Consumer sentiment is a statistical measure of the overall health of the economy. It is an economic indicator of the health of the U.S. economy that is based on consumer opinion.
Therefore, The Michigan Consumer Sentiment Index (MCSI) is a monthly survey of U.S. consumer confidence levels conducted by the University of Michigan. It is based on telephone surveys that gather information on consumer expectations regarding the overall economy.
Consequently, the consumer sentiment for the U.S. was revised higher to 97.2 last month (April 2019), up from a preliminary 96.9. Thus, the consumer expectations sub-index came in stronger than initially thought.
This is good news, indeed!
Florida Consumer Sentiment
Now, let’s shift from the U.S. number to Florida, in particular. (The info in this article about Florida’s index comes from www.gotoby.com.)
In April, Florida consumer sentiment is its highest level in 17 years. These confidence levels haven’t been here since March 2002.
Consequently, this number increased 1.4 points in April to 102 from a revised figure of 100.6 in March.
Compare the U.S. number for April 2019 of 97.2 to Florida’s number of 102. That’s a 4.8 spread between Florida and the national number.
Anything over a 2 point difference is statistically significant with this index so, again, this is incredible news for us Florida residents!
More About Florida’s April 2019 Index
There are several factors comprising Florida consumer sentiment. One factor is Floridian’s opinions about current economic conditions. Thus, views of current personal finances compared with a year ago increased.
Conversely, opinions of whether right now is a good time to buy a “big ticket item” (i.e. kitchen appliance) decreased from a year ago.
Both the increase and decrease are less than the statistically significant “more than 2 points.” So, although this is interesting info, it’s probably nothing to be concerned about.
However, regarding the three components representing expectations for future economic conditions, there’s definitely something to acknowledge — and it’s all positive.
In fact, all three components increased more than the “statistically significant” 2 points from last year’s numbers:
- Expectations of personal financial situations a year from now rose 3.2 points
- Expectations of U.S. economic conditions over the next year increased 2.3 points
- Expectations of U.S. economic conditions over the next five years increased 2.4 points
Finally, for additional info regarding Florida home sales, see my blog, “Spring Forecast Residential Real Estate“.
I’m very excited about consumer sentiments throughout the U.S. this spring, especially in Florida. With all these good economic expectations, it seems like the perfect time to buy or sell a home!
Contact me to schedule an appointment to discuss your Florida home wish list.
Wishes DO come true!
Phone: (386) 569-4998