Deciding where to purchase property is a big decision. Even if you’ve narrowed it down to Florida, you’ve still got plenty of options in terms of location.
The first step is to think about housing prices and rates. According to Zillow, the average home sales price in Florida is $398,077, a 2.5% increase over the past year. This is a bit below the national average. However, some areas within the state — like Miami — have much higher prices.
But home prices aren’t the only consideration. Things like homeowners’ insurance, climate, safety and job opportunities can all impact your overall quality of life and financial well-being. Some Florida suburbs might not be the best for putting down roots.
If you’re flexible with location but haven’t yet decided where to live within the Sunshine State, here are a few suburban areas you might want to avoid in 2024, according to real estate experts.
Also here is the average living wage needed to live in Florida.
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East Orlando Near the University of Central Florida
The average home value in Orlando is $389,090, a 4.6% increase over the last year. This is still fairly reasonable compared to other parts of the state, but some suburban areas aren’t necessarily the best to buy property right now.
“As an Orlando real estate attorney, I can say that suburbs lacking community amenities and new business investment are usually poor investments,” said Michele Diglio-Benkiran, attorney at Legal Counsel PA. “For example, parts of east Orlando near UCF have older homes needing repairs, higher crime and poor schools as landlords cater to student renters. Values stagnate while costs rise.”
If you’re looking for an alternative, Diglio-Benkiran suggested the suburbs of Windermere and Winter Garden. Property values are on the rise in these areas, but there are also educational, community and economic opportunities for families and entrepreneurs.
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Opa-Locka
In Opa-Locka, the average home value is $463,255 and rising. In fact, home prices have gone up an estimated 11.6% in the past year alone.
While rising prices is a major reason to steer clear, it’s not the only one.
“This area has been struggling with high crime rates and economic instability for years. Despite various efforts to revitalize the community, these issues persist, making it a risky investment,” said Dennis Shirshikov, real estate expert with GoSummer.
“The local government’s financial struggles have also led to inconsistent public services,” he said, “which can deter potential homebuyers and investors alike.”
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Palmetto Estates
Palmetto Estates, a suburb in Miami-Dade County, has seen skyrocketing home prices. In the past year alone, cost have gone up by around 12.2%. Currently, the average home value is $569,874.
“Since it is close to large urban areas, Palmetto Estates in Miami-Dade County may be appealing but it has got a lot of problems,” said Johnny Austin, real estate investor at Sell My House Now, LLC. The place has no or low economic growth and poor infrastructural development.”
From an investor’s standpoint, Austin also said it’s tough to find long-term tenants to rent out properties in Palmetto Estates. This can make buying property for investment purposes tricky for those hoping for higher returns.
Belle Glade
The average home only costs $265,449 in Belle Glade, but this isn’t necessarily good news for those looking to buy. While housing values are up 3.3% over the past year, Shirshikov said the housing market has also been sluggish, seeing very little growth over the past decade.
According to Shirshikov, Belle Glade also suffers from economic challenges — specifically high unemployment rates and limited job opportunities. The unemployment rate is 13.3% — roughly 10 percentage points higher than the national average.
Golden Glades
Golden Glades is also located in Miami-Dade County. Home prices are a little lower than Palmetto Estates — $489,414 on average — but they’ve also risen by 11.7% in the past year.
Like other parts of the state, homeowners insurance is also high. According to MarketWatch Guides, it costs an average of $2,490 annually. This is several hundred dollars more than the U.S. average.
But again, the cost of owning a home isn’t the only consideration when buying property. Safety and opportunity are also up there and Golden Glades might not be the best place to settle down.
“Being located in Miami-Dade County, Golden Glades suffers from high crime rates and bad public services,” Austin said. “This transportation hub does not have enough provision and investment needed to raise property value. Flooding [also] occurs frequently due to poor drainage systems in the area.”
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West Perrine
Like many other Miami suburbs, West Perrine has seen a steep increase in housing prices. The average home value is $498,626, a 14% one-year increase.
Austin advised against buying property there, as well.
“The place has a background of economic hardships that have been slow to have an impact on recent redevelopment initiatives,” he said. High crime rates and concerns over environmental safety and pollution are also reasons to look elsewhere.
Where you decide to live depends on you. While someone else might be deterred by things like a lack of job opportunities or potentially high crime rates, these might not be as major of concerns for you and that’s okay. Just be sure to consider the big picture when choosing where to buy property this year.
Diglio-Benkiran also had a couple of final tips for those looking to buy in Florida.
“Generally, look for suburbs actively investing in community. An engaged HOA, new parks, good schools and a mix of owners and renters are good signs,” she said. “While any area could decline, these point to an upward trend and lower risk. Do research, check recent value changes and see what’s being built nearby. An area attracting families and entrepreneurs is usually one worth your investment.”
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This article originally appeared on GOBankingRates.com: 6 Worst Florida Suburbs To Buy Property This Year, According to Real Estate Experts
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