IRVINE, Calif. – July 4, 2013 — RealtyTrac
® (
www.realtytrac.com), the leading online marketplace
for real estate data, today released a special report on real estate
investing in cities that are retirement hot spots — where at least one-third of
the population is age 65 or older.
 |
| Daren Blomquist |
“These popular retirement
cities will very likely be an area of growth in the housing market over the
next 15 years as baby boomers retire in greater numbers,” said Daren
Blomquist, vice president at RealtyTrac.
“The baby boomer generation started retiring in 2011, a trend that
will continue at least through 2029, ensuring plenty of demand for both rentals
and owner-occupant purchases in these markets for the foreseeable future.”
The report found 40 cities
nationwide with at least 33 percent of the population age 65 or older. Among
these 40 cities, 25 posted annual increases in median home prices, and 27 had a
positive capitalization rate — which indicates rentals in those markets
generate positive cash flow.
 |
| Naples, FL Fifth Avenue Shopping District |
RealtyTrac also included relevant data on cost of living, average
temperature and annual chance of sunshine in each of these markets.
RealtyTrac ranked the top 15
of the 40 retirement hot spot cities based on the annual percent change in home
prices as of May.
Topping the list was the central Florida town of Dunnellon,
where 38 percent of the population is retirement age or older and home prices
jumped more than 31 percent in the past year.
The estimated cap rate in
Dunnellon is more than 10 percent based on the average rent for a three-bedroom
home there.
Six other Florida cities
made the top 15 list: Naples, North Fort Myers, Punta Gorda, Sun City Center,
Venice, and Orange City. Arizona and California each contributed two cities to
the list, and Arkansas, Pennsylvania, Oregon and New York each had one city in
the top 15.
 |
| Emmett Laffey |
"The Hamptons will
continue to grow into a retirement hot spot on Long Island, offering an
attractive environment for seniors,” said
Emmett Laffey, CEO at
Laffey Fine Homes
International, which covers Long Island and the five New York boroughs.
"Developers’ appetite to construct housing aimed towards retirement-aged
adults is growing again. They are well aware that this buyer pool will only
increase over the next 15 years.”
Top
15 Retirement Hot Spots for Real Estate Investing
City
|
Retirement
Age Pct
|
Cost
of Living Index
|
Average
Temp
|
Annual
Chance of Sunshine
|
Median
Sales Price May 2013
|
Annual
Pct Change in Price
|
Cap
Rate
|
Dunnellon, Florida
|
38%
|
102.05
|
70.30
|
66.85
|
$76,941
|
31.42%
|
10.34%
|
Naples, Florida
|
44%
|
159.56
|
74.10
|
72.88
|
$267,473
|
26.79%
|
3.84%
|
Hot Springs Village, Arkansas
|
58%
|
104.59
|
61.80
|
59.84
|
$170,000
|
25.93%
|
4.87%
|
Douglassville, Pennsylvania
|
59%
|
107.03
|
51.10
|
55.89
|
$252,000
|
22.33%
|
3.80%
|
Sun City, Arizona
|
73%
|
116.81
|
73.20
|
80.87
|
$113,275
|
19.90%
|
8.86%
|
North Fort Myers, Florida
|
44%
|
106.39
|
74.90
|
72.88
|
$84,500
|
19.01%
|
9.39%
|
Rancho Mirage, California
|
46%
|
152.14
|
73.90
|
72.05
|
$430,000
|
16.77%
|
2.70%
|
Punta Gorda, Florida
|
45%
|
119.80
|
73.90
|
72.88
|
$138,938
|
16.71%
|
6.11%
|
Sun City Center, Florida
|
76%
|
105.83
|
71.90
|
66.85
|
$99,750
|
14.66%
|
8.73%
|
Venice, Florida
|
52%
|
115.51
|
73.20
|
72.88
|
$148,238
|
11.46%
|
6.52%
|
Florence, Oregon
|
38%
|
98.71
|
51.90
|
42.90
|
$165,000
|
10.37%
|
4.89%
|
Green Valley, Arizona
|
72%
|
108.37
|
64.20
|
77.81
|
$144,550
|
10.13%
|
6.48%
|
Seal Beach, California
|
39%
|
149.00
|
65.30
|
76.16
|
$692,000
|
9.84%
|
2.57%
|
Orange City, Florida
|
34%
|
106.38
|
70.10
|
62.74
|
$68,000
|
8.80%
|
12.92%
|
East Hampton, New York
|
43%
|
184.30
|
51.90
|
57.65
|
$952,500
|
8.18%
|
2.09%
|
For a complete copy of the company’s news release, please
contact:
Jennifer von Pohlmann
949.502.8300, ext. 139
Ginny Walker
949.502.8300, ext. 268
Data and Report Licensing:
800.462.5193
