When will the Real Estate Market bounce back in Florida?
The Florida Housing market is so overbuilt, that there are real questions as to weather or not the market will ever pick up again. The key is to keep your eye on Inventory rates and Market Clearance time. They will give you a pretty good indication as to when the market bottoms out. Inventory rate is the number of properties for sale. Market clearance time is the amount of time it would take for the market to clear the entire inventory if no new houses come on the market. For example, if there are 100 houses for sale, and 10 houses sell a month, market clearance time is 10 months. Right now, in some parts for Florida, the Market clearance time is 17 years (so I’ve heard). Florida real estate has always been bouncy. Zipping higher in hot markets, and sliding lower in slow markets. With the baby-boomers retiring across the northeast over the next few years, I think things will pick up eventually, but it will take a while. Perhaps a long while.
