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Making money with vacation rentals is nowadays one of the best real estate investments in the world. The so-called Vacation Homes in Orlando are the most desired by international investors. It couldn’t be different! Orlando is one of the most visited cities on the planet, receiving more than 75 million annualy looking for accommodation. But what is the ideal size of property in Orlando?

Larger properties tend to deliver a better expected return on Orlando rentals! This is not to say that smaller properties do not offer good returns. There are new condos with complete infrastructure for tourists, offering studios and 1 or 2 bedroom apartments at super attractive prices, with great potential for return. The apartment models at The Terraces at the Grove are just a few examples.

However, if you have the availability to make a larger investment and purchase a large house in Orlando, the expected return will also be greater.

If you are an investor thinking of purchasing a property in Orlando, be sure to read this article! Discover 6 reasons why large homes known a “single family homes” offer the best expected returns on Orlando rentals. Following:

6 reasons why larger houses rent better in Orlando

1 – Less Competition

The number one reason why large, multi-bedroom homes offer a higher return is limited competition. There are fewer large houses on the market than small ones! The number of 5-bedroom single-family homes on the market is less than 3-bedroom townhomes, for example.

8-bedroom homes are even more exclusive. And why not buy 12 or 14 bedroom homes in Orlando? The number of rooms seems daunting, but this Orlando property profile is highly sought after, especially by large groups and families (we’ll explain further in the next topic).

Here at Real Estate, we have clients who have bought several homes in Orlando, of different sizes, and noticed the difference in returns. The last homes purchased by these customers are the largest. We have an example of a client who recently purchased a 14-bedroom house.

The greater the number of rooms, the more exclusive the product.

2 – Larger houses attract large groups and families

It is very common in Orlando for entire families to rent the same house. Companies are also looking for bigger houses to host their employees and collaborators when they do some type of training or when there is an industry event in Orlando.

This audience of large groups and large families cannot be catered for by two- or three-bedroom properties.

3 – Greater infrastructure and amenities

Generally, larger houses offer better infrastructure: swimming pool, mini-cinema, games room, pet areas, larger garage, laundry, outdoor space for barbecue, etc.

4 – Daily price is higher

A larger house requires a more expensive rate, which influences the expected return on rent.

5 – Cheaper for the customer, who will share the cost

Even though the daily rate is more expensive, the per-capita value for the group that will be staying ends up being lower, as it will be apportioned by a large number of people. This is a big draw of the biggest homes in Orlando. It is an advantage for the owner, who charges more, and for the customer, who divides the cost.

6 – Diluted fixed cost

Every property has specific fixed costs. Many of these costs do not change if the property is bigger or smaller. An example is a private pool. The cost of maintaining this pool will be about the same as a 3-bedroom townhome or a 5-bedroom single-family home. Even if the pool is bigger, the cost does not follow linearly.

There are other costs that behave the same way. A larger property tends to dilute this cost by obtaining higher income.

To learn more about Orlando home costs, visit: What are the main costs of maintaining a property in Florida

Did you like it? Want to learn more about spacious Orlando homes?

AMG International Realty is a global real estate company specialized in Florida and focused on the Brazilian public. If you are interested in knowing more about holiday homes in Orlando, contact me now and chat with me on WhatsApp: +1 305 318 6968 (Heloisa Arazi).

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