ports numerous non-profit organizations through participation in their programs and sponsorship of their fundraising events. How does owning real estate translate to wealth, particularly for black families?
If you uproot a tree, it cannot grow. Oftentimes African American families become transient and don’t have a home or homeplace that the family goes to. When people have a stable living environment, they get a chance to have jobs and to secure other resources that support accrual of assets. So by owning real estate, African American families create a “wealth base” whereby they can grow, and the tree won’t be uprooted. Real estate translates to wealth for African American families very much the same way it translates to wealth for any family. Real estate increases in value over time; it also increases the net assets of its holder. If African Americans hold that real estate, their net assets increase as well. What is ORRA doing to increase the number of black homeowners?
The association as whole does not target one demographic in its efforts to increase homeownership, because the association represents all demographics. What we do is make sure that public policy and advocacy efforts cover all groups. For example, when we lobby for a law, we try our very best to ensure that one demographic is going to become disenfranchised because that law might
suit one group better than another. The National Association of Real Estate Brokers (NAREB) does an excellent job of supporting black home ownership. When groups like NAREB present a need or issue to ORRA that warrants consideration, we evaluate the need within the framework of the association’s strategic plan and mission. If the request warrants, ORRA supports the request and by extension the culture that is represented by that council. What is your vision for real estate in Orlando and what is your path to get there?
My vision is for Orlando to be America’s premier city for residents to live in and for real estate investors to invest in. We are already well on the way, with a strong economy and a continuing high demand from international real estate buyers. I also desire for Orlando be a profitable haven for REALTORS® who specialize in all areas of real estate, and I anticipate Orlando becoming a worldwide example of efficient commerce through real estate transactions facilitated by REALTORS® who demonstrate the highest levels of service and professionalism. Where do you see the Orlando real estate market in the next five years?
I anticipate that the Orlando real estate market will continue to dominate as an investment destination, particularly for international buyers. These
homebuyers are attracted to the area’s mix of resort, urban, and suburban neighborhoods; healthy economy and real estate market; and, of course, our world class theme parks. I also would not be surprised to see Orlando’s share of Florida’s international transactions increase as climate change drives buyers inland, away from coasts. A second movement that I anticipate is added inventory in the first-time homebuyer price ranges, along with additional multi-family rental units in the affordable price ranges, that will buoy Orlando’s reputation as a community of choice for millennials. What is not happening in the real estate industry that you think should be happening, and how do you plan to address it?
With the advent of the iBuyer business model, real estate disrupters are attempting to create an environment where transactions occur exclusively via electronic platform and the agent is cut out. This model may seem efficient and appealing at first glance, but when you consider that purchasing a home will be the greatest investment and expenditure that most people make in their lifetime, do you really think that that should be done sight unseen through an app, without the help of an expert to represent your interests and aid in the process? Which markets, partners or other opportunities can add significant value to your business and how?
Direct foreign investment cannot be overlooked, and we do our very best to attract foreign investors to Orlando. In 2019 we performed trade missions to Canada, the United Kingdom, France, Panama, and Dubai. In 2018, approximately 9.4 percent of Florida’s international homebuyers opted to purchase property in Orlando (making it No. 2 behind only Miami). Our data further show that foreign buyers were involved in approximately 11 percent of all Orlando area real estate transactions, so you can see why we put considerable effort into promoting Orlando as an international real estate destination. What do black families need to know/do to prepare for home ownership?
Black families need to know that they can purchase a home just as any other group can; what’s critical is the pre-purchase preparation. Preparing for homeownership involves ensure your credit is in good shape, that your employment history is solid, and that you are realistic about how much home you can truly afford. Key to preparation is selecting a bank or mortgage company that you believe has your best interests, and of course, using a REALTOR® to ensure that your needs are met during the home search and transaction process. It’s worth repeating: African American families have the same opportunities as any other group. It’s the education that happens before the purchase that is critical.
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