South Florida & Treasure Coast Real Estate - Welcome Center Realty

Port St Lucie FL Home for Sale by Welcome Center Realty 2015 Watercrest

2012-02-02T15:53:00.000-05:00

Port St Lucie FL Home for Sale by Welcome Center Realty 2015 Watercrest (edit/delete)

If you are looking to Buy – Sell – or List – Real Estate in Port St Lucie FL, visit Welcome Center Realty today. A full service one stop Real Estate Shop, we offer over 50 years of experience to our Real Estate Clients.

The Treasure Coast of Florida [ Ft. Pierce / Port St Lucie / St Lucie West / Palm City / Jensen Beach / Stuart / Jupiter andVero Beach ] offers a tranquil lifestyle and the best weather in all of Florida. Here you can live out your dreams while living in Paradise. Year round festival and events will keep you busy along with golfing, fishing, boating, shopping or just relaxing at a beachside restaurant watching the sun go down.

From Cozy Condos to Townhomes to Large Estates, Welcome Center Realty is ready to be your new home partner. Need to sell? We can list and market your property for sale and see you through a smooth closing.

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080

www.fla777.com

Click pic on right for ABOUT US!

SEARCH FOR SOUTH FLORIDA HOMES HERE

Putting The Cart Before The Horse When Buying Real Estate

2012-02-02T14:19:00.000-05:00

You probably know this expression “putting the cart before the horse”, well this is one way to describe a buyer who wants to start seeing houses before they have been pre-approved by a lender. Sure as a buyer you might have some idea of what you can afford, but until you talk with a professional, go over the closing costs and find out what you can afford for a mortgage, you are putting the cart before the horse.

Yes looking at houses can be fun. Open Houses are a great way to see houses on a whim. But don’t be surprised when an agent does not want to show you properties if you are not pre-approved by a lender.
WHY? You might ask. Well agents need to make a living just like everyone else and if they give a lot of time to a buyer who does not know their true buying power, then that buyer is taking work hours away from that agent who could be helping other buyers with pre-approval letters and are ready to place an offer the moment they visit the house of their dreams.
“Yes, but I have to start somewhere, and I want to look at a few houses first” You might say. Well you may get lucky and find an agent who will show you a few houses initially, but you run the risk of finding the house of your dreams and by the time you find out you can afford the house, another buyer with their ducks in a row might sneak in and buy the house before you. Or you might find out, that house is way beyond your means. Unfortunately, either way, a buyer tends to compare all other houses they see from that point on to that house that got away.
So be good to yourself and get that first step done by getting a pre-approval letter, by having a FREE CONSULTATION with an agent and a lender. Once you have this letter in place it can easily be updated.
(Written by Gloria)

Putting The Cart Before The Horse When Buying Real Estate

Port St Lucie, FL Market Report:The $50K somethings. Homes sold from 49K-60K

2011-11-30T19:25:00.000-05:00

Port St Lucie, FL Market Report:The $50K somethings. Homes sold from 49K-60K

The 50 Somethings…
Single Family Homes Sold in Port St Lucie from 49K-60K

I wanted to do a Market Report on the 50K price range most expectantly to see a serious decrease in solds from this year over last. Surprise… again the numbers don’t lie.. so even I have to drink the sour milk… (yuck)

2010 Homes Sold from 49K-60K Single Family in Port St Lucie 3/2 min

2011 Homes Sold from 49K-60K Single Family in Port St Lucie 3/2 min.

While there was a decrease…12% to be exact… I was expecting more like 35%. One the sunny side though… there was a DECREASE! Guess that is a step towards recovery or in the right direction anyway.

Some of you may be looking these over and wondering about the larger homes that went very cheap. Those can be attributed to either Chinese Drywall or our old nick name “Pot St Lucie”. So with more of those out of the way ..we can at least pave a path to Sunnier Florida Days.

p.s. Last time I was incorrect in my projected outcome was in college when I studied a comparison of articles relating to Welfare Reform in the Wall Street Journal and USA Today (this was around 1994) completely expecting Wall Street to be Conservative and USA Today completely Liberal…. Wall Street was more republican but USA Today was completely unbiased. In case you ever wondered….

The Treasure Coast of Florida [ Ft. Pierce / Port St Lucie / St Lucie West / Palm City / Jensen Beach / Stuart / Jupiter and Vero Beach ] offers a tranquil lifestyle and the best weather in all of Florida. Here you can live out your dreams while living in Paradise. Year round festival and events will keep you busy along with golfing, fishing, boating, shopping or just relaxing at a beachside restaurant watching the sun go down.

From Cozy Condos to Townhomes to Large Estates, Welcome Center Realty is ready to be your new home partner. Need to sell? We can list and market your property for sale and see you through a smooth closing.

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080

www.fla777.com

SEARCH FOR SOUTH FLORIDA HOMES HERE

Port St Lucie FL Featured Business: Bayshore Pet Grooming

2011-11-16T12:07:00.000-05:00

Port St Lucie FL Featured Business: Bayshore Pet Grooming

The "Original" Bayshore Pet Grooming of Port Saint Lucie Florida
[ Since 1962 the Dalton family has been dedicated to providing quality all breed dog grooming and boarding. It all began in Massachusetts with Daltons Cherrywood Kennels. Then in 1985 the family brought their expertise to the Treasure Coast. You can always find the Daltons and the staff from Bayshore Pet Grooming involved in local pet related activities. Their dedication toward community pet care fund raising is just one way of returning their love for animals. This passion has been passed down for four generations......]

Treat your loving companions to a Day at the Dog Spa Today

Bayshore Pet Grooming and Boarding has been located between the Crosstown Parkway and Thornhill Blvd. for over 25 years. Bayshore Pet Grooming and Boarding has been picked the "#1 Groomer"in the area, by the "Port Saint Lucie News"and "The Saint Lucie Tribune". You will find a clean, well maintained and organized facility. We are fully staffed by professional groomers and assistants, all overseen by one of the Dalton family

From Now ‘till the end of the Year… Get your pet groomed and win a change for a FREE YEAR of Grooming.

The Treasure Coast of Florida [ Ft. Pierce / Port St Lucie / St Lucie West / Palm City / Jensen Beach / Stuart / Jupiter and Vero Beach ] offers a tranquil lifestyle and the best weather in all of Florida. Here you can live out your dreams while living in Paradise. Year round festival and events will keep you busy along with golfing, fishing, boating, shopping or just relaxing at a beachside restaurant watching the sun go down.

From Cozy Condos to Townhomes to Large Estates, Welcome Center Realty is ready to be your new home partner. Need to sell? We can list and market your property for sale and see you through a smooth closing.

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080

www.fla777.com

SEARCH FOR SOUTH FLORIDA HOMES HERE

Port St Lucie, FL New Listing in Sandpiper Community

2011-11-10T09:32:00.000-05:00

Beautiful Port St Lucie / Sandipiper Estate Home Sale
3/3/2.5 on .45 acre
· Over 2580 sq ft living
· Working Fireplace
· New Roof 2007
· New Circuit Breaker 2007
· 20 x 27 garage with Woodworking area
· Permitted, Elevated Slab when built
· Spacious / Open and Bright
· Covered Lanai
· Central Vac

This won’t last long at only $159,900

The Treasure Coast of Florida [ Ft. Pierce / Port St Lucie / St Lucie West / Palm City / Jensen Beach / Stuart / Jupiter and Vero Beach ] offers a tranquil lifestyle and the best weather in all of Florida. Here you can live out your dreams while living in Paradise. Year round festival and events will keep you busy along with golfing, fishing, boating, shopping or just relaxing at a beachside restaurant watching the sun go down.
From Cozy Condos to Townhomes to Large Estates, Welcome Center Realty is ready to be your new home partner. Need to sell? We can list and market your property for sale and see you through a smooth closing.

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080

www.fla777.com

SEARCH FOR SOUTH FLORIDA HOMES HERE

Port St Lucie FL Featured Business: Applebees

2011-11-09T16:52:00.000-05:00

Port St Lucie FL Featured Business: Applebees

As Veterans Day approaches us, we should ALL remember and be thankful for our Veterans for serving our country and protecting our Freedom. One local business showing appreciation! Applebees – All across the country and here in Port St Lucie.
Today I won’t be featuring a specific neighborhood or home you can buy. Today my tribute is the veterans in our local community and nationwide. Here is St Lucie County we are fortunate to also have a Veteran’s Memorial Wall. Take an opportunity to visit it. Or perhaps you won’t want to miss Port St Lucie’s Veterans Day Festivities.

Veterans Day events will take place 11 a.m. Friday at Veterans Memorial Park on Indian River Drive in Fort Pierce and at Veterans Memorial Park in Port St. Lucie on Veterans Memorial Parkway. Additionally, there will be a weekend of activities at the National Navy UDT-SEAL Museum, including the annual Muster on Saturday, starting at 11 a.m. on Saturday.

PLEASE – Spread the word to all you know. Our Veterans Deserve our Thanks. To share your thanks with millions, click here!

The Treasure Coast of Florida [ Ft. Pierce / Port St Lucie / St Lucie West / Palm City / Jensen Beach / Stuart / Jupiter and Vero Beach ] offers a tranquil lifestyle and the best weather in all of Florida. Here you can live out your dreams while living in Paradise. Year round festival and events will keep you busy along with golfing, fishing, boating, shopping or just relaxing at a beachside restaurant watching the sun go down.
From Cozy Condos to Townhomes to Large Estates, Welcome Center Realty is ready to be your new home partner. Need to sell? We can list and market your property for sale and see you through a smooth closing.

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080

www.fla777.com

SEARCH FOR SOUTH FLORIDA HOMES HERE

Market Report Port St Lucie Florida Real Estate. Prices up from 2010

2011-11-02T15:47:00.000-04:00

Market report for Homes Sold in Port St Lucie the week of 10.24.11 to 10.31.11. These are homes that have closed/settled – not merely under contract.

There is quite a swing from high to low. For kicks I went back and took out the highest sold to see how that would change the avg/median stats which was quite interesting. It only lowered the Median by 1400. and the avg by 9700.

Not a huge swing at all when you consider the amount of properties sold. The Avg. sold based on these numbers does seem high compared to consumer expectations but the truth is the numbers don’t lie. The avg. list price of a 3/2 ~1800 sq ft is 148,700 with the median being around 138,700.

So are prices going up? Sure Seems so to me! But to show you, below are the numbers - that don't lie. 3/2 ~1800 sq ft a year ago median price was only $104,700 - $12,000 less than today. So there you have it!

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080WWW.FLA777.COM
TREASURE COAST / PORT ST LUCIE / FLORIDA

SEARCH FOR SOUTH FLORIDA HOMES HERE

Why should I get pre-qualified? Buying Real Estate in Port St Lucie FL

2011-11-02T11:53:00.000-04:00

When you submit an offer to buy, banks and private sellers alike want to see if you are qualified to buy the home. A “pre-qualified” letter if often requested to be submitted with the offer to purchase. Getting pre-qualified for a loan will also determine the amount of loan an applicant is qualified for considering the debt to income ratio and purchase ability of the applicant. It is best to know how much home you can afford before shopping for the home.

What is the difference between being pre-qualified and pre-approved?

Pre-qualification is normally determined by a loan officer. After interviewing you, the loan officer determines the potential loan amount for which you may be approved. The loan officer does not issue loan approval, therefore, pre-qualification is not a commitment to lend. After the loan officer determines that you pre-qualify, he/she then issues a pre-qualification letter. The pre-qualification letter is used when you make an offer on a property. The pre-qualification letter informs the seller that your financial situation has been reviewed by a professional, and you will likely be approved for a loan to purchase the home.

Pre-approval is a step above pre-qualification. Pre-approval involves verifying your credit, down payment, employment history, tax returns etc. Your loan application is submitted to a lender's underwriter, and a decision is made regarding your loan application. When your loan is pre-approved, you receive a pre-approval certificate. Getting your loan pre-approved allows you to close very quickly when you do find a home. Pre-approval can also help you negotiate a better price with the seller.

How can I prequalify myself?

For a quick prequalification use this formula:

Monthly Gross Income :______________ x 28% =___________ - FHA Approved Housing Payment

(in monthly gross income include any child support/alimony/social security ect….)

Housing Payment__________________________

Min Loan Payments________________________

Min. Credit Card Pymts_____________________ ___________________

Alimony & Student Loan Pymts______________ Total Monthly Debt

Car Payments_____________________________

Monthly Gross Income:____________________ x 36%=_________ - FHA Approved Total Debt

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080
WWW.FLA777.COM
TREASURE COAST / PORT ST LUCIE / FLORIDA

SEARCH FOR SOUTH FLORIDA HOMES HERE

What you should know about backup real estate offers

2011-11-02T11:49:00.001-04:00

Sellers should think twice before accepting additional bids

By Dian Hymer
Inman News™

Buyers who lose out in a multiple-offer competition or who make an offer a little too late may be offered the opportunity to be in a backup position. A backup offer is one that's accepted subject to the collapse of an already accepted offer.

The seller can accept multiple backup offers, in which case they are ranked: backup offer No. 1, backup offer No. 2, and so forth. It's rare in the current market for there to be more than one backup offer.

If you're offered backup position, should you accept it? Buyers are often reluctant to accept a backup offer because they feel it will strengthen the resolve of the buyers in primary position to move forward with the deal if they hit a rough patch, such as a previously unknown inspection issue. And, in fact, this can happen.

Recently, buyers went into contract to buy a home in Oakland, Calif. The sellers provided many reports and disclosures on the condition of the property. However, someone inspecting for the buyers had a different opinion about the condition of the roof, gutters and downspouts, and said it would cost an extra $13,000 to fix.

Two days after the first contract was accepted, another buyer made an offer that was accepted in backup position. The backup offer was for a higher price than the primary offer. Rather than lose the house to the backup buyers, the first buyers removed their inspection contingency despite the new information they received about the condition of the roof.

Some buyers fear that if they accept backup position they will halt their search effort until they know for sure that they can't have the home they want. This is a factor you can control. If you accept backup position, don't slow down your quest to find a home to buy.

HOUSE HUNTING TIP: Make sure there is a provision in the backup position clause in the contract that says the buyers can withdraw at any time up until they are notified that the primary offer has collapsed and their offer has been elevated to the primary position.

It's usually worthwhile to accept a backup position because there is a high fallout rate in the current market. Just don't sit around waiting for the first deal to fall apart.

From the sellers' perspective, it's usually a good idea to counter an offer for backup position if there is more than one offer. Keep in mind that most buyers would rather be in primary position. Some won't accept backup for the reasons mentioned above, or they may have another house in mind if they don't get yours.

To entice a buyer to accept backup position, you may have to accept an offer with a lower price than the primary offer. Don't expect a buyer to accept a counteroffer from you for backup position that also includes a price increase. Make sure you tidy up the offer as if it were a primary offer. There won't be a chance to change the terms if the primary deal falls apart.

Don't accept any offer just to have a backup offer. If you have a backup offer and the first contract fails, your home goes to the backup buyer without going back on the market. This can be a benefit to both buyers and sellers. The backup buyer doesn't have to face multiple offers again, and the sellers don't have to go through the hassle of finding another buyer.

Sellers who don't like a potential backup offer because of a very low price might be better off not countering the offer for backup position.

THE CLOSING: Sellers should feel comfortable with a prospective backup offer; they may have to live with it.

Dian Hymer, a real estate broker with more than 30 years' experience, is a nationally syndicated real estate columnist and author of "House Hunting: The Take-Along Workbook for Home Buyers" and "Starting Out, The Complete Home Buyer's Guide."

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080
WWW.FLA777.COM
TREASURE COAST / PORT ST LUCIE / FLORIDA

SEARCH FOR SOUTH FLORIDA HOMES HERE

Why use an Exclusive Buyer’s Agent? Buying Homes in Port St Lucie FL

2011-11-01T14:59:00.000-04:00

Why use an Exclusive Buyer’s Agent?

Would you go for a divorce without your own attorney or even worse, listen to your ex’s attorney? Across the board the answer would be NO. So why buy real estate without your own representation?

A buyer’s agent is a Realtor who represents the best interest of the buyer in the transaction. Don’t be fooled though, just because you are working with a Realtor who is not the listing agent, does not mean you are working with YOUR Buyer’s Broker.

[With and Exclusive Buyer Agent on your side, you have a partner on your side who represents your best interest and works just for you avoiding conflicts of interest that often hinder fair representation and the best possible outcome for you in the real estate transaction. This special relationship built on trust and commitment means that you, the buyer, will net the best possible outcome.]

To truly be represented as a client of a buyer’s agent you should ask for a written agreement of such representation. The terms of the agreement can be negotiated but once and agreement is reached, your agent will then have certain fiduciary duties that benefit your interests. They include:

1. Loyalty – one of the most fundamental fiduciary duties an agent owes to the principle “client”. The duty obligates the real estate broker to act at all times, solely in the best interests of the client, excluding all other interests, including that of the broker.

2. Obedience – An agent is obligated to promptly and efficiently obey all lawful instructions of his/her client that conforms to the purpose of the agency relationship.

3. Disclosure – An agent must disclose to the principal all known relevant and material information that pertains to the scope of the agency. This includes any facts affecting the value or desirability of the property, as well as any other relevant information pertaining to the transaction, such as the other party’s bargaining position.

4. Confidentiality – An agent is obligated to safeguard his/her client’s lawful confidences and secrets. In other words they must keep secret any known information that could weaken the clients bargaining power. For example… “wow.. my client really needs this house because he is going to be on the street next month”.

5. Reasonable Care and Diligence - An agent is obligated to use reasonable care and diligence when pursuing the client’s affairs. A buyer’s agent must prepare themselves through education and study to competently represent the buyer in all matters. They have a duty to use superior skill and knowledge in acting on the behalf of the buyer.

6. Accounting – An agent is obligated to account for all money or property that belongs to the client entrusted to the agent.

These are all very important representation factors to have on your side. As a buyer, do not let the seller’s representative advise you what is best for you. They have fiduciary duties to the seller and can not have the same exact duties to you at the same time. Be protected. Use a Buyer’s Broker!

GAYLE BEYER – BROKER
WELCOME CENTER REALTY
800-375-5080
WWW.FLA777.COM
TREASURE COAST / PORT ST LUCIE / FLORIDA

SEARCH FOR SOUTH FLORIDA HOMES HERE

Featured Port St Lucie Properties of the Week

2011-10-22T11:56:00.000-04:00

Featured Properties From
Welcome Center Realty
WWW.FLA777.COM
772-336-8583

4/2/2 2004 CBS
1,817 Liv SqFt
14x12 Master Bedroom
15x12 Living Room
New Paint/ Carpet
Move In Ready !!
Location-Location
Wow $110,000

3/2/2 2006 CBS
2,328 Tot SqFt
15x18 Master Bedroom
14x17 Family Room
Appliances Included*
Close to Highway I-95
Amazing Deal $125,000

3/2/2 2004 CBS
1,863 Liv SqFt
16x13 Master Bedroom
16x14 Family Room
29x12 Porch
Stainless Appliances*
Security System
Amazing Deal $123,500

4/3/2 2006 CBS
2,153 Liv SqFt
18x15 Master Bedroom
22x20 Family Room
25x 8 Patio
Move In Ready !!
Wow $135,000

DONT' SEE WHAT YOU WANT? CALL TODAY
For More Property Info: www.fla777.com

Gayle Beyer
Welcome Center Realty- St Lucie
257 Port St Lucie Blvd Port St Lucie, FL 34984

http://l.ecp01.com/customer/view_message.asp?campid=583000&customerguid=0FD819E3420B489BB3A1D6BAF765FD68&clientguid=0FE7A3D3A0D94B9ABBE05E9974159E27

Buy That Dream House Now Or Wait Until Prices Fall Further?

2011-10-21T13:55:00.000-04:00

Is it time to buy that house we always wanted, or should we wait until prices fall further?
As a financial planner, I’m often asked that question and it frustrates me to hear otherwise rational people talking about home ownership the way a speculator might talk about the price of gold. Nobody needs gold, but everyone needs a place to live.

If you’ve found the house you love, you intend to make it your home for the long haul, and the financials add up, why would you wait?

Talk about the collapse of real estate prices destroying the American Dream makes good headlines but it simply isn’t true. Yes, it may feel bad to know that the house you bought in 2006 has lost a big chunk of its market value. But if you can afford the mortgage payments and upkeep, you bought it intending to live there for a decade or more, and you leverage that asset to its best advantage as part of your financial portfolio, the state of the real estate market is irrelevant.

Trying to time the housing bottom is as much folly as trying to time stocks or any other investment vehicle. In fact, it’s greater folly because if housing prices do fall further, it’s likely to be because mortgage rates are rising, which would mean that over the long term that slightly lower price you may have paid could end up costing more in carrying costs than you saved. Furthermore, how much lower could prices go? The economy can’t get much worse than it’s been in the past three years and the difficulty in getting a mortgage couldn’t be much greater.

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My answer to those who ask whether now’s the time to buy a house is that the American Dream is and always was alive and well. It has nothing to do with the direction of housing prices but everything to do with your financial situation, income stability, ability to shoulder the costs, and if the home you have your eye on is your version of the American Dream—a home you love that you hope to live in for an extended period.

The financial benefits of home ownership haven’t changed and neither has the math.Here are a few basics to consider:

Waiting could be costly. A further decline in real estate prices might occur but may come with a price tag in the form of higher interest costs.
Renting may make more sense. Home prices rise on average over long periods of time by about the same rate as inflation—historically about 3% a year. Unless you plan to live in your home for a decade or so, you may be better off renting—it takes about a decade for the value of a home to rise enough to offset the fees, commissions, and other expenses incurred in the purchase and sale of a home.
Mortgage math favors 30 years. Opting for a 15-year mortgage to save on interest expense is mathematically unsound. Mortgage debt is good debt so long as the interest payments are tax deductible and you hold the home for at least ten years. My rule of thumb is to try to keep the net cash expense to carry the mortgage below the annual increase in the property’s value, assuming the historical growth rate of about 3%. If the value is rising more than the cost of servicing the mortgage, you’re building wealth.
Home equity earns you zero percent. The dollars of principal you pay back to the bank as part of your mortgage payment become locked up in your home and can’t be put to work earning money in another vehicle. Instead, extra dollars that might be spent on a shorter mortgage can be invested in conservative investments that offer compound interest, ideally with tax benefits.
Cash is all that counts. Most people describe the increase in their home’s value as if they had paid cash in full. My rule of thumb is that the increase should be based on how much cash you put down—what you actually have at risk. If the home for which you paid $500,000 has risen 3% and is now worth $515,000, but you only put down $100,000 cash and borrowed the rest, your return is 15% before interest and other expenses. Grasping the difference matters because it’s misperceptions like that which often drive our choices.
Forget about market tops and bottoms. Whether you buy a home at the top or bottom ultimately shouldn’t matter if you’re buying into the American Dream and plan to see it through. If you bought at the top, it’s foolish to assume your home’s value is destined to go back up there anytime soon. The house that cost twice as much in 2006 as it does now was never worth twice as much to begin with. Regardless of where the home market is headed, the house you love today that you can afford and plan to live in for the long term is the house you should buy. In time, the highs and lows end up smoothing each other out. Meanwhile, you’re putting money in the piggy bank every time you make a mortgage payment that includes principal.

Foreclosure activity shows signs of ramping up in Q3 (CHARTS)

2011-10-17T12:07:00.000-04:00

Foreclosure activity shows signs of ramping up in Q3 (CHARTS)

RealtyTrac: Default notices rise 14% from second quarter By Inman News
Inman News™

In the third quarter, a downward trend in nationwide foreclosure activity showed signs of reversing, according to the latest report from foreclosure data site RealtyTrac. At the same time, foreclosure processing and sales timelines hit record highs, the report said.
After three straight quarters of declines, foreclosure activity in the third quarter remained essentially flat compared to the second quarter, rising a slight 0.35 percent to filings on 610,337 properties. That's still a 34.4 percent decrease compared to third-quarter 2010.
One in every 213 housing units received a filing -- a default notice, scheduled auction, or bank repossession -- in the third quarter.
In September, the last month of the third quarter, 214,855 properties received a foreclosure filing, a decrease of 6 percent month to month and 38 percent year over year. September marks a full 12 months in which foreclosure filings have been dropping on a yearly basis, the report said.
"U.S. foreclosure activity has been mired down since October of last year, when the robo-signing controversy sparked a flurry of investigations into lender foreclosure procedures and paperwork," said James Saccacio, RealtyTrac's CEO, in a statement.
"While foreclosure activity in September and the third quarter continued to register well below levels from a year ago, there is evidence that this temporary downward trend is about to change direction, with foreclosure activity slowly beginning to ramp back up."
Saccacio attributed the third quarter's marginal increase in foreclosure activity to a jump in new default notices, "indicating that lenders are cautiously throwing more wood into the foreclosure fireplace after spending months ... trying to clear the chimney of sloppily filed foreclosures," he said.
Default notices in the third quarter rose 14 percent from the second quarter, to 195,878, but remained down 27 percent compared to third-quarter 2010. States to see especially big jumps in default notices quarter to quarter were Massachusetts (65 percent), New Jersey (29 percent), Florida (24 percent), Ohio (21 percent), and California (21 percent).
Foreclosure auctions fell 6 percent quarter to quarter and 41 percent year over year in the third quarter, to 217,929.
Bank repossessions (REOs) fell 4 percent quarter to quarter and 32 percent year over year, to 196,530. Nevertheless, some states did post high quarter-to-quarter jumps in REOs: Massachusetts (up 62 percent), Oregon (47 percent), Georgia (42 percent), and Illinois (27 percent).

BofA offers $20K to Florida short sellers

2011-10-14T13:44:00.000-04:00

October 10, 2011 01:30PM

Bank of America is offering distressed Florida homeowners $20,000 to short sale their homes -- immediately.

According to the Palm Beach Post, the offer is only good to owners who submit their home for approval by the end of November and close on the sale by Aug. 31, 2012. Bank of America hopes this will clear the glut of foreclosures in the area from a process that takes an average of 676 days in the state.

"This might be the banks finally waking up that they can have someone in there with an incentive not to damage the property," said Realtor Shannon Brink, a Realtor with Re/Max Prestige Realty in West Palm Beach. "Isn't it better to have someone taking care of the pool and keeping the air conditioner on?"

The Post said other banks offer similar programs but do not widely advertise them, something Bank of America has declined to do as well. BofA could expand the program to other states if it proves successful.

Beware of the Pre-Tax Return Pre-Approval on Real Estate Purchases

2011-09-21T18:28:00.000-04:00

http://activerain.com/blogsview/2519323/beware-of-the-pre-tax-return-pre-approval-on-real-estate-purchases

Often Pre-qualification letters are issued based on credit score and income/debt information. Even the tougher banks such as Wells Fargo will require a lot of information but will still issue a pre-approval without actually seeing tax returns.

Consumers do not realize all the aspects of tax returns that are considered by underwriters to approve mortgage loans. And far too often there can be "creative" accountants who believe serving their clients is best done by how much money they get refunded to the client.
To the consumers out there - be very very skeptical about creativity. For Example:

1. If you are a W2 employee, you most likely do not have 60% of your income spent on unreimbursed business expenses.

2. If you don't have a mortgage you can not deduct mortgage interest.

3. If your job performance or salary is not tied to entertaining clients, you won't have a large meals and entertainment deduction.

4. If you park in an employer provided parking area, you won't have hundreds of dollars in parking fees to deduct.

and 5. If you take itemized deductions you most likely (I am not an accountant or CPA but this would be a logical guess to me) can not also take the standard deductions.

Why does this matter you ask? I am not going to get into the legal ramifications as again I am not an accountant/CPA or an attorney. I am here to talk about purchase-ability. The amount of income used to determine your purchase ability is your adjusted gross income minus an "itemized deductions". In other words, If for example you make $50,000 a year but claim $40,000 in itemized deductions, you show $10,000 for $833. a month in available income for living. As you can see, claiming a lot of deductions reduced your purchase-ability. ( For those of you who are not familiar with how to read a tax return - hint... these are listed after adj gross income. Check lines 40 and below.)
Now back to the dangers of Pre-tax return pre-qualifications. If a lender provides a pre-approval for a real estate offer, it is just a pre-approval. If tax returns are not reviewed in a timely manner AND too many deductions were made, you just may miss the financing contingency boat and that boat will sail down the river carrying the Ernest Money deposit with it.
So when should tax returns be examined and made part of the "approval" process. Perhaps they should be reviewed prior to pre-qualification! After all, why take a property off the market, if even for only a week, if a simple question such as "how much did you deduct" can prevent a pre-qual "oops" moment. Just a thought.
As a Realtor, perhaps we should be asking our clients this question... after all the more we qualify our clients the better we are able to serve right? Or, with the information we can prevent the "oops" moment ourselves.
Whether you are a consumer or a Realtor, just remember .... deductions count and better pre-qualifications lead to more closing successes.

Happy Dealings to all.

Gayle Beyer - Broker
Welcome Center Realty
Port St Lucie, FL
772-336-8583
www.fla777.com

From the Home Purchase to Close and beyond a Few Days.. Musts for the Home-Buyer / Mortgage Loan Borrower.

2011-09-20T16:00:00.000-04:00

Re-creating the 10 Commandments of Purchasing a Home & the Do's and Dont's for the Lending Process.

So you decided on a home to buy and you made the offer. Congrats! But you aren't there yet. You even went through tedious negotiations, inspections and loan pre-approval. Great, but you aren't there yet! So when can you sit back and confidentially sigh a sigh of relief that you did it, you bought a home? Not until you have closed, funded, moved in a even a few days after for the sake of lenders quality control.

Lending as we all know has tightened up. Big Brother is scrutinizing every document, every aspect and well .. almost every breath you take. To be safe you may want to add to your list of 10 commandments the following:

1- Thou shall not shop around for credit outside of a mortgage... do not apply for more credit cards.. personal loans.. auto loans or any other type of credit.

Nothing surprises me in this business.. so when I got an email from a client on a Monday morning who closed on their home the prior Friday afternoon, asking if anything can still go wrong with the mortgage loan... my hair still stood up on my arms. What could possibly go wrong I thought? But concerned I replied... why? She continued to tell me she received a call from the bank asking if she did indeed buy a car.. and that the loan has not yet funded. She told me she wanted to pick up a new car that afternoon.

STEP BACK...WHAT IS GOING ON? THEY ARE MOVED IN ALREADY.... Commissions were already distributed, permission for the release of keys ect... It was done.

Turns out the home-buyer had made credit application to an auto dealership that weekend (to my knowledge).. lender did a Quality Control and found the credit inquiry. I immediately advised her to speak to her mortgage broker for advise.

Whew.. we made it through that one. But a real reminder that this among other Do's and Don't need to be discussed and should be in writing and acknowledged by all parties every time! Assumptions can only find you in a pickle you really don't want to be in. Imagine if this loan was cancelled. The seller would have to evict what is now a squatter... Interest in the Real Property, if filed, could have put a lien on the property and perhaps other unforeseen surprises.
Consumers/Buyers/Borrowers... discuss every financial move you make with your lender and agent. You may think something is not a big deal but it could be a Very Big Deal. Don't forget you purchase and Ernest Money may be at stake here.

Realtors... discuss ramifications of a purchaser’s actions to them. A home-buyer does not know what we do. A client depends on your knowledge and professionalism to make it to the end comfortably.

For more "10-commandments" stay tuned. Happy Home Buying and Smooth Borrowing to all!

Gayle Beyer - Broker
Welcome Center Realty
257 SW Port St Lucie Blvd
Port St Lucie, FL 34984
www.fla777.com

Rules of canceling a real estate purchase

2011-09-19T10:56:00.001-04:00

Rules of Canceling a Real Estate Purchase

Penalty may apply even with contingency in place

By Dian Hymer
Inman News™

September 19, 2011

There can be serious consequences if you back out of a home purchase transaction. Your deposit could be at risk, or you could find yourself involved in a legal action if you withdraw for a reason that's not included in the contract. Before backing out, ask yourself why you don't want to move forward.

Do you have buyer's remorse? This is a common malady that hits most buyers at some time during their purchase. After making the commitment, the buyers have second thoughts. This aliment rarely lasts long and usually disappears on its own. So, don't pull the plug on the deal until you've sorted through your feelings. Buying a home is unlike most business transactions. It's not just about numbers; emotions are involved.

Sometimes buyers want out of the deal because they don't trust that their agent is working on their behalf. In this case, the first step should be to have a candid talk with the agent. If that doesn't improve the situation, talk to your agent's manager to see if you can work with another agent in the office who will better serve your needs.

Backing out because you don't see eye to eye with your agent usually isn't deemed a legitimate reason for canceling a contract. However, if your agent acts contrary to your best interest, such as removing a contingency from a contract when you specifically told your agent not to remove the contingency unless other conditions were met by the seller, you should seek the advice of a knowledgeable real estate attorney.

Real estate agents or brokers who aren't attorneys cannot give legal advice. Some agents do, particularly if they see that they might have liability, but they are practicing law without a license.

HOUSE HUNTING TIP: Most contracts include contingencies to protect the buyer and seller. Typical buyer contingencies are for inspections, property appraisal and loan approval. Depending on the contingency language, buyers can usually withdraw from a contract without penalty if they use their best efforts to satisfy the contingency and are unable to do so.

For example, home inspections almost always turn up defects -- some minor, some major. If the foundation needs replacing and you can't afford to do it, you have several options. Some inspection contingencies allow the buyer to withdraw without specifying a reason. In this case, you could back out and have your deposit returned if you didn't want to negotiate a solution with the seller.
Some inspection contingencies require the buyers to give the sellers the opportunity to repair defects before they withdraw. If the buyers ask the sellers to replace the foundation and they agree, the buyers may not be able to back out without penalty.

However, let's say the sellers will pay the cost of a new foundation but don't want to do the work. If this were disclosed to the lender, the work would probably have to be done before the lender would fund the loan. If this wasn't disclosed to the lender, it could constitute lender fraud.

Or perhaps there's not enough time to get the work done by close. The buyers need to move out of their rental by a certain date and can't wait an extra six weeks or more for the job to be done. Can the buyer back out without penalty in this situation? The sellers are willing to pay for the job. Here's where you need legal advice.

Buyers often balk at paying for legal advice. Sometimes they push their agent to play attorney and rely on their agent's advice, which might or might not be sound.

THE CLOSING: It's worth every penny to get legal advice during a home purchase if it keeps you from losing money and keeps you out of a legal dispute.

Dian Hymer, a real estate broker with more than 30 years' experience, is a nationally syndicated real estate columnist and author of "House Hunting: The Take-Along Workbook for Home Buyers," and "Starting Out, The Complete Home Buyer's Guide."

For more information on purchaseing a home contact Welcome Center Realty at www.fla777.com

Surge in default notices portends more REOs

2011-09-17T12:26:00.001-04:00

Surge in default notices portends more REOs

Foreclosure activity fell for the 11th straight month on a yearly basis in August, but rose compared to July, according to the latest monthly report from foreclosure data site RealtyTrac.
A total of 228,098 properties nationwide received foreclosure filings (including default notices, auction sale notices or bank repossessions) last month, down nearly 33 percent from August 2010, but up 7 percent from July, the report said. The nation's foreclosure activity rate was 1 in 570 housing units in August.

The increase in foreclosure activity was driven by a 33 percent jump in default notices -- the biggest monthly increase since August 2007, the report said. Such notices rose to a nine-month high of 78,880 in August, though they remained 18 percent below year-ago levels.
At least three states saw particularly high monthly increases in default notices: New Jersey (42 percent), Indiana (46 percent), and California (55 percent).

"The big increase in new foreclosure actions may be a signal that lenders are starting to push through some of the foreclosures delayed by robo-signing and other documentation problems," said James Saccacio, RealtyTrac's CEO, in a statement.

For More about this Story email gb@fla777.com or visit www.fla777.com

For-sale inventories shrink for fourth month in a row...

2011-09-14T18:58:00.001-04:00

Realtor.com: List prices holding steady or posting gains in two-thirds of markets

By Inman News, Wednesday, September 14, 2011.

Inventories of homes, condos, townhouses and co-ops shrank for the fourth month in a row in August, falling 1.9 percent from July and 19 percent from a year ago, to 2.27 million, according to the latest numbers from Realtor.com.

Among the 146 markets most searched by Realtor.com users, the total number of listings increased from a year ago in only three: Denver, Colo. (up 53.8 percent), El Paso, Texas (up 6.3 percent) and Hartford, Conn. (up 2.2 percent).

Inventories were down by 10 percent or more from a year ago in 118 markets, including declines of nearly 50 percent in Miami, Orlando and Fort Myers.

Shrinking inventories can signal a rise in demand, but may also reflect a slowdown in homes moving through the foreclosure process that restricts the supply of real estate owned (REO) properties.

Areas with high unemployment rates and large numbers of seriously delinquent borrowers could again see inventories swell as lenders put the "robo signing" scandal behind them.

Eleven of the 20 markets with the greatest inventory declines in August were in Florida -- a judicial foreclosure state that's been ground zero in the robo-signing scandal.

Top 20 markets for inventory declines

Market	Listings (August 2011)	Change from year ago	Change from July
Miami, Fla.	14,008	-47.89%	-3.34%
Orlando, Fla.	11,699	-45.81%	-3.12%
Phoenix-Mesa, Ariz.	19,971	-45.29%	-5.75%
Boise City, Idaho	3,390	-41.60%	-3.58%
Fort Myers-Cape Coral, Fla.	11,470	-40.99%	-1.22%
Savannah, Ga.	1,550	-38.17%	-5.32%
Lakeland-Winter Haven, Fla.	3,521	-38.08%	-3.77%
Fort Lauderdale, Fla.	14,319	-37.54%	-4.10%
Naples, Fla.	7,372	-37.08%	-3.48%
Bakersfield, Calif.	3,230	-36.90%	-3.57%
Melbourne-Titusville-Palm Bay, Fla.	5,340	-36.81%	-3.46%
Daytona Beach, Fla.	7,772	-32.68%	-2.22%
Oakland, Calif.	7,696	-31.88%	-4.51%
Ocala, Fla.	3,424	-31.41%	-4.45%
Sarasota-Bradenton, Fla.	8,150	-31.17%	-3.49%
Pensacola, Fla.	4,379	-30.98%	-1.43%
Grand Rapids-Muskegon-Holland, Mich.	7,631	-30.87%	-1.49%
Fresno, Calif.	3,858	-30.65%	-9.79%
Portland-Vancouver, Ore.-Wash.	10,481	-30.46%	-1.32%
Jacksonville, Fla.	11,579	-29.77%	-3.09%

Source: Realtor.com
The nationwide median list price for single-family homes, condominiums, townhouses and co-ops remained at $189,900 in August, unchanged from June and July and up less than 0.5 percent from a year ago.

Median list price was up by 1 percent or more in 64 of the 146 markets tracked, down in 49, and unchanged in the remaining 33 -- a steady improvement over trends reported in June and July.
Declining inventories can provide support for home prices -- median list prices held steady or were up from a year ago in 15 of the 20 markets experiencing the greatest inventory declines in August. Eight of those markets also made the list of 20 markets experiencing the greatest year-over-year increases in median list price.

Top 20 markets for increase in median list price

Market	Median list price (August 2011)	Change from year ago	Change from July
Fort Myers-Cape Coral, Fla.	$213,000	33.21%	-2.07%
Miami, Fla.	$249,000	24.56%	0.00%
Naples, Fla.	$359,900	20.01%	-0.03%
Punta Gorda, Fla.	$169,900	13.34%	-1.35%
Fort Wayne, Ind.	$112,700	12.70%	0.00%
Sarasota-Bradenton, Fla.	$229,900	10.00%	-2.17%
Shreveport-Bossier City, La.	$174,900	9.38%	0.00%
Daytona Beach, Fla.	$174,990	9.37%	0.28%
Lakeland-Winter Haven, Fla.	$129,500	8.82%	0.00%
Trenton, N.J.	$264,900	8.12%	0.00%
Peoria-Pekin, Ill.	$144,900	7.33%	-1.36%
Fort Pierce-Port St. Lucie, Fla.	$155,000	6.97%	-2.52%
Boise City, Idaho	$149,500	6.86%	0.34%
Toledo, Ohio	$114,900	6.49%	0.00%
Dayton-Springfield, Ohio	$113,625	6.19%	1.00%
Oakland, Calif.	$339,000	5.94%	-1.74%
San Antonio, Texas	$180,000	5.94%	0.06%
Springfield, Ill.	$126,950	5.88%	1.56%
Washington, D.C.-Md.-Va.-W.Va.	$369,992	5.74%	-1.32%
Honolulu, Hawaii	$465,000	5.68%	2.42%

Source: Realtor.com

Top Reasons to Own a Home

2011-09-14T18:33:00.000-04:00

There's good reason that over half of all Americans are homeowners. Social and financial benefits are key factors when it comes to deciding to buy. Homeownership allows people to grow wealth slowly over time, to hold assets that build equity, and to bring stability into chaotic lives.

Despite these facts, homeownership rates have taken a hit since the recession in 2009. Falling home prices along with reduced access to credit has kept many would-be buyers from entering the market. According to Morgan Stanley, the current homeownership rate is around 59.2%. This is lowest rate since the Census Bureau began tracking in 1965. Has this reduction been a fear-based one?
The top benefits of homeownership haven't changed, even in the face of a down economy. Here are the top five:

1. Savings: Be sure to check out the calculator at the end of this article. You'll find that long-term homeownership is still a way to get big savings.
2. Tax Breaks: They're not on the chopping block just yet. Many homeowners are still able to take the mortgage interest deduction (MID) each year, along with great rebates and credits associated with upgrades made to your home.
3. Equity: When you pay a landlord, it's money down the drain. When you pay on a mortgage, you are paying towards owning a piece of something. You may still owe $100,000, but perhaps the home is worth $200,000. This means you have $100,000 worth of equity you've built up over time.
4. Budgeting: Unless you live in a rent-controlled apartment (and not many do), then each lease renewal could mean a jump in prices. A fixed-rate mortgage, however, means your monthly payment is the same amount for the life of the loan. A $1,000 a month payment on a 30-year mortgage is the same now as it will be in 30 years!
5. Security: When you own, it's yours. You can paint, improve, and decorate. The trees and flowers are yours to enjoy -- for a lifetime if you wish. Most homeowners are in neighborhoods with other homeowners, meaning more time to build relationships and friendships. Recent studies have also shown that homeowners rank themselves as healthier than their renter counterparts.

Should you rent or buy? For a strictly financial evaluation, be sure to check out The New York Times' Interactive calculator to crunch the numbers. This advanced calculator takes into account everything from yearly costs to selling costs and broker fees.

Experts have recommended for years that if you're planning on staying put for 5+ years, buying becomes an increasingly better deal. You have time to recoup any extra expenses found in closing costs and are now making an investment in your future through home price appreciation. Once your mortgage is paid off, you'll have a real asset. That brings real stability.

Home affordability is at near record highs. Now is a good time to run the numbers and see if buying makes good financial sense. If it does, then you're in store for a wealth of benefits that only homeowners can experience.

Buying Real Estate Cheaper than Renting

2011-08-18T12:03:00.000-04:00

By Inman News
Inman News™

Buying real estate continues to be cheaper than renting in the vast majority of major U.S. cities, according to a quarterly rent vs. buy index from real estate search and marketing site Trulia.

The index compared the median list price and the median annualized rent on a two-bedroom apartment, condominium or townhouse in the country's 50 most populous cities. According to the index, the cost of buying was less than renting in 37 of the 50 cities (74 percent) as of July 1, 2011. About the same share, 78 percent, favored buying over renting in Trulia's last index report, released in April.

Trulia defines total costs of homeownership to include "mortgage principal and interest, property taxes, hazard insurance, closing costs at time of purchase and ongoing (homeowners association) dues and private mortgage insurance, where applicable. It also includes an offset for the tax advantages of homeownership, including mortgage interest, property tax and closing cost deductions."
"Many aspiring homeowners are on the fence about renting and buying in today's market. Should they take advantage of falling home prices and low borrowing costs, or should they continue to rent until the economy stabilizes?" said Ken Shuman, spokesman for Trulia, in a statement.

"Price alone should never be the sole factor in deciding to purchase a home. Instead, buyers should first ask themselves if they plan to live in the home for at least seven to 10 years, could make monthly payments on the house, and have enough cash in the bank for a down payment and an additional six to eight months worth of mortgage payments.
"If you can answer 'yes' to each of these questions, then the cost of buying a home definitely outweighs renting in most cities."

A price-to-rent ratio of 1 to 15 means that it's much cheaper to buy than to rent in a particular city. Las Vegas, Detroit, and Mesa, Ariz., most favored buying among major cities.

Better credit score doesn't guarantee cheaper loan

2011-08-10T11:34:00.000-04:00

Surprises in mortgage shopping

By Jack Guttentag
Inman News™

Editor's note: This is the first of a two-part series.
One of the unusual features of the U.S. mortgage market is that borrowers are obliged to select a lender before they know the price. They have a price quote from the lender they select, and the quote may be instrumental in their selection decision, but the price is preliminary. It is not final until it is locked by the lender.

Before the crisis, it was common to lock on the spot, which meant locking the quoted price. Today, that is the exception, reflecting tighter underwriting requirements and the increased risk to lenders of closing a loan that does not conform exactly to the rules. Locks are usually delayed for some days, sometimes for weeks.

Delays in locking mean that the lock price can differ from the price quote on which the borrower made a selection decision. The lock price can be higher or lower, but more often than not it is higher. These articles will explain why.

One reason the lock price can differ from the quoted price is that market conditions change. Mortgage prices are reset every morning, and sometimes during the day. Until the loan is locked, the price will change with the passage of time.

Because the market price is as likely to be lower than the quoted price as to be higher, borrowers should benefit from market-price changes as often as they are hurt. It doesn't quite work out that way, however, because when prices decline, the lender may not pass it on -- instead, it may lock at the previously quoted price. The lender can usually get away with this because the borrower is getting what was expected.

The lender may feel justified in not passing through price reductions because when the price rises by a small amount, the lender may absorb it by taking a smaller markup. The amount involved is not worth a hassle with the borrower. If the price rise is too large to absorb, however, the lender will require the borrower to pay it. On balance, therefore, borrowers are disadvantaged by market-price changes prior to a lock.

The quoted price can also change because the lender has not been able to verify one or more pieces of information on which the price depends, and has corrected them. These corrections may be reported to the borrower informally by the loan officer. They will also be contained in the documents the borrower receives within three days of receipt of the loan application. The documents include a corrected loan application, a credit score disclosure, and a Good Faith Estimate (GFE).

The critical items that may change are the credit score, property value and loan amount.

The credit score used to price a mortgage is the one received by the lender, not the one obtained by the borrower. There are a number of scoring models from which lenders make a choice. Each of the three major credit repositories has its own model, with multiple versions of each. Usually, lenders pull scores from three models and use the middle one, or they pull two and take the lower one.

The different models generate different scores, but usually the differences are not large. If one model score is 750, another won't be 650, but it might be 740. Even a small difference, however, might be enough to affect the price.

The impact of credit score on price is based on score ranges that are 20 points wide on the most widely used FICO score models. The ranges are 620 to 639, 640 to 659, 660 to 679, and so on. This means that if the score reported by a borrower is near a break point, it takes only a small downward correction to drop him into a lower score bracket that could raise the price. An example would be a shift from 620 to 619. By the same token, if the score obtained by the borrower was 639, an increase to 640 would shift her into a higher score bracket that could lower the price.

In principle, credit-score corrections by the lender (like market-price changes) should lower the mortgage price as often as they raise the price. I am skeptical that this is the case, however, partly because borrowers are more likely to overestimate their score than to underestimate it.

Further, I am confident that some lenders do not pass on price reductions from an upward revision of the credit score when they don't have to. Few borrowers are alert enough to catch it, especially if the lock price is the same as the price they had been quoted.

Next week: How corrections in property value and loan amount affect the price.

The writer is professor of finance emeritus at the Wharton School of the University of Pennsylvania. Comments and questions can be left at www.mtgprofessor.com.

PENDING HOME SALES INCREASED IN JUNE

2011-08-04T10:54:00.000-04:00

Washington, DC, July 28, 2011

Pending home sales increased in June following a wide swing down in April and then up in May, according to the National Association of Realtors®. Activity increased in the West and South but declined in the Midwest and Northeast; all regions show strong double-digit gains from a year ago.
The Pending Home Sales Index,* a forward-looking indicator based on contract signings, rose 2.4 percent to 90.9 in June from 88.8 in May and is 19.8 percent above the 75.9 reading in June 2010, which was the low point immediately following expiration of the home buyer tax credit. The data reflects contracts but not closings.

Lawrence Yun, NAR chief economist, said there may be some increase in closed existing-home sales. “For the majority of transactions, the lag time between pending contacts to actual closings is one to two months. Therefore, the two consecutive months of rising activity should lead to overall improvement in closed sales in upcoming months,” he said. “Though a higher than normal cancellation rate can hold back final closing figures, it could well be that some past cancellations are nothing more than delayed buying decisions rather than outright cancellations.”

Yun said tight credit and economic uncertainty have been constricting the market. “The best way to ensure a more solid recovery in housing is to simply return to normal, sound credit standards so more creditworthy home buyers can get a mortgage,” he said.

“Washington also should not rock the boat with policy changes that would negatively impact affordable credit or otherwise increase the cost of buying or owning a home,” Yun added.
The PHSI in the Northeast slipped 0.4 percent to 68.9 in June but is 19.4 percent higher than June 2010. In the Midwest the index fell 3.7 percent to 79.7 in June but is 26.4 percent above a year ago. Pending home sales in the South increased 4.4 percent to an index of 99.2 and are 19.1 percent higher than June 2010. In the West the index rose 6.4 percent to 107.0 in June and is 16.4 percent above a year ago.

Existing-home sales this year are expected to total 5.0 million, slightly higher than 2010. Similarly, little change is forecast for aggregate home prices with several indicators, including NAR’s median prices, showing recent signs of stabilization.

Foreclosure News

2011-07-14T11:51:00.001-04:00

Florida foreclosures down 59 percent in first half of year: report

July 14, 2011 10:30AM By Alexander Britell
There were a total of 113,631 Florida properties with foreclosure filings in the first six months of this year, a 59 percent drop over the same period in 2010, according to RealtyTrac data released today.

Nationally, foreclosures were down 29 percent for the first half of the year.

"It would be nice to report that foreclosure activity is dropping as a result of improvements in the economy or the housing market," RealtyTrac CEO James Saccacio said in a release. "Unfortunately, with unemployment rates inching back up, consumer confidence weak and home sales and prices continuing to languish, this doesn't appear to be the case."

Florida's foreclosure activity has been dropping with relative consistency since the first reports of the foreclosure document scandal, which led several banks to order a freeze on foreclosure activity.

Saccacio said processing and other procedural delays were pushing back foreclosures to such a degree that as many as 1 million foreclosures nationwide that should have taken place this year will happen in 2012 or beyond.

"This casts an ominous shadow over the housing market," he said.

Despite the nationwide drop, Florida saw more foreclosure filings than any state, but California. One out of every housing units in Florida has a foreclosure filing, according to the data.

Florida's foreclosures did show a slight uptick in the second quarter, with a 1.64 percent increase over the first three months of 2011.

How Much Down Payment Is Enough to Buy A Home?

2011-07-11T16:06:00.000-04:00

How Much Down Payment Is Enough to Buy A Home?
by Phoebe Chongchua

Most people agree that buying a home without a down payment is a risky decision and soon it might not be an option. As the crippled housing market is beginning to see signs of improvement, lawmakers and key housing industry agencies are debating exactly how much down payment should be required.

Congress and a group of federal regulatory agencies are attempting to create new rules for mortgage lenders in order to avoid a future housing crisis. The loan would be known as "qualified residential mortgages."

The Dodd-Frank law calls for financial reform and the setting of criteria for what would constitute a reasonably safe, basic mortgage. The agencies tasked with this, include the Federal Reserve, the Federal Deposit Insurance Commission, the Department of Housing and Urban Development and the Federal Housing Finance Agency.

The qualified residential mortgages would allow lenders issuing them to sell them to investors. In doing so, the lenders would avoid full risk associated with the possibility of a default on the loan. Other non-qualified residential loans, would be deemed riskier and, therefore, the lender would have to retain 5 percent ownership.

The law is aimed at prompting banks to take ownership and make sure that a borrower truly has the ability to repay a loan. In cases, where a riskier loan is made, and the standard of the qualified residential mortgage is not met, the bank would have to be prepared for a possible default and have set aside extra capital.

A 20 percent down payment is being considered but many are opposed, including banks, real estate agents, and consumer housing advocates. The opposition fears that a 20 percent or 10 percent down payment would price many homeowners out of the mortgage market.

Even if a borrower is creditworthy, coming up with the down payment could be a real stretch. It could take some borrowers more than a decade to save for just a 10 percent down payment.
The Center for Responsible Lending has created charts on its website ResponsibleLending.org to show how borrowers with different occupations would be impacted. According to the chart, it could take a U.S. Army Staff Sergeant, earning a median salary of just over $30,000, nearly 20 years to save for a down payment.

The opposition argues that for the creditworthy borrowers, the loan could cost them more because the lender would raise interest rates on their loans in an effort to cover their extra costs.
Kathleen Day, representing the Center for Responsible Lending, told the New York Times, "We’re not advocating for zero percent down. We think down payments are good. But we think the market should set them, based on the underwriting."

Day says that underwriting (the process of looking at a borrower’s credit history and income and debt levels) should assess risk and determine a borrower’s ability to repay a loan.

Some loans, like those that can be obtained with a small down payment and are insured by the Federal Housing Agency, would be exempt from the qualified mortgage mandates.

For now, the debate continues over if a minimum down payment should be set and, if so, how much. The intense controversy surrounding this matter has prompted the regulatory agencies to extend the public comment period to August 1, 2011.

Strong performance for Miami high-end homes, condos

2011-06-13T17:51:00.000-04:00

Strong performance for Miami high-end homes, condos

June 13, 2011 10:30AM By Alexander Britell

The Setai condominium-hotel

Just like its surging rental market, Miami's high-end residential sector has been showing significant improvement in the first five months of 2011.

"What's happened over the last 24 months is really kind of phenomenal," EWM President Ron Shuffield told The Real Deal. "When you think about what a deep, dark hole we were in, now to see this real sold activity we're having, we're fortunate to be where we are."

In the first five months of 2011, there has been an average of 51 condo sales over $1 million per month, and 41 home sales in the same price bracket, according to MLS data provided to The Real Deal by EWM.

"That projects to about 1104 sales for the year," Shuffield said. "If we continue [at] that pace, we'll have about a 22 percent increase in the units of sales this year."

At the peak of the real estate boom, there were 1,498 sales in the over-$1 million market, and just 738 such sales in 2009. If this year's numbers hold up, that would translate to a roughly 50 percent jump from the worst of the downturn in 2009.

The high-end market, especially condos, have been driven by the influence of foreign buyers. They've come largely from Latin America, looking for easy-to-maintain foreign homes. But it's the highest niche of the high-end market that has been leading the charge.
At the $5 million price point, the numbers are even more positive, said Beth Butler, president of One Sotheby's International Realty.

"What's happened in the last 60 days is almost all of the high-end market sold," Butler said. "We're really looking at an inventory shortage. The deals that have been sitting on the market for a while are now selling, for good prices and multiple offers. So it's very encouraging."

Butler pointed to a pending apartment sale at Apogee for a unit which had been on the market for two years.

"It's kind of startling, because it sold for a price [of $11.5 million] that I think, six months ago, we wouldn't have thought would happen," she said.

These types of condos have seen a significant uptick in activity of late, Shuffield said.

"[The Miami market] is selling more condos over $7.5 million than we've ever sold in the past," he said. "Over the last nine years, we've been averaging 2.5 sales a year. In the past 12 months, we sold eight.

The sales included one at South Beach's Continuum for $10 million, the Apogee sale, a condo on Fisher Island that sold for $8.15 million, a unit at the Gables Club in Coral Gables that traded for $9 million, a $15 million penthouse at the Setai, an $8.7 million sale at One Bal Harbour, a penthouse at Fontainebleau II for $9 million and the Santa Maria condo in Brickell, which saw an $11 million sale.

As for the impact of all these large sales on prices, it may take time, but some of the drivers are in place, Butler said.

"I think we're going to see that prices are going to start going up a little," she said. "Inventory's decreasing [and] a price increase is soon to follow. I think that when we look at the six-month point at the end of this month, we're going to see that the price per square foot at a lot of these buildings actually increased."

Pace of foreclosures slowed further in April

2011-05-12T14:57:00.000-04:00

LOS ANGELES – May 12, 2011 – Fewer Americans had their homes repossessed by banks or were put on notice for being behind on their mortgage payments in April compared to a year ago.

That would ordinarily suggest improving fortunes for U.S. homeowners, but the decline had less to do with any turnaround in the housing market than with foreclosure processing delays that appear to be getting worse. That is threatening to drag out a housing recovery, foreclosure listing firm RealtyTrac Inc. said Thursday.

It’s taking longer for lenders to move against homeowners who have stopped paying their mortgage and to take back homes already in some stage of the foreclosure process. In states like New York, for example, it now takes an average of more than two years for a home to go from the initial stage of foreclosure to being repossessed by a bank, the firm said.

Those delays, partly due to banks working through foreclosure documentation problems that came to light last fall, means it could take many more years for lenders to deal with a backlog of seriously delinquent properties, which numbers up to 3.7 million, by some estimates.

“It’s going to take between three to four years just to get those loans into foreclosure at our current pace,” said Rick Sharga, a senior vice president at RealtyTrac. “And that doesn’t spell good news for the housing market.”

Banks repossessed 69,532 homes last month, down 5 percent from March and down 25 percent compared with April of last year, according to RealtyTrac, which tracks warnings sent to homeowners throughout the foreclosure process.

The number of properties receiving an initial notice of default fell to 63,422, down 14 percent from March and down 39 percent from April 2010.

Homes scheduled for auction for the first time also declined in April, falling to 86,304. That’s down 7 percent from March and 37 percent below April of last year.

A weak housing market, sliding home prices and pressure on lenders to give troubled homeowners more time to work out new payment arrangements or loan terms have all contributed to the longer time frame for foreclosures.

Many banks also have taken steps to revisit thousands of foreclosure cases since last fall, delaying the processing of new foreclosures. The logjam has been compounded by court delays in states like Florida, New York and New Jersey, where a judge must approve foreclosures.

In the first three months of this year, it took an average of 400 days for a U.S. home to go from receiving an initial notice of default to being foreclosed on, RealtyTrac said.

That’s up from an average of 340 days in the same period last year and more than double the 151-day average in the first quarter of 2007.

The delays are even lengthier at the state level. In New York and New Jersey, the foreclosure process took more than 900 days, on average, to run its course in the first quarter – more than three times the average length of time in the first quarter of 2007 for both states.

In Florida, one of the states hardest hit by the foreclosure crisis, the process took an average of 619 days in the first quarter, up from 470 days a year earlier. In the first quarter of 2007, it took an average of 169 days for the process to play out, RealtyTrac said.

Barring a pickup in the pace of foreclosures, it is likely fewer homes will be repossessed this year than in 2010, when lenders took back more than a million, Sharga said.

Despite the drop in foreclosure activity last month, several states continue to have outsized foreclosure rates.

Nevada had the highest foreclosure rate in the nation, with one in every 97 households receiving a foreclosure notice in April. It also bucked the overall national trend, as bank repossessions jumped 23 percent from March and climbed 12 percent from April of last year, RealtyTrac said.

Lenders may have elected to pick up the pace of foreclosures in Nevada to take advantage of brisk foreclosure sales in Las Vegas. In March, sales of previously occupied homes in Las Vegas hit a five-year high, with distressed properties accounting for 69 percent of sales, according to DataQuick.

Copyright © 2011 The Associated Press, Alex Veiga, AP real estate writer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Is Downtown Miami’s Condo Market On The Rebound? « CBS Miami

2011-05-11T14:32:00.000-04:00

Is Downtown Miami’s Condo Market On The Rebound? « CBS Miami

Is Downtown Miami’s Condo Market On The Rebound?

May 9, 2011 8:10 PM
Reporting David Sutta

MIAMI (CBS4) – Downtown Miami’s once depressed condo housing market may be turning around, if one building is any indication.

Real estate professionals called Icon Brickell the most ambitious condo project in Miami’s history. 17-hundred units that came to market as the economy tanked.

After years of sitting vacant sales agents are telling stories of customers stepping inside and signing half million dollar contracts within minutes.

“This has been an incredible success,” Edgardo Defortuna, President of Fortune International told CBS4’s David Sutta.

Defortuna says in the past week, the 500 unit hotel component sold out. The towers he manages, tower two and three, are not far behind.

When the banks took over towers two and three from the project developers, The Related Group, Defortuna was tasked with selling almost thirteen hundred condos. As of today they have less than 300 left. Half of the condos sold in the last 11 months The banks predicted it would take three to four years to sell the building. Defortuna plans to be done by the end the year if not sooner.

Amazingly Icon is not unique.

Michael Light of Miami Condo Investments explained “900 Biscanye Bay. They have 509 units. As of today they only have 11 available units. They are 98% sold out.”

Light says the market’s peak of 22,000 condos for sale has dwindled to roughly 3,000. He says the buying frenzy began in 2010.

“About a year ago prices started creeping up in downtown Miami and people saw this,” said Light. ” They got more terrified of the fact that they might miss.”

The experts say 70% of the deals are all cash.

“85% of the buyers are second home buyers. Mainly Latin America, Brazil, Argentina, Columbia, Venezuela.” Defortuna said.

With prices slashed up 50% downtown prices are beating the beach. However discounts are disappearing as high-rises sellout.

A dramatic turnaround critics argued was still years out.

“The bird of Miami is not the crane anymore, as the joke went in 2004-2005. Inventory, once its down it’s down. Now it’s going to turn into resales only.” Light quipped.

The Downtown Development Authority estimated roughly half the condos were occupied two years ago. Today the number is estimated to be up around 85%

Partial Robo-Signing Settlement Announced

2011-04-15T10:50:00.000-04:00

Partial Robo-Signing Settlement Announced

Posted on14 April 2011. Tags: amy ransdell, creative real estate daily, short sale, short sale daily news, short sales

The nation’s largest loan servicers have agreed to the first part of a settlement created after the Fall 2010 robo-signing scandal. Settlement requirements announced include servicers hiring outside consultants to review all foreclosures started in 2009 and 2010. Any homeowners who should not have been foreclosed upon will receive compensation (SIDE NOTE: although how much or whether there’s a standard scale for this hasn’t been released Exactly how some of these homeowners would be reached for compensation is another possible can of worms. Obviously, they are no longer at their foreclosed-upon addresses and it’s very likely they have not gone out of their way to keep their mortgage company updated.)

In addition, mortgage servicers are not allowed to foreclose on homeowners who have been approved for loan modifications.

Many consumer advocates are saying these measures do not go far enough in terms of penalizing loan servicers for illegal actions. While some robo-signing actions were not actually illegal they were, at the very least, in extremely poor taste. Foreclosure levels continue to be down as a result—first quarter 2011 stats are out and are at the lowest level in two years.

That’s because servicers are still reviewing, assessing and trying to clean up their very messy practices. Meanwhile, the state attorneys general offices (all 50) are continuing their joint investigation and additional enforcement actions could be announced.

The problem with this is you’re still leaving all these mega banks with the very files they allegedly botched, forged or whatever. Who’s to say there aren’t “busy hands” behind the scenes trying to make these questionable files seem a bit more above board? Just throwing it out there as a possibility. It’s like leaving a kid in charge of a candy store.

Latest Shadow Inventories Released

2011-03-25T10:43:00.000-04:00

Latest Shadow Inventories Released

The National Association of Realtors released its state-by-state shadow inventory earlier this week. Florida tops the list by, as they would say in the South, a country mile. The Sunshine State’s shadow inventory is 441,000 properties. California was a distant second with nearly 228,000 properties. Illinois and New York were the only other states with six-digit inventories, at around 124,000 and 107,000 respectively.

Perhaps more telling was the estimates of how long it would take to work through all this inventory. The months’ supply was estimated by dividing the shadow inventory by the monthly number of distressed home sales for that state. The result? A broad range of between 7 and 51 months. New Jersey had the dubious honor of holding the 51-month mark.

The vast majority were at 24 months or less. Some states that one would figure would have a huge monthly total, like California with its second highest number of distressed inventory, actually came in at a somewhat respectable 11 months. Other typically high foreclosure rate states also had numbers at the lowest end—Nevada was 7 months, Arizona was at 9 months and Georgia was at 12 months.

NAR attributes these growing shadow inventories to the fallouts from the recent disruptions in foreclosures (think robo-signing scandal issues and delays of last Fall).

5 Questions to Ask Your Buyer Before Submitting a Short Sale Offer

2011-03-02T09:23:00.000-05:00

5 Questions to Ask Your Buyer Before Submitting a Short Sale Offer

So here are a quick list of questions you should ask your buyers before even showing them short sale listings to make sure a short sale will work for them.

IS A SHORT SALE REALLY A GOOD IDEA? ANSWER THESE QUESTIONS FIRST!

1. Do you need to be in the home by a certain time? Short sales take time. While some banks have gotten better about the process, others are still lagging. So prepare your clients. If they need to be in a house in a specific time period, pursuing a short sale may not be in their best interest.

2. Are they prepared, if the bank doesn’t agree to their offer, to either raise the price or walk away? Once the buyer has become invested in the short sale process, it is important for them to understand that the offer price submitted, isn’t typically accepted. Sometimes, there isn’t any negotiation. It’s a counter back with we will accept X dollars and no less. So it is important to counsel them on the maximum allowable offer.

3. Can your buyer afford to wait? Recently there have been changes to the mortgage insurance premium calculation as well as raising interest rates. For buyers who are not currently assigned an FHA case number before the 17th of April, they will see a cost increase of approximately $41 more per month on a $200,000 home. That amount significantly changes the debt to income ratios and lowers the amount of home which can be afforded. Waiting for the short sale approval process in the upcoming Spring months could cost buyers a lot of dollars over the lifetime of the loan if the deal can’t be worked out before April 17.

4. Are you prepared to not be in control? The short sale process is one that is only controlled by the bank. If your buyers need to have more control over the process, then a short sale is not for them. While buying a home is certainly a process that involves several parties, no matter if it is a short sale or not, we have found that buyers get more easily frustrated when the transaction is impersonal.

5. Can your buyer afford repairs? Most banks are not going to pay for repairs on the property. So if your buyers don’t have enough additional funds for repairs, they may be better off with a traditional sale. Most short sales have at least some differed maintenance.

If your buyers can answer these questions and is comfortable moving forward, then you have an opportunity to become a hero by helping them score a great deal on their dream home. However, if there is concern over any of the above questions, you should speak frankly with them about the process and check their comfort level. Otherwise, you may be wasting your time and frustrating your buyers.

Who Saw This Coming? An Opportunity to get Your Buyers off the Fence!

2011-02-21T18:06:00.000-05:00

Who Saw This Coming? An Opportunity to get Your Buyers off the Fence!

If you will recall, FHA dropped another of these bombs on us on October 4, 2010. We saw MIP (mortgage insurance premium) increase from a monthly factor of .55 to a monthly factor of .90 – a 39% increase.

What does that mean in dollars and cents to the home buyer? Simply put, if someone borrowed $200,000 prior to October 4 of last year, their monthly MIP cost would have been $91.66. On or after October 4th of last year, that same premium rose to $150.00. Not only is the reality aggravating, but in many cases the higher premium reduces qualifying loan amounts, as higher MIP = higher monthly payment = higher ratios.

OK, you say. It is what it is. Right? So we just take our hits and move on.

Fast forward to April 18, 2011. The monthly MI premium is being raised AGAIN. This time from .90 to 1.15 – a 22% increase. Quick math tells me that within a six month period, MIP has increased 61%. So this year (after April 18th), a $200,000 loan now carries a monthly MI premium of $191.66 – exactly $100 more than last year’s payment on the same loan amount (assuming interest rates remain constant).

The Up-Front Mortgage Insurance Premium (UFMIP) will remain unchanged at 1%, which is typically financed into the loan.

For a variety of reasons, most of the home buyers with whom I have worked during the past few years can only qualify for an FHA loan. This newest increase WILL impact how much house future home buyers are able to buy.

Two Big Lenders Loosen Mortgage Restrictions

2011-02-12T12:35:00.000-05:00

Two Big Lenders Loosen Mortgage Restrictions

Wells Fargo Lowers Credit Score Requirement on FHA Loans

Good news for FHA borrowers, the credit score requirement has been lowered which will allow more people to qualify for FHA mortgages.

Wells Fargo recently announced that effective Jan. 15, 2011, it will accept FHA-insured mortgages for borrowers with credit scores as low as 500.

For borrowers with credit scores ranging from 500 to 579, a 10 percent down payment is required.

Borrowers with credit scores of 580 to 599 are required to put down 5 percent. The down payment may not be a gift or part of a down payment assistance program for borrowers with a credit score of 500-599.

Borrowers with a credit score of 600 or higher are required to have a 3.5 percent down payment, and a gift is acceptable. For all borrowers, seller concessions are limited to 3 percent.

Please keep in mind, that responsible borrowing is essential. Before you purchase a home take all costs into consideration. First time home buyers may not understand that besides the mortgage, there are property taxes, hazard insurance, maintainance. It is not like renting where you call the landlord and everything is taken care of. When you own the property, if the plumbing leaks, you have to pay to repair it. I would be happy to sit down with you and explain all of the benefits of home ownership. There are some very good prices for those who qualify to purchase...It is a buyer's market, but make sure you are financially sound before you take on the responsibility of a mortgage.

Realty Times - Value in Homeownership

2010-11-23T14:10:00.000-05:00

Realty Times - Value in Homeownership

Value in Homeownership

Is there value in owning a home? The recently released 2010 National Association of REALTORS® Profile of Home Buyers and Sellers brings us some promising results. Today homeowners are living in their homes longer, and after several years of price declines, are seeing rises in home equity gains.

It was only earlier this decade that so many buyers jumped on the investment bandwagon. They bought and sold within incredibly short time frames, and walked away with profits. But as the booms busted, many sellers found they had bought at the top of the market and as prices corrected, they lost more than just dollars. Foreclosure rates skyrocketed. Historically, however, homeownership is a long term investment, and one that brings many rewards.

"Sellers who purchased at the top of the market and had to sell in a short time frame were hurt by the price correction, but the vast majority who are able to stay for a normal period of home ownership generally built enough equity to make a trade-up purchase," NAR 2010 President Vicki Cox Golder said. "Despite swings in the housing market in recent years, the fact is most long-term owners see healthy gains in the value of their property."

Golder also says the pattern of home buyers taking a long-term view has solidified over the past few years. "This underscores two simple facts – home ownership encourages stability, and the longer you own, the better your investment."

Current market and economic conditions have created a shift from the house flipping ways of the boom. "The primary exception is for experienced investors, many of whom pay cash and are making renovations or improvements after a careful study of properties, neighborhoods and market demand," Golder explained. "The house flipping and quick gains which occurred during the boom period were abnormal, driven by risky, easy-money financing that should never have been allowed in the market."

American are still buying, however. And surveys have found there are particular reasons behind these purchases. These include the desire to own a home, the desire for a larger home, a change in family situation and taking advantage of the home buyer tax credit, a job-related move, and then the current supply of affordable homes.

And once they buy, homeowners are staying put longer. A typical seller has been in their home for 8 years, but the survey reveals first-time buyers are planning to stay for 10 years, and repeat buyers for 15 years.

Even with several years of price declines, the typical seller who purchased a home eight years ago experienced a median equity gain of $33,000, a 24 percent increase, while sellers who were in their homes for 11 to 15 years saw a median gain of 40 percent. So, once again buying for the long-term is steering its way back into value.

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Copyright © 2010 Realty Times. All Rights Reserved.

Realty Times - 10 Tips For New Buyers

2010-11-18T10:32:00.000-05:00

Realty Times - 10 Tips For New Buyers

10 Tips For New Buyers
by Carla Hill

It is a great time to buy for many would-be homeowners. The market offers historically low interest rates, as well as affordable home prices.
Here are 10 steps that buyers can take to make home dreams a reality!

1. Savings. You may already know how much monthly payment you can support (experts recommend no more than 1/3 your monthly income), but the buying process will also include upfront costs, such as a downpayment and closing costs.

2. Downpayment options. Do you qualify for downpayment assistance programs? Will you be able to get an FHA loan and pay 3.5 percent down? Do you have a relative that would like to make a downpayment gift? Many financial experts recommend a downpayment of 20 percent, so be sure to explore your options!

3. Check Credit Report. Your credit report says a lot about you. Lenders use it to evaluate your risk potential and to inform themselves on how responsible of a borrower you are. They use this report and subsequent score to figure your interest rate. The more stellar your report, the better your score and thus lower your rate. Be sure to check your report for accuracy, and report any errors to the credit reporting agencies.

4. Get Preapproved. It's time to talk to a lender! Pre-approval will give you a ballpark figure of how much the bank would be willing to lend you. Are you looking for a $100,000 house or a $300,000?

5. Get Prequalified. This is the official letter from the lender that says they will be willing to lend you money. Many sellers look for buyers who are prequalified.

6. Affordability. The bank may tell you that you can afford a home worth $300,000. This does not mean you want to borrow to your max. A more modest home may fit better in your financial plans.

7. Housing Criteria. You have a budget, now develop a list of what you need and want. This can include anything from "must have 3 bedrooms" to "hardwoods" or "granite".

8. Neighborhood choice. Location strongly affects prices. A 3,000 square foot home in rural Kansas costs a fraction of one in New York City. Decide what neighborhoods and areas are the best fit for you. This will help narrow your home search.

9. Hire an agent. An agent can help you navigate the entire process from searching, putting in offers, to where to hire an inspector or general contractors.

10. Start the search! The MLS is a wonderful place to begin your search. Eighty-four percent of buyers now start their search online, so you'll be in good company.

What Will Be the Fate of Fannie and Freddie?

2010-11-16T10:14:00.000-05:00

What Will Be the Fate of Fannie and Freddie?

The recent election could have a definite impact on the futures of Fannie Mae and Freddie Mac. Those who support these two agencies being privatized are the ones who picked up the political backing in the election.

Republicans will control the U.S. House of Representatives when the newest members of Congress take the oath of office in early 2011. With this will come the perks of having the leadership of such key committees as Financial Services. Many believe the great debate over Fannie and Freddie’s futures will move toward the right.
As this debate heats up, the National Association of Realtors (NAR) believes it will probably push back any proposed legislation for restructuring to at least 2012, if not later. NAR supports converting Fannie and Freddie to government-chartered, non-shareholder-owned authorities which would continue their practice of purchasing and guaranteeing mortgages.

Meanwhile, the Obama administration has committed to pushing forward with a restructuring plan for the GSEs and the mortgage markets by the end of this coming January.

The likely result? A stalemate in which little to no progress is made on this issue. This gridlock will likely be the case with many political issues, thanks to the lack of a clear party in control in Washington (thanks voters!). The only thing the election may have accomplished is to cause more political division and a more drawn-out economic recovery.

Short Sales Versus Chapter 7 Bankruptcy: What’s Discharged?

2010-11-15T18:09:00.000-05:00

Short Sales Versus Chapter 7 Bankruptcy: What’s Discharged?

On this week’s Preforeclosure Daily Grind “Tip of the Week” we dive into the important points that you should know in regards to what debt is and what debt isn’t discharged when a short sale client files Chapter 7 Bankruptcy. Listen in as we cover this extremely important topic and also an introduction to H&R Block Bank and what they allow for a maximum real estate commission and seller’s concessions, whether or not you are allowed to prequalify your end buyer when Bank of America is originating the loan, why it is CRITICAL to educate your buyer’s agent when dealing with a short sale property, the common misconception that a short sale lenders and a buyers lender actually communicate when they are the bank and much more.

Gayle Beyer / Broker - Welcome Center Realty
Call us for more information 772-336-8583

Holy Schnikes – Put On Your REO Floods

2010-11-08T18:49:00.000-05:00

Holy Schnikes – Put On Your REO Floods

Read a post earlier about REO inventory numbers that I thought should be shared. In the first 9 months of 2010, over 200,000 REO properties owned by Fannie, Freddie, and FHA were sold. That is not concerning. What is, is rise in the REO tide from the end of 2009 to now.

For the third quarter of 2010 there are over 293,000 REOs on Fannie, Freddie, and FHA’s books. That is an increase of over 153k from the same time in 2009. That is a 93% increase in only one year.

How many are back-log from the foreclosure freeze?…..

What will affect current inventory supply and demand? For those of us who prefer the short sale side of the fence, the rising tide will only provide more substantial evidence for necessary discounts. Too much to choose from combined with properties that have a higher chance of neglect means lower prices. Lower comparables mean lower BPOs.

Okay, those of you who like to play devil’s advocate can throw the “lower price wrench” back at me too. Lower prices can shift the game unfavorably for short sales if you don’t due the proper due diligence and project a price adjustment into your exit strategy.

So…with all of these REO properties hitting the market, it is best to list REO or short sales? Is it best to invest in REO or short sales? ….The answer is all about systems systems systems……Hear more on our REO vs Short Sale Webinar event!

To everyone’s short sale success!

Hey OCWEN…You Are Short Sale Busted!

2010-11-06T12:26:00.002-04:00

(I actually got Bank of America to Vacate a Court Sale that had already happened so we could complete a Short Sale we were close to closing - this evidentally would not have happended with Ocwen - Gayle Beyer/Broker, Welcome Center Realty)
Hey OCWEN…You Are Short Sale Busted!

The company painted itself as a firm who wants to find workable solutions, even stating that it loses money if a home goes into foreclosure and the best resolution would be for a loan modification to be worked out. Such a result would be a win-win-win for everyone involved—the borrower, the investor and Ocwen as the servicer.

However, a case sent to one of our Short Sale Daily News Experts puts a huge chink in Ocwen’s armor. It seems the agent got a short sale approval letter near the end of the month with a deadline of early the next month. A foreclosure sale was already in place for the 15th of that month and the agent was trying to get Ocwen to give a small extension to the end of the month, thereby giving them about 28 days to get the closing done.The answer was a resounding no and continued to be no all the way up the ladder. Finally, the agent found a way to email the company president (the one who had been so richly quoted in the above newspaper article). The reply back was pretty much the exact OPPOSITE of what had been printed in the newspaper.The president failed to understand how a short sale would help the homeowner and said there was no meaningful difference between a foreclosure and a short sale. The homeowner’s credit rating and area property values would soundly disagree with that comment! He also said if the agent had a buyer for the property Ocwen could always sell them the house in a post-foreclosure sale.Doesn’t sound to me like this is a company operating under the opinion that they would lose money if they had to repossess the home. A little digging online and I found many more negative comments about Ocwen’s lack of professionalism and failure to follow any code of ethics.Check it out for yourself by entering Ocwen’s company name at www.ripoffreport.com and www.complaintboards.com. It’s important to note that if you put in just “Ocwen Financial,” you get less than a hundred complaints listed. However, if you type in just “Ocwen,” more than 2,000 combined complaints at these sites will pop up. I’d say that’s SHORT SALE BUSTED, wouldn’t you?!

Florida Real Estate For Sale 1221 Northwest Sun Terrace, Port Saint Lucie FL

2010-11-05T13:53:00.000-04:00

Florida Real Estate For Sale 1221 Northwest Sun Terrace, Port Saint Lucie FL

Indymac Boys Get Sweetheart Deal

2010-07-14T12:06:00.000-04:00

Looking for "A Deal" or "A Steal"

2010-05-29T12:56:00.000-04:00

We see a myrid of buyers everyday in the real estate market. Ask them what they are looking for and (if I really wanted to make a living I would charge a dollar to answer the question) for the most part the answer is "I am looking for A DEAL" OR " I am looking for A STEAL". Which is it? A deal or a steal?

If it is a deal - we have them all day long, it is all the foreclosures and 80% of everything else listed for sale or rent. If you look at listed values today - they are still well below pricing of 8 YEARS AGO. We are not back to the "pre-boom" prices- we are at pre - pre-boom prices. More specifically we are about 20% below 2002 pricing. In 2002 you could buy a new home 3/2/2 -no thrills (vinyl, carpet ect...) for $125,000 - I know from personal experience.

Now for the deal part - Today for 125K you can get a larger home - more upgrades, and recently reduced values for tax purposes. Again - Today you get more for the buck than in 2002 - Doesn't get much better......... in all respects THAT IS A DEAL. Another reason homes go for asking price if not more. It is still a GREAT DEAL.

As for a steal - well.. call me. I am looking for them too.. In my opinion, todays deals ARE A STEAL... since most people who bought 4 years before the height of it all STILL PAID MORE than buyers today. That's what I call A STEAL.

Happy House Hunting..... Let the Team Work for You. Call Us Today.

Pools are Popluar This Time of Year - don't forget house quality too!

2010-05-26T16:35:00.000-04:00

Many people, especially this time of the year, look for homes with pools. The kids will be home all summer, there are friends and co-workers to entertain and for many other reasons. Do be careful though, while a pool is nice, don't sacrafice home quality for it. In most circumstances a pool can be added to the property for a reasonable cost.

Pool homes are just a small percentage of available homes. In many cases, a pool home with the living space you want may be much older than a newer home for the same price. This does not mean older is bad, it is just older. Know analyze first what you want out of the home and how much you are willing to spend on possible repairs and grade the home first. If the home is unacceptable, don't buy it just for the pool.

It would be great to be swimming the weekend you move in but if you plan on buying a home you will own and live in for quite some time (5+ years) what is 6 months longer to wait for the swim. The Pool and the Home will be what You want and you will be a satisfied pool home owner.

If you are determined to be swimming this summer in your newly aquired pool home, be sure to check the pool too upon inspection of the home. There are some great deals right now ie 4/2/2 newer pool home for around $125K list price. But these don't last long and will most likely have multiple offers. Be Ready to ACT on the opportunity same day. (even if it is the first one you've seen - if it is a good deal IT IS A GOOD DEAL).

For more information on purchasing a pool home, call me - Gayle Beyer/Broker, Welcome Center Realty - 772-336-8583

Great Deals Waiting for Buyers - The Market is as Sizzling as the Summer Weather

2010-05-24T15:22:00.000-04:00

The Tax Credit may be Over but the Deals are Not!

Think you might have missed the boat? More inventory is hitting the market everyday - yes even after the tax credits are gone! In the much sought after area of Traditon there are SFH and Large 2 Garage Townhomes for under $130,000. Still just a fraction of the peak prices and lower than future predicted values.

In Scattered Port St Lucie you can be spashing away in your own pool home for under $150,000. Have a large family and need a 4/3 - they are still under $160,00! With all time low interest rates owning is still a much greater advantage than renting. Don't forget - there are still TAX BENEFITS to owning your own home.

First Time Homebuyers looking for low downpayment opportunities, Don't forget about the USDA Loans and Government Owned Homes with opportunities for $100 down. Think they need alot of work? Think again. This is the NEW Real Estate Market.

Now let's clarify - THE DEALS are Still Here! But the 40K homes ARE VIRTUALLY GONE. In the past 6 months - over 100 SF homes have sold and closed for under $40,000 inPort St Lucie alone. Values are increasing. In the last 60 days newer 4/2 homes ~2000 sq ft have valued out in the upper 130's (up ~20K in the past year).

So while values are increasing - TODAYS PRICES ARE STILL A DEAL.

What are you waiting for? The Bottom? Many would agree - the bottom we have seen.

In Real Estate Your Success lies in your Agent's Formula for Success

2010-05-22T14:30:00.000-04:00

Whether you are looking to buy or sell - your Success lies in you Agents formula for Success. Your agent must understand your specific needs and wants and listen to what you like, don't like and need. You are as unique as the property you are selling or the property you are looking to make home. Be Sure you are Treated Unique.

Ask for Referrals, Testimonial, proof of a proven track record and a clear knowlege of todays inventories and market.

With reduced inventory your agent should know off hand 5 features of at least 8 properties in your criteria (good or bad or indifferent). This is not hard in todays market.

A true understanding of Lending criteria is very important in todays market as well. This market IS NOT the same as even 2 years ago. Most lenders have changed their lending criteria significantly. There are unique ways to help a buyer buy and the right agents can tell you or your prospective buyer how. FHA is great for first time homebuyers but credit scores must be higher than 620 for a smooth transaction.

How an offer is structured can be a true deal breaker too. A good agent know how to make it work thru the use of terms and terminology. Success can be just an "out of the box" thought away and can save buyers and seller lots of time and money in a successful transaction. Be sure you are working with the right agent. THIS CAN BE THE KEY TO SUCCESS