Florida Naples Home Equity Mortgage Refinance Loan
Florida Mortgage - What to Expect When Buying a Home in Florida
by Jessica Elliott
Maybe you're buying your first home in Florida, or perhaps you're relocating to Florida from another state. Either way, it's important that you educate yourself on Florida home loans before shopping for a home and mortgage. This article explains what you'll need to know before buying a home in Florida:
The median price of a home in Florida is $105,500. Recently, homes in Florida have been appreciating at rates well above the national average. Additionally, the rate of job growth in Florida is among the highest in the nation. However, income levels in many parts of Florida are too low to purchase a median-priced home with a conventional loan.
Average interest rates on mortgages in Florida are just slightly higher than the national average interest rate. Home prices in Florida can vary greatly between zip codes. While the median home price overall for Florida is $105,500, median prices in Naples, Florida have recently been as high as $500,000.
If you are moving to Florida, it is important to be aware of the high risk of hurricane damage for homes in cities along the coasts of Florida. Most recently, Florida residents had their homes damaged by Hurricane Katrina.
About the Author
Jessica Elliott recommends that you visit Mortgage Lenders Plus.com.
Florida Property Prices In 2006 by Sebastian Jay
Florida is a popular destination for those who wish to buy an investment property or second home in the sun. Each year more than 10,000 Brits make a move into the Florida property market. They are joined by thousands more from across North America, and indeed from many other countries right around the world. Demand is high, so high in fact that property supply can hardly keep up!
Florida's popularity is all down to one thing - lifestyle! For second homeowners this means a chance to relax in a sub-tropical climate where the sun is virtually guaranteed to shine throughout the year. There are miles and miles of golden beaches, a wealth of stunning attractions, including the Disney World and Epcot theme parks in Orlando, and over 1400 golf courses. In short, there really is something for everyone.
For investors the same applies. If it wasn't for the climate, the theme parks and the golf, Florida would not be the year-round resort that it is. It is what makes the 'sunshine state' a property rental paradise - a paradise that is made all the more attractive by the relatively low prices of property in Florida.
Florida Property Prices
When compared to property prices in the UK, Florida property prices yield more home for your money. A 4-bed Florida property of 1800 square foot with a private swimming pool can be acquired in Orlando in 2006 for as little as $350,000 USD. By today's exchange rates that is equivalent to around £195,000 UK Pounds or 280,000 Euros. In Southern England you'd be able to acquire the same size of home for not much less than £350,000 UK Pounds.
What's more the specification to which Florida properties are built and furnished is much higher than you'd find in the UK too. Typically a newly constructed 4-bed Florida property for $350,000 USD will have three en-suite bathrooms, one family bathroom, air conditioning, fitted kitchen with all appliances and cable TV in all principal rooms. Now, you won't get that with a new home in the UK for the same price!
Potential for Capital Gain
The investment potential of Florida property though does not just hang on its low purchase price and the potential for a high rate of rental occupancy. Capital appreciation figures too. In 2005 Florida property in some parts of the state rose by as much as 45%, and there's every indication that double figure capital gains will be made in 2006 and 2007.
Orlando leads the way. A combination of historically low property prices compared to elsewhere in the state, and the fact that the city has become an important tourist destination courtesy of Disney World means that the Orlando property market is booming. NorthEast Florida has a buoyant property market too, as do areas along the Gulf Coast (Naples to Fort Myers), the Florida Keys and Miami.
The bottom line is folks, if you're looking to buy a property that has the very real potential to offer you a strong double-figure return on investment over the next few years, Florida is the place to invest.
About the Author
Sebastian Jay is a freelance writer and co-owner of 1st for Florida Property - the #1 place on the Web to find new construction property in Orlando.
