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

Approach to appraise rental property based on anticipated future earnings to be derived from it plus the estimated selling price at the end of he period held. ...

Statutes stipulating that the property of deceased individuals is distributed in a way that assumes that property during marriage is jointly owned and equally shared by the spouses ...

Similar property. Comparing like property. properties that are side by side but do not meet. They are in the same direction with a constant distance. ...

(1) Mildly convex arch built into a load bearing beam, girder, or truss to counteract any load bearing stress placed on it. (2) Slight slope designed into a structure such as a drive4way or ...

Statement filed with a governmental authority declaring property a homestead for the purposes of securing a homestead exemption. The declaration of homestead has no effect on the property ...

(1) Methods that involve discounting the future cash flows generated by an income property. These techniques are used primarily for valuation. (2) Methods of selecting and ranking ...

The meaning of the term tort outlines a wrongful act resulting in injury or damages. For example, trespassing on someone’s private property can end up destroying a part of it. ...

(1) Agreement where the broker and the seller agree to mutual performance. The broker agrees to advertise the property at the agreed sale terms with the intention of putting together buyer ...

Land that has poor income potential, usually used in an agricultural sense meaning that the land is untellable, has poor access, is extremely steep, has suffered serious erosion, is ...