Palm Beach Housing Starts Surge
Palm Beach Housing Starts Surge
As a response to the increasing shortage of homes in the Palm Beach County area, developers are eager to start new construction projects in order to fill a demand for new housing options. Developers are planning a number of apartment buildings in highly-populated areas of downtown, and many tract communities in suburban settings are also in the works.
According to Metrostudy, single-family housing starts increased by 41.2% in the third quarter year-over-year, and 9.4% over the previous quarter.
The rate of move-ins in Palm Beach new homes has also increased. More new homes are also occupied immediately after construction is complete. Buyers are increasingly interested in new homes since competition for existing home sales is fierce. Outside investors are flooding the market, eager to make cash transactions, and it is becoming difficult for first-time buyers who might have less-than-perfect credit to compete among the stiff competition.
The trend of increased construction in South Florida is following nationwide trends. National construction permits surged 45.1% in September, and young professionals are migrating to urban areas with the greatest potential for employment opportunities. The improved housing market is closely following the same trends as the economic forecast.
While construction is booming, South Florida is still dealing with an excess of foreclosures that have catapulted it to the top of foreclosure rankings for the nation. Broward County recorded a 65% increase in foreclosure activity year-over-year, and although Palm Beach short sales are gaining momentum, foreclosures are up statewide, with one in every 117 properties in some state of foreclosure. New federal programs are aimed at helping home owners avoid foreclosure and refinance their homes, and housing experts predict that those may have a positive effect on the Palm Beach housing market.
It's important to have the latest Palm Beach housing news if you are interested in taking advantage of a Palm Beach short sale. Please let us know if you'd like us to help you stay informed of the latest Palm Beach real estate news.
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