Overseas investors continue flocking to florida

Miami, Florida - one of many popular markets in Florida among investors Photo: Richiesoft

Florida has long been the overseas investor's favourite state, thanks to its combination of lifestyle appeal, rising prices and strong tourist market.

One of the main factors attracting those from China and Hong Kong, though, is its position as a Gateway to Latin America.

"Miami has been described as the Hong Kong of Latin America," Gray Swoope, the chief executive of Enterprise Florida, tells the South China Morning Post.

Indeed, Florida was responsible for 40 per cent of US trade with Latin America and the Caribbean, according to a report by investment consultancy Blackfish, and also served more flights to the region than all other US cities combined.

As a result, it has an advantage for Chinese companies wanting to relocate to South America. Indeed, Chinese buyers accounted for 3.7 per cent of sales in Miami, according to consultancy Blackfish, the same level as Brazilian buyers in 2010, who then doubled their investment in 2011.

"We expect similar increase from Chinese investment in 2014 and 2015," predicts Charlie Rosier, the director of Blackfish.

Property prices have risen significantly in the past, driven by high demand. But values remain far below the market peak, leaving enough room for growth to attract investors. Even in Orlando, where inventory has surged by 42 per cent in February year-on-year (Orlando Realtors), just in time for the spring selling season, prices are still expected to climb thanks to huge demand. Values jumped 18 per cent in February 2013, with newly confident local buyers returning to the market helping to drive the increase.