Florida Real Estate – Will a Tough Hurricane Season Lead to Tougher Market?
Emediawire (press release) - USA
(PRWEB) October 12, 2004 -- From Key West to Miami to Tallahassee and all the areas in between September 2004 will forever live in the minds of Floridians as the month of many visitors – many unwelcome visitors: Charlie, Ivan, Frances, Jeanne and don’t forget Tropical Storm Bonnie. With an estimated $45 billion in damages to Florida alone the repercussions have yet to be felt. The true question is how will this devastating storm season translate its’ effects into the Florida Real Estate economy. One school of thought might speculate that this answer is directly dependent on the trend factor of this activity. Was this an unusually active hurricane season that won’t happen for another hundred years or is this going to be a common occurrence from now on?
Real estate is a vital component of the Florida economy. Miami Real Estate, for example, is extremely dependent on foreign investment, much of which comes from Latin America and is directly tied to their investment market perception. Like the famous Sun Tzu said in his famous treatise The Art of War, "Perception is Everything". This perception can be greatly influenced by the media attention that this hurricane season has brought. Frequent hurricane activity increases investment risk and could influence the diversion of dollars to other geographic markets. Other areas of real estate investment throughout Florida such as Naples Real Estate, Destin Real Estate, Key West Real Estate and Tampa Real Estate are not as dependent as Miami is for foreign capital. With that said, market perceptions are still critical in attracting residential and commercial relocation and development for those fast growing markets as well.
Another school of thought might speculate that Real Estate Foreclosure Investment opportunities can arise in this situation. Real Estate Foreclosures and Bank Foreclosures might create an environment where investors rush to buy up as much below market priced properties as possible. This is a relatively new area of high growth in the real estate market because of the quantity of undervalued properties being offered. These properties aren’t always readily available on MLS Listings. But today anyone can access foreclosure listings using various online services which even offer free trials to interested parties.
Only time will tell what the future will be for Florida Real Estate. One thing we know for sure is that Florida will always be a world renound destination spot and haven for international investment. As for now it will be interesting to see if there can be a correlation identified between weather patterns and real estate and whether that will affect the future of real estate valuation and speculation across other highly climatic volatile real estate markets.
Whether this trend will continue to grow or decline is a question that will slowly be answered by the free market forces.
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