The first to go into recession was the Florida housing market but more sales have been produced by lower home prices showing Florida real estate markets are improving over the last few months.
According to the Housing Predictor, an independent real estate market analyst, Miami’s market is falling and has become the center of America’s housing crisis. Some Florida home values have fallen by as much as 40% already and more reduction is in store for the market.
Florida’s Housing Markets at a Glance |
CITY |
FORECAST |
Miami |
21.1% |
Naples |
13.9% |
Palm Beach |
14.7% |
Fort Lauderdale |
10.1% |
Orlando |
8.5% |
Jacksonville |
7.8% |
Panama City |
7.6% |
Tampa |
7.1% |
Tallahassee |
7.0% |
Many of the new condominiums that buyers had under contract have been stalled or had the construction cancelled. Instead of closing on their units thousands of buyers walked away loosing their 20% deposits to developers.
Developers are now pressured into offering incentives to perspective new buyers. New buyers however are scarce, uncertain about the economy. The Housing Predictor forecasts the market will worsen through the end of this year and we may see an additional 22% or more deflation in average home values.
Contributed by MLR Realty
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