If you are thinking about moving to Florida and want to know if you can get the best deal for purchasing a house, you’re in luck. In the state of many places where real estate is more affordable than you might think. This writes Go Banking Rates.
This is not a result of the downturn in the housing market in Florida. According to Dr. brad O’connor, chief economist of Florida Realtors, the largest trade Association of realtors in the state, housing sales in the state are increasing more rapidly than in the rest of the country. Despite the increase, housing prices are still relatively low in many cities of the state. “It was always pretty affordable place to buy a home, especially if you are retired,” said O’connor.
Then the question arises: why Florida is such an affordable home? Not to say that the cities where housing prices are lower than the national average, have a lower standard of living.
In fact, there are several main reasons why housing is available in Florida, said O’connor.
In half of the cities in Florida, housing prices lower than in USA
The average price for homes currently for sale in the U.S. is $289 000. In Florida the average price is slightly higher — $298 500. However, 201 of 398 cities in Florida, have an average cost of housing is lower than the national average.
A large amount of land contributes to lower prices
The most expensive homes are concentrated in South Florida, which is confined by the Atlantic ocean to the East and Everglades on the West. The rest of the state is a huge area, said O’connor. According to him, even a surprising amount of coastline is not heavily populated.
In South Florida, where there is land scarcity, prices are higher. But the abundance of land in the rest of the state leads to lower prices for land and homes. Several of the 15 cities that are best places for bargain house is located next to two growing cities, where, according to O’connor, still has room to grow — Orlando and Tampa.
Home usually less
Florida is a great place for retirees. Pensioners don’t need much space at home, like huge families. Thus, a large number of retirees in Florida means that the average house in the state less rooms than the national average, said O’connor.
Citing data from the census Bureau of the U.S. population, O’connor said that 45% of Florida homes have two bedrooms or less compared to 39% across the country. “This is a significant difference,” he said.
Revenues also slightly below
The median income in Florida is $50 883 compared to the average income in the country $57 652. According to O’connor, because in the state of lower incomes, the pressure on housing prices is smaller. In other words, average wages high enough to afford housing at a higher price, so the market reacted accordingly.
The supply of homes is not so limited, as in other places
In many places in the US, the supply of homes does not meet demand, leading to higher prices. Florida has no such problems, at least to the same extent.
“We are one of the few places where homes are built,’ said O’connor. — It also helps to reduce prices in our state.”
Hurricanes greatly affect the price
Believe it or not, but the hurricanes do not play a role in the decline of housing prices in Florida. O’connor said the realtors of Florida analyzed data on housing and insurance claim for damage from a hurricane.
Ready to buy? Here’s where to look
In Florida there are more than 200 cities, where the average price of housing below the average price in the state at $298 500 and the country as a $289 000, including such large cities as Exovii, Orlando, Tallahassee, St. Petersburg and Pensacola.