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Florida Property World Beating for Buy to Let
December 30, 2009Article by Ray Withers
Florida is currently one of the top 3 destinations for buy to let investment in the world, international property investment consultancy Property Frontiers has announced. Rising tourism as the world recovers in 2010, will combine with the continually high number of repossessions and distressed sales to present a perfect storm of buy to let opportunities, according to a spokesperson for the firm.
Sourcing manager Ben Jeffries said:
“Regardless of what the official data says, foreigners are currently able to go across to Florida and pick up properties at discounts of between 30% and 70% on 2007′s prices. Rental rates to holiday makers have not fallen anywhere near as drastically. Landlords had to offer discounts to avoid voids earlier this year, but more recently holiday makes have been paying close to what they were in 2007.
“This means that rental yields on Florida properties are a lot higher than they were in 2007. In fact on carefully chosen properties, people can easily make a yield as high as can be found anywhere in the world.”
Property Frontiers have been responsible for marketing several heavily discounted developments throughout Florida, all of which have sold out in record time.
The firm is currently marketing a new build development in the hotspot of Tampa at an incredible 70% discount on 2007′s prices. The price reduction coupled with Frontiers’ track record for bringing the best investment opportunities to the forefront of international real estate, will surely make this development sell out in record time as well.
Studio apartments in Tampa from £26,000, 1 bedroom from £30,000 and 2 bedroom from £40,000 really says it all about the current opportunities that exist in Florida. Not to mention the fact that the Grande Oasis is a fully equipped community style development in an economically vibrant area of Tampa.
Having said that Tampa as a whole is known for its economic vitality, with many analysts forecasting that it will be one of the first areas to see real growth in employment in the states. The net yield forecast for the Grande Oasis apartments is 10% and 70% finance is available.
Of course Florida property, at the current low prices it can be bought for also has tremendous capital growth potential. A conservative estimate as to what the properties above will be worth when the areas has fully recovered, puts them back at their 2007 prices with a 70% gain in the investors’ pockets. A realistic forecast is for a 100% gain within 5 years — plus rental income in the meantime.
For more information contact Property Frontiers on +44 (0) 1865 202700.