Why Orlando Is a Top Choice for Real Estate Investors in 2025

Thinking about buying investment properties in Orlando, Florida? If so, you’re in the right place.

This guide explores some of the reasons why residential real estate investors love the Orlando metro area in 2025—and what you need to know before entering this market.

Market Alert: Home Prices Currently Falling

The first thing you should know is that home prices in the Orlando area (and most of Florida) are currently falling. And they might continue to decline through the rest of this year and into 2026.

According to Zillow, the median home value for the Orlando Metro area ($392,000) dropped by 3.6% over the past year (as of September 2025). Their analysts expect prices to fall a bit further over the next 12 months, stretching into the summer of 2026.

This might seem like bad news on the surface, but it also creates opportunities for home buyers and real estate investors in the Orlando area. It suggests that the Orlando housing market might be nearing the “bottom” of its post-pandemic price correction phase.

If true, this would give real estate investors a chance to buy rental homes in Orlando at the lowest possible price point, with the potential for steady appreciation going forward.

Orlando, Florida at a Glance

• City population: roughly 335,000 in the city of Orlando itself. 
• Greater Orlando (MSA) population: about 2.9 million and still growing. 
• Annual visitors: ~75 million visitors to the destination in 2024 (theme parks, conventions, leisure). 
• Orlando International Airport (MCO): one of Florida’s busiest airports with about 57 million passengers in 2024. A major transportation hub for business and leisure travel. 
• Anchor institutions: University of Central Florida (one of the largest U.S. universities, ~69–70K students) and several major healthcare and hospitality employers.

Why Investors Like the Orlando Market

Historically, Orlando has been a strong market for investors buying long-term rental homes. And there’s no reason to expect this to change anytime soon.

A huge tourism economy, a massive university population, major employers in healthcare and tech, steady population growth, and a busy international airport combine to create persistent rental demand and many paths to cash flow.

Here are some key reasons why investors like the Orlando real estate market:

1. Significant, year-round demand from tourists

Orlando is one of the world’s most visited destinations. This creates a steady flow of short-term stays and supports long-term rentals for employees, contract workers, and families relocating for jobs in hospitality, entertainment, and convention services.

2. A large and stable student population (UCF)

The University of Central Florida (UCF) has nearly 70,000 students—one of the largest student bodies of any college in the country.

This creates consistent demand for off-campus housing, furnished and unfurnished leases, and room-by-room rentals in neighborhoods near campus or well served by transit.

3. Diversified job market (hospitality, healthcare, defense, etc.)

Major employers in Orlando include Walt Disney World, Universal, AdventHealth, Orlando Health, Lockheed Martin, and a growing cluster of life-sciences and medical-tech jobs (Lake Nona Medical City).

A diversified job market attracts new residents, increases demand for both rental and purchase homes, and puts upward pressure on prices.

4. Strong transportation infrastructure and connectivity

The Orlando International Airport makes the city accessible and attractive for corporate relocation, remote workers, and international visitors.

Recent airport and rail improvements (including Brightline connections) increase mobility and make some suburban neighborhoods more practical for commuting and long-term renting. 

5. A variety of neighborhood investment opportunities

Orlando is not a single, cohesive real estate market, but a patchwork of micro-markets that all have their unique characteristics:

• Downtown Orlando (around Lake Eola) attracts professionals seeking walkable apartments.
• Neighborhoods near UCF and student housing pockets provide demand from students.
• Lake Nona and medical-city adjacent areas attract higher-income professionals.
• Kissimmee and parts of south Orange County offer lower entry prices with good yields.

This market variety allows residential real estate investors to choose a strategy that aligns with their risk tolerance and ROI goals.

6. Ongoing population growth and inbound migration

Central Florida continues to attract new residents year after year, both from domestic migration and international moves. Population growth sustains long-term housing demand for both ownership and rentals, a major benefit for buy-and-hold investors. 

The Orlando metro area, in particular, has outpaced most other U.S. metros in recent years when it comes to population growth.

7. Development catalysts and long-term projects

Projects like Lake Nona Medical City, transportation investments, and downtown redevelopment increase job density and neighborhood desirability over time.

These catalysts can boost home prices and support rents in adjacent neighborhoods as well, useful for real estate investors who are thinking 5 to 10 years out. 

8. Familiar regulatory environment statewide

Florida state laws have often been described as being more landlord-friendly than many other states. This can reduce operating friction for investors who manage evictions and lease enforcement.

But local ordinances can vary, so real estate investors and homeowners should check local rules on rentals, short-term rental restrictions, and code enforcement.

(This is not legal advice, by the way. It’s just one of the reasons why some investors favor the Orlando housing market, and Florida in general.)

Practical Tips for Buy-and-Hold Investors

Here are some tried-and-true strategies and best practices when buying long-term investment properties in the Orlando metro area:

• Match the neighborhood to the strategy. Student housing near UCF, workforce rental neighborhoods for hourly workers, and higher-end professional rentals near Lake Nona each have different turnover, maintenance, and yield profiles. 
• Plan for seasonal demand. Even long-term rentals in Orlando can see seasonal swings tied to tourism and conventions. Build conservative vacancy assumptions into cash-flow projections.
• Monitor development projects. New transit, highways, or major employer expansions can change neighborhood fundamentals quickly. 
• Get local market comps. Use MLS, local broker market reports, and recent rent listings rather than city-wide averages when planning a purchase. 

The Bottom Line to All of This

When it comes to real estate investing, the Orlando area has a lot going for it.

Positive factors include major visitor traffic, a large student and university population, a diversified economy and strong job market, airport connectivity, and ongoing development. 

These and related factors increase demand for housing, both rental and purchase—while giving investors a potentially steady revenue stream.

Investors who are focused on long-term rental homes, in particular, often find that the Orlando market more than meets their needs.

Just remember to choose a neighborhood and property type that matches your long-term income goals and risk tolerance.

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