An average of 8.5 new residents moved to Flagler County each day between July 1, 2015 and July 1, 2016. That’s more than one person per day greater than the previous year.
PALM COAST, FL – March 23, 2017 – The U. S. Census Bureau released today its County and Metro/Micro Area Population Estimates showing estimated population as of July 1, 2016. The Deltona – Daytona Beach – Ormond Beach Metro Area (which includes all of Flagler and Volusia counties) grew by 2.3% between July 1, 2015 and July 1, 2016, making it the 21st fastest-growing metro area in the country.
Ten of the country’s 25 fastest-growing metro areas were in Florida, led by #1, The Villages with a 4.3% growth rate.
Flagler County added 3,122 new residents, a 3% (2.968%) increase during the period between July 1, 2015 and July 1, 2016. The county’s population is estimated to have been 108,310 on July 1, 2016.
Volusia added 11,174 residents, a 2.16 % yearly gain, bringing its estimated population to 529,368 on July 1, 2016. The previous year’s gain was 2.0%
St Johns County, Flagler’s neighbor to the north, added 8,429 new residents, a 3.7% increase during the measurement period vs 3.9% the previous year. St Johns July1, 2016 population stood at 235,087.
Population Growth to Fuel Housing Shortage and Real Estate Price Increases
Flagler’s accelerating growth rate coincides with the disappearance of distressed properties (short sales and foreclosures) locally. Distressed properties represented only 5.7% of all single-family Flagler homes sold through MLS in February and only 3.2% of the total value of homes sold.
Assuming an unchanged 3% growth rate, Flagler County will add another 3,250 residents by July 1, 2017. That growth represents a demand for roughly 1,400 to 1,500 new residential housing units; homes, condos or apartments.
Only 780 single-family building permits were issued in Flagler County in 2016. There were no permits for condos or apartments. Year-to-date, 176 building permits have been issued, projecting a shortfall this year of 600 to 800 housing units.
With practically no vacant distressed homes available, the pressure rests solely on new construction to satisfy the need for new housing. To the extent that new construction does not fulfill the need, home and rental prices are likely to rise. Nationally and locally, builders are suffering from a shortage of skilled labor in the building trades, a problem that is not likely to be solved soon.