Orlando Real Estate Predictions 2015
Since we work as an Exclusive Buyers Broker in Orlando Real Estate every day, we notice changes in the real estate market. We can spot the trends that are occurring in the market place without much effort. So here is our Orlando Real Estate Predictions 2015.
We pay attention to these market changes and pass them along to our homebuyers. As a result, our home buyers are knowledgeable and informed which gives them a competitive edge in the market place.
When buying a home think Orlando Real Estate Predictions 2015
Prices: Home values increased 43% since 2011, and home values have risen 12% in 2014. Home values will continue to increase but not to the degree of 2014 due to mortgage pressures, and increases with supply of homes. The Orlando Real Estate Market works on supply and demand. The growth of inventory will slow the price growth. Orlando will still lead the state with good real estate investment opportunities.
Inventory of Homes: In 2014 inventory increased by 35%. Inventory will be increasing partly due to growth in new construction homes. In addition, regular sellers now have equity in homes and can sell much easier. Buyers have more home choices. Currently it is a seller’s market, but I would not be surprised if it turned into a buyers market. That is my Orlando Real Estate Predictions 2015.
Investors will be selling: In the last few years large investment groups purchased several thousand homes for rentals. They now have equity through home appreciation and can now turn a profit on the sale. Many are going to take advantage of that.
Financing: Mortgages interest rates will rise by mid year from 4% interest to maybe even 5%. More foreign national loans will be available. That is another one of my Orlando Real Estate Predictions 2015.
Foreclosures: Bank foreclosures will be even more on the decline. Shortsales are deminishing. As prices have risen, the local economy has recovered. Many owners will find ways to keep their mortgages intact or now have equity to sell their homes. Banks are pricing foreclosures at market value and are being sold close to list price. For the most part, foreclosures are not the bargains they used to be. I believe my Orlando Real Estate Predictions 2015 are spot on.
Home buyers: More than half of the buyers in the market place will be the Millennium group ages 25-34. These buyers have job opportunities and are optimistic about the market…so they are buying. Because Orlando is a world-wide travel destination we will continue to see growth from international buyers in particular from South America. This is an easy Orlando Real Estate Predictions 2015.
Property Types: There will be an increase in condominium sales. Condo’s have lagged behind single family homes for the past several years. Condos will now see a rebound due to affordability, but condo financing opportunities will stay difficult.
Affordability: As prices continue to rise as well as mortgage rates, the affordability index will increase creating less property for the money. This will decrease the number of quality properties for affordable budgets. When the affordable homes supply is limited, the demand will result in multiple offers and bidding wars.
New Construction: New construction homes will continue to boom in Orlando. While many home builders are already building homes with 50% energy efficiency, the new Florida Building Code now requires ALL home builders to build homes with a minimum energy efficiency of 50%. This increase in building costs will be passed along to the consumer. I predict that the gap between new construction prices and resales will widen with new construction prices being more expensive.
Population: Florida is outpacing total population of New York. Orlando population will grow another 2-3% in 2015. Orlando is still the fastest growing city in Florida. My Orlando Real Estate Predictions 2015 say that this trend will continue.
Let Buyers Broker of Florida guide you to the areas that are appreciating in value the fastest. Call 407-539-1053 for a wonderful 2015.