INStay is our property management company specialized in Condo-Hotels stays.
Based in Miami, Florida, our affiliate KB Rentals is one of the most reputable hosts of HomeAway, VRBO, Airbnb, Trip Advisor and more than 30 worldwide distribution channels. We are achieving the best rental returns for our investors.
Some of the factors they take into consideration are:
Condo hotel units will produce rent revenue. That revenue can partially or completely offset the costs of owning and maintaining the vacation home.
Most condo hotels are located in areas that have seen the highest appreciation rates such as South Florida, Orlando and Las Vegas.
Diminished supply of available land
Desirable locations to build are few. A dwindling supply of available land in key markets, particularly sites on the ocean in Florida and on the Strip in Las Vegas, help ensure that condo hotels, like other types of real estate built in these locales, see significant capital appreciation.
Real estate as a stock market alternative
Many people seek to diversify their financial holdings, combining stock market investments with real estate holdings.
Condo Hotels Appeal to International Investors
Condo hotels are particularly attractive to international investors who wish to have a vacation home in the United States and yet don’t want the hassles of caring for that home or renting it out when they’re not using it.
Additionally, the weakness of the dollar has enabled many international investors such as those from Europe to obtain upscale condo hotel units for what amounts to bargain prices.
Lastly, international buyers seek to invest their money in a stable environment and a flourishing economy. U.S. real estate, including condo hotels, often meets this need.
Best Time to Purchase a Condo Hotel Unit
Buyers who purchase a condo hotel unit in early pre-construction phases, when prices are lowest, have the best chance of seeing their investment appreciate. There is a limited inventory of condo hotels, and many properties actually sell out in the pre-construction phase.
As word continues to spread about condo hotels, more and more investors from around the country and around the world are learning of this new real estate trend and looking to participate. In addition, millions of baby boomers are approaching retirement and seeking second homes for their personal enjoyment. Demand is increasing. But so is inventory as developers recognize the benefits of creating a mixed-use property and seek to meet that growing demand.