It’s no surprise that vacation rentals in Orlando have had exponential growth in recent years. They’re a hassle-free investment that brings a passive income year-round. With Orlando’s booming tourist location and growing renters market, it’s a particularly special destination.
Whether you’re a seasoned investor, or a new one, you should be aware of the latest growing real estate destinations and trends. Primeland Development, a world-class property developer, is here to give you the top 5 reasons why Orlando real estate is the best place to invest your money.
Location
Orlando is home to some of the largest attractions for tourists in the United States. With theme parks such as Disney World only 7 minutes away from vacation condos like Sycamore Resort, it’s clear why Orlando had 79 million tourist visitors in 2019.
This destination is a hub of non-stop excitement with Universal Studios, SeaWorld, and Epcot all close by. It’s a fantastic location that had a 10% increase in home value in a year, hence the new wave of investment interest in Orlando.
The location will become even busier this year with tourists pouring in to experience the 50th Anniversary of Disney World that will be celebrated with new attractions and experiences for 18 months.
Booming real estate market
As we just covered, Orlando is home to some of the USA’s largest family attractions. Due to having such popular experiences close by, Orlando’s property is being quickly bought up. In August 2021 it was reported that homes spent only 20 days on the market. This is a record low, and it shows no signs of slowing down.
What makes Orlando real estate even more attractive is that interest rates have remained low, this was reported by Natalie Arrowsmith, 2021 the Orlando Regional REALTOR® Association President. She also said that even as we head into fall in Orlando, a season of traditional cool-down, the seller still has the upper hand, as property is in such exceptionally high demand.
If you are still not convinced of Orlando’s booming real estate market, recent data shows that you can be confident in a high return on your investment. Within just a year, the home price rose 16% from August 2020 to August 2021 In Orlando, which is another record high for the area.
Fantastic Local Economy
We know Orlando’s location is one of the hottest in the US, and with this comes a great economy. It brings in tourism, company conventions, global businesses, and more; there isn’t a shortage of revenue for Orlando.
The more visitors the location has, the more resources are available. The benefits of this go beyond visitor spending. The Orlando tax laws work to benefit all local businesses and residents. There’s no state property tax and the cost of living is 6.3% below the national average.
The local government also ensures Orlando’s tourist development tax is used to build and strengthen the community. These benefits have made it increasingly popular amongst business and local residents, with more and more people choosing to make it their home.
The quality of life, booming economy, and great benefits have also improved the local job market; which was reported to have a 3.9% growth over the past year. You can expect a great renters market in Orlando, as job prospects are only improving it is predicted to have a 51% increase in future job growth.
Diverse Property Range
Thinking of investing in Orlando? There’s an enormous range of property to pick from. You can select the top property in the best neighborhood and maximize your investment. Residences range from condos to vacation rentals, to family homes and more. There is something for everyone.
The neighborhoods are also diverse, many of which offer some of the best cash on cash returns on your investment. Some of the best growing areas include:
- Kissimmee – 11.9% yearly increase in home value.
- Oviedo – 8.2% yearly increase in home value.
- Lake Nona – 4% rise in square foot average price
Attractive Renters Market
The current renters market in Orlando is seeing historic rent highs. Brian Alfrod, the director of market analytics for CoStar, said: “We have never seen rent growing at the pace they have been growing here in the last 4-5 months.” This means that homeowners can expect to have a high rental yield in the future – meaning now is the best time to invest in vacation rentals in Orlando.
The tenant pool is also strong as there is no shortage of good tenants, and this has only increased after the surge in remote working options. People are now flocking to Orlando from major US cities to enjoy everything the location has to offer. The population in Orlando generally hold great employment rates and are willing to rent high quality, well-maintained homes.
The future of Orlando’s real estate market
Orlando is clearly breaking records with its rapidly growing property market, and it isn’t showing any signs of slowing down. With new attractions constantly opening up, and fresh remote work opportunities, the pool of residents is only growing.
If you’re looking for the next spot to invest in the US – keep your eye on Orlando. Primeland Development is here to help you make the right decision. We’re expert property developers with industry knowledge of the local Orlando real estate market.