Investing in real estate is a savings plan, an income plan, and a retirement plan. And real estate is a great investment. Whether it’s your own home or a second (or third) property, every home you own is an opportunity for a great return on your investment.

Over the last five years, the population of Central Florida has grown approximately 2% per year. In fact, in 2019 the Orlando metro area ranked as having the fifth-largest increase in population in the entire county. As more people move to our communities, more homes are needed to support the growing population.

People move from Orlando to the surrounding cities like Clermont, Winter Garden, and Windermere, which offer a quieter lifestyle, lower cost of housing, and an easy commute to and from the big city for work.

Central Florida is a prime market for real estate investing. We have opportunities for every type of investor: Fix and flip, long term rentals, short term rentals, commercial space, and more. Our economy thrives on a strong tourist market and being a warm and summery destination that those living in states further north aspire to move to.

Here’s how you can get started investing in Central Florida and see a great return on your investment:

Fix and Flips

Fix and flips are homes that need some TLC. Whether they’re just outdated or on the verge of falling over, there are plenty of options when it comes to choosing a property so you can find one in line with your comfort level. The nice thing about fix and flips is that they are a great way to get started, as you can often live in the property while you’re working on it (so long as there are no major issues).

The concept is simple: take an old, broken, or otherwise in need of love home and make it better.

Fixer-uppers are often for sale at a great price, so you can pay a lower amount to get into a property in some of the most amazing neighborhoods. After updates and/or renovations, you can sell the home for a profit and move on to your next project.

Long Term Rentals

Central Florida is home to many industries that require their workers to move around. There are always people looking for quality rental properties in our market to live in full-time. The way that long term rental property investments work is this: You buy a home and assume the responsibility of paying the mortgage. You then lease the property to someone else and they pay you rent. That rent covers your property expenses including your mortgage, utilities, and taxes.

While it’s possible to see immediate cash flow with a long-term rental property, the ultimate goal is equity and appreciation. If you own your investment property for 10 years, the value of that home will likely increase substantially. The equity you put into the home and the money you will make from the sale can be reinvested into more investment properties.

Short Term Rentals

In 2019 over 131,000,000 people travelled to Florida. When tourists come to the area, they need a place to stay.

Short term rental properties are a great investment to capitalize on Florida’s incredible tourism industry. The average annual income for an Airbnb property in Winter Garden is $33,000, or $2,750 per month. There are opportunities everywhere in Central Florida to make money with short term rentals.

The catch is finding a community with an HOA that allows them. Check out our recent short-term rental friendly home for sale! It might be the perfect addition to your portfolio.

COVID-19 has thrown a wrench in this year’s tourism. While that may be a deterrent for many investors, it is an opportunity for others. Many investors who relied on their rental income to pay for their properties have lost money this year and are now selling their rental properties, fast. This creates an opportunity to get your hands on an income property, maybe even the rental listing pre-loaded with reviews, at a great price.

The right investment style for you depends on your goals and flexibility. No matter what direction you go, Central Florida is a great market to make money in real estate. Even in the thick of a global pandemic, our real estate market has proven to be resilient. If you’re considering an investment property in the near future, jump on the great interest rates and get yourself a deal on your next home.

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