Pending home sales in March continued
their recent momentum, rising for the third straight month and remaining
at their highest level since June 2013, according to the National
Association of Realtors® (NAR).
The Pending Home Sales Index (PHSI), a forward-looking indicator
based on contract signings, climbed 1.1 percent to 108.6 in March from
an upward revision of 107.4 in February. It's now 11.1 percent above
March 2014 (97.7).
The index has increased year-over-year for seven consecutive months and is at its highest level since June 2013 (109.4).
"Demand appears to be stronger in several parts of the country,
especially in metro areas that have seen solid job gains and firmer
economic growth over the past year," says Lawrence Yun, NAR chief
economist. "While (it's) certainly good news, the increased number of
traditional buyers who appear to be replacing investors paying in cash
is even better news. It indicates this year's activity is being driven
by more long-term homeowners."
Yun expects a gradual improvement in home sales in the coming months,
but he says insufficient supply and accelerating prices could be a
speed bump.
"Demand in many markets is far exceeding supply, and properties in
March sold at a faster rate than any month since last summer," Yun says.
"This in turn has pushed home prices to unhealthy levels – nearly four
or more times above the pace of wage growth in some parts of the
country.
"Simply put, housing inventory for new and existing homes needs to improve measurably to improve affordability," Yun adds.
The PHSI in the Northeast fell (1.5 percent) for the fourth straight
month to 80.2 in March, but it's 0.6 percent above a year ago. In the
Midwest, the index declined 2.5 percent to 107.5 in March, but it's 11.3
percent above March 2014.
Pending home sales in the South increased 4.0 percent to an index of
126.5 in March and they're 12.4 percent above last March. The index in
the West rose 1.7 percent in March to 103.7, and it's now 15.6 percent
above a year ago.
© 2015 Florida Realtors®
Reprinted courtesy of Florida Realtors
Original post: http://www.floridarealtors.org/NewsAndEvents/article.cfm?p=1&id=322676
Showing posts with label real estate market. Show all posts
Showing posts with label real estate market. Show all posts
Friday, May 1, 2015
Monday, October 13, 2008
Pending Homes Sales Up Strongly
Pending Home Sales Up Strongly
WASHINGTON, D.C. - Pending home sales activity surged as buyers took advantage of low home prices and affordable interest rates, according to the National Association of Realtors®.
The Pending Home Sales Index, a forward-looking indicator based on contracts signed in August, jumped 7.4 percent to 93.4 from an upwardly revised reading of 87.0 in July, and is 8.8 percent higher than August 2007 when it stood at 85.8. The index is at the highest level since June 2007 when it stood at 101.4.
Lawrence Yun, NAR chief economist, said home buyers were responding to improved affordability. “What we’re seeing is the momentum of people taking advantage of low home prices, with pending home sales up strongly in California, Nevada, Arizona, Florida, Rhode Island and the Washington, D.C., region,” he said. "It’s unclear how much contract activity may be impacted by the credit disruptions on Wall Street, but we’re hopeful most of the increase will translate into closed existing-home sales.”
The PHSI in the West surged 18.4 percent to 109.5 in August and remains 37.8 percent above a year ago. In the Northeast the index jumped 8.4 percent to 79.8 and is 2.0 percent higher than August 2007. The index in the Midwest rose 3.6 percent to 84.5 in August and is 6.6 percent above a year ago. In the South, the index increased 2.3 percent to 96.0 but is 2.1 percent below August 2007.
Yun notes the unusual timing of contract activity in August. “Home buyers in July were hampered by overly stringent lending criteria in the months before the government takeover of Fannie and Freddie,” he said. “August shows some unleashing of pent-up demand before the credit crisis accelerated in September.”
He cautioned that the sampling size for pending home sales is smaller than the track on existing-home sales, so there is more volatility in the forward-looking series. “We need to see just how much of this gain holds up,” Yun said.
NAR President Richard F. Gaylord, a broker with RE/MAX Real Estate Specialists in Long Beach, Calif., said despite all the turmoil in world financial markets, home mortgages are available. “Mortgages have been harder to find, and availability and terms vary depending on credit score and location, but Realtors® can help buyers find reputable lenders while helping them navigate the transaction process,” he said. “The recently enacted economic stimulus package should help housing by gradually freeing the flow of credit.”
Yun now expects growth in the U.S. gross domestic product (GDP) to contract for two consecutive quarters, in the fourth quarter of this year and the first quarter of 2009, before expanding in latter part of 2009 as the housing market begins a steady improvement.
Looking at middle-ground assumptions, existing-home sales are forecast at 5.04 million this year and 5.41 million in 2009. Following national declines of 5 to 8 percent in 2008, home prices are projected to increase 2 to 3 percent next year.
New-home sales should total around 503,000 this year and 471,000 in 2009. Housing starts, including multifamily units, are likely to fall 28.2 percent to 973,000 units this year, and come in around 843,000 in 2009 as builders continue to clear the accumulation in inventory.
The 30-year fixed-rate mortgage will probably average 6.1 percent in the fourth quarter and rise gradually to 6.6 percent by the end of 2009. NAR’s housing affordability index is expected to average 18 percentage points higher this year than in 2007.
The unemployment rate is projected to average 6.4 percent in the fourth quarter and then average 6.6 percent in 2009. Inflation, as measured by the Consumer Price Index, is estimated at 4.0 percent for 2008 and 2.0 percent next year. Inflation-adjusted disposable personal income is forecast to grow 1.7 percent this year and 1.0 percent in 2009.
Reprinted from National Realty News:
http://nationalrealtynews.com/content/templates/standard.aspx?articleid=1278&zoneid=1
WASHINGTON, D.C. - Pending home sales activity surged as buyers took advantage of low home prices and affordable interest rates, according to the National Association of Realtors®.
The Pending Home Sales Index, a forward-looking indicator based on contracts signed in August, jumped 7.4 percent to 93.4 from an upwardly revised reading of 87.0 in July, and is 8.8 percent higher than August 2007 when it stood at 85.8. The index is at the highest level since June 2007 when it stood at 101.4.
Lawrence Yun, NAR chief economist, said home buyers were responding to improved affordability. “What we’re seeing is the momentum of people taking advantage of low home prices, with pending home sales up strongly in California, Nevada, Arizona, Florida, Rhode Island and the Washington, D.C., region,” he said. "It’s unclear how much contract activity may be impacted by the credit disruptions on Wall Street, but we’re hopeful most of the increase will translate into closed existing-home sales.”
The PHSI in the West surged 18.4 percent to 109.5 in August and remains 37.8 percent above a year ago. In the Northeast the index jumped 8.4 percent to 79.8 and is 2.0 percent higher than August 2007. The index in the Midwest rose 3.6 percent to 84.5 in August and is 6.6 percent above a year ago. In the South, the index increased 2.3 percent to 96.0 but is 2.1 percent below August 2007.
Yun notes the unusual timing of contract activity in August. “Home buyers in July were hampered by overly stringent lending criteria in the months before the government takeover of Fannie and Freddie,” he said. “August shows some unleashing of pent-up demand before the credit crisis accelerated in September.”
He cautioned that the sampling size for pending home sales is smaller than the track on existing-home sales, so there is more volatility in the forward-looking series. “We need to see just how much of this gain holds up,” Yun said.
NAR President Richard F. Gaylord, a broker with RE/MAX Real Estate Specialists in Long Beach, Calif., said despite all the turmoil in world financial markets, home mortgages are available. “Mortgages have been harder to find, and availability and terms vary depending on credit score and location, but Realtors® can help buyers find reputable lenders while helping them navigate the transaction process,” he said. “The recently enacted economic stimulus package should help housing by gradually freeing the flow of credit.”
Yun now expects growth in the U.S. gross domestic product (GDP) to contract for two consecutive quarters, in the fourth quarter of this year and the first quarter of 2009, before expanding in latter part of 2009 as the housing market begins a steady improvement.
Looking at middle-ground assumptions, existing-home sales are forecast at 5.04 million this year and 5.41 million in 2009. Following national declines of 5 to 8 percent in 2008, home prices are projected to increase 2 to 3 percent next year.
New-home sales should total around 503,000 this year and 471,000 in 2009. Housing starts, including multifamily units, are likely to fall 28.2 percent to 973,000 units this year, and come in around 843,000 in 2009 as builders continue to clear the accumulation in inventory.
The 30-year fixed-rate mortgage will probably average 6.1 percent in the fourth quarter and rise gradually to 6.6 percent by the end of 2009. NAR’s housing affordability index is expected to average 18 percentage points higher this year than in 2007.
The unemployment rate is projected to average 6.4 percent in the fourth quarter and then average 6.6 percent in 2009. Inflation, as measured by the Consumer Price Index, is estimated at 4.0 percent for 2008 and 2.0 percent next year. Inflation-adjusted disposable personal income is forecast to grow 1.7 percent this year and 1.0 percent in 2009.
Reprinted from National Realty News:
http://nationalrealtynews.com/content/templates/standard.aspx?articleid=1278&zoneid=1
Wednesday, February 27, 2008
What's REALLY Happening in Florida - Winter 2008 Newsletter
**Greetings from Branon Edwards and Jelena Panfilova
from Aqualand Realty in sunny South Florida!
Welcome to another edition of InvestFloridaRealty.com's Florida real estate newsletter. There have been a lot of changes to the real estate landscape including the increase of foreclosures and sale inventory, new homestead exemption and portability for property tax reductions, as well as phenomenal opportunities for buyers and investors. We hope to dispel some of the misinformation being touted by the media while also giving you some solid information you can use.
In this issue:
-Homestead Portability Thanks to Amendment 1 (Action Required)
-Time to Refinance?
-Featured Property: Porpoise Point Fishing Resort
-Our Real Estate Listings (Homes, Condos, Land, Vacation Rentals)
-What's REALLY Happening in Florida's Real Estate Market?
-Buyers' Market Highlights including Currency Exchange
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Homestead Portability Thanks to Amendment 1 (Action Required)
What you should do to receive benefits of Amendment 1
To receive some of the benefits of the changes enacted January 29th, certain citizens must take action by March 1, 2008. The Constitutional amendment created four new opportunities for taxpayers to obtain tax relief:
1. Increased homestead exemption
2. Portability of "Save our Homes" benefit
3. $25,000 exemption for tangible personal property
4. 10% annual assessment limitation for non-homestead property
What taxpayers must do to receive these new benefits:
1. Increased homestead exemption - Homeowners that are currently receiving the homestead exemption will automatically receive the increased homestead exemption. No action is necessary.
2. Portability of "Save our Homes" benefits - If you received the homestead exemption in 2007 on a home that you sold or otherwise abandoned during 2007 and have purchased a new home by January 1, 2008, you are eligible to take some or all of the benefit of "Save our Homes" to your new home. In order to receive this benefit, you must apply by March 1, 2008 to your property appraiser for your new homestead exemption and for the transfer of the "Save Our Homes" benefit to your new homestead for 2008.
3. $25,000 exemption for tangible personal property - Tangible personal property taxes apply only to certain taxpayers in Florida - typically businesses and certain owners of mobile homes. The tax does not apply to homesteaded property. In order to receive the $25,000 exemption for tangible personal property, taxpayers subject to the tax must file a tangible personal property return with their property appraiser by April 1, 2008.
4. 10% limit on annual assessment increases for non-homestead property - The 10% limitation does not apply until next year. No application is necessary for 2008.
If you have any questions about what action you must take to receive these new benefits, please contact your local property appraiser. For information on how to contact Florida's property appraisers, go to http://dor.myflorida.com/dor/property/appraisers.html
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TIME TO REFINANCE?
If you're like most Americans who purchased a property between 2004-2006, chances are that you have an adjustable rate mortgage (ARM). It's also very likely that this mortgage is about to convert from the original 'teaser' low interest rate to a much higher interest rate that will push up your monthly mortgage payment substantially.
If your current interest rate is higher than 8%, then you will likely benefit enough from refinancing your mortgage to make it worthwhile. Even if you interest rate is 7%, you could benefit from a refinance if you plan to keep the property longer than 5 years.
With recent cuts in the interest rate by the Federal Reserve (and more on the way), interest rates are very attractive presently. However, your actual interest rate will vary based on your credit score, the type of property (primary residence, second home, investment, etc), how you plan to prove your financial situation (full documentation, bank statements, stated, etc), and the purpose of the loan (cash-out or just rate change).
If you would like a complimentary mortgage consultation, please call Branon at 786-417-4910 or send an email to Branon@InvestFloridaRealty.com
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FEATURED PROPERTY: Porpoise Point Fishing Resort
Aqualand Realty is happy to present to our customers a new bay front townhome development on the island community of Matlacha. Matlacha (Mat-Luh-Shay) is a quaint fishing village located between Cape Coral and Pine Island on the West Coast of Florida. On a broader geographic scale, it is located between the larger cities of Fort Myers and Sarasota. It is within a 30-minute drive of Southwest Florida International Airport in Fort Myers (Airport Code RSW).
The best way to describe Matlacha is that it looks like the Florida Keys 25 years ago. There are no high-rises and the historical society and local building regulations will keep it that way. In fact, there is a height restriction in place that limits buildings to no more than 3 stories.
Porpoise Point Fishing Resort is a new 20-unit townhome community that is located right on a wide expanse of Bay on the South side of the island. We can tell you from personal experience that the name is justly earned. We have yet to spend any time at the community without seeing the local pod of dolphins swimming by during the day. There are also families of Osprey and a Bald Eagle, not to mention a plethora of tropical birds and wildlife. Matlacha and Pine Island are perhaps one of the few unspoiled islands left in Florida that you can actually reach without a boat. Of course, the fishing in the area is phenomenal and it’s home to the World’s Richest Tarpon Tournament – the entry fee for the tourney is a mere $100,000!
This exclusive community will offer owners a 2,000-square foot private residence with 3 balconies, 3-bedrooms, and 3-and-a-half baths. In addition, the third bedroom can be converted to a guest suite with nightly renting potential. The community's zoning permits the main part of the residence to be rented with a 5-night minimum. There will also be deeded boat docks available including approximately six shoal-draft slips that should accommodate up to 26-foot boats, and deep water slips that should accommodate larger vessels with approximately a 5-foot draft at mean low tide. These slips should be large enough for a +40-foot sailboat with direct access (no bridges) to the Gulf of Mexico.
Click Here for More Information About or to Schedule a Private Tour of Porpoise Point:
http://www.InvestFloridaRealty.com/listings/porpoise-point.htm
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OUR REAL ESTATE LISTINGS (Homes, Condos, Land)
1,129 Acres
Evans Road, Labelle, FL
90-1,129 Acres of Mostly Cleared Land
Currently Zoned AG and Operated as Farm and Pasture
Could be Single Family Homesites, Dirt Mine, or Farm for BioDiesel/Ethanol
Priced from $20,000 Per Acre
http://www.InvestFloridaRealty.com/listings/792-labelle.htm
Galt Island Estate
4981 Galt Island Ave
Saint James City, FL
3-Bedrooms / 3-Baths / Boat Dock with Lift
3-Story on Private Island
Originally $2.5 Million
Reduced to Just $2.2 Million
http://www.InvestFloridaRealty.com/listings/galt-island-home.htm
Waterfront Castle with Gulf Access!
3651 Turtledove Blvd
Punta Gorda, FL 33950
Brand New Construction
3-Bedrooms/3.5-Baths/Boat Dock with Lift
Gulf Access for Sailboats
Originally $2 Million
Blow Out Priced at $1,499,900!
http://www.InvestFloridaRealty.com/listings/pgi.htm
Porpoise Point Fishing Resort
Matlacha, FL (Pine Island)
3-Bedroom/3.5-Bath/3-Balcony/3-Story Bayfront Townhomes
Preconstruction Prices from $875,500
Private Boat Docks Available
CHECK OUT THE VIRTUAL TOUR ONLINE
http://www.InvestFloridaRealty.com/listings/porpoise-point.htm
Trump Towers One
Brand New Beachfront Construction
2-Bedrooms/3-Baths + Den
Direct Ocean Views
3 Units to Choose From
Purchase Preconstruction Contract for 50% of Deposit!
Prices from the $800,000s to High $900,000s
Ocean Four
17201 Collins Ave, Unit 1506
Sunny Isles Beach, FL
2-Bedrooms / 2-Baths / 2-Balconies
Beachfront Building. Unit has direct West views
of Intracoastal, City, and Fabulous Sunsets.
Over $750,000 Invested
Blow Out Priced at Just $635,000!!
Rented Short-Term @ $2200/month until May 2008
http://www.InvestFloridaRealty.com/listings/ocean-4.htm
Marina Walk on Pine Island
Saint James City, FL 33956
Gated Waterfront Community with Boat Docks
Homes from the high $400,000s
http://www.InvestFloridaRealty.com/listings/marina-walk.htm
Cape Coral Gulf Access Home – Reduced $190,000!
2540 SW 36th Lane
Cape Coral, FL
3-Bedrooms / 2-Baths / 2-Car Garage
U-shaped Captain's Dock with 7,000-lb Lift
Originally $650,000
Priced for Immediate Sale at $459,900!
http://www.InvestFloridaRealty.com/listings/gulf-access.htm
Saint James City Gulf Access Building Lot
2395 Sycamore Street
Saint James City, FL
New Sea Wall plus Dock Permit
Originally $500,000
Reduced to $475,000
Reduced Again to $460,000
Blow Out Priced at $375,000!
http://www.InvestFloridaRealty.com/listings/sycamore.htm
Axis at Brickell Village
Brand New Construction in Downtown Miami
Close to EVERYTHING, Great Amenities!
Contract Now, Close with Developer in February
Unit #3404-S - 2/2 Bay View @ $459,900
http://www.InvestFloridaRealty.com/listings/axis.html
Unit #1412-S - 2/2 City View @ $400,000
http://www.InvestFloridaRealty.com/listings/axis.htm
Hollywood Hills
3701 Washington Street
Hollywood, FL 33021
3-Bedroom / 2-Bath / 2-Car/Fenced Yard
Fenced Yard, lots of upgrades
Tenant at $2,100/month until July 2008
Originally $384,000 (below Appraisal)
Priced to Sell at Just $373,900
http://www.InvestFloridaRealty.com/listings/3701-washington.htm
Saint James City Acreage
4094 Sunshine Blvd
Saint James City, FL 33956
5 Acres Building Lot on Paved Road
Road frontage on 3 sides
Could Possibly be Subdivided
Should be $400,000
Asking Just $316,000 ($63,500 per acre!)
http://www.InvestFloridaRealty.com/listings/sunshine-blvd.htm
Latitude on the River
185 SW 7th St, #1708
Brand New Construction in Downtown Miami
1-bedroom/1-bath with Bay Views
Was $269,900
Blow-Out Priced at $259,900! - UNDER CONTRACT
http://www.InvestFloridaRealty.com/listings/latitude.htm
BUSINESS FOR SALE
Cash Cow High-End Flower Shop in Downtown Fort Lauderdale
High Profits, Low Overhead, Over $100,000 in Inventory Included
Unbelievable Price of $249,900
http://www.InvestFloridaRealty.com/listings/flower-shop.htm
401 Blu
401 69th Street, #311
Miami Beach, FL 33141
1-Bedroom / 1-Bath
Newly renovated building
Tenant at $1300/month until June 2008
Originally $275,000
Priced for Quick Sale at $239,900
http://www.InvestFloridaRealty.com/listings/401-blu.htm
Meadowbrook Towers
610 NE 12th St
Hallandale Beach, FL 33009
1-Bedroom/1-Bath Condo in 55+ Community
Overlooking Pool and Clubhouse, Recent Upgrades
Was $138,900
Now Just $129,900!
http://www.InvestFloridaRealty.com/listings/meadowbrook-towers.htm
Little Palm Village
Saint James City, FL 33956
Single Family Home Building Lots
Buy Now, Build Later
Priced from the high $40,000s
Various Olde Florida Home Plans Available
http://www.InvestFloridaRealty.com/listings/little-palm-village.htm
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VACATION RENTALS – TurnKey Furnished with Ocean Views:
2080 Ocean Drive, Hallandale Beach
2-Bed/2-Bath Penthouse-09 from $3250/month
http://www.InvestFloridaRealty.com/rental/hallandale-beach.htm
2-Bed/2.5-Bath Corner Penthouse-01 from $3750/month
http://www.InvestFloridaRealty.com/rental/2080-ocean-dr.htm
2-Bed/2-Bath Lower Penthouse-10 from $3250/month
http://www.InvestFloridaRealty.com/rental/2080-ocean-drive.htm
Hollywood Beach Resort - #438
Large Oceanfront Studio with 2 Queen Beds from $1600/month ($999/week)
http://www.InvestFloridaRealty.com/rental/hollywood-beach.htm
Alexander Towers - #806
2-Bed/2-Bath Oceanfront, 3 Queen Beds + 1 Twin Bed
http://www.InvestFloridaRealty.com/rental/alexander-towers.htm
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What's REALLY Happening in Florida's Real Estate Market?
We know the media has basically been saying that the sky is falling for over a year now. In fact, if you listen to everything on the news or believe everything you read in the papers, you're likely standing on the edge of a tall building at the moment. However, you'll probably be surprised to know that things really aren't as horrible as they would like you to think. Step away from the ledge now please.
According to the media, housing values have dropped by 50% in some places - this is, of course, an exaggeration, but what's new? As an example, the Miami market hadn't depreciated at all until just this last quarter. And even then, it was an annualized depreciation of just 3.1%. That's a far cry from thinking your house had been devalued by 50%. In fact, over the last 12 months, homes in Miami-Dade County have actually APPRECIATED by 3.4% overall.
We subscribe to a very high-end real estate software system that tracks almost 400 large municipal markets throughout the USA. This system tracks the ACTUAL property appreciation for single family homes in these areas by sales, not by median home price. Median Home Price is the most commonly used gauge of how markets are performing, but if you know what the 'median' really means, you know it's not a good gauge at all. The system we use tracks individual homes in a given market over a 30-year period. By doing so, it can calculate what each home has sold for over time and thereby calculate the true appreciation rate.
By the way, if you would like more information on subscribing to this service, click here:
http://www.InvestFloridaRealty.com/RealEstateToolKit
Here's the actual overview of several markets here in Florida:
Miami & Miami-Dade County
Last Quarter Annualized -3.1%
2 Quarters Ago Annualized +1.8%
Last 12 Months +3.4%
3 Years Ago +21.9%
5 Years Ago +14.9%
10 Years Ago +2.0%
Fort Lauderdale & Broward County
Last Quarter Annualized -13.7%
2 Quarters Ago Annualized -4.2%
Last 12 Months -4.7%
3 Years Ago +24.1%
5 Years Ago +14.1%
10 Years Ago +1.7%
West Palm Beach & Palm Beach County
Last Quarter Annualized -11.1%
2 Quarters Ago Annualized -9.8%
Last 12 Months -6.9%
3 Years Ago +26.1%
5 Years Ago +13.7%
10 Years Ago +2.3%
Fort Myers, Cape Coral & Lee County
Last Quarter Annualized -16.6%
2 Quarters Ago Annualized -9.2%
Last 12 Months -9.7%
3 Years Ago +19.6%
5 Years Ago +13.5%
10 Years Ago +1.6%
Please keep in mind that these are the appreciation rates for single family homes - not for condominiums. Given the overbuilding of condos in recent years in Southeast Florida, the condo market is substantially different than the market for houses. Condos tend to be even more localized markets with individual buildings acting as neighborhoods and fluctuating based on the individual investor mix in that particular building. Our condo market is wide open presently with units that originally sold in preconstruction for $600 per square foot being offered for $400 per square foot, etc. If you don't plan to sell in the next year or two, condos can be an excellent addition to your portfolio right now - particularly in buildings that allow seasonal rentals.
If you would like more information on subscribing to the market tracking service, click here: http://www.InvestFloridaRealty.com/RealEstateToolKit
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BUYERS’ MARKET HIGHLIGHTS including Currency Exchange
What is a Buyers' Market? Simply put it is a real estate market when the market conditions favor the buyer more so than the seller. Typically it means that there are more properties listed for sale than there are buyers to purchase them. In this specific market, it also means that in addition to the large amount of available inventory, sellers are also experiencing increased motivation to sell.
Florida experienced a huge increase in property values during the heat of the market in 2003-2005. This wave of appreciation attracted vast numbers of inexperienced investors into the market. Many of these investors are now sitting on properties that are vacant with mortgages that are inching upward as their rates adjust. Lots of these folks are now offering their properties at a substantial loss from what they paid for them just a few years ago. Foreclosures are looming across the United States, which again adds to the seller motivation.
From an investor's perspective, a Buyer's Market is exactly that - a great time to BUY. It's not a great time to sell, especially if you're artificially motivated, but the opportunities in the Florida market are exceptional. However, in any market, people are always buying and selling because of changes in their housing needs.
If we factor in the weak US Dollar, Florida real estate is an unbelievable bargain for foreigners or those buying with non-US currencies like the Canadian Dollar, the Euro, and the British Pound. These buyers have the benefit of additional incentives because of the attractive currency exchange rates.
At this writing, the exchange rates for these currencies are:
1 Euro = $1.48
1 British Pound = $1.97
1 Canadian Dollar = $1.01
Historically, the Canadian Dollar traded in recent years for about 60-cents in US Dollars. With this in mind, it means that Canadian buyers are now buying US real estate at about a 40% Discount! Many of these buyers are paying cash now with the anticipation of the market eventually normalizing. Once the exchange rate 'goes back to normal', these buyers will refinance their properties and take cash out. They can then convert the resulting US Dollars to Canadian Dollars and reap a nice profit once again from the exchange rate - leaving them with very little actually invested in the property.
In short, if you're considering investing in Florida, now is a great time to do so. Even if we haven't technically reached a 'bottom' of the market, many sellers are sufficiently motivated that negotiating the few points between the present market and 'the bottom' that you can often get an even better deal. Granted, highly sought after properties are still selling well and prices are holding steadily in established areas without high investor concentrations. As always, location is still the dominating factor in determining value in the real estate market.
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We hope you found this information useful. Of course, if you have any questions about the market in general or your specific situation, please feel free to give us a call at any time.
As always, thank you for the opportunity to earn your business. We also appreciate your trust and welcome the opportunity to assist your family and friends with their Florida real estate needs as well.
All the best,
--Branon A. Edwards, Licensed Florida Real Estate and Mortgage Broker
--Jelena Panfilova, Licensed Florida Real Estate Broker-Associate
Branon Direct: 786-417-4910
mailto:Branon@InvestFloridaRealty.com
Jelena Direct: 786-417-4911
mailto:Jelena@InvestFloridaRealty.com
Our Private Fax: 786-524-5747
VISIT OUR WEBSITE:
http://www.InvestFloridaRealty.com
VISIT OUR BLOG:
http://www.InvestFloridaRealty.BlogSpot.com
---- Office Information ----
Real Estate Office:
Aqualand Realty, Inc
8359 Stringfellow Road
Saint James City, FL 33956
Mortgage Office:
Mainland Mortgage Corp
2803 E Commercial Blvd, Suite 210
Fort Lauderdale, FL 33308
Apply Online: http://www.mainlandmortgage.com/apply-fora-loan.shtml
Thank you for the opportunity to
EARN your business.
To Subscribe from our newsletter, please click here:
mailto:branon@investfloridarealty.com?subject=SUBSCRIBE-INVESTFLORIDAREALTY
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from Aqualand Realty in sunny South Florida!
Welcome to another edition of InvestFloridaRealty.com's Florida real estate newsletter. There have been a lot of changes to the real estate landscape including the increase of foreclosures and sale inventory, new homestead exemption and portability for property tax reductions, as well as phenomenal opportunities for buyers and investors. We hope to dispel some of the misinformation being touted by the media while also giving you some solid information you can use.
In this issue:
-Homestead Portability Thanks to Amendment 1 (Action Required)
-Time to Refinance?
-Featured Property: Porpoise Point Fishing Resort
-Our Real Estate Listings (Homes, Condos, Land, Vacation Rentals)
-What's REALLY Happening in Florida's Real Estate Market?
-Buyers' Market Highlights including Currency Exchange
---------------------------------------------------
Homestead Portability Thanks to Amendment 1 (Action Required)
What you should do to receive benefits of Amendment 1
To receive some of the benefits of the changes enacted January 29th, certain citizens must take action by March 1, 2008. The Constitutional amendment created four new opportunities for taxpayers to obtain tax relief:
1. Increased homestead exemption
2. Portability of "Save our Homes" benefit
3. $25,000 exemption for tangible personal property
4. 10% annual assessment limitation for non-homestead property
What taxpayers must do to receive these new benefits:
1. Increased homestead exemption - Homeowners that are currently receiving the homestead exemption will automatically receive the increased homestead exemption. No action is necessary.
2. Portability of "Save our Homes" benefits - If you received the homestead exemption in 2007 on a home that you sold or otherwise abandoned during 2007 and have purchased a new home by January 1, 2008, you are eligible to take some or all of the benefit of "Save our Homes" to your new home. In order to receive this benefit, you must apply by March 1, 2008 to your property appraiser for your new homestead exemption and for the transfer of the "Save Our Homes" benefit to your new homestead for 2008.
3. $25,000 exemption for tangible personal property - Tangible personal property taxes apply only to certain taxpayers in Florida - typically businesses and certain owners of mobile homes. The tax does not apply to homesteaded property. In order to receive the $25,000 exemption for tangible personal property, taxpayers subject to the tax must file a tangible personal property return with their property appraiser by April 1, 2008.
4. 10% limit on annual assessment increases for non-homestead property - The 10% limitation does not apply until next year. No application is necessary for 2008.
If you have any questions about what action you must take to receive these new benefits, please contact your local property appraiser. For information on how to contact Florida's property appraisers, go to http://dor.myflorida.com/dor/property/appraisers.html
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TIME TO REFINANCE?
If you're like most Americans who purchased a property between 2004-2006, chances are that you have an adjustable rate mortgage (ARM). It's also very likely that this mortgage is about to convert from the original 'teaser' low interest rate to a much higher interest rate that will push up your monthly mortgage payment substantially.
If your current interest rate is higher than 8%, then you will likely benefit enough from refinancing your mortgage to make it worthwhile. Even if you interest rate is 7%, you could benefit from a refinance if you plan to keep the property longer than 5 years.
With recent cuts in the interest rate by the Federal Reserve (and more on the way), interest rates are very attractive presently. However, your actual interest rate will vary based on your credit score, the type of property (primary residence, second home, investment, etc), how you plan to prove your financial situation (full documentation, bank statements, stated, etc), and the purpose of the loan (cash-out or just rate change).
If you would like a complimentary mortgage consultation, please call Branon at 786-417-4910 or send an email to Branon@InvestFloridaRealty.com
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FEATURED PROPERTY: Porpoise Point Fishing Resort
Aqualand Realty is happy to present to our customers a new bay front townhome development on the island community of Matlacha. Matlacha (Mat-Luh-Shay) is a quaint fishing village located between Cape Coral and Pine Island on the West Coast of Florida. On a broader geographic scale, it is located between the larger cities of Fort Myers and Sarasota. It is within a 30-minute drive of Southwest Florida International Airport in Fort Myers (Airport Code RSW).
The best way to describe Matlacha is that it looks like the Florida Keys 25 years ago. There are no high-rises and the historical society and local building regulations will keep it that way. In fact, there is a height restriction in place that limits buildings to no more than 3 stories.
Porpoise Point Fishing Resort is a new 20-unit townhome community that is located right on a wide expanse of Bay on the South side of the island. We can tell you from personal experience that the name is justly earned. We have yet to spend any time at the community without seeing the local pod of dolphins swimming by during the day. There are also families of Osprey and a Bald Eagle, not to mention a plethora of tropical birds and wildlife. Matlacha and Pine Island are perhaps one of the few unspoiled islands left in Florida that you can actually reach without a boat. Of course, the fishing in the area is phenomenal and it’s home to the World’s Richest Tarpon Tournament – the entry fee for the tourney is a mere $100,000!
This exclusive community will offer owners a 2,000-square foot private residence with 3 balconies, 3-bedrooms, and 3-and-a-half baths. In addition, the third bedroom can be converted to a guest suite with nightly renting potential. The community's zoning permits the main part of the residence to be rented with a 5-night minimum. There will also be deeded boat docks available including approximately six shoal-draft slips that should accommodate up to 26-foot boats, and deep water slips that should accommodate larger vessels with approximately a 5-foot draft at mean low tide. These slips should be large enough for a +40-foot sailboat with direct access (no bridges) to the Gulf of Mexico.
Click Here for More Information About or to Schedule a Private Tour of Porpoise Point:
http://www.InvestFloridaRealty.com/listings/porpoise-point.htm
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OUR REAL ESTATE LISTINGS (Homes, Condos, Land)
1,129 Acres
Evans Road, Labelle, FL
90-1,129 Acres of Mostly Cleared Land
Currently Zoned AG and Operated as Farm and Pasture
Could be Single Family Homesites, Dirt Mine, or Farm for BioDiesel/Ethanol
Priced from $20,000 Per Acre
http://www.InvestFloridaRealty.com/listings/792-labelle.htm
Galt Island Estate
4981 Galt Island Ave
Saint James City, FL
3-Bedrooms / 3-Baths / Boat Dock with Lift
3-Story on Private Island
Originally $2.5 Million
Reduced to Just $2.2 Million
http://www.InvestFloridaRealty.com/listings/galt-island-home.htm
Waterfront Castle with Gulf Access!
3651 Turtledove Blvd
Punta Gorda, FL 33950
Brand New Construction
3-Bedrooms/3.5-Baths/Boat Dock with Lift
Gulf Access for Sailboats
Originally $2 Million
Blow Out Priced at $1,499,900!
http://www.InvestFloridaRealty.com/listings/pgi.htm
Porpoise Point Fishing Resort
Matlacha, FL (Pine Island)
3-Bedroom/3.5-Bath/3-Balcony/3-Story Bayfront Townhomes
Preconstruction Prices from $875,500
Private Boat Docks Available
CHECK OUT THE VIRTUAL TOUR ONLINE
http://www.InvestFloridaRealty.com/listings/porpoise-point.htm
Trump Towers One
Brand New Beachfront Construction
2-Bedrooms/3-Baths + Den
Direct Ocean Views
3 Units to Choose From
Purchase Preconstruction Contract for 50% of Deposit!
Prices from the $800,000s to High $900,000s
Ocean Four
17201 Collins Ave, Unit 1506
Sunny Isles Beach, FL
2-Bedrooms / 2-Baths / 2-Balconies
Beachfront Building. Unit has direct West views
of Intracoastal, City, and Fabulous Sunsets.
Over $750,000 Invested
Blow Out Priced at Just $635,000!!
Rented Short-Term @ $2200/month until May 2008
http://www.InvestFloridaRealty.com/listings/ocean-4.htm
Marina Walk on Pine Island
Saint James City, FL 33956
Gated Waterfront Community with Boat Docks
Homes from the high $400,000s
http://www.InvestFloridaRealty.com/listings/marina-walk.htm
Cape Coral Gulf Access Home – Reduced $190,000!
2540 SW 36th Lane
Cape Coral, FL
3-Bedrooms / 2-Baths / 2-Car Garage
U-shaped Captain's Dock with 7,000-lb Lift
Originally $650,000
Priced for Immediate Sale at $459,900!
http://www.InvestFloridaRealty.com/listings/gulf-access.htm
Saint James City Gulf Access Building Lot
2395 Sycamore Street
Saint James City, FL
New Sea Wall plus Dock Permit
Originally $500,000
Reduced to $475,000
Reduced Again to $460,000
Blow Out Priced at $375,000!
http://www.InvestFloridaRealty.com/listings/sycamore.htm
Axis at Brickell Village
Brand New Construction in Downtown Miami
Close to EVERYTHING, Great Amenities!
Contract Now, Close with Developer in February
Unit #3404-S - 2/2 Bay View @ $459,900
http://www.InvestFloridaRealty.com/listings/axis.html
Unit #1412-S - 2/2 City View @ $400,000
http://www.InvestFloridaRealty.com/listings/axis.htm
Hollywood Hills
3701 Washington Street
Hollywood, FL 33021
3-Bedroom / 2-Bath / 2-Car/Fenced Yard
Fenced Yard, lots of upgrades
Tenant at $2,100/month until July 2008
Originally $384,000 (below Appraisal)
Priced to Sell at Just $373,900
http://www.InvestFloridaRealty.com/listings/3701-washington.htm
Saint James City Acreage
4094 Sunshine Blvd
Saint James City, FL 33956
5 Acres Building Lot on Paved Road
Road frontage on 3 sides
Could Possibly be Subdivided
Should be $400,000
Asking Just $316,000 ($63,500 per acre!)
http://www.InvestFloridaRealty.com/listings/sunshine-blvd.htm
Latitude on the River
185 SW 7th St, #1708
Brand New Construction in Downtown Miami
1-bedroom/1-bath with Bay Views
Was $269,900
Blow-Out Priced at $259,900! - UNDER CONTRACT
http://www.InvestFloridaRealty.com/listings/latitude.htm
BUSINESS FOR SALE
Cash Cow High-End Flower Shop in Downtown Fort Lauderdale
High Profits, Low Overhead, Over $100,000 in Inventory Included
Unbelievable Price of $249,900
http://www.InvestFloridaRealty.com/listings/flower-shop.htm
401 Blu
401 69th Street, #311
Miami Beach, FL 33141
1-Bedroom / 1-Bath
Newly renovated building
Tenant at $1300/month until June 2008
Originally $275,000
Priced for Quick Sale at $239,900
http://www.InvestFloridaRealty.com/listings/401-blu.htm
Meadowbrook Towers
610 NE 12th St
Hallandale Beach, FL 33009
1-Bedroom/1-Bath Condo in 55+ Community
Overlooking Pool and Clubhouse, Recent Upgrades
Was $138,900
Now Just $129,900!
http://www.InvestFloridaRealty.com/listings/meadowbrook-towers.htm
Little Palm Village
Saint James City, FL 33956
Single Family Home Building Lots
Buy Now, Build Later
Priced from the high $40,000s
Various Olde Florida Home Plans Available
http://www.InvestFloridaRealty.com/listings/little-palm-village.htm
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VACATION RENTALS – TurnKey Furnished with Ocean Views:
2080 Ocean Drive, Hallandale Beach
2-Bed/2-Bath Penthouse-09 from $3250/month
http://www.InvestFloridaRealty.com/rental/hallandale-beach.htm
2-Bed/2.5-Bath Corner Penthouse-01 from $3750/month
http://www.InvestFloridaRealty.com/rental/2080-ocean-dr.htm
2-Bed/2-Bath Lower Penthouse-10 from $3250/month
http://www.InvestFloridaRealty.com/rental/2080-ocean-drive.htm
Hollywood Beach Resort - #438
Large Oceanfront Studio with 2 Queen Beds from $1600/month ($999/week)
http://www.InvestFloridaRealty.com/rental/hollywood-beach.htm
Alexander Towers - #806
2-Bed/2-Bath Oceanfront, 3 Queen Beds + 1 Twin Bed
http://www.InvestFloridaRealty.com/rental/alexander-towers.htm
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What's REALLY Happening in Florida's Real Estate Market?
We know the media has basically been saying that the sky is falling for over a year now. In fact, if you listen to everything on the news or believe everything you read in the papers, you're likely standing on the edge of a tall building at the moment. However, you'll probably be surprised to know that things really aren't as horrible as they would like you to think. Step away from the ledge now please.
According to the media, housing values have dropped by 50% in some places - this is, of course, an exaggeration, but what's new? As an example, the Miami market hadn't depreciated at all until just this last quarter. And even then, it was an annualized depreciation of just 3.1%. That's a far cry from thinking your house had been devalued by 50%. In fact, over the last 12 months, homes in Miami-Dade County have actually APPRECIATED by 3.4% overall.
We subscribe to a very high-end real estate software system that tracks almost 400 large municipal markets throughout the USA. This system tracks the ACTUAL property appreciation for single family homes in these areas by sales, not by median home price. Median Home Price is the most commonly used gauge of how markets are performing, but if you know what the 'median' really means, you know it's not a good gauge at all. The system we use tracks individual homes in a given market over a 30-year period. By doing so, it can calculate what each home has sold for over time and thereby calculate the true appreciation rate.
By the way, if you would like more information on subscribing to this service, click here:
http://www.InvestFloridaRealty.com/RealEstateToolKit
Here's the actual overview of several markets here in Florida:
Miami & Miami-Dade County
Last Quarter Annualized -3.1%
2 Quarters Ago Annualized +1.8%
Last 12 Months +3.4%
3 Years Ago +21.9%
5 Years Ago +14.9%
10 Years Ago +2.0%
Fort Lauderdale & Broward County
Last Quarter Annualized -13.7%
2 Quarters Ago Annualized -4.2%
Last 12 Months -4.7%
3 Years Ago +24.1%
5 Years Ago +14.1%
10 Years Ago +1.7%
West Palm Beach & Palm Beach County
Last Quarter Annualized -11.1%
2 Quarters Ago Annualized -9.8%
Last 12 Months -6.9%
3 Years Ago +26.1%
5 Years Ago +13.7%
10 Years Ago +2.3%
Fort Myers, Cape Coral & Lee County
Last Quarter Annualized -16.6%
2 Quarters Ago Annualized -9.2%
Last 12 Months -9.7%
3 Years Ago +19.6%
5 Years Ago +13.5%
10 Years Ago +1.6%
Please keep in mind that these are the appreciation rates for single family homes - not for condominiums. Given the overbuilding of condos in recent years in Southeast Florida, the condo market is substantially different than the market for houses. Condos tend to be even more localized markets with individual buildings acting as neighborhoods and fluctuating based on the individual investor mix in that particular building. Our condo market is wide open presently with units that originally sold in preconstruction for $600 per square foot being offered for $400 per square foot, etc. If you don't plan to sell in the next year or two, condos can be an excellent addition to your portfolio right now - particularly in buildings that allow seasonal rentals.
If you would like more information on subscribing to the market tracking service, click here: http://www.InvestFloridaRealty.com/RealEstateToolKit
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BUYERS’ MARKET HIGHLIGHTS including Currency Exchange
What is a Buyers' Market? Simply put it is a real estate market when the market conditions favor the buyer more so than the seller. Typically it means that there are more properties listed for sale than there are buyers to purchase them. In this specific market, it also means that in addition to the large amount of available inventory, sellers are also experiencing increased motivation to sell.
Florida experienced a huge increase in property values during the heat of the market in 2003-2005. This wave of appreciation attracted vast numbers of inexperienced investors into the market. Many of these investors are now sitting on properties that are vacant with mortgages that are inching upward as their rates adjust. Lots of these folks are now offering their properties at a substantial loss from what they paid for them just a few years ago. Foreclosures are looming across the United States, which again adds to the seller motivation.
From an investor's perspective, a Buyer's Market is exactly that - a great time to BUY. It's not a great time to sell, especially if you're artificially motivated, but the opportunities in the Florida market are exceptional. However, in any market, people are always buying and selling because of changes in their housing needs.
If we factor in the weak US Dollar, Florida real estate is an unbelievable bargain for foreigners or those buying with non-US currencies like the Canadian Dollar, the Euro, and the British Pound. These buyers have the benefit of additional incentives because of the attractive currency exchange rates.
At this writing, the exchange rates for these currencies are:
1 Euro = $1.48
1 British Pound = $1.97
1 Canadian Dollar = $1.01
Historically, the Canadian Dollar traded in recent years for about 60-cents in US Dollars. With this in mind, it means that Canadian buyers are now buying US real estate at about a 40% Discount! Many of these buyers are paying cash now with the anticipation of the market eventually normalizing. Once the exchange rate 'goes back to normal', these buyers will refinance their properties and take cash out. They can then convert the resulting US Dollars to Canadian Dollars and reap a nice profit once again from the exchange rate - leaving them with very little actually invested in the property.
In short, if you're considering investing in Florida, now is a great time to do so. Even if we haven't technically reached a 'bottom' of the market, many sellers are sufficiently motivated that negotiating the few points between the present market and 'the bottom' that you can often get an even better deal. Granted, highly sought after properties are still selling well and prices are holding steadily in established areas without high investor concentrations. As always, location is still the dominating factor in determining value in the real estate market.
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We hope you found this information useful. Of course, if you have any questions about the market in general or your specific situation, please feel free to give us a call at any time.
As always, thank you for the opportunity to earn your business. We also appreciate your trust and welcome the opportunity to assist your family and friends with their Florida real estate needs as well.
All the best,
--Branon A. Edwards, Licensed Florida Real Estate and Mortgage Broker
--Jelena Panfilova, Licensed Florida Real Estate Broker-Associate
Branon Direct: 786-417-4910
mailto:Branon@InvestFloridaRealty.com
Jelena Direct: 786-417-4911
mailto:Jelena@InvestFloridaRealty.com
Our Private Fax: 786-524-5747
VISIT OUR WEBSITE:
http://www.InvestFloridaRealty.com
VISIT OUR BLOG:
http://www.InvestFloridaRealty.BlogSpot.com
---- Office Information ----
Real Estate Office:
Aqualand Realty, Inc
8359 Stringfellow Road
Saint James City, FL 33956
Mortgage Office:
Mainland Mortgage Corp
2803 E Commercial Blvd, Suite 210
Fort Lauderdale, FL 33308
Apply Online: http://www.mainlandmortgage.com/apply-fora-loan.shtml
Thank you for the opportunity to
EARN your business.
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Saturday, November 3, 2007
TRUMP: Time to Buy Real Estate
On October 22, 2007, Donald Trump was the featured guest on CNBC's "The Millionaire Inside." Of course, the show was renamed "The Billionaire Inside" in honor of Trump's appearance on the show with host, Erin Burnett.
Among his many insights and suggestions, Trump suggested that viewers thing big, be tenacious, and guard against negative thinking.
During the question and answer portion of the show, Trump as asked about his insights into the current real estate market. His reply: Now is a great time to buy real estate!
He stated that during the height of the market, he didn't personally buy any properties. He obviously partnered with other developers to move forward on several projects including Trump Grande with the Dezer Group and Trump Towers with Jorge Perez and Related Group, both of which are located in Sunny Isles Beach, Florida.
He went on to explain that one of the most attractive reasons to buy now is that buyers will now be able to create deals that would have been impossible even a year ago. There are a lot of motivated sellers in the present real estate market and as such, bargains can definitely be had.
Click here for CNBC's notes about the show:
http://www.cnbc.com/id/21268909
True, there are LOTS of motivated Sellers in today's real estate market and South Florida is particularly ripe for the picking. If you're interested in purchasing undervalued real estate in Florida, please contact us today.
All the best,
--Branon A. Edwards
Real Estate and Mortgage Broker
786-417-4910
Branon@InvestFloridaRealty.com
Among his many insights and suggestions, Trump suggested that viewers thing big, be tenacious, and guard against negative thinking.
During the question and answer portion of the show, Trump as asked about his insights into the current real estate market. His reply: Now is a great time to buy real estate!
He stated that during the height of the market, he didn't personally buy any properties. He obviously partnered with other developers to move forward on several projects including Trump Grande with the Dezer Group and Trump Towers with Jorge Perez and Related Group, both of which are located in Sunny Isles Beach, Florida.
He went on to explain that one of the most attractive reasons to buy now is that buyers will now be able to create deals that would have been impossible even a year ago. There are a lot of motivated sellers in the present real estate market and as such, bargains can definitely be had.
Click here for CNBC's notes about the show:
http://www.cnbc.com/id/21268909
True, there are LOTS of motivated Sellers in today's real estate market and South Florida is particularly ripe for the picking. If you're interested in purchasing undervalued real estate in Florida, please contact us today.
All the best,
--Branon A. Edwards
Real Estate and Mortgage Broker
786-417-4910
Branon@InvestFloridaRealty.com
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