GAINESVILLE, Fla. – Jan. 4, 2010 – Florida’s overall consumer confidence remained unchanged at 69 in December, with increasing pessimism about personal finances offset by an improved outlook about the U.S. economy over the next five years, according to a new University of Florida survey.

Perceptions of personal finances now compared with a year ago fell three points to 46, while perceptions of personal finances a year from now fell one point to 81, says Chris McCarty survey director of UF’s Bureau of Economic and Business Research. Also declining were perceptions of whether it is a good time to buy big-ticket consumer items, which fell two points to 76.

In contrast, perceptions of U.S. economic conditions over the next year rose two points to 67, while perceptions of U.S. economic conditions over the next five years rose three points to 75.

“Recently, Florida has had a little more bad news than good news,” says McCarty. “There are some indications that other parts of the country, particularly those areas surrounding Washington, D.C., are improving while Florida appears to be lagging the economic recovery. Some states are simply better equipped to benefit from the stimulus dollars; it is far from an equal distribution.”

The median price of a single-family home in Florida declined over the past few months from a 2009 high of $148,000 in June to $139,000 in November, McCarty says. In addition, Florida’s unemployment rose to 11.5 percent in November, a larger gain than most economists expected, McCarty says. The increase comes at a time when the national unemployment rate actually declined.

“There is a strong possibility that Florida’s unemployment could cause housing prices to decline even further as unemployed homeowners face foreclosure,” he says.

Adding to Florida’s economic troubles is that while it and other states have received stimulus funds for unemployment and Medicaid payments, much of that help is scheduled to run out in 2010, leaving a large hole for the state to fill, McCarty says.

An $8,000 tax rebate to first-time homebuyers has been extended and a new rebate of $6,500 added for those who have owned a home for at least five years and plan to buy a new one. While those measures are likely to stimulate sales during the spring buying season and result in higher median housing prices, it is uncertain whether the economy will be on a more firm footing when those rebates run out in April, McCarty says.
 
The research center conducts the Florida Consumer Attitude Survey monthly. Respondents are 18 or older and live in households telephoned randomly. The preliminary index for December was conducted from 593 responses. The index is benchmarked to 1966, so a value of 100 represents the same level of confidence for that year.

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