What are the rules for renting?
Renting rules vary among communities, but here are the rules for Americana Cove.
• Renters are treated just like buyers. All renters must have a background/credit check and be approved before moving in.
• All renters must have a credit score of 700 or above just like all home buyers. If renting to a couple, both people must have 700 or above credit score.
• Homes must be rented for a minimum of two months.
What is the Tourist Development Tax and do residents have to pay it? If residents rent their homes for less than six months, then they are required to pay Florida sales tax and the Tourist Development Tax. The Tourist Development Tax is collected by each county in Florida. Pinellas County’s rate is 6%. Other counties may have different rates.
The 6% Tourist Development Tax is collected along with a 7% sales tax for a total of 13% tax that should be paid by the renter and collected and remitted by the owner to the state. There are penalties involved for non-payment of the tax. For more information, go online to https://pinellastaxcollector.gov/property-tax/tourist-development-taxes/ In addition, Pinellas County has a new website to assist owners with paying the tax. Go online to this website: https://pinellas.county-taxes.com/tourist
If residents rent their homes for six months or more, then no tax is required to be remitted to the state. The tax is only paid for short-term rentals for less than six months.
Does Barefoot Realty offer rental services?
Barefoot Realty will do rentals for six months or longer. It does not handle rentals for less than six months. The fee is $100 per month subtracted from the rental amount. Barefoot Realty finds the tenant and handles tenant issues throughout the rental period and oversees repairs to the property. Barefoot Realty averages 10 annual rentals per year but receives many more requests from people wanting to rent in the community.
For residents who may not be returning to the community for a year or more or who are still working and want to rent their home before moving full-time to Florida, renting their home provides excellent income. Annual rental rates have increased and a 2 bed/2 bath home can command up to $1,400 per month. Waterfront properties with dock and lift can rent for $1,600 or above per month. All rents depend on size of home, condition of the home and amenities offered such as washer and dryer.
Residents who want to take advantage of the higher seasonal rental income between January and March, can command rents of $1,600 or more per month for 2 bed/2 bath interior or $2,300 or more for a waterfront property. Again, size and condition of home along with amenities will determine how much a resident will obtain.
Also, if renting, residents need to remember they are responsible for the monthly maintenance fee, the 13% tax if renting for less than six months and coordinating with management to make sure the tenant is approved and meets the credit score requirement.