Florida is one state that was left in shambles by the credit crisis. It once enjoyed a construction spree during the peak of the real estate industry but sales have turned sour for three years now. Newly built condos remain vacant and single family homes end up in foreclosures.

On the bright side, Miami and Palm Beach are slowly regaining their ground as buyers are paying for some properties in these areas. This could signal a slow recovery for the entire state.

Miami’s financial centers provide the backbone to its economy but many residents are below the poverty level. Many condominium projects were constructed but only a few were sold. This has added pressure to the prices of homes that RealtyOutlook.com is forecasting to dip by 21 percent this year.

Palm Beach may still be the place for hedge fund managers, celebrities, business tycoons and the like but home prices have gone down. With this drop, many find the town’s properties to be cheap. For this year, buyers can find better deals as home values fall by a high 14 percent.

One of the most resilient cities is Tallahassee. Before ushering in the new year, smaller markets are already dispensing their current housing supply to investors. That puts a halt to the tremendous plummet of home values across the Florida area. In fact, home values will only fall by 8.5 percent in 2009.

The tourism-driven economy of Fort Lauderdale had boomed with excessive construction of condos and homes. This glut supply is now offered in property auctions were developers expect to recover from their losses. The city is set to have prices deflated by 13 percent this year.

You can find buyers excitedly bidding for homes in Naples. The financial crisis has brought down prices to bargain levels in the largest city in Collier County. In fact, many homeowners are forced to accept lower paid values for their homes. Home prices will deflate by 14 percent in 2009.

Tampa’s home prices have fallen for three consecutive years already. The residential development’s earnings were nicked heavily by the crisis. Retail and insurance firms also felt the crunch with a series of job cuts. As such, Tampa is going to experience a drop in home values by 13.5 percent in 2009.

Likewise, Orlando is reliant on Disneyworld’s opportunities. Investors are keen on owning condos and homes that can be used for tourist accommodation during their visit to the amusement park. However, the massive home building brought pressure to home values and resulted to a number of foreclosures. RealtOutlook.com projects home prices will drop by 13.5 percent this year.

The largest city in the state, Jacksonville, performed a lot better than other cities last year. Home sales have improved despite the drought in financial industries and technology firms. Although there were lay offs in property, finance and manufacturing sectors, the city can manage the forecasted 11 percent deflation in home values through sustained house buying.

 Florida resident, Harvard MBA & CPA Ken Wade will show you how to uncover the best and worst markets in Florida so you will know exactly when and where to invest - Click Here for Insider Video