(PRWEB UK) 30 October 2012
According to research highlighted by Colordarcy, Palm Beach and Miami-Dade are forecast to see property prices rise by 3.8 percent over the next year (Source: Zillow).
Loxley McKenzie, Managing director of Colordarcy comments, “Property investors are often challenged by a piece of news they might hear. It can even affect their decision to invest. It could be down at the local pub, at the golf course or as a result of something they listened to on the news.”
According to Colordarcy, one of such challenge to investor confidence in USA property comes from three very important economists. Robert Shiller and fellow economists, Karl Case and Anne Thompson, published a paper recently saying there are no ‘unambiguous’ signs of a strong recovery in the market even though their own Case Shiller index says otherwise.
The firm highlights that, sometimes, a piece of news can be useful while at other times it may end up leading investors down the wrong path. To help investors make their decision on where to invest, the firm suggests three questions they should be asking when a piece of news is released.
Is it theory or fact?
Is the information based on real statistics?
Is there enough supply to meet the demand for housing?
According to analysts at Colordarcy, the facts are that average rents are climbing 4.4% annually according to the latest data and realtors are reporting a shortage of supply of property in Miami. Martha Pomares, chairman of the board of the Miami Association of Realtors said this month that “The Miami market needs more inventory to satisfy strong demand for local properties.”
Over the last year alone, the number of residential listings in Miami-Dade County has fallen 24 percent from 15,264 to 11,595. As more foreign investors move in to take advantage of some outstanding investment opportunities in Miami, this will only put more pressure on the stock of good quality housing and see prices rise further, according to Colordarcy.
Notes to the editor:
Colordarcy is a leading property investment company that specialises in finding positive cash flow investment properties worldwide. Colordarcy investment property portfolio includes some of the best properties for sale in Brazil, Florida, Turkey and the United Kingdom.
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