Investing in Vacation Rentals and Short-Term Rentals in the Florida Keys and Monroe County
The Florida Keys have long been a hotspot for vacationers, sun-seekers, and those looking to invest in prime real estate. With the region’s natural beauty, unique charm, and steady tourism, vacation rentals have become a lucrative opportunity for investors. However, before diving into property investment in the Florida Keys, it’s crucial to understand the regulations governing short-term rentals.
While many people dream of owning a vacation rental in this tropical paradise, the truth is that only certain areas allow short-term rentals. Monroe County has strict zoning laws and rental ordinances to protect the community and maintain the area’s serene environment. Knowing these guidelines can make all the difference in finding a successful investment property.
Short-Term Rental Regulations in the Florida Keys
The first thing to know is that not all areas within the Florida Keys allow for short-term rentals (rentals of less than 28 days). Each city and county has its own rules, and the type of license required can vary. Talking with a local, knowledgeable, and professional realtor can make all the difference when looking at what areas to invest in, within your price point. Other things to consider are – the cost of insurance, typical rental prices within the community, any additional costs needed to rent within the community, etc.
Transient Licenses: A Valuable Asset
In areas where short-term rentals are restricted, property owners can apply for a transient rental license, but these licenses are in limited supply. These licenses, when available, allow owners to rent their properties for shorter periods (less than 28 days) and are a prized asset for real estate investors looking to break into the vacation rental market. However, securing one can be competitive due to the limited availability.
Marathon and Key Colony Beach: 7-Day Minimum Rentals
Marathon and Key Colony Beach opted to allow for 7-day minimum rentals for several key reasons. Both cities rely heavily on tourism to fuel their local economies, and short-term rentals offer a way to accommodate the growing demand from visitors seeking alternatives to traditional hotels. The 7-day minimum strike a balance—offering property owners the flexibility to rent their homes while preserving the community atmosphere by preventing constant turnover from nightly rentals.
Allowing short-term rentals also provides a significant boost to local businesses. Tourists staying in vacation homes tend to spend at nearby restaurants, shops, and attractions, supporting the local economy. Moreover, seasonal residents benefit financially by being able to rent their homes when not in use, helping offset the costs of ownership in a region where property values are high.
In essence, Marathon and Key Colony Beach have embraced a balanced approach that promotes tourism and economic growth while maintaining a stable and peaceful residential environment.
A Few Communities That Allow Short-Term Rentals
Beyond the cities with relaxed rental restrictions, several specific communities within Monroe County allow for short-term rentals. Many of these communities are gated or specially designated for vacationers, providing a resort-like atmosphere perfect for attracting travelers. Here are some notable areas where short-term rentals are permitted:
- Venture Out (Cudjoe Key) – A gated community offering a mix of single-family homes and RV lots, Venture Out is a popular choice for vacationers and offers short-term rental opportunities, dockage, community boat ramp, pool, swimming pool, marina, and more.
- Mariners Club (Key Largo) – A luxury oceanfront complex with a mix of Condominium Units and Townhome Units known for its amenities, including pools, beach area and a marina. Mariners Club allows short-term rentals and attracts vacationers looking for high-end experiences in the Upper Keys. This community has an equity buy in.
- Futura Yacht Club (Tavernier) – This waterfront condo community permits short-term rentals for units that qualify and offers access to boating and other water activities. Its proximity to popular attractions in the Upper Keys makes it highly desirable for visitors.
- Bay Harbour (Islamorada) – Known for its location near by Port Antigua and White Marlin Beach, Bay Harbour offers short-term rental opportunities for the condos and caters to a market seeking tranquil, upscale accommodations.
- Calusa Campground (Key Largo) – Offering a variety of housing options, from RVs to mobile homes and single-family homes, Calusa Campground allows short-term rentals. It’s a laid-back community.
- Key Largo Campground – Another location that offers a mix of homes and RV sites, this campground allows for short-term rentals and attracts tourists looking for an affordable way to experience the beauty of the Florida Keys.
Why Invest in the Florida Keys?
Investing in vacation rentals in the Florida Keys comes with significant advantages, including high demand, premium rental rates, and year-round tourism. The region attracts visitors not only for its stunning beaches and world-class fishing but also for its array of watersports, national parks, and vibrant local culture. Whether targeting weekly renters in Marathon or Key Colony Beach or tapping into the transient rental market in a specific community, there’s ample opportunity for generating consistent income.
Tips for Success
- Speak with a Local Realtor: Understand the local regulations and zoning laws for short-term rentals. These rules can vary greatly between areas in the Keys, so working with a local real estate agent knowledgeable in Monroe County laws is essential.
- Secure Proper Licensing: If you’re purchasing a property where short-term rentals are restricted, inquire about obtaining a transient rental license. While limited, these licenses can significantly increase the value and profitability of your investment.
- Consider Property Management: Managing a short-term rental can be time-consuming, especially if you’re not a local resident. Hiring a reputable property management company ensures your rental remains in top condition and helps with marketing, guest services, and maintaining occupancy rates.
- Location, Location, Location: The old real estate mantra rings true in the Florida Keys. Properties close to beaches, marinas, and local attractions are more likely to fetch higher rental prices and maintain consistent occupancy year-round.
The Florida Keys and Monroe County present a golden opportunity for investors interested in vacation rentals. Whether you’re looking to take advantage of weekly rental opportunities in Marathon or Key Colony Beach, or invest in a community with short-term rental flexibility like Venture Out or Mariners Club, these areas offer a variety of options. Understanding the region’s rental regulations, securing a transient license, and targeting high-demand areas can help ensure your investment is both profitable and sustainable.
Here are some of the Currently Available Short-Term Rentals – https://link.flexmls.com/1tw84panf21h,6
If you’re considering investing in a vacation rental in the Florida Keys, reach out to us to explore the best opportunities and ensure you’re in compliance with local rental laws. With the right approach, your piece of paradise could become a highly sought-after destination for vacationers and a valuable asset in your investment portfolio.
