Florida’s delinquent mortgages trigger fears of housing meltdown
Rising mortgage delinquency rates in Florida are raising fears that the coronavirus pandemic will lead to a foreclosure crisis as bad if not worse than the one that followed the 2008 housing crash. Some experts are optimistic that far fewer homeowners will lose their homes to foreclosure if effective treatments and a vaccine are developed by early next year. Others see historically high unemployment rates leading to a wave of foreclosures, plummeting home prices and economic misery. More from the South Florida Sun-Sentinel and WPEC.
South Florida construction starts plummet again in May
South Florida developers are still holding off on starting new construction projects in the wake of the coronavirus pandemic, according to a new report. New construction starts in South Florida declined 25 percent in May to $558.8 million, down from $749.4 million in May 2019, according to Dodge Data & Analytics. Nonresidential construction fell 35 percent, year-over-year, to $269.8 million, while residential construction fell 13 percent to $289 million, the report shows. [Source: The Real Deal]
Florida has thousands more properties with high flood risk than FEMA says, according to new study
About 114,000 more Florida properties are at risk of flooding in a 100-year storm than the Federal Emergency Management Agency currently estimates, according to a model released Monday by a nonprofit arguing the country has undersold its vulnerability to disasters. [Source: Tampa Bay Times]
Some 2.2 million of the world’s restaurants could close
Some 2.2 million restaurants worldwide could close in the near future, and that’s a low estimate. Restaurants across the price spectrum are watching bills pile up and sales flounder in the months since the coronavirus pandemic brought the industry to a near standstill, according to Bloomberg. Consulting firm Aaron Allen & Associates estimates there are 22 million restaurants worldwide and that 10 percent of them will shutter and 20 percent or more will go through restructuring. [Source: The Real Deal]
Arizona-based NexMetro Communities, a leading developer of luxury leased-home neighborhoods, has purchased its first Central Florida location for a 152-home neighborhood in Odessa. Sitework will begin immediately on the 13-acre site, which is located in a prime location near retail, freeways and employment. “Demand for single-family rental homes remains incredibly strong as consumers seek this unique lifestyle experience that combines the best of a detached home and mortgage-free, maintence-free living,” said Josh Hartmann, CEO of NexMetro Communities. [Source: AZ Big Media]
› Heightened buyer demand influences Naples real estate market [Naples Daily News]
REALTORS® kept busy in May as pent-up demand for homebuying resulted in a remarkable spike in buyer interest. As a result, showings in May increased 244 percent compared to showings in April. As remarkable, showings in May outpaced showings a year ago, which increased 5.5 percent compared to May 2019.
› Florida Realtors PAC issues wave of legislative endorsements [Florida Politics]
With Election Day fast approaching, Florida Realtors PAC unleashed a volley of endorsements in legislative races across the state. “The difficulties brought on by the global pandemic make it clearer than ever that having the right people in government is essential to ensuring public safety and protecting the basic functions of society,” committee board of trustees chair Tim Weisheyer.
› Signs of rebound for Polk housing market [Lakeland Ledger]
COVID-19 struck Century 21 Myers Realty like lightning. “We as a company lost 12 sales overnight after COVID-19 hit,” said Jack Myers, the owner and a real estate broker. The lost clients in early March ranged from investors in short-term rentals to families that experienced job losses, he said. But Myers and Dawna Stone, the owner and broker of the Property Shoppe of Central Florida Inc., a Lakeland company specializing in home sales, said the Polk real estate market may already be on the rebound.
› New York developer snaps up former Wynwood Rubell site for apartment/office project [Miami Herald]
The New York firm behind the Sir Norman Foster-designed 425 Park Avenue and Chelsea’s newly approved Terminal Warehouse is coming to Wynwood. L&L Holding is joint-venturing with private equity and development firm Carpe Real Estate Partners to develop a mixed-use office/ apartment development. The companies have signed a contract for the three acres located at the northeast corner of Northwest First Avenue and Northwest 29th Street.