Real Estate, or physical property, is an extremely popular form of wealth building that has a elaborate area of the tax code managing it. Real Estate is the only area where “normal” people interact with things like depreciation and dealing with long term interest payments. From your family home through hotel chains, real estate governs a big swath of areas, with unique tax code rules governing it.
The Florida population is rapidly growing, resulting in ongoing construction at all times. With 1,000 people moving to Florida every day, it is impossible to address the needs of the South Florida Entrepreneur without addressing the local real estate market and how people will adjust to finding a home in their new state.
In 2021, we have been focusing a lot on these issues, and had a fantastic interview with South Florida Real Estate Saleswoman Sharon Brandt, and discussing with recent migrants to the greater Miami area coming from Canada, New York, California, and New Jersey.
With aggressively low mortgage rates, we are seeing home prices growing at a rapid clip. While Florida has bad memories of the real estate bubble, there is hope that this time is different, because the prices are going up by increased demand from people relocating instead of simply refinancing and taking cash out with minimal documentation.
When your housing influences everything from where your children get their education to your social circle and business opportunities, real estate is a critical component of the full personal finance picture for small business owners.