Florida is the number one holiday destination in the world, and many investors from all parts of the world have invested here over the past decades.
Favorable Business Climate: Florida is consistently ranked as one of the top pro-business states, and for a number of good reasons. It has a favorable business environment with a low corporate income tax rate and no state personal income tax. In addition, Florida offers competitive cost-of-doing-business, especially when compared to other large states.
Investors are attracted for many reasons: the weather, the lifestyle, diversity of business, the strength of foreign currency against the US Dollar and of course the endless number of leisure activities available for the whole family to enjoy on their holiday in the sunshine state.
Recognising that foreign nationals invest heavily in Florida each year, the purchasing process and financial assistance available is much greater and simpler than in most other states of the USA.
Florida has one of the most advanced and diverse economies in the US. The state has a sophisticated service sector with trade and tourism being the main forces behind economic growth. Its economy is the fastest growing among the ten states in the US. If Florida was an independent country, it would have the 20th largest economy in the world.
Florida leads the south-east in farming, producing about 75 per cent of American oranges and supplying 40 percent of the world’s orange juice. By contrast, Florida has one of the highest rates of business formation in the US and has managed to successfully develop its high-tech industry. Growth has been especially strong in business services, trade, transportation, aerospace, tourism, education, healthcare, construction and real estate.
Attractive Timing in the Business Cycle: The Fund’s Principals believe the timing is excellent for investing in Florida, as many banks are still not lending to businesses, providing the ability for non-bank lenders to gain market share and finance assets when values are low, creating upside potential for investors.
As the US economy recently slid into recession and the long-standing property boom ended, many developers in Florida have faced tough market conditions in which to promote their projects. One consequence of this has been that buyers have been able to get some great discounts on new businesses and properties. Another is that the exchange rate between the US Dollar and other currencies means investors are getting far more property for their local funds.
The economic crisis has created an ideal opportunity to buy property at low prices and global property experts are predicting that the fall in Florida property is almost at an end, and prices have nearly ‘bottomed out’, so for people buying now it could be the perfect time for an investment.
From a business standpoint, distressed and bank-owned properties have flooded the market bringing a wealth of growth opportunities to the dicerning investor. Of course, local connections and a sound understanding of the local market is essential which is where we come in – we take the hard work out of finding the ‘golden nugget’ and take care of everything for our clients.
Florida is predominantly a service-based economy and tourism is its biggest industry. The number of tourists has been steadily rising since 2001 and reached 85 million in 2005 with revenues of $62 billion and employment within the sector of 944,500 workers. One dollar in every seven spent by overseas tourists in the US is spent in Florida which makes the service industry here one of the most attractive in the world.
10 Reasons to Invest In Florida
- Grab Yourself a Bargain! Enjoy discounts on property in Florida below 2005 prices.
- Strong Tourist Market - Tourism is worth an annual estimated $57 billion to the Florida economy.
- No State Personal Income Tax - There is no state Personal Income tax – which has positioned Florida as a shelter state for wealth for both individuals and corporations.
- Unique Combination of Knowledge & Infrastructure - No other location in the western hemisphere can match Florida’s unique combination of a strategic geographic position, strong knowledge base, state-of-the-art infrastructure, entrepreneurial spirit, and concentration of corporate and financial resources.
- Industry Growth - The area’s industry growth is focused on the professional and business services sector; all these are likely to see significant gains in the near future.
- Strong Rental Demand for Quality Real Estate - Rental returns on properties in carefully selected areas can yield $20,000 per annum.
- Foreign Direct Investment - The state has emerged as a hotspot for foreign direct investment (FDI), where total holdings by non-US companies are valued at $40bn.
- Fastest Growing US State - Over 350,000 people NET move to Florida every year, making it the fastest growing US State.
- Strong Demand - Baby Boomers are retiring in record numbers and flocking to the sunshine state to invest in second homes. This trend is likely to continue for the next two decades.
- Price Growth - Prices are set to rise, more so in some areas of Florida than others; we will show you where.