State Population Growth Takes a Dive

(Crystal Proenza is associate editor of Real Estate Florida.)

GAINESVILLE, FL-New research released by the University of Florida shows that annual average population increase in the state over the next two years is projected to dip down to its lowest level in 60 years. Data shows that projected growth has dipped dramatically, dropping more than 90% from the annual average increase between 2002 to 2006, which are considered “boom years.” Between 2007 and 2008 the state grew by 127,000 residents, versus 331,000 between 2006 and 2007.

“The major reasons for the slowdown are two-fold,” Stan Smith, director of UF’s Bureau of Economic and Business Research, tells GlobeSt.com. “One is the slowdown in job creation. Earlier in this decade, Florida was adding several hundred thousand jobs per year, and in the last year has lost 350,000 jobs.” Those jobs were one of the main magnets drawing residents to the state, he adds. “The second factor is the housing meltdown. When people have difficulty selling their homes, that tends to slow down their migration to growing states such as Florida.”