Orlando Vacation Homes 

Orlando is one of the top vacation destinations in the world and for good reason.  The are offers a sub tropic climate that allows outdoor activities year round.  Local attractions are abundant, including the theme parks of the Walt Disney World Resort, the Universal Orlando Resort and SeaWorld Orlando.  Other smaller parks and attractions are available.  Fine restaurants and shopping are also available throughout Orlando. 

There are many ways to enjoy an Orlando vacation.  We have attempted to describe many of the ways available, including some of the advantages and disadvantages of each. 

The traditional way to vacation to Orlando has been to rent a hotel room or buy a package that includes hotel accommodations.  Through the years the differences between the deluxe hotels and the economy hotels have expanded along with the increases in deluxe hotel room rates.  In addition, if you want to be near the attractions or connected to the theme parks, the costs of the hotel rooms increase. 

An alternative that has become very popular is the purchasing of Timeshares.  Local companies that offer timeshares include the Disney Vacation Club and Westgate Resorts.  In addition, all of the major chains, including Marriott Vacation Club and the Hilton Grand Vacations have resorts in Orlando.  While the timeshare industry continues to grow, many people do not like the limitations and costs of timeshare ownership.  Although it is called "ownership", most timeshares do not provide the tax deductions of true real estate and the investment historically depreciates instead of the possible appreciation of a true real estate purchase.  If timeshares are attractive to you we suggest that you look for a resale, where you can buy timeshares for a fraction of what the owner originally paid.

Vacation Home Ownership Options

The actual purchase of a second home for vacations is also a popular way to vacation in Orlando.  Owning a vacation home provides owners the opportunity to find a property that fits their vacation needs, including the number of guest rooms, location and amenities.  In addition, a vacation home offers the tax benefits of home ownership including interest and property tax deductions.  If you rent the home out when you are not using it, you also receive the business deductions for insurance, utilities, depreciation, etc.  See your tax advisor for your situation and the deductibility of expenses.  Many vacation home owners have also experienced another benefit: the appreciation of the home values. Whether they decide to continue to own the home or sell, it is good to know that an investment has appreciated.  Although there is no guarantee of property appreciation, owning a vacation home provides that opportunity, while a hotel room or timeshare has little chance of appreciating!

There are many things to consider to determine which type of vacation home is right for you and your family.  Options include: Home or Condo for your exclusive use, Home or Condo that you rent while you are not using it, a Condo Hotel, or fractional ownership.  Each is described below.

Exclusive Use Vacation Home

Owning a vacation home that will only be used by your family during your vacation time provides the greatest flexibility in the communities you can choose from, but may also be the most inflexible and expensive option.  There are no limits to what developments you can consider, although some may have restrictions on how many guests you can have or how often you can have family and friends use the home without you present.  Also, if you want to rent the home when you are not using the property there may be restrictions on how often or how long you can rent the home.  As an example, in the town of Celebration you can only rent a home or garage apartment twice in one year for a minimum of 7 months.  Although you may not need the expenses of a management company, all other expenses of the home or condo are not offset by any rental income. 

Owning a vacation home for your own personal use allows you to choose from all areas of Orlando.  Your choice of locations may depend on whether you will be using the home to visit local attraction or only to escape the northern winters.  There are many planned communities that offer social and recreational amenities that may be of interest.  This gives you and opportunity to meet local residents and have consistent neighbors during your visit.  Communities like Celebration, Hunter's Creek, Windermere and Lake Nona welcome part time residents.

A vacation home also allows you to purchase a home that you will eventually use for your retirement and permanent residence.  What may be a vacation or second home today can become your future primary residence.  By buying today you are guaranteeing the price of your future home with the opportunity to pay down the mortgage as you get closer to the move.
 

Vacation Home Rental Ownership

Due to zoning and community regulations there are restrictions on where vacation homes can be rented by the night or week.  A growing area that allows zoning for short term rentals is conveniently located near the Walt Disney World Resort.  These communities have homes and condos that are primarily used for short term vacation rentals.  While the owners may enjoy the home for a period of time throughout the year the home is available for revenue opportunities when not used by the owner. Management Companies watch the home when the owner is away and provides pool and cleaning services, along with marketing for vacation rentals.

Home prices vary depending on the size of the home and its proximity to the Walt Disney World Resort.  These same variables have some impact on determining rental rates and occupancies.  Most home resales include a pool and spa and are fully furnished.  New homes include these options which are suggested if you plan on renting the units.  Condo complexes usually include extensive recreational amenities including pools and exercise rooms.

There are two main areas for vacation home rentals:

• A large area on West 192 extends from just south of Disney's Animal Kingdom to a corridor of homes located on Highway 27 just north of Haines City and south of Clermont. The West 192 section is growing quickly since the recent opening of the Western Beltway extension that will provide direct access from the Florida Turnpike to West 192.

• East 192 from the Old Town entertainment complex to Kissimmee. This includes a large number of subdivisions on Poinciana Road.  New shopping and restaurant options make this another popular vacation area.
   

Condo-Hotels

The hybrid concept of selling hotel units as condominium units has become a very popular trend in the past few years. Condo owners like this concept because it offers the amenities of a deluxe hotel with the management to rent the unit when it is not being used by the owner.  Rental sharing usually ranges from 45% to 60% of the rental incoming to the owner.

Several factors have led to the current boom in condo-hotel projects — the improving performance of hotel companies, the recent investment appeal of real estate over the stock market, low interest rates and baby boomers approaching retirement who want to invest in a second home, said Mark Lunt, a hospitality expert at Ernst & Young in Miami.

215 Celebration Place #315

Celebration, FL 34747
 

MAP