The market for cheap houses is mounting a revival in various areas of Florida. According to market observers, the real estate crisis put a lot of luxury condominium development projects on hold. Today, most developers are more interested in providing affordable houses to the residents of the region, particularly in the southern area of the state.

The rise in the number of foreclosed homes in Jacksonville and in other key metro regions of Florida has resulted in depressed housing prices and depleted financing for residential development. With luxury condominium efforts now taking a backseat, developers are turning their attention to the more in-demand segment of the housing market; the affordable home segment. Most affordable home projects are reportedly being built in South Florida, with low-income families serving as the main target for such projects.

The affordable dwellings being built in the region are said to have prices that can compete with bargain foreclosure homes in Florida. Financing for such projects is provided through the stimulus package given by the U.S. federal government to the area in 2009 which was designed to alleviate the housing crisis. According to local housing analysts, the affordable residential sector is the only segment of the regions residential property industry that is experiencing higher demand compared with supply.

The projects involved the construction of cheap houses and affordable rental communities aimed at low-income state residents. Over 25 multifamily projects are either under construction or have already been completed in South Florida, with all of them categorized as affordable housing. These affordable rental homes are reportedly meant to provide for the residential needs of the urban poor.

Market analysts reported that the South Florida region has the biggest need for affordable homes among all local markets of the state. The areas problems with rising house foreclosures for sale were aggravated by the recession that came three years ago. The double impact of these issues pushed a lot of homeowners in South Florida out of their homes into rental dwellings. However, renting has also proven to be difficult for most local residents as job losses and income reduction continue to plague the region.

With very few cheap houses available in the market even before the housing crisis started, a big number of low-income families were left without homes. The shortage in affordable homes was also partly blamed on the conversion of properties into luxury condominiums during the real estate market boom. However, local housing officials revealed that recent efforts are set to solve this shortage problem.

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