Florida WestShore Realty has sold thousands of lots in Lee County during the last few years. Vacant land sales are exciting to us and it is never dull to watch the vacant land market, especially in Cape Coral. From our very first days of becoming active in the Southwest Florida Real Estate market, vacant lots in Cape Coral grabbed our attention immediately. I will never forget spreading the map of Cape Coral across the desk and staring at all the water front canals. Where else in the U.S.A. can you find a city like Cape Coral? At the time (the year 2000), price points for Cape Coral land were extremely low. When we compared the price of land in Lee County to other areas in the country, it did not take a rocket scientist to see the land was undervalued. As the real estate bubble grew, so did lot prices in Cape Coral. (Or some may argue as land prices grew, so did the real estate bubble!) As the real estate bubble exploded into the worst housing crisis in history, Cape Coral lot prices tanked.
What is interesting about Cape Coral land in the year 2010, is it is once AGAIN undervalued. According to the Lincoln Institute of Land, the average residential home in Florida can be broken down to the following costs
Average Home Value = $229,785
Average Structure Costs = $142,273
Average Land Value = $87,512
The land portion of the value of a home in Florida is about 38.1% of the home value. In other states the statistic is higher. Colorado land accounts for 45.6% of the average home value. Average Land Value in metropolitan areas can be as high as 68%! Why? Because of DEMAND!
Even as the Cape Coral market was tanking, savvy investors swooped in and purchased land for pennies on the dollar. The News-Press published an article about a land bank sending letters to Cape Coral Lot owners telling them they should sell because of the oil spill. Hmmmm....sounds like a scare tactic! Why would this land bank want to buy, if they feel land prices will go further south?
True motivation to sell one's lot in Cape Coral, is often a case by case basis. Some folks need to sell because they can not afford the taxes, or they simply need the cash. City water and sewer installation is a motivation for some land owners to sell. Some families inherit property and then decide they would rather have the cash. The truth is, you should not have to scare someone into selling their lot in Cape Coral. There are plenty of Sellers who need to sell for their own personal reasons.
If you are thinking of buying land, I always believed LOCATION, LOCATION, LOCATION, is the golden rule. Buy the best location for the cheapest price. If you were thinking of living in Lee County in the future, you may want to consider buying your land now. Especially, if you are thinking salt water canal locations in Cape Coral. Currently, Cape Coral Vacant lots off water are selling from $6,500!
If you would like to know more about Cape Coral land, contact us! We can send you a map of the city that marks all of the canals, Fresh water and Salt water. We can help you find a site that will accommodate your boating needs. From Buying or Selling your Cape Coral lot, from investment to personal use and from one lot to a thousand lot package, Florida WestShore Realty can help you with all of your Cape Coral and Lee County Land needs.
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