If you’re looking for a change of pace from the daily grind, consider investing in real estate in Orlando. The popular theme park city is home to some of the nation’s best and most expensive real estate. But, as always, there is a catch. Property value in Orlando is on the rise – but so is the cost of living. What is more, unlike most other cities, the demand for rental properties in Orlando is greater than the supply. If you’re thinking about buying a property or investing in a property in Orlando, it pays to research the market and know what to expect.
Why Buy Property in Orlando?
Orlando is a popular place to live and visit. The weather is ideally pleasant, with an average temperature of 77 degrees Fahrenheit. According to the CDC, the city has a healthy and active population of roughly 407,000. With an average household size of 3.3, there is plenty of opportunity to socialize and make new friends. If you’re looking to make the area your permanent home, consider purchasing a luxury property that comes with everything you could need. This, of course, includes a pool.
Owning a property in the city center is highly desirable. Central Orlando is home to some of the most popular and established retail and restaurant chains in the world, including, of course, Disney. If you are a fan of the big-name chains, you will definitely feel right at home. With so much opportunity for retail and entertainment, it is little wonder that dozens of films and TV series have been shot in the area. If you buy commercial property in central Orlando, you will enjoy high footfall and plenty of revenue.
What Is The Market Like?
Since the start of this year, house prices in Orlando have increased by 6.9%. In the last year, prices have increased by 22.2%. This is a direct result of demand outstripping supply. There are currently 29.0 properties per 1,000 people in Orlando, compared to 26.3 last year and 24.9 in 2016. This is according to the Demand Vs. Supply metric pulled from the Land Registry. The cost of a three-bedroom house in the city is currently $285,400, compared to $277,400 a year ago and $270,600 in 2016. Interestingly, mortgage payments have increased by 14% in the last year alone in Orlando.
Supply is likely to rise in light of new building developments. Permit application rates are at an eleven-year high. Additionally, interest in rental properties has spiked, with inquiries increasing by 19% and contracts signed by 20% in the last year. What’s more, 62% of those surveyed for a recent UK property market report said they would consider moving abroad due to Brexit.
Key Facts About Buying Property In Orlando
One of the biggest draws about purchasing a property in Orlando is the luxury that comes with it. With an average price tag of around £250,000, you will definitely be spending a decent chunk of change. The associated costs are high – buying a property in Orlando requires a 20% deposit, plus property rates, and legal and professional fees. On top of that, you will need to budget for utilities, which are pricey in the city. In the last year, electricity fees have increased by 58%, water charges by 45%, and council tax by 12%.
Buying a home in a desirable location such as Orlando is highly desirable. The location itself provides the benefits of vibrant city life and a social community. If you are considering buying a property in the city, be sure to do your research and know what to expect. Make sure you’re prepared to pay the high costs that come with living in a desirable part of the country.