Consumer Confidence Grows in June; What’s This Mean for Florida Home Loans?

Americans are resilient. Even as Florida home loan rates continue to rise - and gas prices sky-rocket - consumer confidence improved throughout June.

The University of Michigan’s Survey of Consumers stated that the Index of Consumer Sentiment was 84.9 in the June 2006 survey, up from 79.1 in May. Most of the gain this month was in individuals’ evaluations of current economic conditions; investors in Florida real estate, for example, still see potential for profit.

“Rather than a free-fall in confidence that has sparked recessions in the past, consumers have demonstrated a resilience based on a newfound sense of long-term economic stability,” said Richard Curtin, director of the survey.

Taking out Florida home loans, analyzing spending: The year ahead

While consumers will curtail their spending in the year ahead to accommodate higher gas prices and smaller cash-outs from Florida home loan refinancing, the spending cutback will be moderate.

While high energy prices are no longer viewed as temporary, individuals have not abandoned their view that inflation will revert to lower levels over the longer term. For the near future, however, they are concerned.

“Just one-third of all consumers expect their financial situation to improve, with a rising number that expect inflation to offset any wage gains they receive during the year ahead,” said Curtin.

Only time will tell the results, of course. For now, potential buyers just need to organize their debts and look at their credit score if they wish to be approved for a Florida home loan.