Improved Palm Beach Housing Market Boosts Economic Growth
Improved Palm Beach Housing Market Boosts Economic Growth
The economy in Palm Beach County is gaining momentum, and local real estate experts believe that the upswing in job growth is directly related to the housing market turnaround. Low prices and appealing mortgage rates have contributed to a sharp increase in demand for Palm Beach short sales, and the influx of new residents to South Florida indicates that consumer confidence in the economic forecast is on the rise.
An ongoing trend of increased hiring in Palm Beach County has started to offset the unemployment rate, which is another factor contributing to the desirability of Palm Beach homes. According to the Department of Economic Opportunity, Florida's unemployment rate dipped to 8.5% in October, which is the lowest rate since December 2008. On average, payrolls added about 15,000 jobs in the last three months alone.
Although Florida still lags behind the nation in terms of economic recovery in the wake of the recession, economic analysts have good reason to believe that Florida will continue to narrow the unemployment rate gap. As the job market continues to recover, more people will move into Palm Beach homes; as a result, they will be counted among the unemployed as they search for jobs, which can skew the unemployment statistics. However, the fact that people are moving to the South Florida area is in itself an encouraging sign of progress, since the population growth signals strong optimism among individuals looking for work.
In particular, the tourism industry has added a significant number of jobs to the Palm Beach economy. The construction industry is making a turnaround now that demand for new homes is on the rise, and industrial activity is starting to gain momentum. More than 18,000 jobs were added to the retail trade industry over the past year, and professional and businesses industries added another 18,300 jobs.
While the improving economic forecast for Palm Beach County is creating a higher demand for real estate as people move to the area in search of work, the positive economic forecast is also likely to boost home values. Real estate analysts believe that people are willing to pay more for homes strategically positioned within booming job markets, which is good news for Palm Beach home owners who are thinking about selling their homes.
According to the latest economic projections, Florida is poised to surpass the nation's pace of job growth by 2015; however, economists caution that the growth in South Florida will come at a slow and steady pace. Nonetheless, the improving job market is generating interest in South Florida among professionals and entrepreneurs who are looking for affordable real estate in a fast-growing region. Investors have already shown interest in Palm Beach short sales and foreclosures, and many economists believe that this also signals a strong level of optimism with regards to the South Florida economy.
If you'd like more information on South Florida real estate or Palm Beach short sales, please give us a call. We'd love to help you find the best Palm Beach home for your needs while keeping you up to date with housing news making local headlines.
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