It comes as little surprise that increasing numbers of Canadians are buying properties down in Florida. As well as being an attractive proposition for Canadians looking to escape the winter blues, the Sunshine State is also proving to be a lucrative market for Canadian real estate investors. Canadians are now flocking down south to top up their bank balances as well as their tans.
The demand in Floridian properties is creating an opportunity for those real estate agents who are able to facilitate the purchasing process, but many Canadian agents are reluctant to grasp opportunities.
“More Canadians purchase property in Florida than anyone else,” says Garry Walmsley, Senior Global Real Estate Advisor at The Orlando Agency, a Division of Global Real Estate Services, who leads a team of professionals that specialize in the representation of International clients. “Over 500,000 Canadians currently own homes in Florida – that’s approximately 1 in every 72 Canadians. In the latest release of the Profile of International Activity in U.S. Residential Real Estate, Canadians accounted for 37.0% of all foreign purchased real estate in Florida. In fact, Canadians purchased $7.03BN of real estate in Florida between April 2016 and March 2017, which represents an increase of 227% against $3.09BN invested in 2015-2016.”
The astounding figure of over $7.03BN in real estate sales generated an equally impressive approximate figure of USD $210M (CAN$263M) in agent commissions. But, with so many Canada-based agents either unwilling to transact business over the border or unaware of the opportunities on offer, the majority of that USD $210M USD Million went into the bank accounts of American agents.
Walmsley is surprised that so many Canadian realtors are not representing or assisting their fellow Canadians who are eager to purchase properties south of the border.
“It’s a real shame for those Canadian agents who don’t expand their horizons beyond Canada,” says Walmsley. “In a traditional real estate market, like Toronto, his existing Broker partners are stating that commissions are typically 2.0%-2.5%, but in the World’s #1 Vacation Destination, opportunities are so different.”
“The Vacation and Resort market is international one and when we negotiate commissions with developers for Vacation or Resort zoned products, commissions can range between 8% and 12%. It’s so different from the extremely competitive Canadian market where the massive amount of realtors are diminishing opportunities to earn commissions.”
Download this industry whitepaper to find out more about the opportunities on offer to Canadian realtors.
Download our free fact sheet
The experts at The Orlando Agency specialize in the representation of Canadian Citizens in the Buying and Selling of Investment Properties.
Whether looking for a second home with amenities galore, an income producing property or a mixture of both, we can identify and advise on the highest-performing and most productive options currently available for the rental market.
We’re well versed in the entire process of buying and selling homes and provide honest and accurate information for every step. From an individual home to managing an entire property portfolio, our team of experts offer a level of service, knowledge and professional expertise that is second to none.
With up-to-date advice about market trends, sale histories and rental performance statistics, our guidance is offered to ensure every client’s home can be marketed to its fullest potential.