O CANADA!

It’s easy to see why Canada is Florida’s No. 1 source of international visitors. The balmy climate alone is a draw, especially when winter hits. But there are also so many attractions — both man-made and natural — as well as proximity to the ocean and seemingly endless recreational opportunities.

These days, not all Canadians are just popping in for a quick Disney excursion. Many are putting down roots and buying property. Canadians, in fact, are the top international buyers of Florida real estate, according to the Canadian Trade Commissioner Service (CTCS), a government agency that helps businesses and individuals from the Frozen North make investments outside the country. “Canadians are buying up Florida real estate at a faster rate now than they were during the housing boom years,” says a CTCS spokesperson.

Indeed, according to a report released recently by the BMO Financial Group, based in Montreal, more than 500,000 Canadians now own property in Florida. The location of choice? The Sarasota-Bradenton area accounts for 17 percent of the state’s Canadian real estate purchases, But the Orlando-Kissimmee area is right behind at 13 percent, tied for second place with Miami-Fort Lauderdale-Palm Beach. Tampa-St. Petersburg and the Naples area each account for 9 percent. The remaining 30 percent are scattered throughout the state.

Jack Ablin, chief investment officer at Chicago-based BMO Harris Private Bank, a subsidiary of BMO Financial Group, cited several factors beyond the obvious attractions that make Florida such an irresistible value for Canadians.

“The median-priced home in Florida is nearly half that in Canada,” Ablin says. “At the same time, the Canadian dollar is trading nearly 10 percent above ‘fair’ value versus the U.S. dollar, arming (Canadian) shoppers with extra buying power.”

“Why should we stay (in Canada) with the ever-increasing house prices, increasing taxes, increasing hydro rates, and the increasing debt and deficit?” posted one Canadian buyer of a Florida home on the Toronto Star website. “Florida is changing. It’s not the ‘old codgers’ anymore.”

Some Canadians are buying homes and moving in right away. Others are so-called “endvestors,” buying homes while they’re relatively inexpensive — and while interest rates are low — and renting out the homes with the expectation of relocating when they retire. Others are seasonal residents who also plan to eventually become year-round Floridians.

According to local real estate pros, the bottom line for Canadian buyers — and everyone else, for that matter — may be a realization that inventory is shrinking, prices are rising and interest rates are off their historic lows.

That’s making it harder for companies like Florida Homefinders Canada to steer their clients to bargain-basement homes. “Banks aren’t in a hurry to get foreclosures off their books now,” says company executive Wayne Levy. “Prices are going up, so every month they hold off means they’re more likely to recover their money.”

Regardless of the economic circumstances, Canadians are savvy buyers, notes Garrett Kenny, owner of Davenport-based Feltrim Development. “They ask a lot of questions,” he says. “They expect good service, and they pay for good service.”

The Canadian market has certainly been a strong one for Kenny. At Tuscana, his  condominium project in ChampionsGate, 25 of the 70 units were snapped up by Canadian buyers.

Kenny’s next project in the Osceola County master-planned community, The Fountains at ChampionsGate, will offer units encompassing two master suites — ideal for accommodating visiting children and grandchildren.

“Central Florida is perfect for Canadians,” adds Kenny, whose firm also manages rentals for absentee owners. “There’s so much for everyone to do.”

Canadians love to buy homes in Orlando — and they love to build them here as well. One of the area’s largest builders, Mattamy Homes, started in 1978 with the building and sale of a single home in Burlington, Ontario.

The company has gone on to build more than 60,000 homes in 150 communities, with more on the way. In Canada, those communities stretch across the Toronto area as well as Ottawa and Calgary. In the U.S., the company builds in Minneapolis, Charlotte, Phoenix and Jacksonville as well as Orlando.

Steve Parker, president of Mattamy’s U.S. operations, says the company’s international expansion began in 2004 with the acquisition of several existing builders. When Parker joined the company in 2007, he was already living in Orlando and believed the region would make an ideal home base.

“For us to continue to expand our business, I felt that the Orlando market was one of the top markets to be in,” he says, citing the proximity of Orlando International Airport and the ease of traveling from here anywhere in the world, including Toronto.

“Florida is one of the premier housing markets in the U.S., and it’s now back on the upswing,” says Parker, noting the region’s increasing economic diversity. “We see positive growth in the state in general and Central Florida in particular over the upcoming years.”

Although Mattamy doesn’t market specifically to Canadian buyers, he notes that the company’s Canadian connection is a plus for buyers from the Great White North. “Our brand is very strong for us in Canada,” says Parker, who adds that the company has won J.D. Power awards for customer satisfaction in both Canada and the U.S.

Not surprisingly, Mattamy is experiencing solid growth and plans to grow even faster in the coming years. The company’s strength is building large communities, such as its master-planned Tapestry development in Kissimmee near Lake Nona’s Medical City. At buildout, Tapestry will encompass more than 1,000 homes.

“Our culture from Canada is that we like to build and develop our own communities,” says Parker. “We like to be the developers — roads, entryways, walls, amenities and homes. That makes it a complete Mattamy community.”

That was certainly the plan when Mattamy launched Millennia Park, which opened in spring of 2013 and has already notched more than 140 sales. “We believe that the community is the right location at a great price point,” adds Parker. “It’s going to be one of our most successful communities ever.”

And, assuming the current trend continues, it’s likely that at least some of the buyers will be Canadians.

BY THE NUMBERS

3,000,000
The number of Canadian visitors to Florida
each year. That’s twice as many as California,
the second most popular destination.

1
The ranking of Canadian buyers among all
international buyers of Florida real estate.

40
The percentage of Canadian visitors to
Florida who are 55 years old or older.

91
The percentage of Canadian buyers who
pay cash for their Florida homes.

63
The percentage of Canadian buyers who
choose condominiums or townhomes.

32
The percentage of Canadian buyers
who choose single-family homes.