6 Most Common Expenses Associated with Owning a Disney Area Vacation Home

If you’re in the market to invest in a sunny vacation home near Disney World in Orlando,Florida then lets talk money.  These are five of the most common expenses that you could and most likely will incur when you own a vacation villa near Disney and use it for short term rental use.  These are NOT your settlement expenses but rather your recurring expenses associated with ownership.

(For information on vacation home settlement expenses please contact us directly for a free quote)

1. Orlando Property Management (Villa Management) Fees

If you live outside of the Disney area (within a few hours or more) than management is a must in my opinion.  They rent out and maintain your Disney area vacation villa, condo or townhouse for you.

Cost To You: $150 and up per month

2. Orlando Resort Community Amenity Fees
So you think that just because you own in the community means they let you use the amenities for free?  Well they do (depends on your definition of free) but they certainly don’t let your lovely house guests.  There are a handful of specific resort communities in Davenport and Kissimmee, Fl that tack on this lovely fee to you so that your guests can utilize amenities such as the pool and gym facilities.

Cost To You: Anywhere from $10 per each booking day on up to a flat fee of $250 per month on top of your management and HOA fees.

Read Also: Disney Area Vacation Home Communities That Charge Owners Amenity Fees

3. Orlando Homeowner’s Association Fees

Probably the most unavoidable fee that exists in Davenport, Kissimmee and Clermont vacation home communities.  The fee you must pay to the homeowners association that covers that upkeep and maintenance of the community itself.  This is important because if you do not pay this fee the HOA (homeowner’s association) can put a lien on your property.

Cost To You: Ranges from around $30 per quarter on up to over $250 per month

Read Also: 4 Davenport, FL  Neighborhoods with Some of The Highest Homeowner’s Association Fees

4. Property Maintenance Fees

These fees are the costs of Orlando vacation home ownership.  These fees include expenses such as:

• Pool maintenance
• Yard maintenance (sometimes covered by your HOA and sometimes not)
• Utility expenses (power, water, cable, phone etc)

Cost To You: Could start anywhere from $250 per month combined and can go up from there depending several factors.  I always recommend to estimate higher than lower.

Request an Estimated Kissimmee, Davenport or Clermont Vacation Home Expense Sheet Specific To Your Purchase

5. City, County and State Short Term Rental Taxes

Just when you thought you were getting off easy here comes good old Uncle Sam with his hands in your vacation home.   You will only incur these fees when you rent your property out not when you stay in it.  You can only be taxed on money that you make so every booking is considered money you made according to the government.  If you’re using a management company they usually take care of sending this money in for you.  I still always recommend consulting with a Davenport, Kissimmee or Clemont vacation home tax specialist.

Cost To You: Usually around 13.5% with everything taken directly off the top of your booking revenue (percentage can vary depending on county)

6. Short Term Rental Insurance

This policy is required by just about any Davenport, Kissimmee or Clermont vacation home management company before they will rent your property out.  The minimum coverage they require is usually around $1,000,000 but I have seen some companies willing to lower their requirements to half of that for coverage.  In any event this vacation villa insurance policy is an expense you will have on top of your traditional homeowner’s insurance policy.

Cost To You: $1,000,000 policy’s range around $200-$300 per year.