It’s a GREAT time to Invest in Real Estate – Especially in Orlando, Florida
According to the U.S. Census Bureau, American home-ownership plunged again in 2017 to its lowest rate since 1965. After the peak of 2004, when around 70% owned their homes, now just 62.9% own versus rent. It’s a throwback of almost a century—and the lowest on record, according to Census and Federal Reserve data.
Why is this happening?
We are seeing (and hearing) more and more that the U.S. is becoming a ‘renter’ nation. There are a few reasons for this but it is said to be based on two key leading factors as it relates to the ‘millennial’ generation.
One; They saw their parents lose and lose big!
The millennials witnessed our Great Recession which of course was the worst since the Great Depression. They witnessed family and family friends lose jobs, security, money and of course what could hit closer to home but the loss of the family home? They felt the devastation and that future perceived pain of loss can outweigh what may be considered the benefits of home ownership.
Millennials have often been referred to as the generation of movers. They seem to cherish ‘memories’ rather than ‘things’. In many cases, they can work from anywhere as long as they’re plugged in to the internet. Why have a big ball and chain made up of what they may perceive as maintenance and a big mortgage? They'd rather travel, live and make memories they can take throughout their lives and share with their friends instantly.
According to a Senior Economist at Wells Fargo Securities, one of the biggest challenges right now is affordability. House prices are rising far faster than incomes. Access to credit just isn’t there like it used to be for regular home buyers. High rents aren’t helping either. Even renters who want to buy can’t get home loans, can’t save enough for down payments, and are finding it harder and harder to make the leap.
So Why Invest in Rentals and Why Orlando?
Someone has to rent to the ‘renter nation’ and why not you? Provide a desirable and well-kept rental home and rent to qualified renters who will help you grow your personal wealth. And Orlando has been named number 2 by Forbes as America’s Fastest-Growing Cities 2017. Orlando has seen tight rental markets, rising rents and an influx of qualified renters for well over the past two years. It’s not likely to change with Forbes prediction but continue to make Orlando desirable for both real estate investors and renters alike.
Contact Verandah Properties to not only help you locate and purchase your rental portfolio but also professionally manage that portfolio (even if it’s just one!) so that you can benefit by our expertise which is locating, placing and educating tenants to not only pay their rent on time, but maintain your investment. It’s what we do! Two Missions. One Focus. YOU!