Real estate: 5 reasons to invest in Florida, according to specialist

The state of the Florida (United States) continues to be one of the most attractive destinations for many Latin Americans looking for investment opportunities through the real estate sector. Its stability and economic strength is one of the main arguments for this, according to Andrés Valdivieso, managing director of Participant Capital.

Investing in real estate in this part of the northern giant is positioned as an effective strategy to diversify capital and protect against inflation, Valdivieso added. Here, five reasons to invest in the Sunshine State:

1. Stable economy and access to capital

The giant of the north offers one of the most stable and solid economies in the world, a transparent and ideal legal system for business, as well as the most important financial market in the world. The ease of access to capital thanks to the solid banking and capital system becomes a great strength as an alternative source of financing and investment.

2. dollar

For investors, the sector’s profitability in dollars constitutes a great advantage over other currencies. Historically, this coin is a safe haven in times of market volatility.

Despite recent increases in interest rates by the Federal Reserve (FED), the increase in inflation and the international economic and geopolitical crisis, the green currency has continued to strengthen.

3. Growth, climate and taxes

Also known as the Sunshine State, Florida is in a strategic location and is undergoing population growth, economic expansion, and also enjoys tax benefits and an enviable climate.

Miami, Orlando, and other cities have been growing in infrastructure at a residential, financial, and hotel level. After the pandemic, thousands of people migrated to Florida, fleeing cold climates and the benefit of not paying state federal income tax.

4. Projects and returns

There is a great expansion in the development of projects in different cities in Florida, from offices, shopping centers, multi-family, mixed, residences for students, for the elderly, among others. The alternatives or investment options range from individual or corporate acquisitions, purchases and direct sales and/or rentals of properties, vacation homes, real estate funds, etc., with interesting investment returns, especially after five years, when returns begin to be maximized, thus increasing equity.

5. Innovative platforms

Currently there are innovative platforms with state-of-the-art technology, with artificial intelligence and a high level of security for foreign investors. As a result of the pandemic, virtual procedures were improved and transactions can be acquired or completed remotely.

In addition, there are laws and a stable legal framework with which investors are protected against any type of fraud.

Finally, thanks to political and economic stability, and the legal framework that protects foreign investment, the United States, and specifically Florida, has become an almost mandatory destination for Latin American investors.

Tax rates are much lower than in other markets, especially Europe; In addition, investments in the real estate sector are an extraordinary opportunity to diversify investments, and provide interesting returns in the long term and are not affected by the volatility and uncertainty of the stock markets, explained the director of Participant Capital.