Key takeaways
- Twelve categories cover most Florida STR due diligence: zoning, HOA, licensing, taxes, insurance, bookings, reviews, utilities, contracts, financials, condition, and compliance history.
- The biggest pre-closing risks are HOA rental-length minimums and city STR ordinances.
- Verify advertised revenue against platform statements, tax filings, and bank deposits.
- Bind insurance and plan your DBPR / tax applications before, not after, closing.
Introduction
Florida sells more short-term rental transactions than any other state, and it also produces more surprise disappointments — usually because a buyer skipped due diligence in one specific area. The twelve categories below are the ones that reliably reveal problems worth negotiating (or walking) over.
This is a practical framework, not legal or investment advice. Every property is unique; use this as your baseline and add specialists where the transaction warrants it.
01.Zoning
Confirm the underlying zoning district allows short-term rentals. In Florida this can differ block by block, especially in city-limits properties. Ask the local planning department for the current designation and any pending changes.
02.HOA / Condo rules
Review the declaration and any recent amendments for rental-length minimums, guest limits, parking rules, and rental caps. These override state licensing in practice — a 30-day HOA minimum makes nightly rentals impossible.
03.Licensing
Check the current DBPR license status, plus any city or county STR permits and business tax receipts. Note that most licenses do not transfer at closing.
04.Taxes
Ask for the last 12 months of Florida sales tax and county TDT filings. Cross-reference with reported revenue. Gaps or unfiled periods are a negotiation point.
05.Insurance
Review the current STR policy declarations and 5-year claims history. Florida's market is unique — get a bindable quote under your ownership before you close.
06.Bookings
Request 12–24 months of platform payout data. Look at occupancy, ADR, seasonality, and how much revenue came from repeat guests vs. one-off bookings.
07.Reviews
Read every review on Airbnb and Vrbo. Look for repeated complaints (Wi-Fi, cleanliness, pool heat, noise) — these often reveal capex or operations issues that don't appear on inspection.
08.Utilities
Ask for 12 months of utility bills. Florida STRs run high electric bills in summer. Anomalies suggest either a system issue or a change in guest volume.
09.Contracts
List every active contract (cleaning, pool, lawn, HVAC, pest, internet, streaming, property management). Decide which continue, which get renegotiated, and which get terminated.
10.Financial records
Get P&L statements, bank statements, and 1099s from platforms. Advertised 'revenue' often overstates net; the tax returns and bank deposits tell the real story.
11.Property condition
Order a full inspection plus specialty inspections for roof, HVAC, pool, and (where relevant) hurricane shutters. STR wear-and-tear is faster than owner-occupied wear-and-tear.
12.Compliance history
Check with the county and city for open code violations, HOA lien records, and any recent complaints. Ask the seller directly and confirm independently.
Printable checklist
- Zoning designation verified with the planning department
- HOA / condo rental-length minimum confirmed in writing
- Current DBPR license status pulled and reviewed
- 12 months of Florida sales tax and TDT filings reviewed
- STR insurance quoted and bindable under buyer's ownership
- 12–24 months of platform payout data reviewed
- Every public review read and repeated complaints noted
- 12 months of utility bills reviewed for anomalies
- All operating contracts inventoried with fate decided
- P&L, bank statements, and 1099s cross-checked against advertised revenue
- Full inspection plus roof / HVAC / pool / hurricane shutter specialty inspections
- County / city code violation and complaint history checked
See our related resources: Florida Vacation Rental License (DBPR), Florida Airbnb Taxes: Sales Tax & TDT, and Florida Vacation Rental Compliance by County.
Frequently asked questions
Should I do due diligence before or after signing the purchase contract?
Ideally both. A short pre-offer review protects you from wasted time, and a deeper due diligence period after signing gives you contractual leverage to renegotiate or walk if something material comes up.
What's the single most overlooked item in Florida Airbnb due diligence?
HOA and condo rental-length minimums. They can be stricter than county rules and quietly disqualify the property from short-term operation regardless of state licensing.
How much booking data should I ask for?
Twelve months minimum, ideally two years. That gives you a full seasonal cycle and enough variance to spot outliers.
Can I trust the seller's advertised revenue numbers?
Verify them. Cross-check with platform statements, tax filings, and bank deposits. Advertised revenue often bundles cleaning fees and taxes, which distorts the real net.
What does 'compliance history' mean in this context?
Any past code violations, HOA fines, complaints on file with the county, or lapsed licenses. The seller may not volunteer these; buyers can and should ask directly.