TaxWatch: Fla. home construction = growing economy
TALLAHASSEE, Fla. – April 25, 2014 – The pace of Florida home construction is more than a positive trend for Florida real estate agents, according to a report from Florida TaxWatch. Housing starts, as a leading economic indicator, provide evidence that Florida is rebounding from the Great Recession.
"Floridians are seeing evidence of economic recovery in every corner," says Dominic M. Calabro, President and CEO of Florida TaxWatch. "New construction demand is growing, job creation is up, and for the first time since the recession, the state has a budget surplus and is sharing large tax cuts with hardworking Floridians. These positive indicators are giving taxpayers confidence, allowing them to spend more and generating state revenues."
The TaxWatch report finds that Florida averages more than 4,600 new private single housing starts each month – more than double the monthly averages in early 2009. Furthermore, future housing start projections are expected to double by 2016 for single-family homes, while multi-family new construction should double by 2017.
Positive housing starts also have a ripple effect on the state economy. They provide construction jobs and contribute to the growth of other sectors, such as housing services, home improvement stores and other retailers, along with Realtors and title companies.
"Increased investment by individuals and companies helps increase Florida's growth rate, giving businesses confidence to hire more workers," says Jerry D. Parrish, Ph.D., Florida TaxWatch chief economist. "This is one more positive sign of the growing momentum in Florida's economy."
The full TaxWatch economic commentary can be read online.
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