Arizona’s Back-On-Track Economy

Arizona’s Back-On-Track Economy

Posted 12/06/2012

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There’s no denying Arizona’s road to economic recovery has had more bumps and twists than a carnival ride.  But, good news on several fronts last month gives us reason to believe we may be back on track again – at least for the time being.

According to an article in The Arizona Republic, three recent reports identify Arizona as a state that’s improving faster than anywhere else in the country. Of course, Arizona took a harder hit than many other places during the Great Recession and, therefore, has more room to improve. Yet, the burst of improvement in several key areas — including mortgage-delinquency rates, personal economic stability, jobless rates and annual changes in housing prices, to name just a few – is encouraging.

To summarize from the three reports:

TransUnion credit bureau: Arizona’s mortgage-delinquency rate has dropped faster than any other state over the past year.

Yale University and the Rockefeller Foundation: Arizonans showed the greatest improvement in personal economic security during 2011 (measured by factors ranging from more stable personal income to decreased debt levels).

BMO Capital Markets: Between the second and third quarters of this year, Arizona jumped from the eighth-worst spot in the nation to the fifth best, based on current jobless rates, annual changes in housing prices, export growth and estimated economic growth. To quote BMO economists Sherry Cooper and Robert Kavcic: “The Arizona economy is in full recovery mode, with home prices on the rise and construction activity moving higher, albeit from extremely depressed levels.”

According to the BMO economists, Arizona’s economic momentum is expected to continue at above-average levels, fueled by continued job gains and housing-market improvement.

Read the full article here.