With the bulk of a very tough year (2020) behind us, many are wondering how 2021 will fare – and in particular, the housing market. Whether you own your primary residence and/or invest in residential rental property, housing values could represent a significant component of your overall net worth.
According to the National Association of Realtors (NAR), 2021 could be “real estate’s best winter ever.” There are several reasons for this, including:
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- Low mortgage rates
- An increase in the price of homes
- An increase in the sale of existing homes
- A “surge” in new home sales
Even with the Coronavirus pandemic’s impact on employment and income figures, the real estate market has continued to soar – including in Orlando and the surrounding Central Florida area.
While sale prices are up in comparison to the past few years, these have been softened somewhat by the historically low interest rates on mortgages. For those who already own property, for the most part, equity has continued to climb.
Another driver of home sales is the “new normal” of working from home. Approximately half of those who used to work in an office are still doing their jobs remotely – and without a long commute, home buyers and renters alike are more willing to live further away from the large cities.
For residential real estate investors, 2021 could be a good time to consider adding to your portfolio of properties. If doing so has you concerned about spending more time looking for tenants, collecting rent, and maintaining your rental units, though, bringing a property manager on board can help.
At Central Florida Property Management, we take care of all the time-consuming tasks of being a landlord, as well as provide a few extras, such as keeping track of your financial reporting, and offering online access so you can take care of business from anywhere. For more information, contact us at (407) 429-4834, or visit our website at https://cflpropmanagement.com.
Sources
NAR Forecast: 2021 Could Be Real Estate’s Best Winter Ever. Florida Realtors.
