Southwest Florida continues to attract investors and homeowners eager to tap into the short-term rental market. From the lively vacation scene of Fort Myers Beach to the quieter canals of Cape Coral or Punta Gorda, opportunities abound… but so do the rules. Understanding zoning, HOA restrictions, and seasonal demand is essential before listing your property.
Fort Myers Beach has long been a hub for vacation rentals. Its Gulf-front condos and cottages are in high demand during peak season, but the town enforces strict registration requirements, occupancy limits, and parking rules. A beachfront condo here can command premium rates in winter, yet owners must stay on top of compliance to avoid fines.
Moving inland to Cape Coral, the story shifts. The city allows short-term rentals, but zoning compliance is key. Single-family neighborhoods may restrict stays under 30 days, and many gated communities prohibit them altogether. Still, Cape Coral’s canal homes remain attractive to boating enthusiasts, especially during holiday weeks when families flock south.
In Fort Myers, flexibility depends on location. Downtown and riverfront districts often welcome short-term rentals, making them appealing for business travelers and snowbirds alike. However, many condo associations impose minimum rental periods or limit the number of times a unit can be rented each year. A riverfront condo might be perfect for seasonal guests, but owners should expect HOA oversight.
Finally, Punta Gorda leans more conservative. Residential neighborhoods frequently require 30-day minimums, which makes true short-term rentals harder to manage. That said, properties near Fishermen’s Village or in mixed-use districts can still capture tourist traffic, especially during boating festivals or winter events. Investors here often balance longer seasonal stays with occasional short-term bookings.
Seasonality ties all four communities together. From January through April, demand peaks as snowbirds and vacationers fill the region. Rates soften significantly in summer, but Cape Coral and Punta Gorda still draw fishing and boating tourism, while Fort Myers Beach thrives on family vacations. Holiday periods bring short bursts of high demand across the board.
The bottom line: short-term rentals can be lucrative across Southwest Florida, success hinges on local knowledge and careful compliance. Whether you’re eyeing a Gulf-front condo in Fort Myers Beach or a canal home in Cape Coral, understanding the rules upfront ensures your investment works for you, not against you.
Key Takeaways
- Do your homework: Zoning and HOA rules vary block by block.
- Plan for seasonality: STR income is strongest in winter but requires cash flow planning for slower months.
- Compliance is non-negotiable: Registration, taxes, and occupancy limits must be followed to avoid penalties.