In what has to be good news for those who are looking to invest in Orlando real estate and renting properties, some local experts believe that the rent prices will go up in the area within the coming year. Earlier this year vacancy rates had reached nearly 8 percent however that number has come down closer to 7 percent as we wind down 2011.
For those who are interested in buying real estate property to use it for rentals, the lower vacancy rate provides good news. Experts believe that rent will go up in all aspects within the Orlando area, including both long term rentals and short stay vacation rentals.
This news would be welcome to anyone who may be on the fence about purchasing an Orlando apartment, condominium or house with the intent of renting it out. By the end of the year, rental rates are expected by some to go up nearly 3 percent in Orlando. An average yearly increase is only around 2.3 percent, thus the spike is a little higher than normal. The average price is expected to round out at around $860 a month.
The rising rent, along with the lower prices of purchase should prove to be a particularly inviting sign for potential investors and property owners. With Orlando, you may sometimes have the option of using a property as a vacation and short term rental, especially in the areas south of downtown, close to the tourist district. As the area’s biggest industry, tourism and visitors will be a staple in Orlando throughout the foreseeable future.
Property owners interested in finding long term renters will also be pleased with outlook of Orlando’s job market compared to other areas in the country. Population is expected to continue growing in the coming years as jobs increase and the economy continues to steadily get back to where it once was.
Owning a property and renting it out is becoming more and more popular today with low sale prices and great inventory to choose from. As rates go up, choosing to invest in a property in good time will help potential owners experience a return as soon as possible.
Karen Arbutine with REMAX works with many investors globally around the world who invest in real estate in the United States. She will help you navigate through the process and give you the best advice on investing in real estate. Call Karen today to discuss your interests in real estate investing.