great seafood and play on the beautiful warm Keys waters. Are you looking for a 2nd home or seasonal residence that will have the ability to become a Rental Investment in your absence? Every residence in the Keys has potential. Check out this guide to help you better understand Transient and Non-Transient vacation rental properties!
Similar to a hotel; nightly or weekly rentals are permitted. Transient licenses are issued for specific Receivership locations in Key West and the Lower Keys with only a limited number available for these specified areas. Transient licensed properties sell at a premium and sometimes above asking price. A Transient licensed property is a valuable asset. Current Transient License Purchase Price – $225,000 as of January 2021. With this type of license, you can expect to see a return of 10-12% on the Gross Purchase Price.
A Non-Transient license is available for a minimum rental period of 30 day. Any single-family home can be licensed as Non-Transient, but if you are seeking a rental investment located within a Condo Association, the guidelines may differ. Some associations have a minimum of a three or six months restriction placed on the owners or you must own for a particular amount of time before you can rent the unit. With Non-Transient rentals, you can expect to see lesser return on your Gross Purchase Price. Non- Transient homes have a lower purchase price than homes with Transient Licenses because Transient Licenses are highly sought after. There is a great demand in the Keys for Licensed Rentals… in every Key West neighborhood or think about Waterfront homes…visitors can fish and boat right from the backyard, these homes also have great appeal, particularly in the summer months. Let us help you find an investment that fits your needs and expectations.
Let Leigh Ann Roach and the #1 Team at BERKSHIRE HATHAWAY HOME SERVICES KNIGHT & GARDNER assist you with locating your valuable Keys Investment. Allow our Top-Notch RENTAL DIVISION – Historic Key West Vacation Rentals put your Investment to work for you.