Clearwater, Florida isn’t just a beach town — it’s one of the state’s top destinations for both tourists and snowbirds. That makes it a strong candidate for investment property, especially if you’re considering rental income.
But not all homes here make sense as rentals. Here’s a clear guide on what to look for when buying real estate in Clearwater with the goal of renting it out.
Why Clearwater Is a Hot Spot for Rental Property
- Strong tourist flow: Clearwater Beach is a major draw year-round, especially in winter and spring.
- Growing population: The Tampa Bay area keeps expanding, with Clearwater offering a mix of city convenience and coastal living.
- Rental demand: From seasonal visitors to long-term tenants, there’s consistent demand.
What Kind of Property to Buy
Not all property types work the same when it comes to rental income. Here’s what to consider:
1. Condo or Townhouse
- Best for seasonal rentals or low-maintenance investment
- Many offer amenities (pools, gyms) that attract short-term guests
- But: Watch out for HOA rules — some strictly limit short-term renting
2. Single-Family Home
- Ideal for long-term tenants or traveling professionals
- More control, no HOA (in many cases)
- Offers yard space — a plus for families or pet owners
3. Duplex or Multi-Unit Property
- Great if you want to live in one unit and rent the other
- More income potential
- Higher up-front cost but better ROI over time
What to Look for in a Rental Property in Clearwater
- Location near the beach or downtown: Higher rental demand and possible higher nightly rates
- Updated interiors: Renters pay more for modern kitchens, bathrooms, and clean design
- Low maintenance needs: Look for newer roofs, A/C units, and plumbing — unexpected repairs kill profits
- Parking space: A must in beach-adjacent areas
- Legal rental zoning: Not every part of Clearwater allows short-term rentals — check city rules first
Short-Term vs. Long-Term Rentals
Short-term (Airbnb-style):
- Higher potential income per night
- More turnover and upkeep
- You’ll need to furnish the property
- Check for licensing and tax requirements
Long-term (monthly or yearly):
- Steady income
- Lower maintenance and management needs
- Often preferred by first-time landlords
Bonus Tip: Property Management or DIY?
If you’re not local (or not hands-on), consider hiring a property management company. They’ll handle:
- Tenant screening
- Maintenance
- Bookings and check-ins (for short-term rentals)
Yes, they take a cut — but they also help avoid expensive mistakes.
Final Thought
Buying a home in Clearwater to rent out can be a smart move — if you buy the right property in the right place. Think about who your ideal tenant is, know the local laws, and don’t underestimate the value of good location and low maintenance.
In a town like Clearwater, a well-chosen rental property doesn’t just bring in income — it can also become a long-term asset that grows in value year after year.
Picture Credit: Freepik