As we have previously noted, there is a significant housing deficit in the United States. This fact persists even considering the recent rise in rents. However, the growth of job supply is creating opportunities in secondary cities, where the dislocation between supply and demand can be leveraged. A notable case is Orlando, which benefits from its proximity to Miami, a city that has transformed into a luxury destination.
The boom in the real estate sector in major US cities like Miami has led to an increase in housing prices. This creates a barrier for many workers who cannot afford to live in these high-cost areas. On the other hand, the rising demand for jobs in cities like Orlando presents an attractive alternative for those seeking employment opportunities and more affordable housing.
Orlando has experienced significant economic growth in recent years, largely due to its robust job market. This has led to an increase in the demand for housing in the city. However, unlike Miami, housing prices in Orlando remain relatively affordable. This makes the city an attractive option for those looking to escape the high cost of housing in luxury cities.
Furthermore, Orlando’s proximity to Miami offers residents of Orlando the chance to enjoy the benefits of living near a luxury city without having to pay the high prices associated with living in such a city. This translates into higher demand for housing in Orlando, presenting an opportunity for real estate investors and developers to meet this growing demand.
In summary, the housing deficit in the United States is creating opportunities in secondary cities like Orlando. The rising demand for jobs and housing in these cities, coupled with their affordability and proximity to luxury cities like Miami, makes them attractive locations for real estate investment and development. Therefore, it’s crucial for investors and developers to pay attention to these trends and seek ways to leverage the opportunities that arise.
