2021 Housing Market Overview
Orlando Real Estate Market 2021
Orlando Real Estate Market Overview
Metro Population: 2.6 M
Median Household Income:$61,000
Unemployment Rate:8%
Median Home Price*:$262,000
Median Monthly Rent*:$1,597
Interested in investing in the Orlando real estate market in 2021? On this page you’ll learn about the housing market forecast, trends and statistics to help you make that decision.
About Orlando
Orlando is the fourth largest city in the state of Florida and the 73rd largest city in the United States. Located in Florida’s “sun belt” region, this city is known for its warm climate, beautiful beaches, and even more so for its world famous amusement parks, entertainment, and attractions.
With a combined population of over 2.6 million residents, Orlando’s real estate market is fueled by job seekers, baby boomer retirees, and students who want to live in a “cheap and cheerful” area that offers a high quality of living at a reasonable cost. For investors looking to invest in real estate, these are good signs.
This area has produced some impressive results for real estate investors already and this trend is likely to continue into 2021. To date, property prices are up, appreciation rates are increasing steadily, and the cost of living remains below the national average.
More Reasons To Love Orlando:
- Orlando sees more than 68 million visitors annually, making it the most visited tourist destination in the country.
- Rents have an annual growth rate of 4.46%, which is higher than the national and state levels.
- Orlando is the fourth fastest largest metro area in the U.S. and the fastest growing metro in the country. Its population has grown almost 22% since the year 2010 and is expected to grow an additional 2.87% in 2021, which means the demand for housing is likely to increase.
- For the third year in a row, Orlando was named as the #1 Best Places to Buy a House by Forbes.
- Amazon Fulfillment brought 4,000 jobs to Central Florida, making Orlando the current leader in job growth in the U.S.
- In the next ten years, Orlando’s job growth is projected to be the highest in the nation (among 200 metros measured), according to Forbes. It has been elevated to the nation’s top market position due to limited supply, rising home values, ample jobs and income growth, especially in the leisure/hospitality sector.
Orlando Housing Market Trends
Orlando Real Estate Market Trends & Forecast 2021
In this section, you’ll learn about the top factors that make Orlando one of the strongest real estate markets of 2021, including job growth, population growth, and equity growth potential. Explore Orlando’s housing market, population, and employment trends in the tabs to learn more.Data Sources:
- https://www.zillow.com/
- https://censusreporter.org
- https://www.deptofnumbers.com/
- RealWealth Property Team Data
Orlando real estate prices are slightly less expensive than other U.S. markets today.
- In 2020, the median price of average homes in the Orlando metro area was $262,000. This is slightly above the national average of $254,000.
- In the neighborhoods where RealWealth members invest, the median price of average homes was $215,000 in 2020. This is 15% lower than the national average of $254,000.
- This shows us that property values around Orlando are slightly less expensive than many other U.S. markets today; in the neighborhoods where RealWealth members invest it’s still possible to get great deals.
In some Orlando neighborhoods it’s possible to generate monthly income.
- In 2020, the median monthly rent for average homes in Orlando was $1,597, which is 0.61% of the purchase price of $262,000. This is slightly below the national purchase-to-rent ratio of 0.61%.
- In the neighborhoods where RealWealth members invest, the median monthly rent for average homes was $1,500, which is 0.70% of the $215,000 purchase price.
- This shows us that it’s possible to generate solid monthly income in Orlando, especially in the neighborhoods where RealWealth members invest.
- Another important thing to consider: Orlando home prices are still below their pre-recession peak, which suggests that prices have not reached bubble levels and will continue to grow in the coming years. Given the growing population it’s likely that rents will continue to rise as well.
Orlando home values are appreciating at much faster than other U.S. cities.
- In 2014, the median price of average homes in Orlando was $175,221. This means that, in the last 6 years (2014 to 2019), average homes in Orlando have appreciated by almost 50%. This is 36% higher than the national average of 26% during this period.
- This shows us that home values in Orlando are appreciating much more quickly than other markets across the nation today.
Orlando rents are also rising much faster than other cities.
- In 2014, the median rent of average homes in Orlando was $1,230. This means that, in the last 6 years (2014 to 2020), Orlando rents have appreciated by almost 30% versus 23% nationwide.
- This shows us, home values and rents in Orlando are appreciating faster than the national average. And considering Orlando’s rapid population and job growth, it’s likely homes and rents will continue to appreciate at a healthy rate.
Orlando’s population has grown 259% faster than the national average since 2010.
- Since 2010, Orlando’s population has increased by more than 22%. During the same period the national population grew by only 6%.
- This shows us that Orlando’s population is growing 259% faster than the national average. This means that Orlando is experiencing population growth at a much faster rate than most other U.S. cities today.
In a typical year, Orlando has been creating jobs at twice the rate of the national average.
- In the past year, the number of jobs in Orlando has decreased by 9.5% versus the U.S. annual job loss rate of 6% due to COVID-19.
- However, in a typical year, Orlando experiences healthy job growth, in addition to rapid population growth,
- Both of these factors combined should continue fueling demand for housing, which should keep sales elevated and drive further price gains in 2021 and beyond.
- In addition to low property taxes and insurance, there is no state income tax. Add warm weather and exceptional health care and you can see why so many companies are relocating to Orlando.
Orlando is Still Affordable & Cash is Flowing
- In the neighborhoods where RealWealth members invest, the median price of average homes was $215,000 in 2020. This is 15% lower than the national average of $254,000.
- In the neighborhoods where RealWealth members invest, the median monthly rent for average homes was $1,500, which is 0.70% of the $215,000 purchase price.
- This shows us that property values in Orlando can be more expensive than many other U.S. markets today, in some neighborhoods it’s still possible to purchase affordable homes that’ll generate strong monthly cash flow.
Orlando Home Prices & Rents are Rising Quickly (with few signs of stopping)
- In the last 6 years (2014 to 2020), average homes in Orlando have appreciated by over 50%. This is 36% higher than the national average of 36% during this period.
- During the same period, Orlando rents have appreciated by almost 30% versus 23% nationwide.
- This shows us that home values and rents in Orlando are appreciating much more quickly than other markets across the nation today. Considering Orlando’s rapid population and job growth, it’s likely this trend will continue moving forward.
Orlando is Growing Rapidly
- Since 2010, Orlando’s population has increased by almost 22%. During the same period, the national population grew by only 6%.
- This shows us that Orlando’s population is growing 259% faster than the national average. This means, Orlando is experiencing population growth at a much faster rate than most other U.S. cities today.
Orlando is creating tons of jobs.
- In the past year, the number of jobs in Orlando has decreased by 9.5% versus the U.S. annual job growth rate of 6%. While Orlando’s job market was hit harder than many other U.S. cities, it has been experiencing healthy job growth in recent years. Additionally, there continues to be incredible population growth.
- Both of these factors combined should continue fueling demand for housing, which should keep sales elevated and drive further price gains in 2021 and beyond.
Major Employers in Orlando
Orlando Housing Market News
- "Ranked #2 In America's Fastest Growing Cities" - Forbes
- "#2 Best City for Future Job Growth" - Forbes
- "One of 10 Great Cities for the 50+ Home Seeker" - AARP
- "2016 Desination: Orlando" - Worth
- "#1 Best City for First Time Home Buyers" - Business Insider
- "#1 Best Family Vacation in the US" - US News
Property Teams
Property Team details can only be viewed in the Investor Portal, which can be accessed by RealWealth members who are logged in at Investor.RealWealth.com
Sample properties
Sample properties can only be viewed in the Investor Portal, which can be accessed by RealWealth members who are logged in at Investor.RealWealth.com.
Disclaimer: The information provided on this page is for educational purposes only. RealWealth makes no warranty or representation as to the accuracy, completeness or reliability of this information. Please be advised that this content may contain errors, is subject to revision at all times, and should not be relied upon for any purpose. Under no circumstances shall RealWealth be liable to you or anyone else for damage stemming from the use or misuse of this information.