When buying or selling residential real estate in Florida, there is a seemingly endless number of aspects that must be considered. Many will think about location, land, the neighborhood, schools, mortgage rates, resale value, maximizing profit and much more. Other issues will be important, but might recede to the background. People may gloss over environmental factors as they are buying or selling a property, but that may be a mistake with how weather and changes to sea levels can impact the investment. This can be addressed with experienced legal advice.
Cost of buying real estate may be affected by sea level
According to a recent study, prospective home buyers may want to think about rising seas and how it could be challenging in the future. Ordinarily, this might not be a consideration were it not for research that is suggesting home prices are being impacted, especially on the Florida coast. The researchers analyzed how real estate prices were changed with the sea level in the past 20 years. Through 2012, there was little difference in tracts where sea level is worrisome and tracts where it is not. Since then, there has been a reduction in sales with a higher risk.
Prices were similar through 2016. From 2018 onward, however, areas that were deemed safer saw an increase while those that are more exposed decreased. The difference was between 5% and 10%. Lenders have not changed tactics in how they do business. Those selling these properties have a number in mind and have not deviated from it despite potential market realities. With low mortgage rates and 30-year agreements common, people are gauging the future and the potential for damage when they make a purchase.
Real estate transactions have many factors and legal help can address them
It is important when selling or buying real estate that all eventualities be subject to protection and are mitigated. This is true whether the property is being sold by a real estate professional or is for sale by owner (FOBO). Insurance, mortgages, contracts, legal protections, documentation and more come to the forefront in multiple ways with real estate. When making a major purchase in residential real estate or selling a property, it is imperative to be legally protected. Consulting with a firm that has experience in all areas of Florida real estate can provide advice and assistance from the beginning and help in achieving a beneficial outcome.