Most people know that Florida is a major target for overseas real estate sales – including Central Florida property from Feltrim Group, but do you know exactly how much is spent?
The answer comes from Florida Realtors and the National Association of Realtors who say that foreign buyers invested US$23.7billion on property in the Sunshine State, in the recently-published Profile of International Home Buyers in Florida 2015 Report.
The amount is 5% higher than in 2014 and three times as much as the national average, as overseas buyers increasingly bought prime housing and increased their average spend to $499,600.
A total of 44,000 properties were bought by foreigners in Florida in the year to June 2015, one in eight of all sales – with a huge increase in Latin American buyers, which has been reflected in Feltrim Group sales. The amount of Chinese buyers is also rising.
Latin America/Caribbean buyers accounted for more than half (56%) of international buyers, double 2014’s figure. Buyers from Europe accounted for two out of 10 purchases and Canadians for one out of 10.
Most buyers from Latin America came from Venezuela (18% in 2015 compared to just 3% in 2014), Brazil (9% in 2015, 6% in 2014), Colombia (7% in 2015, 4% in 2014), and Argentina (7% in 2015, 3% in 2014).
The importance of British buyers in Orlando is illustrated by the fact that the area accounted for getting on for half (44%) of Florida purchasers.
Just over half (51%) of property buyers want security and profitability, with most buying Florida property for rental purposes. Another key reason is Florida’s desirable location, which reinforces the fact that most foreign buyers also purchase property for vacations.
Buyers from the United Kingdom were the most likely to purchase the property for holiday, residential rental, or both. Buyers from China tended to use the property for primary residence and student housing.
Feltrim Group Chief Executive Officer, Garrett Kenny, was interested to see that almost all buyers (97%) visit Florida at least once before purchasing a property.
“Our advice at Feltrim Group is that buyers should come to Central Florida, see around our top-class choice of luxury developments before purchasing property and at the same time, experience Orlando’s world-class attractions for themselves.
“You can learn a lot about resort real estate from websites, but there is nothing like seeing developments like our luxury lakeside project, Balmoral at Waters Edge, in situ.
“Location is also important. Many overseas buyers don’t realise in reality how far apart cities and towns in Florida are, until they actually visit the area.”
Illustrating Florida real estate’s value for money, more than six out of 10 buyers found Sunshine State property less expensive than comparable homes in their home country, the survey found.