Why Invest in Florida Real Estate in 2021?

While other real estate markets nationwide still struggle to recover, the Florida market is so solid that even the COVID-19 outbreak was not enough to hinder people from buying and selling properties.  

Undoubtedly, the real estate market in Florida has the potential to peak in the second semester of 2021, boosted by a dynamic economy, a low-tax profile, and an immense cash flow from international business transactions.

This article will discover why it is an excellent idea to invest in Florida real estate in 2021. 

Florida Real Estate Market – Post-Pandemic Overview 

Before the COVID-19 pandemic, the real estate market in Florida was going great. Considered one of the hottest markets in the nation in early 2020, the demand for houses, condos, and apartments was overwhelming in most parts of the state.

Nonetheless, during the outbreak of the COVID-19 pandemic, numbers started to decrease, and market performance followed the same path. When the new year arrived, the market began to react positively again, slowly recovering until reaching its post-pandemic peak in mid-2021.

Currently, Florida is attracting the second-highest number of immigrants from other states in the US. Plus, the growth in residential sales is one of the reasons behind the economic boom in Florida.

Florida Real Estate Market – Why Should I Invest in Florida in 2021? 

According to the US Census Bureau, in 2018, Florida had a population of around 21.5 million people. Over the next two years, the Sunshine State population has a growth expectancy of more than 700,000.

As provided by reports from the Florida Chamber of Commerce, the population in Florida can reach an estimated 26 million residents, more than Australia’s current population (around 25 million inhabitants).

In this case, you can see populational growth as a positive trend. It will boost the housing market and stimulate economic growth.  In 2021, median home values have grown by 7.9% in comparison to 2020. When compared to the past five years, Florida home values increased almost 38%. 

Even the growth in remove work was a positive factor for the local market. The demand for affordable housing continued to grow during the pandemic.

Purchasing Investment Property in Florida in 2021 – An Overview 

It is impossible to talk about Florida and did not talk about tourism. Considered one of the best places to travel worldwide, the Sunshine state attracted a record 131,42 million tourists in 2019.

Even though the pandemic impacted these numbers, the state attracted 86,714 million visitors to the state throughout 2020. Accordingly, Florida is still one of the best places worldwide to purchase an investment property.

Rental properties are an excellent example. In Florida, renters occupy 34% of the total housing units in the state. In 2021, the average rent in Florida is $1,790, which is 8.5% higher than the national average. 

The median housing price in Florida varies between $1,399 (e.g., one-bedroom apartment) to $4,000 (e.g., 4-bedroom property by the beach). Also, it is crucial to consider the price appreciation associated with the state economic growth, which is an excellent indicator for real estate investors.

Florida Real Estate Market – Life Quality 

Florida is considered one of the top states nationwide in terms of quality of life. However, according to the US News & World Report, the state is ranked 13th in the country, with top ten ratings for fiscal stability, economy, and education.

Also, the state has a low tax approach (e.g., no personal income tax), and the cost of living below the national average. Florida residents have the perfect place to enjoy the beauty of life, with year-round sunny weather and mild winters. 

Plus, the Sunshine State offers a wide array of heavenly beaches, countless outdoor activities, theme parks, sporting events, golf courses, museums, and nature/wildlife areas. 

Why Invest in Florida Real Estate in 2021 – Professional Guidance is Crucial 

Whether you are a novice buyer or an experienced investor, it is crucial to have professional guidance when investing in Florida real estate. Every transaction is different, especially in a dynamic business environment like Florida. 

Consequently, it is fundamental to work with an expert team to ensure you will have everything in place when it is time to close the deal. 

Work with the Best Title and Escrow Company in South Florida

At Marina Title, we have a team of legal experts to help you deal with all formalities required during the process of investing in Florida real estate. Waste no time. Call us today at (305) 901-5628 or send us an email at [email protected] to schedule a consultation.