U.S. consumer confidence soared in the month of May to its highest level in eight months, suggesting underlying improvement in the economy after a grim first quarter that witnessed a record plunge in home prices and soaring unemployment.
The Conference Board said on May 26th that its index of consumer attitudes jumped to 54.9 in May from a revised 40.8 in April, well above forecasts which centered around 42.0. That was the biggest one-month jump since April 2003. Index values above 50 reflect a positive movement in the level of consumer confidence.
The confidence data was in line with other evidence suggesting that, while the economy continues to contract in this quarter, the pace of deterioration has substantially slowed. "That moderation in the rate of decline in economic activity is raising hopes that an actual improvement will take hold in coming months" said Mark Vitner, senior economist at Wachovia.
According to a recent Standard & Poor's/Case Shiller index, during the first quarter of 2009 alone, U.S. home prices fell by 19.1%, the most in the 21-year history of the survey. Given the improvement in consumer confidence combined with the dramatic reduction in home prices that has occurred in the past year, it is no surprise that in the Sarasota - Bradenton real estate market, home and condominium sales have come back to life.
"We believe the current climate of historically low interest rates, major incentives for first-time home buyers, and the many other government programs designed to stabilize the economy and the housing industry are all having a very positive impact," said 2009 SAR President Bill Geller. "Every downturn is followed by an upturn - we know this to be true historically. We've been through a difficult time in the Sarasota real estate industry, and ... we are seeing now the beginnings of a new, dynamic era"
Home prices in Southwest Florida have not been this low in years and mortgage rates are still at all-time lows. The Sarasota - Bradenton - Venice Florida real estate market is literally bursting with properties for sale at the most attractive prices in years. With short sales and foreclosures as well as builders still trying to sell their excess inventories and the normal amount of families down-sizing, up-sizing and upgrading, there is a home, condominium or villa in the greater Sarasota market priced very attractively in every price range for every family.
Whether you are looking for a golf course community, a waterfront location, or a supremely comfortable neighborhood, the Sarasota - Bradenton Florida real estate market has something that is perfect for you.
It won't be long before Sarasota real estate property prices start climbing again. so don't miss this opportunity.
If you would like to know more about homes for sale in Sarasota and its surrounding communities of Bradenton, Osprey and Venice, visit my Sarasota & Bradenton Real Estate website or call me directly at 941-228-2321 or at my Sarasota RE/MAX Office at 941-360-7777.
