Florida's Young Housing Recovery Is Showing Cracks

Foreclosure Orlando

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The U.S. housing market is made up of many much smaller markets, some that are growing and some that aren’t.Florida was one housing market that got hit the worst when the housing bubble burst.  However, it has also been one of the markets experiencing a big comeback.

“Many areas of Florida are showing signs of renewed housing demand. Builders are buying lots and land in order to position themselves for future growth,” says Lesley Deutch of John Burns Real Estate Consulting.  “In our most recent Residential Land Survey, 78% of Florida builders noted that finished lot prices were increasing.”

Unfortuntately, it may be too early to be popping the champagne.

Here’s Deutch:

Every month, we analyse a litany of statistics for our research clients, and we have been pointing out a disturbing trend. Florida’s employment growth is slowing. Florida currently has the slowest year-over-year payroll employment growth of any region in the nation. Of the 20 metropolitan areas in Florida we analyse, 12 of them are now experiencing year-over-year job losses. While the larger metropolitan areas (Tampa, Orlando, Miami, and Jacksonville) are still experiencing year-over-year job gains, the pace is slowing.

Indeed, the housing recovery won’t get its legs until jobs come back.  And the last few jobs reports have been disappointing.

All eyes will be on tomorrow’s June jobs report for signs of recovery.

SEE ALSO: Here’s What 21 Top Economists Are Predicting For Tomorrow’s Huge Jobs Number >

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