Price tendencies in property of Florida. What should you think about before investing in real estate in Florida? What’s for sale in Hollywood, Florida in 2023
While the median flat price in Florida grew by 5.8% in January 2023, the number of units traded decreased by 38.1%. Right now, the real estate market in the sunny state is undergoing major changes. Local home sellers are taking longer to close a deal as buyers scramble to find the most affordable options amid mortgage rates near 6%, hitting a 20-year high.
With the opportunity of a recession threatening Florida’s residential real estate market, customers are wondering if it’s likely to buy flats in Florida for foreigners at a bargain price.
Tendencies in the real estate market
Florida’s recent housing market statistics reflect a nationwide high demand and insufficient supply trend. As the number of residences on offer across the state has fallen, costs have increased significantly.
After a decade of stable house cost growths, the market has achieved the affordability limit for numerous would-be homeowners. Another negative characteristic affecting their purchasing capacity is mortgage rates, which are currently high.
Sale of housing in Florida
As of December 2022, house deals are at an all-time low of 38.1% yearly. 27,233 properties were sold compared to 43,985 properties in the same period in 2021.
As mentioned above, rising home costs in the state and record-high mortgage rates are the main factors contributing to the decline in sales.
Regarding rentals, Florida shows the country with a 28% growth in average rental value from 2021 to 2022. A local tenant pays $1,218 per month.
Buyers who cannot afford housing due to the high cost of real estate tend to rent it. This results in a highly competitive Florida rental market and skyrocketing rental rates.
In December, pending home sales fell by 10.2% compared to September 2022. There are presently 51,110 properties for sale in Florida.
The average number of days on the market
In 2022, the average number of days a home remains on the market before a buyer is found was 47. This is 17 days more than the previous year.
What to do if the object you like has become more expensive
According to experts, real estate in Florida will grow in cost over the next five years. However, the predictions of real estate experts sometimes turn out to be incorrect due to unpredictable events. One such event was the pandemic in 2020-2022. The coronavirus outbreak has affected real estate markets in various countries, including the USA. Today, housing in Florida is popular among buyers for several reasons. Two main reasons: the developed US economy and the wonderful climate of Florida, which is called sunny. Many people are afraid to buy the object they like late, as interesting options are leaving quickly. That is why people prefer not to think for long and immediately draw up a sale and purchase transaction. However, in the face of increasing housing costs, many potential buyers are forced to decide to postpone the purchase of real estate until better times or look for properties in another area. In this case, there is a third option: it is better to find a seller who cannot wait long and offer a discount.
What’s for sale in Hollywood, Florida in 2023
- A 105 m2, 2-bedroom, 1-bathroom house can be purchased for $649,000.
- A 705 m2 villa with 7 bedrooms and 7 bathrooms is being sold for $7,650,000.
- A house of 157 m2 with 5 bedrooms and 3 bathrooms costs $414,900. You can become the owner of a 94 m2 villa with 3 bedrooms and 2 bathrooms for $7 million 650 thousand.
- A 220 m2 house with 3 bedrooms and 2 bathrooms can be purchased for $1 million 250 thousand.
- You can own a 160 m2 house with 4 bedrooms and 3 bathrooms for $600,000.
Is it possible to get a good deal?
Profitable home buying in Florida in 2023 is a difficult but doable task. Investors and end users will need the help of highly qualified specialists with the right experience to do this. You can contact such specialists on Florida.Realestate website. Their clients can count on assistance with selecting an object that satisfies their desires and monetary capabilities, comprehensive consultations, support at all stages of the transaction, and after-sales service.