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Are you thinking of investing in Florida real estate?
Whether you’re a seasoned investor or you’re dabbling for the first time, you likely have some questions. Is now a good time for real estate in Florida? Are some areas better than others?
The answer to both questions is yes! Last year, Florida boasted 4 of the top 10 cities in the US for real estate investing.
If you’re looking for great real estate advice, you’re in the right place. In this post, we’ll look at 10 reasons why now is the perfect time to buy a home in the Sunshine State.
1. Steady Population Growth
Real estate investing 101: Invest in an area with consistent population growth. The more people move into the area, the higher the demand for adequate housing.
How does Florida measure up? From 2010 to 2017, Florida saw an influx of over 2 million new residents. It’s the third-most populous state and (quite literally) growing every day.
Experts don’t expect this trend to slow down anytime soon, so now is the perfect time to get your slice of real estate pie. There’s great information here about investing for beginners.
2. Endless Stream of Tourists
Besides lots of year-round and seasonal residents, Florida also welcomes millions of visitors every year.
In fact, Florida is the second most visited state in the country. 2017 saw a record-breaking 116.5 million tourists descend on its beaches and theme parks.
What does this mean for the real estate market? With the increasing popularity of sites like Airbnb, VRBO, and HomeAway, any vacation property you list is sure to book up fast!
This is especially true in the state’s three biggest tourism hotspots – Orlando, Miami, and St. Petersburg.
3. Healthy Economy
After the financial crisis of 2008, it understandably took Florida a few years to get its economy going again.
How is it doing now? “Booming” is an understatement. This summer Florida’s GDP surpassed and mind-boggling $1 trillion.
What does that mean in real-world terms? If Florida was an independent country, it would have the 17th largest economy in the world.
Florida now has one of the healthiest and fastest-growing economies in the country. That trend isn’t expected to change anytime soon.
4. Plenty of Job Creation
One reason Florida’s economy is so strong right now is that of all the opportunities for job creation.
More jobs mean more people – and more people means an increased demand for housing. Job creation is a crucial component of any healthy economy, and Florida ranks among the highest in the nation in this aspect.
Thanks in part to post-hurricane recovery efforts, Florida created over 600,000 new jobs in the last quarter of 2017. The biggest hotspots for new jobs in the state include Jacksonville, Miami, Orlando, and Tampa.
5. Wide Selection of Properties
Few states have as much property diversity – or desirable property – as Florida does.
From oceanfront condos and luxury villas to town-homes and single-family houses, there’s no shortage of real estate options.
Rental properties in the suburbs will always fill up, while the winter months bring high demand for anything near the ocean. There are also investment options in gated communities, golf resorts, equestrian areas, and coastal islands.
6. Strong Market for Real Estate
Years of steady demand for housing has resulted in a healthy increase in property prices. For investors looking to rent out their properties, this trend is exactly what they want to see.
Broward County, for example, saw a 7.7% increase in total property value in 2017. Builders also put up an impressive $2.8 billion in new construction.
South Florida isn’t the only area seeing numbers like these. All across the state, landlords are able to raise their rental prices because of increased demand.
7. Plenty of Affordable Properties
With such a strong real estate market, is it still possible for investors to find affordable homes?
Absolutely. Property prices in most parts of Florida remain below their 2007 pre-crisis peak. Compared to real estate in other parts of the country, most property in Florida is very affordable.
With lots of new developments going up too, it’s still possible to get great deals on land. Buying a chunk of undeveloped real estate allows you to build anything you like at a price you can afford.
8. Huge Rental Market
To clear up any confusion, Florida is an excellent place for investors to buy real estate. The same isn’t always true for the average homebuyer, who may find property prices well outside their budget.
For that reason, there’s always a huge demand for good rental properties in Florida. Whether it’s a studio apartment for a college student or a single-family home for new parents, there are always plenty of people in the rental market.
Interestingly, it’s not only younger people looking to rent. Nearly three out of four Baby Boomers aged 53 to 71 feel that renting is a better option than buying.
9. Easy Access
Interstates 95, 75, and 10 make car travel easy from any part of the country. Every major city (and even a lot of smaller ones) have airports that service hundreds of domestic and international flights.
And unlike northern climates, you never have to worry about a snowstorm shutting down roadways or canceling flights. Except for the occasional hurricane, it’s a breeze getting all around Florida.
10. Year-Round Appeal
Going along with that last point, Florida is a year-round destination for travelers and seasonal residents.
The winter months bring a huge influx of people trying to escape the colder northern climates. Summertime brings families from all over the world to enjoy Florida’s many beaches and theme parks.
And with its fast-growing economy, more and more people are settling in to live there year-round too.
Final Thoughts on Florida Real Estate
From an investor’s standpoint, Florida real estate is a dream come true.
With a healthy economy, great weather year-round, and relatively low cost of living, what’s not to love?
Before you buy, make sure you’re up to date on the latest real estate trends in Florida. Click here to learn more.