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

The real estate market uses the absorption rate to assess at which rate are available homes sold. This evaluation method is used for specific markets for specific periods of time. To ...

A floor where the binding joists support the common joists above and the ceiling below. ...

Interest rate on an adjustable rate mortgage based on the total of the current value of an index and margin applicable to the mortgage. The rate is the basis for the computation of monthly ...

In real estate, Attractive Nuisance is how insurance companies classify something that is inherently dangerous and particularly enticing to children. A hazard located within a property that ...

Span of time a rental agreement is free to the occupant. A landlord may offer this as an incentive to stimulate rentals. For example, an owner of an office building may provide a free ...

The definition of a homeowner’s fee is a fee that is charged to homeowners that belong to a homeowner's association. The homeowner’s fee usually includes the cost of ...

An early term used to describe all types of real estate property, improvements to the land, and all rights accruing to the land. ...

(1) Flooring in a structure. (2) Open structure with flooring erected outside a main building. A deck can have different levels with direct access to the main structure. It is usually ...

Space that is available to all tenants or owners, such as a courtyard, main entrance, elevator, and pool. ...