Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
I am sure everyone has seen the damage from the hurricane . How do you think this will effect rental rates , home sales , construction costs , and insurance costs in Florida and up and down the coast ? There will be a lot of people without a place to live . Will STRs go long term ? Will people move to other areas ?
Whenever you subtract inventory and reduce the housing stock you get the adverse effects you'd expect. When you ask someone who just lost their house, their response always seems to be "we are going to re-build". It seems to be a human knee-jerk reaction to show resilience in the face of disaster.
My theory is that the second line of houses looking at the debris field in front of them are more likely to sell. If that supply exceeds demand, you'll see prices soften, which will cause even more concern. At that point certain neighborhoods could enter a death-spiral, because who wants to buy in a depreciating neighborhood?
Relocation is a big part of my teams business and I do see more people move to Milwaukee. About half of them because of heat, storms, fires and fresh water concerns. The great lakes region is considered a climate heaven.
But the trend to moving south is so strong that it might take decades before it reverses. A lot of young people moving to FL are doing what their parents were always just talking about doing some day, but never did.