Hollywood Beach Seasonal Rentals: Calculating Real Net Income

A weekly, monthly or seasonal plan must fit the actual minimum lease term, leases-per-year limit, waiting period and approval timetable. Read the recorded documents and obtain written association confirmation before estimating bookable nights. Owner use, repairs and tenant approvals can reduce availability; neither a listing nor a prior owner’s bookings establishes your right to operate.

1. Gross rent: documented leases or comparable rentals, separating owner use and refundable deposits.
2. Vacancy and unavailability: a transparent assumption, not an asserted local occupancy rate.
3. Fixed expenses: dues, property taxes, HO-6/flood insurance, licenses and recurring reserves.
4. Operations: utilities, cleaning, supplies, repairs, furnishing replacements and tenant approval fees.
5. Management and platform charges: written commission, minimum fees and booking charges.
6. Rental taxes: amounts borne by the owner; guest-collected tax remittances are liabilities, not earned rent.
7. Operating result before debt service: show mortgage payments and one-time capital work or special assessments separately in a cash-flow reconciliation.

Do not subtract vacancy twice if gross rent already reflects booked stays. Keep recurring expenses distinct from extraordinary assessments so the worksheet can be compared fairly.

• Homestead doesn't apply to a rental, so property taxes may rise after purchase. Check the estimate on the Broward County Property Appraiser.
• Restoration projects can shut down rentals for a season.
• Association approval fees per tenant.
• Furnishing and replacing furniture.

The Florida Department of Revenue’s current transient-rental tax table lists a 6% state sales tax plus applicable discretionary surtax and Broward’s 6% county-collected tourist development tax for taxable rentals of six months or less. These are distinct charges, not a single universal “resort tax.” Confirm current rates, taxable charges, exemptions and remittance responsibility before setting prices. Do not add a separate Hollywood municipal resort tax unless the taxing authority confirms it applies.

Budget separately for DBPR transient-rental licensing, Hollywood vacation-rental licensing, county/city business tax receipts and renewals. The City’s license application lists the supporting registrations. A platform’s tax collection agreement may not cover every tax, fee or registration; verify each obligation and reconcile statements. No rental yield, nightly rate or occupancy is assumed.