Florida is one of the fastest growing real estate markets in the United States. According to the US Census Bureau, Florida has a population of over 21 million and the number continues to grow. With so many people in Florida, it’s clear how lucrative the real estate market can be there.
Based on data, real estate investment in florida showed the prospect of earning a lot of money there. With the median home value in Florida at around $400,000 or so, investors can easily buy property and get a good cash return. Keep reading to learn more about some lucrative places in Florida worth buying property.
Top 5 Florida Cities to Invest in Real Estate
As a real estate investor in Florida, there are several things you need to consider when buying property. Among the many things to consider, the neighborhood or location of the property is a key factor that can influence profitability. Below are five notable places to consider buying property in Florida.
Palm Springs
First on our list of the best places to invest in real estate in Florida is Palm Springs, a city where the American dream of having it all still flourishes. It’s a single location with lots of characters to attract prospects. And it doesn’t matter whether you’re buying property in Palm Springs to flip it or rent it out; you will always make a profit.
On average, the median home price in Palm Springs is around $205,262 or so. Or better yet, the price per square foot in Palm Springs is around $195. A property in Palm Springs is a good investment because the price-to-rent ratio is 12. The average monthly rental income you can generate from a traditional property in Palm Springs is around $1414. Overall, the cash yield in Palm Springs is around 4.46%.
margate
Margate is another great place to invest in real estate in Florida and is part of the Miami metro area. Margate is located in Broward County, the 14th largest city in the county. The city has several infrastructures including parks, recreational facilities, etc. that will attract prospects to the city.
On average, the median house price in Margate is approximately $225,054. Or, to understand better, a square foot in Margate costs around $187. Moreover, investing in rental properties in Margate is very profitable, considering its price to rental ratio of 12. And you can get an average monthly rental income from $1587 renting a traditional property in Margate. Overall, at Margate, you can get a cash-on-cash return of up to 4.39%.
Jensen Beach
Jensen Beach is not the most populated city in Florida. Yet it is a strategic location that is booming in real estate. It is a beautiful little coastal town with a strong tourist attraction, especially for those looking for a relaxing vacation. The beach and sparse suburban feel make Jensen Beach a lucrative real estate location.
Owning property in Jensen Beach is relatively high, as the median home price is around $671,681. This figure puts the price of properties in Jensen Beach at around $407 per square foot. Additionally, the price-to-rent ratio of properties in Jensen Beach is 20, making this location perfect for property flipping. If you own a property here, you will get a monthly rental income of around $2763. Overall, the cash-on-cash yield at Jensen Beach is around 4.04%.
Orange Park
Generally, Florida is known for attract tourists From all over the world. Therefore, if you want to invest in real estate for Airbnb, then Orange Park is one of the most lucrative cities to buy property. Orange Park is a suburb of Jacksonville with an access road to anywhere you’ll want to go, and it also has a nice view of the beach.
An average property in Orange Park has a median price of $351,388. In other words, a square foot in Orange Park costs around $176. However, the occupancy rate is around 59%. The average Airbnb price in Orange Park is around $263 per day. So, overall, you can get a cash return of 7.04% in Orange Park.
Ocala
Ocala is another wonderful city for real estate investment located in Central Florida. The town is quite lively with a mix of Victorian-era homes and is one of the most popular destinations for tourists to stay when visiting Florida. And because of his sstrategic locationresidents can quickly travel anywhere in Florida from Ocala.
Owning property in Ocala can be a bit pricey, as the median home price is around $387,067. Essentially, a square foot of property in Ocala costs around $185. Airbnb’s occupancy rate in Ocala is around 60%. And with an average daily Airbnb rent of $139, you can pocket a 5.24% cash return from a property you own in Ocala by doing Airbnb.
Conclusion
All in all, investing in Florida is good business. Although properties are expensive in some places, they are quite affordable in others. And the best part is that when you invest in real estate in Florida, you will surely make money from it.
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