Central Florida tops list of worst places to own home

Posted by on Jan 08, 2011 | Comments Off

1294502050 36 Central Florida tops list of worst places to own homeCENTRAL FLORIDA -- 

A group that monitors home prices has come up with its list of worst places in the nation to own a home.      the three worst are all Central Florida cities.

Frank Robinson remodeled his home and now is busy working on his neighbor’s.

"Ninety percent of people are upside down in their house so it’s better to repair what you have," Robinson said.

After seeing the average home price value in the Orlando area dip from almost $300,000 in 2007 to currently around $180,000, according to the group Local Market Monitor, most people figured home prices had hit rock bottom.

However, real estate forecasters said more trouble is ahead. In fact, Central Florida is expected to have the three biggest home value declines in 2011 with prices dropping 6 percent in Orlando area and 11 percent in the Daytona Beach region.

"You can't have a healthy housing market when you have 12 percent unemployment rate,” said Dr. Sean Snaith, an economist from the University of Central Florida. “As labor market improves, as we see job creation in next year, that's going to provide basis housing market can recover."

Along with lingering foreclosure problems, Snaith said continued home price declines could slow growth as people in the area stay reluctant to spend.

But they may not affect job creation.    

"Looking at home prices, that's not something that's at top of list corporate executives are looking at when thinking of expanding or relocating to area," said Jennifer Wakefield, from the Metro Orlando Economic Development Commission.   So with home prices and interest rates historically low, is now the time to buy? the president of the Orlando Regional Realtor Association said not unless you plan on being in your home for at least five years.

The first projected home value increases in the region are in 2013.

"Real estate is an investment. you got to take good with bad," Robinson said.

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