From 1634 to 1637, the Dutch Tulip Bubble put a face on chasing prices. Tulip bulbs in Holland reached six figures from what was once single digits as investors leveraged their futures to get in on it. Just as quickly, prices collapsed. Central Florida is faced with a run on single-family homes, spiking real-estate prices by 15% this past year to a median price of $300,000. When demand exceeds supply, prices rise, but so does supply. The prudent move is to hang tight. Single-family homes are not tulips, but they are commodities and they operate just the same.
Originally posted for the Orlando Sentinel’s Central Florida 100.