Did you know that approximately 1,000 people move to Florida each day for its hot summers and mild winters? It’s no secret that Florida is a great place to live which is why the population continues to grow.
Because so many people want to move there, the market tends to be competitive. If you’ve been looking into homes for sale in Florida, there are things you need to know before you buy.
Keep reading to learn more.
1. Real Estate Market
Before looking at homes for sale in Florida, it’s a good idea to have an understanding of the Florida real estate market. Find out if the current market is a buyer’s or seller’s market.
Certain areas might be outside of your budget, but you can look for up-and-coming neighborhoods that you can afford.
The Florida market will likely be competitive because it is an attractive real estate market. There are a lot of properties for sale but a lot of interested buyers as well.
For example, there are plenty of homes for sale in Tallahassee going for competitive prices. Read more about the different home options in Tallahassee, Florida now.
2. Financial Arrangements
When looking for “homes for sale near me,” you should already have an idea of your budget. Your financial arrangements need to be in order when you start your search.
Some things to consider include:
- Hiring a real estate agent
- Exploring financing options
- Knowing Florida property tax laws
- Insurance projections
- Closing costs
The right real estate agent will help you with your goals and budgeting. A professional will know the area and tell you if you are eligible for additional financing options.
You might qualify for down payment assistance, favorable mortgage rates, and a subsidized mortgage loan program.
Since Florida is a Homestead state, the Homestead Exemption allows homeowners to claim up to $50,000 on their property taxes. The average effective property tax rate will vary by county.
When moving to Florida, you’ll have to take weather into account when calculating insurance costs. Standard homeowners insurance won’t cover flooding.
Florida home closing costs are traditionally high. Both buyers and sellers should prepare to pay a variety of fees at closing.
If you pay in cash, you can avoid high closing costs. You can also negotiate with the seller to have them pay a portion or all of the costs. Some sellers allow you to roll the closing costs into your mortgage.
3. Know the Seller
When buying homes for sale by the owner, things can get a bit tricky. A lot of home sellers aren’t Florida residents. This means transferring the title won’t be completed traditionally.
Before purchasing a home, learn about the seller and keep communication open during the process.
Homes for Sale in Florida: The More You Know
If you’ve never lived in Florida before or are moving to a new Florida county, having some basic information on the market is key to home buying. Each area is unique, but the above tips can help you prepare for certain situations.
Before looking into homes for sale in Florida, it’s important to know the things outlined in this guide. Understand the market, get your finances in order, and get to know your seller.
Looking for more guides on other real estate markets? Check out the additional articles on our blog.