I bought my first vacation rental in 2017. It was a resale in the Regal Palms Resort. Since then, I have purchased 10+ properties across the Disney corridor, including both new construction homes in communities like Windsor Cay and resale properties in established communities like Windsor Hills and Emerald Island.
I also manage 100+ vacation rentals through FunStay Florida, split roughly between new construction and older resale homes. So I see both sides of this comparison every day: what each type costs to maintain, what guests prefer, and which ones actually generate more net income.
This is the comparison I wish someone had written for me before I bought my first property. No builder marketing. No realtor pitch for whichever listing pays a higher commission. Just the numbers and the operational reality from someone who owns and manages both.
The Quick Comparison
Before the details, here is the summary across the eight factors that matter most to vacation rental investors.
Purchase price: New construction runs 15% to 30% higher than comparable resale in the same corridor. A 6-bedroom new build in Windsor Cay or Windsor Island might list at $500,000 to $650,000. A comparable 6-bedroom resale in Paradise Palms or Windsor Palms might list at $380,000 to $480,000.
Time to first booking: Resale wins decisively. A resale property can be licensed, furnished (or updated), photographed, and live on booking platforms within 6 to 8 weeks of closing. New construction takes 8 to 14 months from contract to first guest because you are waiting for the build, then furnishing, then launching. That is 8 to 14 months of carrying costs with zero revenue.
Maintenance costs (years 1-5): New construction wins. Everything is under warranty. Builder warranties in Florida typically cover workmanship for 1 year, mechanical systems (HVAC, plumbing, electrical) for 2 years, and structural defects for up to 10 years. Budget $2,500 to $3,000 per year for maintenance reserves on a new build. On a resale home built before 2015, budget $5,000 to $7,000 per year and expect at least one major system replacement within the first 3 years.
Guest appeal and ADR: New construction photographs better and commands 10% to 20% higher nightly rates out of the box. But a well-renovated resale with professional design and themed bedrooms can match or exceed a generic new build on ADR.
Insurance: New construction is significantly cheaper to insure. Homes built to current Florida Building Code qualify for wind mitigation credits that reduce premiums by 30% to 50%. A new build might carry $2,000 to $3,000 per year. An older resale with an aging roof can run $4,000 to $6,000. For Osceola County properties, this difference alone can shift the annual ROI calculation by 1% to 2%.
Renovation potential: Resale wins. You can buy a dated property at a lower price and invest $30,000 to $50,000 in a targeted renovation to create a property that competes with new construction at a lower total cost basis.
Community track record: Resale communities like Windsor Hills, Storey Lake, and Solara have years of booking data you can study before buying. New construction communities like Windsor Island, Sycamore Resort, and Storey Drive are still building their booking history.
CDD fees: Most new construction communities carry Community Development District assessments on top of the HOA. CDD fees typically add $1,500 to $3,500 per year and do not go away. Older communities generally do not have CDD assessments. I cover this in the 2026 investing guide.
The Case for New Construction
If you have the capital to wait for the build and the budget to carry the property through construction, new construction offers real advantages.
Modern floor plans are designed for how guests actually use a vacation home. Open-concept living areas, en-suite bathrooms in multiple bedrooms, covered lanais with pool views, and upstairs loft spaces that double as game rooms. These layouts were not common in the 2005 to 2012 build era.
The builder warranty eliminates the surprise maintenance calls that eat into your first few years of revenue on a resale. When the AC fails in August on a new build, the builder replaces it under warranty. When the AC fails in August on a 2008 resale, you are writing a $5,000 to $8,000 check.
Energy efficiency matters more than most investors realize. Newer windows, better insulation, and current-code HVAC systems translate to $100 to $200 per month in lower utility costs compared to an older home of the same size.
The listing advantage is real. A brand-new home photographs beautifully with zero staging investment. If you are searching for properties that perform well from day one, new construction removes the renovation variable entirely.
The key is working with an agent who represents you, not the builder. That is why buying new construction without a buyer’s agent is one of the most expensive mistakes Orlando buyers make.
The Case for Resale
Speed to revenue is the biggest advantage. When you buy a resale, you can close, furnish, or update, and have guests booked within 6 to 8 weeks. I walk every client through the first 60 days after buying, and the resale timeline is dramatically faster.
If you are buying a resale in an established community, you are not guessing about performance. You can study actual booking calendars for comparable properties in communities like Reunion Resort or ChampionsGate.
The renovation play is where sophisticated investors find the best returns. A 2012-era home purchased at $420,000 plus $40,000 renovation equals $460,000 all-in for a property that books at the same rate as a $600,000 new build. That is a 23% lower cost basis generating comparable revenue.
The honest downside of resale is maintenance. A property built in 2005 has systems that are 20+ years old. A thorough inspection before closing and a realistic maintenance reserve of $5,000 to $7,000 per year are essential.
The 5-Year Cost Model
New construction (Windsor Cay/Windsor Island type): Purchase price $580,000. Furnishing $35,000. Total in: $615,000. Annual insurance $2,500, property taxes $7,000, HOA $4,200, CDD $2,400, utilities $3,600, maintenance reserve $2,500. Estimated annual gross at 67% occupancy and $220 ADR: $53,800. Time to first dollar: 10 to 12 months.
Resale with renovation (Windsor Hills/Paradise Palms type): Purchase price $430,000. Renovation $40,000. Furnishing $30,000. Total in: $500,000. Annual insurance $4,500, property taxes $5,500, HOA $3,600, CDD $0, utilities $4,200, maintenance reserve $6,000. Estimated annual gross at 67% occupancy and $200 ADR: $48,910. Time to first dollar: 6 to 8 weeks.
The new build grosses more per year but has a higher cost basis and a longer wait to first revenue. Over 5 years, the difference in total return is closer than most people expect. The right choice depends on your capital position, your timeline, and your tolerance for renovation management.
What Guests Actually Prefer
From managing both types across 100+ properties, guests scroll fast and look at photos first, price second, reviews third. A brand-new home with sharp listing photos gets more clicks. But guests book based on value. A well-renovated resale with themed bedrooms and strong reviews at $250 per night will outbook a generic new build at $300 per night.
Guests leave reviews about the experience, not the construction year. Professional hosting practices and listing optimization can close the gap between a 2010 home and a 2023 home entirely. The Storey Lake vs Windsor Hills comparison illustrates this: a newer and older community, both performing well when managed properly.
The Maintenance Reality After Year 3
A new construction home in years 1 through 3 is essentially maintenance-free beyond consumables. The builder’s warranty covers the rest. In years 3 through 5, costs start rising as warranties expire.
A resale property starts with higher costs, but if you front-loaded the renovation (new AC, new roof, new appliances), you have effectively reset the clock. Your maintenance costs in years 2 through 5 may actually be lower than a new build in years 4 through 7. Systematic property inspections catch small issues before they become expensive emergencies.
Which Path Fits Which Investor
First-time investor with patience and capital: New construction. The builder warranty gives you a safety net while you learn the business.
First-time investor who needs income quickly: Resale in an established community. Buy in a community with a proven track record (top 9 resorts near Disney), update strategically, and start earning within 2 months.
Portfolio builder: Consider one of each. Your resale generates income while your new build is under construction.
Luxury investor: New construction at Bear’s Den at Reunion or resale at Reunion Resort. At the luxury level, only pristine properties perform.
Out-of-state buyer: Either path works with a local manager in Orlando who handles construction visits or renovation oversight.
The Bottom Line
There is no universal winner. New construction is the better choice when you have the capital to wait, want lower early maintenance costs, and prioritize modern floor plans. Resale is the better choice when you want speed to revenue, a lower total cost basis, and the ability to verify performance data before buying.
According to iBuyer’s April 2026 Orlando investor report, the median investor purchase in Orlando has a build year of 1993, with a strong preference for post-1980 construction. That preference tells you something about where the institutional money sees the best risk-adjusted returns.
What matters more than the build year is the execution after closing. If you are looking for a short-term rental realtor in the Orlando area who has bought, built, renovated, and managed on both sides of this comparison, schedule a call and let’s run the numbers for your situation.
Frequently Asked Questions
Should I buy new construction or resale for an Orlando Airbnb?
It depends on your capital and timeline. New construction offers lower maintenance and modern appeal but takes 8 to 14 months to generate income. Resale gets you earning within 6 to 8 weeks at a lower cost basis but requires budgeting for maintenance and potential renovation.
How long before a new construction vacation rental earns income?
Plan for 10 to 14 months from contract to first booking. The build takes 6 to 10 months. After closing, you need 4 to 8 weeks for furnishing, photography, and listing setup.
What are the maintenance costs for a new vs. older vacation rental in Orlando?
New construction: $2,500 to $3,000 per year in years 1 through 5. Resale (pre-2015): $5,000 to $7,000 per year, including reserves for AC, pool equipment, and appliance replacement.
Do new construction vacation homes near Disney get higher nightly rates?
Generally, 10% to 20% higher out of the box. However, a well-renovated resale with professional photography and themed bedrooms can match new construction ADR at a lower total cost basis.
What is CDD, and how does it affect my vacation rental investment?
Community Development District assessments are an additional annual fee ($1,500 to $3,500) on most new construction communities. They are permanent and do not go away. Most older communities do not carry CDD fees.
Does the builder’s warranty cover everything on a new vacation rental?
Florida builder warranties typically cover workmanship for 1 year, HVAC/plumbing/electrical for 2 years, and structural defects for up to 10 years. They do not cover cosmetic wear from guest use, landscaping, pool chemical damage, or normal maintenance.
About the Author
Mike Chen is a Florida-licensed Realtor at La Rosa Realty – Celebration, an Airbnb Superhost, and the co-founder of FunStay Florida. He has personally purchased both new construction and resale vacation homes across the Disney corridor and manages 100+ short-term rental properties. If you are looking for a short-term rental realtor in the Orlando area who has bought, built, renovated, and managed on both sides of this comparison, schedule a call, and let’s run the numbers for your situation.
EN
ZH