As the third quarter of the year draws to a close today, you may well have been cheered by news that the recession in your home country (or region, I suppose) is "over". Well, maybe. (At least, that's what I got this morning from a paper in the UK).
Today, the Miami Herald also claims that the recession in Florida may be coming to an end, according to a couple of important factors - consumer confidence and the house prices.
According to the Case-Shiller home price index, property prices increased for the second month in a row, as figures for July were released. Though the increase was small - only 1.2% - it's an increase nevertheless and modest price rises are clearly the way forward as the economy (hopefully!) recovers. Nevertheless, the index shows that prices are still far below the same period last year - by 21%.
Meanwhile, the Florida Association of Realtors shows that median prices in Miami rose by 1% from July to August, though prices decreased by 1% for Broward county. The median property price for these two counties now lies at $194,800 and $217,000 respectively. This small increase and small decrease for the two counties would suggest that prices are reaching their lowest point. The only major factor that would cause prices to significantly drop again would be a large amount of supply flooding the market, and we're hoping seeing these days behind us as well.
Moving on to the consumer confidence, a University of Florida report shows that this rose 3 points in September to 74, following on from a four-point increase for August.
Overall, the increase in property prices and in consumer confidence in Florida points to a recovery in the economy. If you're interested in purchasing property there in the near future, you may well want to start the ball rolling now whilst there's plenty of supply and before the market recovers too much!
Article: Signs point to recession's easing in Florida (30th September 2009, Miami Herald)
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