Florida Luxury Homes housing data represents all single-family homes purchased or sold by ORRA brokers, regardless of location. Florida Luxury Homes Housing Forecast is an estimate that is based on data from multiple sources. Although it is considered reliable, it is not guaranteed.
We will discuss the latest trends and projections in the Orlando real estate market to see how they may affect homebuyers and sellers over the next six to 12 months.
Scarce inventories and buyers reluctant to return to the market after the outbreak of the pandemic mean that Orlando home prices will remain high. In line with current market trends, Orlando will remain a seller’s market for the next 12 months. Orlando-area home prices increased 20.4% in November compared to the same period last year, according to the latest report from the Orlando Regional REALTOR Association ORRA.
A total of 3,251 homes were sold in November, a 26.2% year-over-year decline, and the number of days DOM has been on the market has fallen to an average of just 44 days, the lowest in three years. “The highest demand for homes is between $200,000 and $350,000,” said Reese Stewart, president of RH / MAX Properties SW.
Orlando real estate market trends
According to national real estate agent Redfin, the Florida Luxury Homes market is very competitive. Orlando homes receive an average of 3 listings and sell in about 17 days. The average selling price for a home in Orlando last month was $284,000, an increase of 7.1% since last year. The average selling price per square foot in Orlando is $163, an increase of 7.9% since last year. Hot homes can sell for about list price and are pending in just 5 days.
List prices
According to Realtor.com’s November 2020 market report, Orlando is a seller’s market report, meaning more people are looking to buy than apartments are available.
- The median list price for homes in Orlando, Florida, was $275K, an increase of 1.9% year-over-year.
- The median list price per square foot was $165.
- The median sale price was $277K.
- Sale-to-List Price Ratio: 98.64% — a seller would always prefer scenarios that could yield a ratio of 100% or more, while a buyer would prefer a sale-to-demand ratio closer to 90%.
- On average, homes in Orlando, Florida, sell after 57 days on the market.
- The trend in median days on the market in Orlando, Fla., has been declining since last month and slightly decreasing since last year.
- Lake Nona South has a median list price of $564.5K, making it the most expensive neighborhood.
- South Semoran is the most affordable neighborhood with a median list price of $120K.
Below is the latest real estate market data for the Orlando region, released by the Orlando Regional REALTOR Association ORRA on December 15, 2020. It clearly shows that Orlando is a hot seller in the real estate market and will remain so for sellers in the near future.
SUPPORT & INVENTORY
It would take an average of 1.72 months to sell all of the available inventory in the Orlando area. There is less than a month’s supply of homes in the $180,000 to $350,000 price range. Florida Luxury Homes Housing economists generally view a five to six-month supply as an indication of a healthy market that is balanced between buyers and sellers.
This shows that Orlando is a real estate market for sellers with low inventories, combined with many buyers looking for real estate. A hot market would result in a faster sale at or above the asking price. Although buying a home can be difficult in a strong seller market, it is still possible to get a deal. Don’t forget that mortgage rates are at record lows. Average rates have fallen to 2.7%, a dramatic difference from the last two years: 3.6% in 2019 and 4.9% in 2018.
ORLANDO MEDIAN PRICES
Low inventories, coupled with high demand, continue to drive home prices higher, with the median price for all types of homes rising 14.6% from November 2019 to November 2020 to $275,000.
The median price of single-family homes rose 15.1% from $259,000 in November 2019 to $298,000 in November 2020. There was also a 2.8% increase from October.
There was also a significant 11.1% year-on-year change in condominium prices, with the median price in 2019 at $135,000 and rising to $150,000 in 2020. Prices have been unchanged since October.
For duplexes, townhouses and villas, the median price rose 4.2% in November from $217,000 in 2019 to $226,000 in 2020, but fell 5.0% month-on-month.
SALE COMPARISON YEAR-ABOUT-YEAR
A total of 2,592 detached homes were sold in November, a 25% increase on November 2019, when 2,073 detached homes were sold.
Condominiums were the only category to show a 4.1% year-on-year decline, with 326 sales in November 2020 and 340 in November 2019.
The 37 non-performing home sales in November accounted for only 1.14% of sales, down from 4.3% at the same time last year and 1.8% the previous month.
Note: ORRA REALTORS sales are sales involving members of the Orlando Regional REALTOR Association who are primarily, but not exclusively, based in Orange and Seminole counties.
COMPARISON OF MONTH-ON-MONTH
While the total number of homes sold in November increased dramatically from 2019 to 2020, sales of all types were down sharply from October, with 10% fewer single-family homes, 14.9% condominiums and 10.9% duplex townhouses and villas sold.
PENDING SALES
ORRA’s latest report shows that pending home sales declined for the second month in a row to 4,688, a decline of 5.8%. The number of new homes for sale in November was down 3.8% year-on-year. However, new contracts increased by 14% from November 2019 onwards, at a typically slow time of year.
ORLANDO MSA REAL ESTATE SALES
Overall sales were down 4.6% year-on-year, while home sales across the country rose in November.
The sales comparisons for the individual districts are as follows:
- Lake: 5.7% on November 2019
- Orange: 19.6% on November 2019
- Osceola: 26.1% above November 2019
- Seminole: 18.8% more than in November 2019
ORLANDO HOUSES AFFORDABILITY
According to ORRA, the average interest rate paid by homebuyers in Orlando in November was 2.7%, down from 2.72% the previous month. Orlando’s home affordability index was 140.59% in November, down from 142.80% last month. Orlando’s home affordability index fell to 99.97% from 101.55% last month.
The index is based on a 10% lower loan-to-value ratio of 90%. An affordability index of 99% means that buyers earning the government’s median income are 1% below the income required to buy a home at median prices. Conversely, an affordability index of more than 100 means that median income earners earn more than is necessary to qualify for a home at median prices.
ORLANDO REAL ESTATE MARKET FORECAST 2021
The Florida Luxury Homes market continues the trend of recent years as a strong seller market and is also one of the hottest real estate markets for rental real estate investment. What are the forecasts for the Orlando real estate market in 2021? Consider the price trends that Zillow has recorded in recent years. Since 2012, Orlando homes have increased by almost 123%, from $122,000 to $272,605.
The monthly Zillow Buyer-Seller Index BSI considers Orlando to be a hot real estate market. There is a limited supply of homes in Orlando, and buyers are often forced to compete with each other, resulting in higher prices and / or faster sales, which sellers tend to benefit from.
Orlando currently ranks 35th out of the top 50 metro regions for home revaluation, with the latest Florida Luxury Homes forecast for Florida, Orlando and Orlando MSA through November 2021.
The forecast for 2021 assumes that tight supply and rising demand for Florida Luxury Homes from new home buyers will drive up prices over the next twelve months. Low mortgage rates will support the housing market and drive up home price growth. Now is the right time for sellers to put their Orlando home up for sale.
- Homes in Florida rose 7.1% last year, and the latest forecast predicts they will rise 10.1% next year.
- Orlando homes rose 7.1% last year, and the latest forecast predicts they will rise 10.1% next year.
- Orlando-Kissimmee-Sanford Metro homes rose 6.7% last year, and Zillow predicts they will rise 8.9% over the next 12 months.
- The chart below, compiled by Zillow, shows the growth in median home values since 2011 and their forecast through November 2021.
Here is another short and crisp forecast of the Orlando real estate market from LittleBigHomes for the three years to the third quarter of 2021. They estimate that the probability of rising home prices in Orlando during this period is 85%. If this price forecast is correct, Orlando home prices will be higher in the third quarter of 2021 than in the third quarter of 2018.
The change in home prices for Orlando-Kissimmee-Sanford, Fla., is presented below for data from the three periods ended Q3 2018. Orlando Home Price Index has increased for the last 25 consecutive quarters, with the highest annual change in the value of homes on the Orlando Real Estate Market being 32% in the twelve months ended Q4 2005.
The worst annual change in homes on the Orlando market was -21% in the twelve months ending in the fourth quarter of 2008; the highest increase in homes on the Orlando real estate market over three years was 76% in the three years ending in the second quarter of 2006; and the worst three-year increase in the Orlando market was -41% in the three years ending in the second quarter of 2010.
Impact of COVID-19 on The Florida Homes Market
Orlando’s Homes market improved more than 4% in February compared to February 2019, while the median price rose 6% to $250,000. Inventories declined 17% year-on-year and remain a mitigating factor, according to the Orlando Regional REALTOR R Association.
The total median price of all homes types sold in February in Orlando is $250,000, 6.38% above the February 2019 median price of $235,000 and 2.0% above the January 2020 median price of $245,000. The median price of single-family homes increased 8.0% in February from February 2019 and is now $270,000. The median price of condominiums increased 6.2% to $145,500.
The Orlando real estate market recorded a nearly 2% increase in home prices in March compared to March 2019, while the median price increased by 8%. Inventories declined 10% year-on-year. There was no solid impact of the COVID 19 pandemic in March. The total median price of all Orlando homes sold in March increased 7.9% to $253,500, which was above the March 2019 median price of $235,000 and 1.4% above the February 2020 median price of $250,000.
The impact of the pandemic was felt for the first time in April: the figures showed an expected decline in sales. Home sales fell by 28% and showed an expected decline in activity due to restrictions on staying at home. The median price of homes increased by 12%, while the inventory fell by 3% year-on-year, according to ORRA.
The total median price of all Orlando apartment types sold in April was $263,750, 4.0% above the median price of $253,500 in March 2020. Sales of existing homes in Orlando MSA Lake, Orange, Osceola and Seminole counties in April were 32.4% lower than in April 2019. Orlando MSA sales were down 7.2% to date.
There was a marked decline in sales in May, much more than in April. ORRA recorded 2,127 sales of all Florida Luxury Homes types combined, 44.1% less than the 3,806 sales in May 2019 and 11.1% less than the 2,393 sales in April 2020. Existing home sales in Orlando MSA Lake, Orange, Osceola and Seminole counties were 43.9% lower in May than in May 2019. Sales in the MSA were down 16.4% to date.
On the other hand, home prices continued to rise in May as closures and inventories fell, with the median total price of all homes sold in Orlando in May being $259,900, 7.0% above the May 2019 median price of $243,000 and 1.5% below the April 2020 median price of $263,750.
June was a month of recovery from the slump caused by the COVID 19 pandemic. Home sales surged in June, almost 46% more than in May. Compared to June 2019, sales fell by 9%. The number of homes for sale remained an issue, as inventory declined by 19% in June compared to June 2019.
The total median price of all Orlando apartment types sold in June was $265,000, 6% above the median price of $249,999 in June 2019 and 1.9% above the median price of $259,900 in May 2020. Offering was 2.1 months for June, 2.4 months in June last year and 3.4 months in May.
Existing home sales in Orlando, MSA Lake, Orange, Osceola and Seminole counties were 13.4% lower in June than in June 2019. Sales in MSA counties are down 15.8% to date.
- Lake: 15.6% below June 2019.
- Orange: 18.5% less than in June 2019.
- Osceola: 6.8% below June 2019.
- Seminole: 3.6% less than June 2019.
Orlando Florida Luxury Homes market bounced back in July
Orlando’s Florida Luxury Homes market experienced a surge in buyer activity in July, pushing home sales back into the black after three months of steep year-over-year declines due to the COVID-19 pandemic, reports the Orlando Regional REALTOR Association. The median price of homes sold in Orlando continued its upward trend, while inventories fell to their lowest level this year.
The median total price of all homes sold in Orlando in July was $270,000, up 9.2% from the previous year.
It is over 1.9% above the median price of $265,000 in June 2020.
The median price of single-family homes that changed hands in July rose 10.1% from July 2019 to $295,000.
The median price of condos rose 5.1% to $145,000 and townhouses / villas / duplexes rose 4.6% to $224,900.
ORRA members participated in 3,679 sales of all house types combined in July, 1.4% more than the 3,628 sales in July 2019.
Sales of all house types combined are 18.6% higher than the 3,103 sales in June 2020.
Sales of single-family homes rose 2.4% in July compared with July 2019.
Sales of condominiums fell 4.8 percent year-on-year.
Duplexes, townhouses and villas together rose 0.9% compared with July 2019.
Sales outstanding in July were up 8.7% on July last year and 1.5% lower than the previous month.
The number of new contracts increased by 8.2% year-on-year and new listings increased by 3.6%.
The average interest rate paid by homebuyers in Orlando in July was 2.97%, up from 3.04% the month before.
Homes with an average total duration of 93 days from listing to closing 87 days in total the month before.
The overall Florida Luxury Homes stock is down 22.2% compared to July 2019 and down 5.1% month-on-month.
Year-on-year, there were 32.7% fewer single-family homes, 11.4% more condominiums and 22.8% more duplexes / townhouses / villas.
The current market report and trends November 2020 have already been discussed above
The question now is what happens next. These numbers can be positive or negative depending on which side of the fence you are on – buyer or seller? It is quite obvious that the ongoing pandemic has not had a major impact on the Orlando real estate market. However, it was entirely to be expected that social detachment, higher unemployment and lower overall economic activity would limit real estate activity in the short term.
Sales have increased massively in recent months, with signs of a big recovery in July. After three months of year-on-year growth, sales rebounded in July. The industry is adapting to the current environment by doing business with technologies such as virtual demonstrations and e-signing to help buyers and sellers with their Florida Luxury Homes needs in the face of these challenges.
The impact of COVID-19 on the Orlando Florida Luxury Homes market has not been so extreme, but according to ORRA, any future slowdown in sales can be attributed to accelerating inventory shortages. We see that supply remains very low indeed. Overall, the inventory of homes available for sale in November is down 26% year-on-year, and the same trend is seen in single-family homes, with 39% fewer single-family homes available year-on-year.
What does this mean for homebuyers in Orlando? The biggest mistake buyers make is sitting around waiting for sales prices to fall while their potential mortgage payments fall. Mortgage rates are at their lowest ever level. This is the time for buyers to take advantage of the benefits before they are increased again.
In summary, Orlando and the entire subway market is so hot that it cannot shift to a full buyer’s real estate market in the long run. In a balanced real estate market, it would take about five to six months for supply to shrink to zero.
We can conclude that demand has not only recovered from the COVID 19 pandemic, but has also reached levels that make it very strong by any historical standard. Therefore, the Orlando real estate market remains strong and distorted for sellers due to a persistent imbalance of supply and demand.
Property market projections given in this article are only an educated guess and should not be considered financial advice. Property prices are deeply cyclical and much of it depends on factors that cannot be controlled. Many variables could affect the value of a home in Orlando in 2021 or in any other market, such as major changes in the distressed segments of new construction or luxury homes. There are also a variety of economic and political factors that can and do affect the Florida Luxury Homes market.
Foreclosure Trends in Orlando Homes
ORRA reported that sales of distressed homes and short sales fell to 37 in November, representing only 1.14% of total sales, down from 4.3% in the same period last year and 1.8% in the previous month. In October, 67 distressed homes accounted for 1.84% of all transactions in the Orlando area.
According to RealtyTrac:
- Compared to the previous month, pre-foreclosures fell by 61.9% and by 91.3% compared to the previous year.
- Auctions fell by 91.7% from the previous month and by 77.7% from the previous year.
- Bank-owned foreclosures fell 125% month-on-month and 82.7% year-on-year.
- Here is the current distribution of foreclosures based on the number of active home foreclosures in Orlando, Florida.
Orlando Real Estate Investment: Should you invest in Orlando?
Is Orlando a good place to invest in real estate? Many real estate investors have wondered whether buying rental property in Orlando is a good investment? You need to dig deeper into local trends to find out what the market thinks for the year ahead. We have already discussed the Orlando for Florida Luxury Homes market forecast for 2021 to find answers to why resources should be invested in this market.
Let’s talk a little about Orlando and the surrounding metro area before discussing what lies ahead for investors and home buyers. Orlando’s real estate market is expanding at a rapid pace, and people from across the country and even beyond are choosing either to move permanently or invest here. Orlando has once again proven to be one of the best places to invest in real estate in Florida.
With its picturesque beaches, rapidly improving quality of life, booming population and economy, Orlando is a safe destination for real estate investment, not only for local but also for international investors. Compared to other cities with competitive real estate markets, it makes more sense to invest in Orlando, as the median price of all residential properties has increased 14.6% since November 2019.
Not to mention that the Orlando region is booming in terms of both population and jobs. In 2016-2019, Orlando recorded an 11% growth rate, according to the Orlando Business Journal. According to Orlando Weekly, the Central Florida region will have 5.2 million inhabitants.
The city is ranked # 3 in the AdvisorSmiths report, which analyzes the best cities with job growth. Demand for rental Florida Luxury Homes is high due to the high share of renters, at 65.29%. Furthermore, Orlando property prices remain very affordable, with a median value of $275,000 as of November 2020. We can say that this applies to the entire real estate market in Florida.
According to Zillow, first-time buyers in the US may be the most fortunate to find affordable, non-competitive homes in the US state of Florida: Orlando’s real estate market ranks among the “top 10 best cities for first-time buyers.” Compared with the saturation of similar markets in other cities, such as New York, Orlando has all the indicators of booming growth in the years ahead.
The top reasons to invest in the Orlando property market
- Orlando is a beautiful city with more than 100 lakes.
- The town is nicknamed “the beautiful city.”
- Also the nickname “Theme Park Capital of the World.”
- Forbes ranked the second fastest growing city in America.
- Orlando is home to Walt Disney World, Universal Orlando and many others.
- There are more than 100 parks and 21 community centers in the city that offer athletics, tent camps and social programs.
- It is the center of the Orlando metropolitan area with a population of about 2.5 million.
- With these figures, it is the 23rd metropolitan region.
- Orlando’s real estate has been one of the best long-term investments over the past decade.
- In the last ten years it has increased by 43.67%.
- That equates to an average annual home value increase of 3.69% – NeighborhoodScout.
- The median price for single-family homes is $259,000 – ORRA.
- Strong market for tenants.
- Over 60% of the population rent.
- Strong economic and employment growth.
- Orlando is a major industrial and high-tech center employing thousands of people.
- The low unemployment rate of 2.5% in December 2019 – U.S. Bureau of Labor Statistics.
- More than 150 international companies from around 20 countries have offices in Metro Orlando.
- One of the main drivers of the Orlando economy is the tourism industry.
- It is one of the most visited cities in the world, driven mainly by tourism, major events and congress traffic.
- The city attracted more than 75 million visitors in 2018.
- In the inventory of the World Cities Study Group, it was listed as a “gamma” city.
Let’s take a look at the number of positive things that can be happening in the Orlando real estate market and help investors interested in buying an investment property in this city.
Increasing foreign investment in Orlando for homes and Florida Luxury Homes.
International investors from all major countries around the world are showing interest in the Orlando real estate market due to its beautiful scenery, improved quality of life and ambient weather. It is also extremely popular for foreign investment due to its intercultural links with people from various Latin American countries. In addition, many Chinese as well as Spanish and Middle Eastern investors are attracted to Orlando, Florida for real estate investments.
Dramatic population growth
With people from all walks of life and demographic differences choosing to live in the Orlando suburbs, this city is experiencing strong population growth. In the last three years, the population of Orlando has grown by 7.2%, something this city has never experienced before. Orlando’s current population is 1,964,000 in 2020, an increase of 2.13% compared to 2019. Orlando’s population was 1,923,000 in 2019, an increase of 2.18% compared to 2018.
Orlando is rapidly becoming a key attraction for business people, students and small families due to its growing upward mobility trend, which is encouraging investors to invest in the Orlando real estate market. Another reason for the growing economy and population in Orlando, Florida, is the developed transportation infrastructure that makes travel between destinations more convenient. In general, Florida has an efficient transportation network that also complements its tourism growth.
Orlando’s growing job opportunities
Although improving the Orlando real estate market and thriving tourism are two of the most important reasons for Orlando’s economic stability, these two industries have much to gain from the successful economy, which is linked to the city’s growing population and employment opportunities, resulting in increased rental income and tourism, leading to a better economy for the city. Orlando is the new center for many young professionals, especially those with varying technological expertise, including engineers and IT professionals.
The city has an annual employment growth rate of about 4.4% and is also one of the fastest growing metro areas in the country. Moreover, the city will see its highest employment growth in the next 10 years. A high employment growth market is also a great market for real estate investment. STEM jobs are being created faster in the Orlando metro area than in the Bay Area. MSA Orlando-Kissimmee-Sanford was named by Forbes as one of the 15 best cities for jobs. They cited job growth in science, technology, engineering, and mathematics as one factor.
Orlando’s rental market
Thanks to a strong economy, the rental market in Orlando continues to boom. Orlando is consistently ranked as one of the best rental markets in the nation and the number one in Florida for the purchase of profitable rental real estate. While tourism is one of the driving forces of the local economy, Orlando is also an important high-tech hub. As employment opportunities grow in Orlando, people from all over the country and even some other countries are choosing to move.
This leads directly to a boom in rental income, as demand for residential and commercial rentals increases, and this means a more stable income for investors in the Orlando real estate market. The rising rental rates are a good sign for real estate investors. Approximately 46% of households in Orlando, Florida, are occupied by tenants.
Current trends in the rental market
The average size of an apartment in Orlando, Florida, is 962 square feet, with studio apartments being the smallest and most affordable, one-bedroom apartments being closer to average, while two-bedroom and three-bedroom apartments offer more generous square footage.
Approximately 60% of the apartments can be rented for $1,500 / m2 or less. 26% of the apartments fall within the price range of $1,500-2,000, and only 8% are as expensive as $2,000 / m2.
In December 2020, the average rent for an apartment in Orlando, Florida, is $1,439, a decrease of 0.63% from last year, when the average rent was $1,448, and a decrease of 0.21% from last month, when the average rent was $1,442.
- One-bedroom apartments in Orlando rent for $1,257 a month, down 0.4% from a year earlier.
- Rents for two-bedroom apartments average $1,490, down 1.88% from a year earlier.
- The average apartment rent in Orlando over the past 6 months has fallen $18 -1.2%.
- One-bedroom units are down $27 -2.1%.
- Two-bedroom apartments are down $34 -2.2%.
Flexible tax laws
Investing in Orlando’s real estate market can help investors reduce their taxes, as Florida is one of the few states without a personal income tax. Its flexible tax laws are a boon to investors, especially in this climate of a booming economy. Florida’s tax laws are considered the fourth most pro-tax in the country, so a significant number of companies choose to be based here.
Florida imposes a 5.5 percent corporate tax. Orlando can prove to be an important opportunity for emerging start-ups because of its friendly tax environment and affordable real estate. Entrepreneurs and small business owners can rent showrooms and businesses at better rates than most other cities and states.
Orlando is a prime tourist destination
Orlando has prided itself on economic stability since the beginning of 2018, and the growth and opportunities of tourism are some of the main reasons for its smooth expansion. Orlando, considered the “capital of the theme park of the world,” attracts most of its tourism due to the presence of Universal Studios as well as SeaWorld and the most popular Disneyland. In addition, the beautiful beaches and warm weather in Orlando attract thousands of tourists every year.
Orlando, Florida Real Estate Investment Market
You may have invested a bit in real estate in Florida, but you want to push things forward and make it more than just a hobby on the side. It’s only wise to think about how you can and should invest your money. Cash flow is gold in any real estate investment.
Orlando’s real estate market has high growth potential given the current economic expansion and population inflow. This market currently provides an ideal environment for US residential investors, especially for turnkey real estate investments.
A good cash flow from Orlando rental properties naturally means that the investment pays off. A bad cash flow, on the other hand, means that you have no money to pay off your debt. Therefore, finding the best investment property in Orlando in a growing neighborhood is critical to your success.
If you are looking for real estate investment opportunities in Orlando or elsewhere in the country, the generally accepted standard is to buy a property that will bring you a modest but minimal return of 1% on your investment. An example would be: at $120,000 mortgage or investment costs, $1,200 per month rent. That would be the ideal equation, for example.
Even with rent increases, buying an investment property worth $500,000 in Orlando does not bring in $5,000 a month in rent. If you are looking for the best real estate investments in Orlando, focus on neighborhoods with relatively high population density and job growth.
Here are the 10 neighborhoods in Orlando with the highest property valuation rates since 2000 – list from Neigborhoodscout.com.
- Shiloh / Dummit Grove
- Boggy Creek Rd / Dowden Rd
- S Semoran Blvd / Curry Ford Rd
- E Colonial Dr / Barton Dr
- Manatee St / Hoffner Ave
- S Goldenrod Rd / Curry Ford Rd
- Central Florida U / N Tanner Rd
- Omara Ct / S Goldenrod Rd
- Conroy Rd / Millenia Blvd
- Dorado Ave / San Juan Blvd.
Florida is a great place to invest in real estate, with several affordable and growing markets. The state will continue to grow by more than 300,000 people a year and will break the 22 million population mark in 2022, according to an online report by state economists, equivalent to a city slightly larger than Orlando every year.
The report estimated the population at 20.84 million on April 1, 2018, with an increase to 21.2 million on April 1, 2019. It is expected to rise to 22.2 million on April 1, 2022, and 22.8 million on April 1, 2024. Population growth will be driven primarily by “net migration,” as people move to the state, and not by births, which are largely offset by deaths.
Several Fortune 500 companies call Florida home, including World Fuel Services, Publix Super Markets, Auto Nation, Office Depot, Hertz, Fidelity National Financial, and Lennar Corp. With a diverse collection of industries supporting Florida’s economy, it strengthens workers “desire to live and work here, which in turn generates strong demand for rental housing and rising rental prices.
Although there are investment opportunities in the housing market in Florida Luxury Homes, major subways are among the most popular options, such as Jacksonville, Orlando, Miami, St. Petersburg and Tampa. It is estimated that real estate in Tampa Florida will grow rapidly over the course of 2020. Investors are advised to purchase properties now and hold on to them until good price increases can be achieved for maximum return. Tampa Florida’s real estate market has been experiencing steady growth for the past two years, a trend that does not seem to stop anytime soon.
Headquartered by four Fortune 500 companies, Tampa is a moderately attractive city for employment and economic growth. In addition, many entrepreneurs and small businesses are also heading to Tampa in search of better prospects and lower costs for running their start-ups. Acquiring housing is one of the earliest priorities for such professionals when they move here.
Tampa, Florida has a very diverse economy with financial services, STEM subjects, health care, research, education, tourism, beaches and military bases all making significant contributions to jobs and growth, making the housing market in Tampa a popular destination for real estate investors in 2019.
You can also invest in another hot market in Ocala, Florida. Ocala is an affordable real estate market for investors who can still make a reasonable return. The area has recovered from the Great Recession, and several factors will protect it from a future downturn.
Compared to other Florida markets such as Tampa, where the median home price is $221,500, it is quite affordable for investors. Ocala’s median home price in 2018 was approximately $150,000. In the Ocala FL real estate market, you can buy multiple homes at the price you would get in the Miami real estate market for a mid-market condo.
Another market we propose is the Lakeland, Florida housing market. The Lakeland housing market provides the perfect balance between currently affordable homes for buyers and future growth. We can expect the population of the area to grow rapidly, and the rental population to grow even faster.
Although the real estate market in Lakeland Florida is cheaper than Orlando and Tampa, it is not good value overall, given the lower average wages of its residents. This explains why U.S. News and World Report gave the city an index score of 5.5 out of ten, because the average resident earns around $23,000 a year, several thousand less than the US average. Median household income is no better.
Bold Exclusive Realty has extensive experience investing in turnkey real estate and cash flow real estate. We strive to set the standard for our industry and inspire others by raising the bar for exceptional real estate investment opportunities in many other growth markets in the United States. We can help you succeed by minimizing risk and maximizing the return on your investment property in Orlando.
Consult with one of the investment advisors who can help you build a bespoke portfolio of turnkey Orlando properties, cash flow rental properties in some of the best neighborhoods in Orlando.
You can invest not only in Orlando or Florida, but also in some of the best real estate markets in the United States. Simply fill out this form and arrange a consultation to suit your needs. We are at your disposal to help you avoid the guesswork surrounding real estate investments. By researching and structuring complete turnkey Orlando real estate investments, we help you succeed by minimizing risks and maximizing profitability.
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Remember that the emptor reservation still applies when you purchase a property anywhere. Some of the information contained in this article comes from third-party websites mentioned under references. Although the information is believed to be reliable, Bold Exclusive Realty makes no representations, warranties or warranties, express or implied, as to the accuracy, reliability or timeliness of the information presented.