Florida is one of the most popular travel destinations in the US. Therefore, you would expect that recent developments in restrictive policies during the Coronavirus pandemic would heavily impact the tourism industry. However, The Sunshine State has managed to overcome these obstacles. The heavy impact the pandemic has on other countries is barely noticeable here. Some industries like agriculture, financial services, life sciences, aerospace, aviation, and international trade have managed to sustain through this trying period end even expand. With new job openings, Florida’s fastest-growing real estate markets are in constant need of new housing. If you’re hunting for a new investment or planning to become a real estate agent, researching markets in the Sunshine State is a must.
Benefits of investing in Florida’s real estate
Florida had always had an excellent reputation when it came to investing in property. Due to its location, tucked cozily between Alabama, Georgia, the Gulf of Mexico, and the Atlantic Ocean, Florida has one of the best climates in the world. With plenty of recreational and leisure possibilities, your lifestyle can be one big vacation. It helps that the state population and industry are diverse, making it the perfect place for business or raising a family. Offering perfect opportunities for jobs and housing, the demand for housing in Florida has been quite high, especially in the past two years.
According to Forbes magazine, up to 2019, 80% of buyers for most high-end properties in Florida were foreign, mainly from Russia, Asia, and Latin America. However, since the beginning of the pandemic, the numbers are in favor of domestic ownership. Over 70% of domestic buyers invested in Florida’s properties.
Do market research before deciding on a location
By the end of 2020, Florida’s median house value was $267,296, which means it has grown almost 8% over the past year! Still, the median value varies by location. Therefore, it’s vital to do comparative research of real estate markets based on your preferences before investing. Whether you are moving from across the country or locally, you will have to pay attention when it comes to the documentation necessary for your upcoming move. Not all states or cities in the Alligator State have the same requirements for relocation documentation. And it’s surprisingly easy to forget about paperwork when you’re moving locally.
There are plenty of cities in the state that can offer some fantastic property choices. Some of Florida’s fastest-growing real estate markets are located in Miami, Jacksonville, Orlando, Tampa, and Naples.
Miami – the most popular city in the Sunshine State
Considering the popularity of this destination, it is no surprise that Miami’s real estate market is trending. The demand here was quite high for some time, but it went over the roof in the past few years. The Magic City is especially popular amongst metropolis refugees because of its low mortgage rates and no income tax impositions. Still, the market is not that competitive since there is a balance of buyers and sellers in the area. At the beginning of 2021, the median price of a home in Miami was $398K. Keeping in mind that US numbers for median home costs in 2021 went up to $408K, the luxurious Miami real estate prices are pretty affordable if we compare all influencing factors.
Jacksonville – the leisure city
Investing in Jacksonville’s real estate is very profitable if we consider Florida’s fast-growing economy that has surpassed the national overall growth rate. As Florida’s biggest city, Jacksonville is a popular tourist destination, especially when it comes to golf locations! The city is known for its military and civilian deep-water port and its healthy and affordable renting costs. The median home cost in Jacksonville is $195,692 and growing.
Tampa – the best home offers market
With a meager unemployment rate of 3%, Tampa has been growing in population for quite some time. Living expenses in the city are over 20% lower than the national average, making Tampa the perfect place to live. Especially if we consider numerous opportunities for business growth, real estate, and costs of living. Still, that is not the only reason Tampa is so popular among home buyers. The city and area around it are very tax-friendly, with phenomenal offers for multi and single-family homes. No wonder median home prices have grown up to $314.9K.
Naples – a popular investment destination for millennials
Unlike other big cities in Florida, Naples is a small beach town of around 20 000 people. Still, it manages to keep a record of being one of the nation’s best long-term real estate investments. The median home price is $352,620, with a prognosis of price growth of over 10% in the upcoming year. The place is especially popular as a living destination for millennials and young entrepreneurs. Low-income and property taxes, affordable costs of living, and amazing beaches are why home buyers have been flocking to Naples in the past two years.
Orlando – foreign investors’ focus
Over the years, Orlando has been expanding and attracting many new investors. Especially when it comes to real estate owners from Europe, Asia, and Latin America. Orlando can thank The Grove Resort & Water Park and Walt Disney World for its massive popularity amongst many local and international tourists. In April, Orlando partnered up with Europe’s largest privately-owned real estate agency Ideal Homes International. The resort mentioned above has been quite popular amongst buyers who planned to use their condos as vacation rentals. However, new Portuguese partners from Ideal Homes International plan to expand the market internationally. The aim is to reach investors outside of the US, especially from Europe.
On the other hand, even when it comes to more affordable residential properties, Orlando’s real estate market is strong. With the median home price of $284,000 and rising, the city is a great place to invest.
Florida’s fastest real estate markets are a safe return investment
Earning money through different investments is always risky. However, when it comes to investing in property, this is not the case. Still, your profit will depend on smart market research and protection of the investment after the purchase. Properties with an excellent return on investment are not hard to find in Florida’s fastest-growing real estate markets. Whether you plan to purchase a condo in Naples or a stunning home in Tampa, the popularity of these places guarantees a consistent flow of income from tourists and visitors.