Jacksonville Housing Market Steady

The Jacksonville housing market remained relatively strong in April, but the future of the local economy is a bit uncertain, according to reports.
The unemployment rate in the Jacksonville metro area - consisting of Duval, Baker, Clay, Nassau and St. Johns counties - was unchanged at 3.1 percent last month, with annual job growth at 2.5 percent.

Also Friday, the University of North Florida’s Local Economic Indicators Project reported that its index of leading indicators for the Jacksonville area increased by 0.28 points to 111.95 in April.

But LEIP said that given the Northeast Florida housing market’s current status, revised data showed that index fell in March by 1.04 points.

UNF economist Paul Mason said that Jacksonville’s economy continues to be better than the rest of the country.

The U.S. unemployment rate was 4.5 percent in April, and the Conference Board reported Thursday that the U.S. index of leading indicators dropped by 0.5 percent last month.

But Mason also said there could be some clouds on the local horizon - not the least of which is the growing concern over the bad credit Florida mortgage market.

“Despite employment being strong and the stock market strength, rising gasoline prices and uncertainty in the housing market is reason for concern,” he said.

Statewide, Florida’s unemployment rate rose from a seasonally-adjusted 3.3 percent in March to 3.4 percent in April, the state labor agency said. The agency does not adjust the Jacksonville data for seasonal factors.

But Mason said when data is seasonally-adjusted, it shows Jacksonville’s jobless rate was basically unchanged at 3.16 percent last month.

The Georgia Department of Labor reported Thursday that the state’s jobless rate rose from 4.0 percent in March to 4.1 in April.

Florida’s overall job growth rate was 1.9 percent in April, the Florida Agency for Workforce Innovation said.

The labor agency touted a report last month from the American Electronics Association painting Florida as “a growing hub of high-tech employment.”

But technology has been one of the weakest sectors in the Jacksonville job market. Despite low Florida mortgage rates luring job seekers from out of the area, the agency reported that jobs in the information sector in the Jacksonville area have fallen by 1.8 percent in the past year.

The only other major sector that has been losing jobs in the Jacksonville area is manufacturing, which has declined by 3 percent.

The construction industry, which has continued to add jobs despite the housing market slump, slowed to a 0.6 percent annual gain in April.

All in all, Jacksonville remains in much better shape than much of the Sunshine State economically, and represents a solid option for Florida mortgage seekers and job hunters alike.

SOURCE: Florida Times-Union