Another property study has identified Orlando among United States property investment hotspots – and there are several compelling reasons why Central Florida leads the way.
It’s not the first time that Orlando has been named among the best US city real estate markets and it won’t be the last, says leading REALTOR® Garry Walmsley, with The Walmlsey Team at Global Real Estate Services.
The new survey is the Best Markets Top Ten List for Real Estate Investing for Quarter 1, 2016, which has been published by HomeVestors and Local Market Monitor.
They have identified the top investment cities based upon increased job opportunities in the past year. Ingo Winzer, President and Founder of Local Market Monitor, says, “Good job growth is driving prices higher in our markets, mainly in business services but also tourism (Orlando, San Antonio), finance (Charlotte, Dallas) and manufacturing (Grand Rapids).
“Yesterday’s opportunity becomes today’s risk once prices move higher than they should. This is especially true for investors in rental properties and especially now that the deep discounts at which properties could be bought have largely disappeared.”
Ken Channell, Co-President of HomeVestors, says, “Investors always need to think hard, but in this environment they also can’t afford to think too long.” The quarterly data identifies good rental markets where home prices are likely to rise at an increased rate over the next few years.
Criteria include markets where:
- the population has been growing at above-average rates (4% or more) with growth coming from people moving there in search of jobs
- the current rate of job growth of 2% or more
- there is low unemployment, so new jobs are filled by people who move there, not by unemployed people already there.
As Garry Walmsley recently told chief editor Liz Rowlinson of A Place In The Sun, there is a vital link between vibrant real estate markets and strong job creation.
“Orlando was the top US metro for job creation in 2015, with payroll employment rising 4.59%, updated data released by the US Department of Labor shows. Combine that with real estate values rising by around 10% a year, according to the latest Orlando Regional Realtor data and you have a powerful reason for investing.
“Throw in the fact that Orlando is the top tourist center in the United States, with the world’s top theme parks, including Walt Disney World® resort, Universal Orlando Resort, Legoland Florida and SeaWorld Orlando drawing in more than 66 million people a year, then it a winning argument.”