Low mortgage rates are certainly pushing home sales across the U.S., but how does Florida fare as a whole? Some experts believe the housing market to be too pricey, while others think that the market is just right — for everybody — as long as buyers know where to look. Home values are actually a perfect way to find some answers. According to zillow, the housing market in Florida is heating up, but prices are completely different from one city to another.
When compared to a year ago, Florida housing values are up 4.64%. The medium value for a single-family home in the state of Florida is currently $237,000, says Zillow. A mid-priced home bought with a traditional 30-year fixed mortgage at current interest rates (a low of about 3.57%) could mean a monthly mortgage payment of about $1074. Not bad when buyers are shopping within the median-priced homes.
Property values in Florida are notoriously high when compared to the rest of the states. Homes in Florida are usually priced much higher than what a typical house is worth nationwide. Across the U.S. the median home value is about $229,600, up 4.88% when compared to medium home values just a year ago. Zillow is predicting that the value of U.S. homes will rise about 2.2% nationwide. Different predictions are in order for Florida, Zillow estimates the rise will be almost double the nationwide figure, at about 4.09%.
As far as rental investments go, Orlando is being touted as the most profitable city to invest in rental properties. While this is good news for investors, it can become a nightmare scenario for actual Orlando tenants.
Landlord-software TurboTenant reports that Orlando is the No. 1 city in Florida to buy profitable rental property, closely followed by Jacksonville, Tampa and Saint Petersburg. Orlando made the list because the city has a rapidly-expanding population and it’s experiencing a rise in home values as well.
Mike has more than 30 years of experience in marketing and public relations. He once owned his own agency and has worked with some of the largest brands in the world.