Investing land in Cape Coral (real estate, property taxes, cheap home)

[lisabellamai]

Hi, I am new. I am thinking of buy an investment lots buy the canal around $25K hopefully see some appreciation in 5 yrs. Can somebody gives me advice, Thanks.

[121804]

Investing in Cape Coral???
Do you have good reason for looking in this area?
I first suggest doing a tremendous amount of research about Cape Coral & the real estate market in SWFL itself prior to even looking at lots.

[hiknapster]

Do lots on a canal even go for that price?

I wonder if you've done any research about the area?

[jdber94]

Lots with reasonable saltwater access are WELL above $25k.

[USA71]

If you do buy a freshwater/saltwater canal lot, make sure the rear of the house will face south or southwest... better demand for sunshine exposure if a pool is built or to watch sunsets.

$25K will only get you a freshwater lot, in low demand NORTH Cape Coral. I did an MLS search and found 10 poor quality locations for under $30K. Previous sales on those locations show people Way Overpaid for them in years 2003-2005. The market will be flat for a long time coming, everything is overbuilt and new construction is sitting empty everywhere on Cape Coral.

Remember, you may have to pay big bucks to pay for a new Sea Wall, mowing/clearing of lot and high property taxes for water/canal location.

Spend the $25K as a down payment on a new cheap home and rent it out for 5 years. There are companies that will do everything from finding renters to maintenance (new home won't be a problem, just mowing)

[moving123456]

Originally Posted by lisabellamai

Hi, I am new. I am thinking of buy an investment lots buy the canal around $25K hopefully see some appreciation in 5 yrs. Can somebody gives me advice, Thanks.

Good luck with that.

[Donna-50]

I live in Cape Coral and am probably the only one here who likes it. It had a relatively low crime rate, #4 in state for over 100,000 people.

I would suggest that you compare prices and find out when they are putting in water and sewer if not already. I think you should be OK if you have a 5 year plan. One year don't think we will see much on anything.

[Sellstatesusan]

I think holding land for long term growth is a good idea. I would recommend that over purchasing a house as someone else mentioned. The prices still are not at levels to cash flow on a house.

Land prices range from $15,000 for a NE/NW dry (off-water) lot to over $300,000 for a prime gulf access lot. A freshwater lot will range from $30,000 - $75,000 depending upon the area of the city it is located in & whether or not the city utilities are in & paid yet.

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[tallrick]

If you buy now the rate of appeciation will be exceeded by the property taxes. You cannot see a return on any lot purchases in the near future. Remember 2% of your lot's value MUST be paid every year or you lose it. Pretty bad odds don't you think?

[firemed]

Originally Posted by tallrick

If you buy now the rate of appeciation will be exceeded by the property taxes. You cannot see a return on any lot purchases in the near future. Remember 2% of your lot's value MUST be paid every year or you lose it. Pretty bad odds don't you think?

Good point Rick. But alot of people have a good income in Cape Coral.

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