2020 Florida Real Estate Investing Forecast
Across the nation, prices of single-family homes have peaked in markets, while other markets’ prices have slowed down as well. This is due to how their average home prices have become higher than average incomes in the area—the economy has to take time to catch up.
However, in Florida, there is an increasingly high demand for single-family homes, rental properties, and real estate for retirees. According to Forbes, “Orlando’s population has grown 252% faster than the national average over the last 8 years.” The same trend is expected in 2020. We at Transforming Properties Solutions have complied real estate trends for the new year for interested investors. Read on to find where to best invest!
Many people are attracted to the Sunshine State’s pleasant climate, world-renowned beaches, and famous amusement parks. Property taxes and insurance are also low compared to other states in the United States, and there’s also no state income tax. Job and population growth are also concentrated in big markets, such as the Orlando area.
Fast Facts About Orlando’s Housing Market, by Real Wealth Network:
- Median Sales Price: $231,000
- Median Rent Per Month: $1,486
- Population: 2.6 M
- 1-Year Job Growth Rate: 3.44%
- 7-Year Equity Growth Rate: 110%
- 8-Year Population Growth: 30%
- Unemployment Rate: 2.9%
Some jobs, such as IT support or healthcare, are much more effective when concentrated in a market. This makes these markets more attractive to workers, and in turn, investors. Forbes says “just 30 markets - where 40 percent of the population lives - received 60 percent of the new jobs created in the last five years.” Orlando is one of these markets! Demand for housing in these markets will grow faster than others, which makes them a prime spot for investors. With more demand comes higher prices and rents of properties!
Rental properties in the Orlando area may prove to be a beneficial investment in 2020. The growing rates of home prices put owning a home out of reach for many people. Renting becomes their best option. Investors should look into apartments and other rental properties. Other good investments in the Orlando area would be in family homes and properties for retirees.
2020 brings a bright outlook for aspiring investors, so take advantage of it. Be on the lookout for our blogs about TPS’s most recent flip and real estate photography! Transforming Property Solutions is located at 223 W 3rd St, Sanford, FL 32771. For more information, investors and realtors are encouraged to call 407-375-2317 or visit online at www.transformingpropertysolutions.com