June 6, 2016
Fortunately Florida’s real estate market continues to recover from the last market melt down. Besides the new home buyers, 400 people a day moving to Florida, the flippers, the Baby Boomers are a strong force in the Florida real estate market. They continue to be a driving force in our market place.
According to Clear Capital a nationwide provider of real estate valuations, it’s Home Data Index (HDI) for June 2016 offers the following information.
- Nationally, quarterly market performance remains fixed at 0.6% with no change from last month.
- Regionally the West continues to dominate quarterly growth as it hovers around a 1.1% quarter over quarter price increase, a downtick of 0.1% from last month. In the South growth remained unchanged at 0.7%, while the Northeast and Midwest regions continues to lag far behind the rest of the nation coming in at 0.1%, a virtual standstill in terms of price growth.
- Tampa and Seattle are tied for the top spot on Clear Capital’s Highest performing Major Metro Market for June. Both cities reported an increase of 2.0% Three other cities in Florida are also scoring big gains and they are Miami with 1.4%, Jacksonville with 1.7% and Orlando with a 2.0% gain.
This growth for Florida fits into a longer pattern of growth and recovery for the state. Each MSA’s (Metropolitan Statistical Area) have experienced major gains since the market lows of 2011. They have recovered at least 30% or more. Here are their increases:
- Jacksonville 33%
- Orlando 44%
- Tampa 56%
- Miami 57%
The Baby Boomer Influence
“Florida has traditionally been the place to go for baby boomers and retirees migrating from colder climates in the Northeast to our warm weather and low taxes. As the top Floridian housing markets continue to grow and return impressive gains-Tampa is currently reporting 12.2% annual price growth. Baby boomers share of homeowners is clearly on the rise here, and as more of this generation nears the age of retirement age. Florida markets may be in for a boost in performance if this tradition continues and retirees demand homes in the region” states Alex Villacorta Ph.D., vice president of research and analytics at Clear Capital