The U.S. real estate market is one of the most important in the world, so in times of crisis, investors prefer this market to strengthen their businesses.
The situation of real estate markets around the world is often an important factor in deciding whether to do business in a specific country. And if we talk about the US market, the real estate market has experienced a pretty notable turnaround in recent decades.
After a massive real estate bubble bursted in 2007, the sector struggled to gain some traction for long years, resolving what seemed like an unstoppable decline. Price growth was seen over the next two years (08-09), and rose another 17% in 2010.
From 2011 to 2013, the total face value of all single-family residences in the United States increased an average of 3.1% per year, significantly improving the rate of 0.7% observed in the previous decade.
In 2016, home prices rose 6% nationally, according to the 20-city Composite Housing Price Index. Home price increases were strongest in Seattle (12%), Portland (11%), and Denver (10%).
Thereafter, the US housing market has been the subject of fierce debate for many years for investors trying to decide whether to bet on their capital by investing in this asset class. The biggest concern within the U.S. market is supply-demand uncertainty, and it has been incredibly difficult to predict where this is going in the future.
However, according to the U.S. Census Bureau, a sustained increase in housing value has been observed over the past 8 years, driving real estate investment in the country.
Stability of the United States to invest in real estate.
As we saw, the US housing market has performed well in recent years, with home prices and sales volume rising. But not everything is good news, as prices in some parts of the country have fallen, while others continue to have affordability issues.
The overall economy is strong and growing, which should help the housing market. However, this market was heavily impacted by the housing crisis of the past decade, which caused millions of mortgage cuts and excess homes for sale at reduced prices.
The situation has slowly improved, but it remains a challenge for many homeowners who are complicated by their mortgages or owe more than their properties are worth.
Florida Real Estate Growth Opportunity
The U.S. economy and financial decisions directly influence employment, foreign investment, quality of life, etc. All of these decisions seek people to have more resources, invest and develop their communities.
While some U.S. cities have seen a slow recovery, Florida shows itself as a strong state in the real estate sector. According to CoreLogic data, it is the state with the highest real estate growth in the last year, with 10.7% (Real Estate Market & Lifestyle, 2022).
And this has also triggered the fact that, according to the National Association of Realtors (NAR), the state of Florida is considered the favorite destination for real estate investments today, consolidating its good growth rates.
Archer Place in Gainesville, Florida
Gainesville is one of North Florida’s largest cities, positioned as an alternative to Miami and Orlando for its economic and real estate growth. A new student housing project that has already been approved by the city and appears to be one of the most important in recent years in the city is Archer Place, a mixed-use building located just steps from the University of Florida and offering student residences, rental condos and commercial spaces.
Archer Place is developed by BAI Capital, a real estate company with more than 12 years of experience in raising capital, investing and generating investment value. This is thanks to the development of large projects with minimal exposure to risk.
It will have 92 apartments for sale, 164 luxury student rental apartments and commercial areas to include resident services. Learn all about Archer Place and our real estate projects at baicapital.com. Fill out our form and an agent will contact you.