Property Prices

The state of Florida, which is about the size of England, covers a wide variety of landscapes and lifestyles and, as ever, prices vary enormously according to location.

In general, however, prices are increasing continuously because demand for good holiday homes far outstrips supply. However, interest rates are also rising in an attempt to cool off a rapidly over-inflating housing market so the days of boom-level capital appreciation may be nearing an end. Houses are far bigger than those in the UK, but because land is less expensive, they also tend to be far cheaper per square foot. You can buy a 2,000 square feet, four-bedroom house with a swimming pool for as little as $250,000.

Prices of detached houses with pools and condominiums have been increasingly rapidly in the past year, up 12-17%. Sarasota and Miami have seen the biggest increases (24% and 22% respectively) while prices in West Palm Beach have risen by 19% and in Fort Lauderdale by 17%.

Even the highly desirable and pricey Florida Keys have enjoyed double digit property price gains in 2005 and the Keys are now home to at least 7,500 British investment property owners.

If you are thinking of buying to rent out to holidaymakers, Orlando offers the best potential with an average weekly rental of $525. Miami and West Palm Beach have many exclusive properties with average rental $1,500 a week, while Sarasota has a limited number of rental properties but good rental potential.
Dollar mortgages on US properties are usually fixed over a 30-year period, and overseas buyers often pay a higher rate than domestic borrowers. However, Abbey has recently started offering sterling mortgages on Florida homes through its British Mortgages Abroad division, with rates starting at 6%.

Climate

Florida promises 360-days-a-year sunshine. It is also, however, the third wettest state in the USA. Between December and May, temperatures average 15-24C. Summers are extremely hot and humid. June is the wettest month.
The south is warmer but its tropical climate means it is also much wetter in summer.

Hurricaines
Another important climatic element to consider with Florida is its vulnerability to hurricanes. Properties on the Gulf Coast in the West can currently be difficult to insure due to recent natural disasters so make sure you do thorough research into what insurance is available. House prices on this coast are also higher than they are inland due to the increased construction costs of making properties hurricane-proof. House insurance here will have a weighty premium for the same reason.

Check with new-build properties that they are hurricane-proof if located in an area which is prone. Tampa is an area prone to flooding and potential buyers there must be made aware of this possibility.

There is a Florida building code (www.floridabuilding.org) to which developers should adhere and to which agents should draw prospective new-build property buyers’ attention.

Geography

Florida’s 1,200-mile coastline sits partly on the Gulf of Mexico and, on the eastern side, is flanked by the Atlantic Ocean. The state capital is Tallahassee, located in the ‘panhandle’ region in the north. There are 67 counties in Florida and they encompass a wide range of landscapes and climates – although there is little in the way of mountain peaks, with the highest ascent being 350ft above sea level.

Away from the theme-parks in Central Florida and stunning white beaches on the Gulf and South East coasts, is a very different side to Florida: that of the Everglades.

The national park covers 1.5 million acres and is the largest remaining subtropical wilderness in the USA, a place to marvel at nature and enjoy outdoor pursuits.
South of the Everglades are the Florida Keys, a necklace of 800 tropical and mangrove islands jutting out into the sea. This is the place to go sport fishing, scuba diving (Key Largo is considered the dive capital of the world) and to visit the historic town of Key West, just 90 miles north of Cuba.

Getting There

Florida has two major gateway cities for flights from the UK: Orlando and Miami (about 3 1/2 hours apart from one another by road). The flight time from the UK to Orlando is approx. 9 hours and to Miami 10 hours. Prices of flights start at £299 plus taxes.

Orlando is the most popular and has two airports Orlando International airport (www.orlando-mco.com) is the most conveniently situated for Orlando and sees mainly scheduled flights from the UK by British Airways and Virgin from London and Manchester.

Orlando Sanford airport (www.orlandosanfordairport.com), 25 miles north east of Orlando, deals mainly with charter flights with the likes of Thomson and Excel from a range of UK regional airports all year round. For example, you can fly to Orlando Sanford from Cardiff with Thomas Cook, Britannia and My Travel, from Newcastle with Britannia, Monarch, My Travel and Thomas Cook or from Manchester with Air 2000, Air Atlanta, Britannia, Monarch, Air Scandic and My Travel.

Also see FlyWho (www.flyblu.com), who have direct flights from Birmingham to Orlando, St Petersburg Clearwater and Fort Lauderdale. With FlyWho you can book competitively-priced (though not low-cost) one-way flights, hence adding flexibility to your trips.

Miami International is the other major arrivals point for flights to Florida from the UK and, as a major hub for American airlines, it is the busiest airport in the US.
Some UK charter flights go to Miami International and Fort Lauderdale, 30 miles north of Miami.

Virgin Atlantic (www.virgin-atlantic.com) is increasing flights to Miami to 17 a week from Gatwick and six a week from Manchester. American Airlines (www.aa.com) and Continental (www.continental.com) fly from Heathrow to Miami. There are also some direct flights available with British Airways from London Gatwick to Tampa.

Florida also has a large number of local airports such as Sarasota, Fort Myers, Palm Beach and Fort Lauderdale, which you can reach on connecting flights from the major hubs such as Orlando, Miami, New York or Atlanta.
But the main areas in which British buyers tend to invest are all within a couple of hours’ drive of either Miami or Orlando’s two airports.