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Florida's 30A Real Estate Update by Jon Miller

By
Real Estate Broker/Owner with GO TO THE BEACH Real Estate

30A Real Estate Update | Jon Miller | April 2017

Not to bore everyone right at the beginning, but REALTORS® are required to take continuing education classes to keep their license up-to-date. Required courses include Core Law and Ethics. We also choose electives. I just completed a course called “Know your Numbers.”  As I like to provide statistical analysis of Florida’s 30A real estate market (to learn more about 30A real estate click here), I will share some numbers with you that I found particularly interesting.

Let's consider return on investment over the last 5 years:
Dow Jones: 83.51% | SP 500:  98.18% | NASDAQ: 127.8%

Florida real estate values were at a 57.58% return over the same period. When analyzing only properties along Hwy 30A, the average jumped to a 66% ROI, or an annualized average of 13.2%. Not Bad!

While some people buy stocks on margin, in most cases, investors spend their own money. In real estate, it's customary to use a bank’s finances to leverage your purchase. Put 20% down and you reduce your investment by 80% —a much greater return. There is also the tax advantage to owning real estate. Bank money currently averages at 4.3% per year; expected to go up to 4.5% to 4.6% by year’s end. In my mind, this money is still “dirt cheap”.

Now, I want you to go book a few weeks a year of laying in the sun and relaxing on one of your stock certificates (that's a joke, folks).

Seriously though—beyond the monetary ROI we can attribute to 30A real estate investments, how much value do you assign to days or weeks of personal time spent at one of the most beautiful beaches in the world!? How many vacations will this investment allow you and your loved ones to take? What are the memories worth? —and all the while this property is appreciating! Visit www.30a.com to learn more about vacationing in our area.

Dare I say 30A Real Estate pays off multitudinously.

YES—sales on 30A are strong. Here is a quick look at the single-family market over the past 12 months.

 

 

We mentioned in our last newsletter Allegiant Airlines just added 11 cities flying into Destin/Ft. Walton Beach. Now Southwest has announced they are adding 2 additional direct flights from Chicago and Austin.

Traveling here just keeps getting easier and easier—and the vacation rental numbers prove it.

In addition, full-time residents are growing at a fast pace.  Recently, a Walton County tax collector told me there are 400 plus families moving to Walton County per month. Staggering. No wonder a new public elementary school is under construction on HWY 98, east of HWY 395.

It was recently announced that
GKN Aerospace will be bringing 170 new jobs to the 30A area and a $50 million investment in a new manufacturing facility adjacent to Northwest Florida Beaches International Airport in Bay County.

GO TO THE BEACH Real Estate consists of agents who have a wide range of backgrounds: custom home builders, investors, rental home owners, architects and writers. (see Adam's editorial on page 18 of the new real estate luxury magazine, Portfolio30A.) We have a great knowledge-base package to offer our customers!

If you are a current owner looking to sell your property, I suggest you contact us for a realistic evaluation of your property.
Click here to receive a free market analysis from GO TO THE BEACH Real Estate.

If you have been thinking about investing at the beach, please put together a “wish list” consisting of area, price, preference of condo or single-family, rental or non-rental and we will send you our “Top Picks”.

Please give us a call anytime, we are never too busy to visit with you!

 

JON MILLER

850.687.7504

Jon@gotothebeach.com

 

Comments (1)

Roy Kelley
Retired - Gaithersburg, MD

Thank you very much for sharing this interesting Real Estate Update.

Apr 18, 2017 12:01 PM