Florida Beats Texas as Homes Slim Penalty: Muni Credit – Bloomberg 06-15-12

Salient to Investors:

Florida ’s jobless rate has fallen more than in 42 counterparts in the past two years, the extra yield on its muni-bonds has dropped 25 percent this year over the average AAA security

Peter DeGroot at JPMorgan Chase says the yield spread will narrow more amid declining unemployment and climbing home sales. Justin Land at Wasmer Schroeder says the market realizes the worst is over.

Florida’s 29 electoral votes make it the biggest prize among competitive states in the November election.

The average single-family home in Florida sells for about $213,000 as of May 15, up 6.6 percent in a year. Home prices in Miami have risen for five straight months.

JPMorgan see Florida spreads narrowing on the significant improvements in housing and unemployment.

Read the full article at http://www.bloomberg.com/news/2012-06-15/florida-beats-texas-as-homes-slim-penalty-muni-credit.html