The Florida real estate market has always been among the hottest destinations for real estate investors. This trend is expected to continue into 2019, with many of the Sunshine State’s markets labeled among the best to watch in a recent PwC report. While big-name cities like Orlando, Tampa, St. Petersburg, and Miami are mentioned in the report, some under-the-radar cities are also included. Arguably the best among these hidden Florida real estate market opportunities is Jacksonville. Why is the housing market in Jacksonville, FL a great real estate market for 2019? The answer is because of Jacksonville real estate market trends!
Related: The 4 Best Places to Invest in Real Estate in Florida
Jacksonville Housing Market – City-Level Data
Before we get into the Jacksonville real estate market trends, let’s look at the city’s housing market data. According to Mashvisor’s Investment Property Calculator (which you can learn about by clicking here), the average investment property in Jacksonville, Florida has the following data:
- Median Property Price: $318,573
- Price Per Square Foot: $155
Traditional
- Rental Income: $1,375
- Cap Rate / Cash on Cash Return: 1%
5 Jacksonville Real Estate Market Trends
From the city-level data, we can see that the typical Jacksonville investment property is affordable and profitable. The average property in the Jacksonville real estate market 2019 is a great investment because of 5 trends. Here are these Jacksonville real estate market trends:
Growing Population
As it is, Jacksonville is the most populous city in all of Florida. It is also the largest by land area in the contiguous United States. With such a large population and land mass comes a large tenant pool. As a matter of fact, about 44 percent of the city’s residents are renters. This makes it easy to see why many investors would be interested in the housing market in Jacksonville, FL.
However, Jacksonville’s growth is not stopping there. According to the PwC report, Jacksonville’s growth rate is more than double that of the entire US. The Jacksonville real estate market 2019 will be in no shortage of tenants and demand due to such high population growth.
Strong Economy
Florida is the 4th largest economy in the US, after California, Texas, and New York. It is also one of the strongest and fastest growing. As you’d expect, the state’s housing market predictions 2019 are significantly influenced by this strong economy. This has certainly been the case with Jacksonville real estate market trends. The city, for instance, has been ranked by Forbes as the 7th best city for future job growth and the 8th biggest city with the fastest growing economy.
Related: US Housing Market Predictions: What’s to Come in 2019
Employment Growth
Directly tying in with the previous trend, Jacksonville is expected to continue its high employment growth in 2019. This rate, according to the report, is more than the national rate, which is a common trend seen in Florida markets. This employment growth will likely increase the population growth rate, which will ultimately increase the tenant pool and tenant stability. It is projected that future job growth in Jacksonville will be about 40 percent until 2027. These two Jacksonville real estate market trends- a strong economy, and employment growth- are arguably the most important for the Jacksonville housing market predictions 2019.
Sunshine State’s Appeal
The mere fact that Jacksonville is a part of Florida makes the city a hot real estate destination. We’ve mentioned why job-seekers would want to live in the city, but there’s more to it. The wonderful Florida sun and beaches drive many to visit the state. Whether it’s from snowbirds visiting the Florida coastline or retirees looking to settle down, there’s always demand for an investment property in Jacksonville, Florida. In the case of the former, this demand manifests as Jacksonville vacation home rentals. In the case of the latter, it is in Jacksonville houses for sale. Whatever the case may be, buying a Jacksonville investment property will always be a worthy investment.
Related: 2019 Will See These 3 Cities in the Florida Housing Market on Top
Affordability
The final of the Jacksonville real estate market trends is affordability. Affordable investment properties are a staple of many of Florida’s markets, but it is particularly true with the Jacksonville housing forecast. As seen from Mashvisor’s data above, the median Jacksonville investment property price is about $320,000. This is lower than the national average, which definitely warrants investing in the city. Even better, in some of the best neighborhoods in Jacksonville, the median property price is as low as about $117,000. However, of the five Jacksonville real estate market trends, affordability is possibly the most susceptible to change. According to a report by Realtor.com, Jacksonville houses for sale are projected to increase in price by 4.3 percent, which is roughly double the national average. Buyers should definitely consider purchasing Jacksonville properties soon.
Best Neighborhoods in Jacksonville for Real Estate
Now that we’ve covered the Jacksonville real estate market trends, you might be wondering: “Where should I buy an investment property in Jacksonville?” According to Mashvisor’s neighborhood analysis, these are the best neighborhoods in Jacksonville:
29th and Chase
- Median Property Price: $116,633
- Price Per Square Foot: $92
Traditional
- Rental Income: $841
- Cap Rate / Cash on Cash Return: 3%
Lackawanna
- Median Property Price: $144,700
- Price Per Square Foot: $118
Traditional
- Rental Income: $810
- Cap Rate / Cash on Cash Return: 2%
Cedar Hills Estate
- Median Property Price: $128,954
- Price Per Square Foot: $92
Traditional
- Rental Income: $870
- Cap Rate / Cash on Cash Return: 2%
Hogan’s Creek
- Median Property Price: $223,550
- Price Per Square Foot: $105
Traditional
- Rental Income: $1,044
- Cap Rate / Cash on Cash Return: 2%
Spring Park
- Median Property Price: $168,411
- Price Per Square Foot: $121
Traditional
- Rental Income: $1,033
- Cap Rate / Cash on Cash Return: 2%
Sandalwood
- Median Property Price: $255,979
- Price Per Square Foot: $130
Traditional
- Rental Income: $1,400
- Cap Rate / Cash on Cash Return: 2%
Jacksonville is a hidden gem in the Florida real estate market in 2019. With Jacksonville real estate market trends such as affordable properties, a growing population, a strong and growing economy, and Florida’s well-known status, the 2019 Jacksonville housing forecast is appropriately bright and promising. Want to start searching for properties in Jacksonville? Click here to start your 14-day free trial with Mashvisor!