The real estate market saw a huge increase in the sales of vacation homes 2013. This increase wasn’t particular to a sector but all over the US. This is, of course, great news for the State of Florida’s real estate industry since Florida is one of the United States most popular vacation destinations. It’s also great for Florida business since such a huge part of our businesses rely heavily on tourism. When businesses make more money there is more money to be spent in the state.
More than 30% of the vacation home buyers explained that they purchased the home to use as their primary home when they retire. As we know, Florida is also a very popular retirement destination, making this trend very favorable for our market. Most vacation home buyers that plan on using the home as their primary residence upon retirement plan on renting the property out for several months of the year up until the time they are ready to retire.
Vacation home sales went up by 30% and made up more than 10% of the real estate market nationally. Our industry has not seen numbers like this since 2006. The median price for many vacation homes was approximately $170,000.00. Many of these vacation home buyers are ready and willing to pay cash for their vacation homes. The National Realtors Association reported that almost 40% of the vacation home sales in 2013 were cash transactions. Dealing with cash buyers usually makes for a faster more efficient closing.
The increase in the purchases of vacation/retirement homes may be due to the upward trend in the stock market. Many buyers are probably feeling more confident in the US economy than in years prior. This is a great trend for people interested in selling their homes in Florida since it brings more buyers to the market. If you or anyone you know if interested in selling a home please contact me.
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