According to the Survey of Emerging Market Conditions, conducted quarterly by the Kelley A. Bergstrom Center for Real Estate Studies at the University of Florida, optimism for the Florida real estate market is high among those working in the business. The survey included 97 participants representing 13 urban regions of the state and up to 15 property types.
Sentiment among real estate professionals is at its highest level since 2006 according to UF’s survey. Their outlook for their own business greatly improved during this quarter’s survey.
Timothy Becker, of the University of Florida’s Bergstrom Center, believes that continued growth in the job market and growth in the tourist industry in Florida are factors that have made real estate professionals’ optimism grow. During the first quarter of this year, 57,000 jobs were added in Florida, and the unemployment rate remained the lowest it has since July 2008.b
Expected occupancy and rents across various property types is expected to be stable in this upcoming quarter as well. Multifamily property occupancy, which has been increasing at a rapid pace, is expected to level out soon. This change is a result of more construction and therefore inventory increase for buyers and renters.
While overall the survey showed optimism, there is at least some uncertainty according to the results. For certain property types, there is concern about the future of interest rates. Currently, low interest rates are driving more buyers into the real estate market. The increased interest rates predicted for the near future may be offset by improving rents and net operating incomes.
Florida’s economy is strong and stable, with a healthily growing job market, and therefore optimistic and excited real estate professionals. Those in the business seem confident that now and the near future will be great times to get into the market. To seize this moment and find the best new home for you, contact a RE/MAX Paradise agent today
Optimism high among FL real estate professionals
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