The stunning move by U.K. voters to abandon the European Union has roiled world financial markets in recent days. But what will Brexit’s impact be on the Orlando real estate market?
Some analysts believe the decision could be a boon for home sellers. Mortgage rates, which were already at low rates, have fallen further, making housing more affordable for buyers who wish to finance their purchase. Orlando’s housing market has already been gaining strength. The Orlando Regional Realtors Association reported that home sales rose 7 percent in May, compared to a year ago.
Erin Lantz, VP of mortgages at real estate hub Zillow told USNews.com there may be more international interest in U.S. real estate assets in the days and weeks ahead, "because it may be perceived as relatively safer than real estate investments in the U.K."
It is likely that British and European investors will look for investment opportunities in the Orlando area because of Brexit, since the area has already been a mecca for international investors.
One of the benefits of lower mortgage rates is that it makes properties more attractive to home buyers, since they can purchase more home for the money. This is good news for U.K. owners of Orlando homes, because now their properties have gone up in value.
Some U.K. sellers of Orlando vacation homes are even accepting lower prices for their properties, in order to close the sale more quickly. This nets the seller more cash, and makes it a better purchase for the buyer.
If you are interested in buying or selling a house in Orlando, contact Team Donovan. As the leaders in the sale of properties for use as a second home, investment or both, we can help you manage your transaction with ease. Our European and American-born agents are adept at working with clients from around the world. For a free consultation, fill out our online form, or give us a call at 407-705-2616.