Pensacola Realty Masters Blog
Realty Masters is happy to present the following Pensacola area community and Pensacola real estate information!
Listing with Realty Masters For Rent or Sale at the Same Time
No one knows what the future holds. We understand that better than anyone! You find your housing needs changing unexpectedly and you are toying with the idea of becoming a landlord and renting the house out. Not all landlords set out to become landlords, but life happens and you should look at your situation, weigh the options, and do what makes the most sense for you. We can help with that.
Are you unsure whether you should rent or sell your home? With Realty Masters, you can do both! As Pensacola's real estate investment specialist, we can help you sell or lease your Pensacola home without committing to one option until it's either rented or sold.
Here's how it works:
- A 90 day listing contract will be required to put your home on the Pensacola MLS Multiple Listing Service and syndication to multiple other internet sites to include Zillow, Trulia, Homes.com, etc. Don't worry, there is a $0 cancellation fee.
- We would require the home be listed for sale only for at least the first 30 days. If it's not sold, we will list it for rent or for sale, and if the home rents, the listing contract can be cancelled without penalty and the home withdrawn from the sales market. Luckily, average time on the market to sell your home is only 25 days as of 2022, and we feel confident we can get your home sold or rented fast!
To help you make your decision, we have some information that may be helpful regarding the pro's and con's of renting and selling your home!
Pro's of Renting Your Home
- Collect extra income on top of paying off your debt (so long as the rental rate is more than your mortgage and expenses! We hope that is the case for you!)
- Own a home while someone else pays off your mortgage
- Home value appreciation over long term
- No utilities costs once occupied
- Transfer some of your upkeep and minor maintenance duties to your tenant
Cons of Leasing your Home
- Potential unexpected expenses such as vacancy and damage
- Deffered maintenance costs will increase as tenants will not care for the home the way a homeowner does
- Routine maintenance expenses and capital improvements necessary to maintain the investment
- Continue to pay insurance and property tax, and property taxes will increase if you had a homestead exemption
Pro's of Selling your Home
- Largea mount of money received at once
- Can move money into another investment
- Casuhing out your appreciation and avoid any temporary changes in market value
- Avoid the cost of interest over the life of the loan
- No more property taxes, insurance, repair expenses
- Potential to avoid capital gains taxes (ask your accountant!)
Cons of Selling your Home
- One less asset gaining income on your portfolio
- Loss of rental income
- Miss out on future appreciation potential
- Potential capital gains taxes
- Paying out closing fees and closing costs
- Out of pocket repairs that may come up to get your home sold
- Typically takes a longer time to find a buyer and close than to find a renter and receive rent
There may be some drawbacks to this approach as it can scare away rents who don't want to have another property owner sell while they are leasing. It also may not allow enough time for a buyer to view and make an offer before it rents. Luckily, both markets are moving fast and we know we can get your home leased or sold!
Request a Market Analysis
In order to make any decisions on whether you should ultimately rent or sell your home, you must have a good market anaylsis of both the Rental Value and the Sales Value. To request a market anaylsis for both the sale and rental markets, give us some basic information here.
Are you cut out to be a Landlord?
Landlording can be a pleasant experience or sometimes a very stressful one. You may learn a thing or two along the way and making mistakes can be costly. Of course if you do not want to actually deal with your tenants yourselves, you can always hire a professional property management firm like Realty Masters of Florida to do the job for you.
- More information on being a Landlord
- More Information on Property Management Services
- Investor Resources
Whether your goal is to lease or sell your Pensacola area home, reach out to our team and let us know how we can help you accomplish your goals.
I ran across this article on Bigger Pockets recently entitled "Here's Why I'll Never Sell My Multifamily Investment Properties" and thought it was really telling as to why there's always low inventory in the small to midsize multi-family sector. Most investors, especially the seasoned investors, are in the landlord game for the long haul as this gentlemen is. The end game is passive retirement income. Sure, it ebbs and flows, and some years are better than others, but over time, the reward is worth the pay off as long as you purchased a property in good condition in a good location and have active management.
Duplex, triplex, fourplex, and other multi-family owners tend to purchase and hold for long term making less opportunities for others to get into multi-family housing.
Looking at sales prices of duplexes and quads over the last ten years:
2007 Duplexes: 51 Average Sales Price $144,209 Quads: 38 Average Sales Price $223,275
2008 Duplexes: 17 Average Sales Price $139,712 Quads: 12 Average Sales Price $159,200
2009 Duplexes: 18 Average Sales Price $94,338 Quads: 16 Average Sales Price $149,227
2010 Duplexes: 28 Average Sales Price $53,089 Quads: 11 Average Sales Price $99,750
2011 Duplexes: 26 Average Sales Price $47,319 Quads: 12 Average Sales Price $112,650
2012 Duplexes: 30 Average Sales Price $84,715 Quads: 14 Average Sales Price $96,279
2013 Duplexes: 33 Average Sales Price $74,076 Quads: 19 Average Sales Price $96,766
2014 Duplexes: 49 Average Sales Price $80,440 Quads: 19 Average Sales Price $88,400
2015 Duplexes: 30 Average Sales Price $76,670 Quads: 22 Average Sales Price $98,851
2016 Duplexes: 44 Average Sales Price $107/521 Quads: 17 Average Sales Price $164,770
2017 Duplexes: 55 Average Sales Price $142,582 Quads: 18 Average Sales Price $174,851
2018 Duplexes: 54 Average Sales Price $129,979 Quads: 18 Average Sales Price $290,394
2019 Duplexes: 57 Average Sales Price $154,090 Quads: 10 Average Sales Price $341,800
2020 Duplexes: 59 Average Sales Price $206,589 Quads: 7 Average Sales Price $307,500
2021 Duplexes: 85 Average Sales Price $224,643 Quads: 23 Average Sales Price $399,536
We've been getting so many calls and emails from investors trying to locate income producing multi-family investments in the Northwest Florida area. We are having an increasingly hard time finding our clients investment properties that cash flow and make sense as prices and interest rates continue to increase. If you have a duplex, triplex, fourplex, or other apartment in the Pensacola area, we can find a buyer for you. Looking at the last ten years of multi-family sales, now may be a good time to sell.
If you're interested in purchasing a small or midsize multi-family property, reach out to our office as we're always on the hunt!
originally posted 09-27-2018, Updated 4-7-2022
Across the country, low inventory and increasing home prices are causing rentals to be more indemand. The Pensacola Real Estate market, is definitely a Seller and a Landlord's market as of 2018. The supply of quality homes for rent is currently exceeded by the demand.
In a recent study done by attomdata.com, we see that Escambia County is 57 out of 449 best counties to invest in single family rental properties in 2018, according to the analytics. Pensacola ranked the highest among all Northwest Florida Counties. The data reports less than a 5% investment property vacancy rate and an 11.8% 2018 Annual Gross Rental Yield.
Neighboring Santa Rosa County was ranked 299 out of 449 and Okaloosa County was ranked 219 out of 449.
Demand for Single Family Rentals
One of the major things shown by this report, is that there is a demand for Pensacola rental property. People simply want to live is this beautiful area! From our trendy downtown areas to our upscale beachfront communities, there is something here for every person and every budget. Pensacola is still ranked as one of the most affordable markets in Pensacola.
So what are some contributing factors to Pensacola’s booming rental market? One of the most influential factors, is the military presence in the area. The next factor would be the large growth in the north side of the county due to new jobs being created at the Navy Federal Credit Union. Additionally, we have two colleges including University of West Florida and Pensacola State College which feed the rental market. Finally, there are the renters who simply appreciate the fact that when something goes wrong, they have property management to turn to.
Investing in Pensacola Real Estate
The article points out that the people benefiting the most from the current economic condition of rental real estate, are the owners who have invested in 6 homes. With the demand for rentals on the rise, rents are increasing in the area. We are seeing low supply and high demand so we must admit that it's tough right now to purchase an income producing property. You need a good realtor to help you find, identify, and act fast on good income producing properties.
As we are fellow real estate investors ourselves, we want to help you build income producing real estate investments. We are here to come beside new and experienced investors to streamline the process. Our sales team and property management team work together to identify viable properties to purchase and our sales team of qualified Realtors are prepared to walk you through the investment process with honest, reliable advice.
When you are ready to rent it out, our property management team is ready and willing to assist. So if you are considering investing in the Pensacola area or in Escambia County, give our agents a call!
Click Here for the original article and more data on real estate markets around the state and country.
originally posted 04-04-2018
If you are house hunting this spring or summer in the Pensacola area, you will find that the active rental inventory is tight! We're seeing record lows in the single family rental market in the Pensacola area.
There are simply not enough properties for rent at this time to meet the current demand of renters looking to move. To help you ease the stress and frustration of house hunting this season, we've put together a video with helpful house hunting tips.
Here are some of the highlights from the video:
- Do your research. It's up to you to do the research on the neighborhoods and areas. Do a neighborhood search (Escambia County Crime Map: http://www.escambiaso.com/crime-map/ )
- Be prepared! Review the requirements for renting and have all of your documents necessary ready to apply. Have a double security deposit ready if you do not meet the rental criteria.
- Consider purchasing a home.
- Check into the multi-family apartment complex community for availability.
- Have vet records, photos, and extra pet deposits for your pets.
- Don't just apply to apply! This lowers your credit score and is costly. Be intentional and serious before you apply.
- If you are relocating, do not expect to be able to pull a U-haul into town and move in a property the same weekend. If you have someone who can view properties on your behalf, have them coordinate viewings and sign a lease.
- Be available for showings! You may have to take some time off work in order to be successful in house hunting this season.
- Have a back up plan in case you don't find a property!
- Adjust your expectations for the criteria you need, not the criteria you want. It is not the time to find a dream house!
- Housing affordability is an issue and will continue to be as the economy and real estate market improves. Rents will continue to increase. Plan for this!
- Be happy where you are. Do not be upset by a small rental increase or an unresolved maintenance item that is not important.
- Show up at real estate offices! The call and email volume is overwhelming for us now. Make time to pop by the office and talk with someone in person for best results.
- Act fast when you find a nice property. Be ready to pay a deposit and sign a lease when you apply.
Reach out to our office and let us know how we can be of assistance whether you are looking to buy or rent a home in 2018.
Realty Masters of Florida Rental Office (850) 473-3983 http://www.PensacolaRealtyMasters.com
originally posted 03-27-2018
We are facing a shortage of inventory in both the Pensacola real estate sales market and Pensacola area rental market. Low inventory and high demand are causing strain on the Pensacola real estate market and we are seeing the effects on both home buyers and home renters in the Pensacola area.
Here's a quick 2018 Spring Real Estate Market update from Nicole St. Aubin, Broker Associate at Realty Masters.
Want to see the data? I can't explain it as well as Dr. Rick Harper can! Use the links below to view the actual reports and presentations referred to in the video.
- Use this link to view the Escambia County Economic Outlook and Update sponsored by the Home Builders Association of West Florida in partnership with the Pensacola association of Realtors and Greater Pensacola Chamber of Commerce.
- Use this link to view the Santa Rosa County Housing and Economic Report produced by The Homebuilders Association of West Florida along with the Pensacola association of Realtors and Greater Pensacola Chamber of Commerce.
If you are house hunting in the Pensacola area, reach out to our agents for help!
originally posted 03-26-2018
originally posted 05-12-2016
Pensacola Real Estate New Construction Homes Infographic
A snapshot showing 2016 New Construction homes in the Pensacola area.
In recent years, distressed inventory represented a significant portion of the Pensacola area rental market and new construction was minimal. That has officially changed!
Distressed homes, including short sale and foreclosed homes, currently represent about 7% of the active homes for sale in Escambia and Santa Rosa Counties while new construction homes for sale now represent approximately 18% of the sales market.
What's better than a brand new home? Here's a fun infographic breaking down the new construction being built in the Greater Pensacola area!
There's approximately 550 new construction homes being built with 44% under construction, 27% newly completed, and the other 30% to be built.
The top areas for new construction include Pace in Santa Rosa County and the Beulah (32526 zip code) and the Cantonment (32533 zip code) area in Pensacola with Southwest Pensacola's 32507 zip code falling behind.
If you want a list of new construction builders and neighborhoods in the Pensacola area, give our agents a call. Email info@PensacolaRealtyMasters.com and we'll send you a full list!
- Tenant Education
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- Military PCS Move to Pensacola
- New Construction Builders in Pensacola
- Considerations when Purchasing a Pensacola Multifamily investment
- What Makes a Good Pensacola Investment Property
- Buy and Hold Investment Strategy
- Nicole St. Aubin
- Pam Keen
- Nicole St Aubin
- Erica Parker
- Mike Hamby
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