Is Cape Coral A Good Investment?

Definition of "Is Cape Coral a good investment?"

The answer to this question depends on what kind of investment you are referring to. The city of Cape Coral, FL was the original master-plan investment. It started out as the Rosen brothers decided to invest in a retirement community. The community turned into a city and it continues to expand to this day.

It grew to over 189,000 residents and it’s still a buyer’s market. Recently there was a foreclosure crisis that took over the real estate market in Cape Coral, FL, which had an after effect to increase demand for rental properties. Many long time residents of Cape Coral decided to change their status from owners to renters.

However, the city has a lower cost of living than the national average which attracts many people to remain here or relocate. This also makes it a great place to retire especially if you like waterfront living as housing costs are affordable and for all budgets.

Rental demands

The growing rental market demand provides good investment opportunities throughout Cape Coral and real estate investors should consider purchasing or they could look into building homes or condominium units. For the time being those investments will bring back revenues as rentals and in the long term, the housing market will stabilize increasing the purchasing powers of the residents.

This rental demand, however, doesn’t only come from current residents, but from snowbirds and seasonal visitors as well. The great year-round weather ensures capacity throughout the year in Cape Coral and very little necessity for maintaining the properties, especially for condominiums. Get in touch with real estate agents in Cape Coral FL, and see if there are any opportunities currently on the market.

Lessons from the past.

Similarly to the rest of Florida, Cape Coral is affected whenever there is a crisis, and the affordable real estate market takes a rough plunge. It already happened during the 2008 economic crisis. It is advisable to take into account that if another crisis hits the economy, the real estate market is historically incapable of standing tall. Prices dropped drastically between 2007 and 2008 by 51% after the last economic downturn, but the silver lining to any area that is a vacation destination is that the market is capable of getting back to its feet.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Questions

Popular Real Estate Glossary Terms

Written agreement in which the lessee pays rent to the lessor for the use of real property for a stated time period. An example is the tenant's rental of an apartment or office space. ...

Measure of the value of all goods and services produced by the economy within its boundaries and is the nation's broadest gauge of economic health. GDA is often a measure of the state of ...

Board used when connected as a floor. It may also be used as a strip in a wall or door. ...

Restraining a person or business from denying an appropriate conveyance of property evidenced by a deed has given. ...

(1) Reconciling the records to show agreement. (2) Agreement of the records to physical amounts. ...

The term after-tax rate of return calculates an investor’s net return after income taxes. The calculation is used by many businesses and investors to determine their real earnings. ...

Monitoring and administrating a mortgage lien after it has been made. This may include monthly payments, record keeping, handing tax and insurance record, and foreclosure of property. A ...

Schedule which is part of Form 1040 showing income or loss from real estate transactions including net rental income (rental revenue less rental expenses). ...

The definition of acquisition cost in real estate is the total cost recorded by a company or individual pertinent to the purchasing of a property. This is the entire amount written down in ...