With tensions rising half a world away, it seems hard to believe that the crisis between Russia and the Ukraine could impact the housing market in the U.S. Sunshine State. But as the economy has become much more global (versus local) over the past several decades, events anywhere can disrupt just about anything!
So, how can this all affect your residential real estate rental business in Florida?
First and foremost, some economists are predicting that there could be a few changes in the United States housing market, which in turn, might spark changes in consumer behavior as it pertains to securing property.
But this may not necessarily be all bad if you own rental property(ies). For instance, even given the low mortgage rates that are still available in the market today, potential home buyers could soon become a bit more hesitant to make large purchases, because of the uncertainty in the stock market (and in turn, a potential downturn in the amount of liquid funds they have available).
In addition, given that the conflict could put added pressure on the already-rising food and oil prices, not only can consumers be hit harder at the gas pump and in the grocery store line, they may also have smaller budgets for housing, too. So, while this has the potential to turn some possible buyers into renters, it might also force would-be tenants to look for rentals in the lower price ranges.
If you currently own residential rental property(ies) in Orlando and/or the surrounding Central Florida locale, and you would like assistance with aligning your rent prices and offerings – along with delegating the time-consuming tasks like maintenance and responding to emergencies – having a professional, local property manager on board could help. For more details on how we can pick up some of the slack, give us a call and let’s set up a time to chat.
Sources:
How Russia-Ukraine War Could Affect U.S. Housing, Economy. Realtor Magazine. February 25, 2022. https://magazine.realtor/daily-news/2022/02/25/how-russia-ukraine-war-could-affect-us-housing-economy