South Florida Home Building Slows Due To Shortage of Land
The South Florida Sun-Sentinel reported today that new home construction numbers are down for the first quarter of 2005. All across Southern Florida, and especially in Miami-Dade and Broward counties, new home construction has fallen considerably short of where it was last year. The only area not affected so far is Palm Beach, but even there, the rate of new construction seems to be slowing slightly.
Coral Gables realtor David Dabby was quoted as saying: "Regardless of how good market fundamentals are, we're running out of land."
The shortage of undeveloped land will further stress a market that is already witnessing incredibly high demand for housing – and incredibly high prices for property. As space really begins to run out, look for the market to adjust, with greater numbers of condos and multi-family developments beginning to replace single-family homes.
Market analysts such as Bradley Hunter of Metrostudy plan to keep a close eye on inventory over the course of the next few quarters, with the understanding that a drop off in occupancy could be indicative of a market that is overheated, and potentially in danger of decline.
Coral Gables realtor David Dabby was quoted as saying: "Regardless of how good market fundamentals are, we're running out of land."
The shortage of undeveloped land will further stress a market that is already witnessing incredibly high demand for housing – and incredibly high prices for property. As space really begins to run out, look for the market to adjust, with greater numbers of condos and multi-family developments beginning to replace single-family homes.
Market analysts such as Bradley Hunter of Metrostudy plan to keep a close eye on inventory over the course of the next few quarters, with the understanding that a drop off in occupancy could be indicative of a market that is overheated, and potentially in danger of decline.
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