Cases Realty Group, Inc.

Cases Realty Group, Inc., is in the primary business of residential real estate. Our experienced investment approach has continued to be successful for our buyers and sellers. Buying and selling for investment purposes has developed into a productive pattern which has allowed our company to succeed. We will get you the price you want. Within your budget. We will show you options. We will give you our expert advice.

Sunday, December 26, 2010

Foreclosure crisis may be ending, more jobs might be created

The housing foreclosure in South Florida might be drawing to a close.

This is good news for Miami area construction workers, real estate professionals and others involved directly or indirectly with the housing industry.

Even so there are mixed feelings among economists about the true state of the economy and the likely recovery. Florida's economy has declined over the past two years, but in 2011 it might grow by as much as three percent.

Hundreds of thousands of homes are  facing foreclosure in the court system and Florida is likely to face struggles in bringing down high unemployment. Florida is third among states in rates of foreclosures and first among states in the number of bank failures. And more foreclosures are predicted for Florida.
In Florida, Moody's Analytics projects annual foreclosure activity will decline  next year but not by much. Moody's predicts that the Florida foreclosure rate will drop to a rate of 5.43 for every 1,000 households  in 2011, down from 8.19 for every 1,000 households in 2010 and 7.81 for 2009. Moody's also predicts that the inventory of Florida homes in foreclosure will clear out. The inventory will fall to 34.21 per 1,000 households in 2011, down from 50.52 per 1,000 households in 2010 and 41.67 in 2009. In 2012, this activity will drop to 1.5 per 1,000 households and the inventory of homes in foreclosure will fall to 10 or 15 per 1,000 households.

Eventually, this will  have  a positive effect on the South Florida economy. Moody's reports that construction unemployment at the end of 2010 was near a bottom that would grow in 2011. There will be a small increase, 1.9 percent in Florida employment rate in 2011 after a year long decrease in the number of people employed in Florida. This job growth will happen until the second half of 2011. Even so, these job gains will be small and  the unemployment rate will remain at around 10 percent through 2013.

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