The Continued Uprise in the Central Florida Real Estate Market Now is a great time to consider buying real estate in central Florida. Just recently, the Orlando Sentinel revealed that three key factors are making central Florida an attractive place for potential residents and ambitious investors. These three key factors are the government incentives available only in Florida, the low prices of homes, and the possibility of obtaining a mortgage with a low interest rate in Florida.
The government incentives available in Florida make it an attractive place for investors or people buying their first home. To purchase one’s first piece of central Florida real estate, one may make use of the American Downpayment Dream Initiative. This loan provides first-time homebuyers with a loan that is 6% of a home’s purchase price or up to $10,000. Another program that can help homebuyers is the Mortgage Loan Credit Rating Certificate Program, which will provide decreased taxes and a higher mortgage for first-time homebuyers.
In addition to government incentives, the low home prices make central Florida real estate highly attractive to investors and people moving into the area. Right now, a home worth $150,000 may be purchased at up to 50% off of its original price. For this reason, cities like Orlando rank as one of the top ten real estate markets in Florida.
Rents have increased in Florida by 24% in the last several years. The increase in the number of people renting properties in Florida makes it a great time for an investor to pick up a new vacation property. An investor will be able to turn a profitable cash flow by renting out vacation homes to visitors or “snowbirds” from the Midwest and other areas of the country.
The typical mortgage that can be obtained in Florida with a rate of less than 4 percent. Obtaining a mortgage with a lower interest rate will mean that the investor or homeowner can have lower payments every month. By having a lower payment every month, an investor can enjoy immediate profits in the form of a higher cash flow every month.
Lastly, compared to the stock market, the central Florida real estate market has been steadily gaining value in the last few years. Compared to the stock market, the central Florida property market has increased by an extra 19.2 percent.
For these reasons, buying central Florida property is a good choice for a first-time homebuyer or an ambitious investor.