Central Florida, The Real Estate Crash is Coming.

OK Central Florida. Can we spell......... Real Estate Crash !!!!!!!!!!!!

I thought since the Newspapers only print the positive about the Real Estate market due to the fact they don't want to print anything negative that might cause them to lose one of their Biggest Advertisers , I would give those who are interested the real Scoop.

While this Article is written Basically for Central Florida and Florida in general it may also be relevent to other recently Booming Markets in the US.

Yes, even though the Real Estate Boom is coming to its ultimate Demise for the Current Time , all the Papers, Financial Experts(and I use that term loosely) and those involved in Real Estate here in Central Florida are still Blowing Smoke up our AS**S to try and convince us poor, Dumb
regular People that While the rest of the Country may be in real trouble soon somehow the State of Florida is Immune to such things. I DON"T THINK SO,TIM.

Yes , they tell You the Real Estate Market here will surely have a soft landing and just return to normal yearly appreciation of 6 to 9 %. I'm going to say this now and I want You to remember this later so I'll gain some Credibility, IT AIN'T GONNA HAPPEN! Now let me tell You why , and there are a bunch of reasons .

You really don't need a PHD to be able to understand Why Central Florida is Headed for a huge Dump. Everything imaginable is pointing that way. Not just one or two things , but Many , many things. For those of You that don't live here I'll explain, For those of You that do, open Your Eyes! My friends and I used to have a saying , " Everything in Florida is for Sale" , and Now," I MEAN EVERYTHING IS FOR SALE!" Drive down any street, anywhere and almost half the Block is for sale.

As anyone knows Supply and Demand is usually one of the biggest price manipulators. How can Supply be Short when everything is for Sale? Central Florida had a fluke when the hurricane hit a Couple of Years ago which Started the Drastic climb in property Values. There has been tons of land here cheap for Decades. Matter of fact a couple of years ago You couldn't Give it away. Reasons....... This is the absolute poorest part of Florida, Low, Low Wages and retirees. Average Family Income of barely over $30,000 a year. 60 Miles from the Beach. A bunch of small little towns scattered about. Property Values had actually decined a the Rate of about 4.5% a year for the last Decade.

Then the big Fluke Happened. After several Hurricanes smashed the Coast , one actually made it to Central Florida, Not Horribly bad here but enough to Smash a bunch of Trailers. Many people here had to buy new homes. With interest rates Low and with Insurance this was not that hard. Then all the People who Got tired of getting Wiped out on the Coast took their insurance Money and ran. But they Didn't run out of State they ran Inland where their Big Insurance Settlements could But them some cheap Land here and a house with plenty to Spare.
All of a sudden ground here was Selling and the Builders Were Busy, then as always what Happens when things start to get a little Good, Greed sets in. People raise the price of their land,
and Builders raise their prices.

Then come the Speculators, they see a Opportunity, Prices are rising so they swoop in from abroad and Buy up every peice of Property in site, driving prices Higher. Now everyone wants in on the gold Mine. More Individuals and real Estate Agents become Speculators because money is Cheap and Credit easy, Prices Climb even Higher. People Sell their old Houses and Build New, Prices rise. Now everything is a Frenzy. People are Buying, Selling, Buying Selling. Now the same peices of Ground are selling Over and Over everyone Hoping to get Rich. But as the Saying Goes , What goes up Must Come Down.

Tune in Tomorrow for part two. " The CRASH, oh YES, IT IS COMING!"