Investment Property in Florida

An explanation of why investment property is so highly sought in Florida. Includes the best areas to invest in and what to watch out for to avoid losses.

As the fourth most populated state in America, Florida and its investment property is experiencing an upward trend and making great returns for ones capitol. Many wish to retire to the Sunshine State one day, but it can also be a great place to invest in real estate without actually living there. There is a long, beautiful coastline on this peninsula, which attracts many visitors each summer. That, plus the booming economy in certain inland cities can mean a great opportunity for those buying Florida property.

One only has to contact a local and reputable real estate agent to find investment property in Florida to bid on. Towns along the beach are very popular for investment, although insurance rates can be much higher than inland properties. The difference could be made up, however, if one finds a good deal on a desirable beach house or condo. Many vacationers enjoy renting a furnished home rather than staying in a hotel or motel. With great weather year round, a landlord may find there is no off season for Florida tourists and renters.

Some investors may wish to find a property to renovate and rent in Florida. This could be a wise investment, depending on how many repairs need to be made. One needs to realize that the location of Florida means high humidity, which leads to mold problems. One should also look out for any kind of foundation problems due to the extreme heat in some areas. Heat without relief for the foundation can lead to large movement and cracking. However, a “fixer-upper” may be worth an investors time, as the initial cost may be quite reasonable.

Investment property in Florida can lead to big returns, but that can really depend on where one is investing. There are very eclectic neighborhoods in Florida, meaning there are some areas that are just best to stay away from. As each neighborhood greatly differs from the next, it is just wise to conduct some research beforehand. One can probably find a home for less money in a low-rent neighborhood, but it may not be worth dealing with damages done to a property in a high crime area.

The conditions of the Florida real estate market are greatly dependent on the tourism. Although things are looking bright for investors, such was not the case in the early 90’s. One should consider investing in Florida property while things are going well for the state, rather than waiting until another lull in tourism. The state of Florida has some very profitable and beautiful investment property, which may entice some investors to move out there themselves and experience the sunny climate and kind neighbors in person.

Written by Amy Cottrell for

Sunday 23rd July 2006

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