As one of the top vacation spots and magnets for new residents seeking jobs and a lower cost of living, the Orlando real estate investing market remains one of the nation’s hottest to watch — or to join — in 2025.
Tourism is the area’s main draw. Walt Disney World Resort alone draws about 47 million annual visitors from the U.S. and overseas, and vacationers also flock to Universal Orlando Resort, SeaWorld Orlando Resort and any of the other major attractions in Central Florida.
But the economy is diversifying, and metro Orlando has recently risen to become the fastest-growing jobs center among large urban areas. The Orlando real estate investing market could be poised to accommodate long- and short-term real estate investors in 2025.
Here’s a closer look at the local market to help you decide whether you might want to invest there.
Current Orlando Market Overview in 2025
- Median home price: $427,000 as of May 2025, a 5.4% increase year-over-year
- Average home value: $382,019, down 2.4% over the past year
- Median listing price: $394,700 in May 2025, flat year-over-year
- Inventory: 7,622 active listings as of Jun. 24, 2025
- Median days to pending: 28 days
Rental Market Trends
- Average rent: $1,834 per month, 12.3% higher than the national average
- Median rent: Approximately $2,075 per month as of Jun. 24, 2025
- Year-over-year rent increase: Approximately 3%
Investment Opportunities
Orlando real estate market predictions say that investment opportunities in the Orlando-Kissimmee-Sanford metropolitan area will likely flourish through the foreseeable future. The highly respected “Emerging Trends in Real Estate 2025” report from PricewaterhouseCoopers and the Urban Land Institute ranked the Orlando metro area sixth among North American markets to watch for investing in 2025.
Demand for rental properties in Orlando soared through 2024 and continues to fly high this year. Many residents across the metropolitan area choose to rent, both to keep their options open and because of the rising cost of buying a home. About 60% of residents rent a home, apartment or condo.
A recent Orlando real estate market update shows the median rent across all bedroom counts and property types increased about 21% from 2021 through 2024. Real estate professionals expect that trend to continue as people seek new jobs and the quality of life the Orlando area offers. While rents are up, vacancy rates are down: just over 5%.
Investors can find opportunities in several property types, including single-family homes, multi-family apartments and condominiums. The top neighborhoods for investment stretch from Orlando’s vibrant downtown through the nearby residential areas of North Quarter, Baldwin Park and College Park and out to the suburbs of the thriving master-planned community of Lake Nona and historic Winter Park.
Economic and Demographic Factors
The Orlando-Kissimmee-Sanford metropolitan area is one of the hottest markets for real estate investing as new residents continue to flow in, settle and call the Central Florida region home. Nearly 76,000 new residents unpacked in the Orlando area between July 1, 2023, and July 1, 2024, according to the U.S. Census Bureau.
That’s a growth rate of about 2.7% — just under 1,500 new residents each week — for the fastest population growth among the 30 largest metropolitan regions in the U.S. The Orlando area now boasts 3 million residents. This number makes it the nation’s 20th largest metro area.
For investors looking at the real estate market, Orlando is a prime target area as a booming economy continues to fuel its explosive population growth. Orlando-Kissimmee-Sanford also claimed the title for fastest employment growth among large markets in 2024 at 2.5%, adding 37,500 new jobs.
Orlando real estate market trends for 2025 and beyond bode well for investing. Strong job growth and economic diversification in professional services, advanced manufacturing, innovative technologies, aerospace and defense, logistics and distribution, healthcare, and life sciences are bringing in highly paid residents who are largely choosing to rent.
The region is home to several corporate headquarters, including AAA, Darden Restaurants and Travel + Leisure, as well as large regional operations of companies including Siemens, Lockheed Martin, Deloitte and KPMG.
Orlando sits at the center of Florida’s 23-county high-tech region known as The Corridor, that stretches along Interstate 4 from the state’s west coast on the Gulf of Mexico to the east coast on the Atlantic Ocean. From startups to more established firms, the tech hub has drawn in companies with high-paying jobs to the Orlando market, increasing housing demand.
Risks and Considerations
The factors that make Orlando a dynamic market to invest in also contribute to risks investors must consider: economic volatility, market shifts, remote property management and competition.
While Orlando’s economy has diversified, it’s still the home of Mickey Mouse. Tourism — and therefore, the service industry — drives the economy. Of the 1.5 million nonfarm jobs in the Orlando-Kissimmee-Sanford metropolitan statistical area in May 2025, leisure and hospitality accounted for the most, employing 300,700 workers. That was followed by professional and business services at 294,400 employees.
That kind of employment concentration is particularly vulnerable to an economic downturn or market shift.
As an investor, you also must also consider the cost of hiring good property managers, especially if you live out of state. Factor in about 8% to 12% of your rental income for a a manager for long-term rentals and about 20% to 30% for short-term rentals.
Those strategy considerations are on top of even landing a property in Orlando’s competitive housing market. In a hot market like this one, where you’re contending with individual and institutional investors, competition can drive up home prices, changing your calculations on purchase prices and returns. You can mitigate this factor by having your strategy and financing in place before entering the market.
You must conduct deep market research, including talking to real estate professionals about the cost of insurance in Florida, which can eat into your profits.
Consider Orlando Real Estate Investing in 2025
The Orlando real estate market remains one of the most watched in the U.S. as robust job and population growth continues to push the demand for housing and price appreciation. With home prices under national averages and rents above, Orlando provides investors with opportunities and challenges. Consider whether you might invest in real estate in Orlando in 2025.
Frequently Asked Questions
Is it a good time to buy a house in Orlando?
While affordability remains a factor in the Orlando real estate market, home price increases are slowing, and buyers are gaining more choices with more homes being listed for sale. Jobs and population growth coupled with tourism continue to push up demand for housing. The home-buying market is more balanced, allowing you to negotiate with sellers, and home prices still fall below the national average.
Is Orlando a hot real estate market?
Yes, Orlando is one of the hottest real estate markets in the U.S. Home prices are on an upward trend, although at a slower pace than in previous years. Because so many residents seeking a lower cost of living are drawn to the Orlando area, homes are selling fast, and rents are rising.
Is it better to rent or buy in Orlando?
Monthly mortgages and rents run neck and neck in Orlando, so whether you rent or buy depends on your situation and preferences. Renting a place to live provides you flexibility and allows you to avoid high upfront costs for buying a home, but real estate professionals suggest that buying is better if you’re seeking long-term investment and stability in the metro Orlando area.
