Consumer Confidence And The Case-Shiller Index

Case-Shiller, Consumer Confidence, florida, hernando, REAL ESTATE

Consumer Confidence Unexpectedly Drops to 49.3 as the weak labor market continues to drag on the economy as unemployment continues to increase. The Case-Shiller index shows slowing home prices declines are slowing in 20 US metro areas.

While this data is averaged for the overall county, in Hernando county the labor market remains very weak, especially in the constructions markets. Unemployment in Hernando county approaching 13%, according to figures from the Agency for Workforce Innovation. As a result many are seeking work elsewhere and are leaving behind more unsold homes.

On the bright side of the Case-Shiller index, California homes actually increased in many areas and Florida tends to lag California’s trends. This would indicate that the real estate bottom could be less than a 12 months away. This is not to say the real estate market will rebound sharply like the stock market. Rather it will return to more normal trends and track inflation. Unless of course the economy experiences hyperinflation, then we will see a whole different animal.

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