Sebring, FL is there potential here?

Question

Hi, I am hearing some buzz about Sebring. Seems like a smaller city. Is there growth in this area? Is it a good buy and hold market? Any info is appreciated

Paul Mezzetti · Answer

Hello,

I have been investing in Sebring, Lake Placid and Avon Park for almost 10 years. We have around 100 doors we own and operate and what I can say is that over the last 2 years multi-family prices have increased dramatically much like most of Florida.  Duplex units that were averaging around $110k in decent neighborhoods are now going for $180k plus.  Many of the Duplexes I have purchased over the last 5 years were in the $80-90k range and typically needed about 15k in rehab work.  Historically the Sebring market did not have great appreciation but what we are seeing is a lot of investors coming from much more overheated markets such as Miami offering higher than asking prices, sight unseen and cash and in many cases properties that are not really great investments from an ROI standpoint.  With the large number of people moving into Sebring over the last few years rents have also gone up significantly.  a 2-1 unit used to rent for around $700 a few years ago is now going for $900 plus given the limited supply.  Sebring recently opened 3 Wawa's and a Starbucks or 2 so you know those companies do their market research before opening new stores and that indicates expectations of population growth as well as different demographics coming into the market.  You can still find opportunities in Highlands, and you need to be prepared to move quick and offer cash to have a chance of securing a deal.  Good luck,