I worked the Foreclosure Crisis in 2008 through 2014 and I honestly believe as long as these mortgage holders communicate with their lenders we”won’t see this happen due to the challenges we are facing!”

Florida Trend published today Monday August 3, 2020!

About 389,000, or 10.5 percent, of Florida’s 3.7 million mortgage-holders were delinquent on loan payments in late May, presaging what some fear could be an emerging foreclosure crisis as bad if not worse than the one that followed the 2008 housing crash. Don’t let the media frighten you!

With the lowest interest rates since the 50’s we are experiencing a huge boost of buyers and investors from the Northeast purchasing homes all along the East Coast of Florida! Miami through Jacksonville and I’m sure other parts of Florida we’re seeing the new tomorrow! Over seas corporate business are moving back to the states. Corporations experiencing huge are moving to states with more desirable tax breaks and credits. Yes we have lost many small businesses, however as we move through these challenges we’ll see a remarkable recovery. Big corporations, “Allowing production for their employees from home!” is stimulating buyers to look at an extra bedroom and making it their future office. I’m seeing high end homes becoming a popular market for these wealthier investors.

We hear the construction industry home starts have plummeted as much as 54% in June South Florida construction starts took a nosedive in June, continuing the trend since the COVID-19 pandemic began. Nonresidential construction declined 43 percent in June, year-over-year, to $239.6 million, while residential construction dropped 61 percent to $265.4 million during the same period, according to a new report from Dodge Data & Analytics (Source: The Real Deal) Where is this rhetoric all coming from?

Home prices have hit record highs in Volusia, Flagler counties and I’m seeing multiple offers on homes in St. John’s and Duval Counties. Area Realtors chalk it up to increased demand, super low interest rates and shrinking supply of available homes because of the COVID-19 fears on the part of many would be sellers.

New construction? Builders are offering as low as 2.5% mortgage rates for their homes. New construction does not seem to be slowing down in our area, mostly because these buyers moving to Florida want immediate move in ready homes. In an interesting article published July 13, by Florida Trend Real Estate, home prices in Florida and Arizona expected to drop due to COVID-19 “perfect storm” Despite home prices increasing 4.8% year over year in May, a report by CoreLogic predicts home prices will stall over the summer and estimates a 6.6% decline by May of 2021. What I find remarkable, from June 1st through June 22nd, Del Webb in Nocatee had multiple offers on homes and couldn’t keep enough inventory. When it was announced COVID-19 was becoming prolific in Florida, buyers all but stopped. A real good thing, is that many homes that sold much lower than originally listed have similar models and sizes now securing buyers at a much higher price. Marketing, staging, photography, presentation, and how quickly move-in-ready are certainly determining factors!

So who is correct in a Pandemic environment? I am beginning to believe we are experiencing an up and down trend depending on the environment the media is creating. We will only know as the trending model, “What the market will bear!” experiences! We can’t expect to abide by this statement for the entire rest of 2020, since a Hurricanes, Major Election, Pandemic, Corporate relocation, motivation of buyers and sellers, and I can go on and on with historic and current market trends. Is it all speculation? At the moment, our local trend is a motivation for sellers to consider when listing with a good Realtor!

I didn’t make it to the RE/MAX Hall of Fame without representing my buyers and sellers with outstanding representation.

When you want to sell your house, it might surprise you to learn that there are times when putting it on the market is going to result in a quick sale. But another time will lead to your home sitting on the market for months without an offer.

Most homeowners more often that not, do not understand how they can tell if it is a buyers’ or sellers’ market. This is something that an experienced real estate agent can tell you by showing you the most recent data on what is going on in your area.

You must keep in mind that the data for one city or town may not mirror what’s going on in another. You can have a buyers’ market in one city in a state and a sellers’ market in another city in the exact same state.

The difference will come into play when a property can or cannot be moved. This is something that I use my tools, through professional subscriptions, that are only accessible as a licensed Realtor. You may discover some of these answers but be aware they can be misleading at times.

Selling a house works just like any business does. It is based on supply and demand. When you have a lower inventory than you have customers, the demand in a normal market is high.

So that means that it is a sellers’ market. This market can also change even within the same town or city. One neighborhood might be a sellers’ market while a neighborhood a mile down the road will be a buyers’ market. This was something Del Webb experienced June 1st, through June 22nd. Buyers were quickly moving to Florida from the Northeast to get away from the COVID-19 hot spots. Well they brought it with them.

Other things can sway the type of market we are in. Amenities that the area offers and the cost that you have to sustain these under a Homeowners Association and/or Community Development District. If it has what people are looking for, that can also affect and alter the market.

Some things that change a market are which school district the home is in, proximity to places of convenience, and desirability of the area. A market can also be influenced by the selling price of the house. I have experienced sellers that just want to sell and will accept any reasonable offer. This effect the overall value of homes in a specific community.

Homes in a certain price range may be more in demand that other a different model home has to offer.  If a buyer has a lot of homes to choose from in the area that he or she wants to be in, then it’s a buyers’ market.

If there are few homes in that area, then it can be a sellers’ market. You can figure it out by asking your agent or you can go online and look at the number of homes that are for sale in your area. However, the online data is not always accurate.

Check to see how many of the homes have a sale pending. When you divide the listed properties by the contracted ones, that will tell you the sales rate or the number of inventories that is moving versus the amount on hand. If it takes homes less than three months to sell, that’s usually a sellers’ market.

Whether we are in a sellers’ market or a buyers’ market I tend to suggest that my sellers get a Home Inspection prior to placing it on the market. This helps when you close a CASH offer quickly, and it also helps you put out any RED flags in discovery.

You ask what is the importance of this? You eliminate any potential room to negotiate a lower sales price at closing. Never give the buyer an open opportunity to leverage you down on the sale price. At the end of the day, and you finally close on your property, everyone walks away happy!

We are RE/MAX, stocked full with inventive ways to keep our staff and you safe. We’ve rearranged our offices to encouraging social distancing. Reference CDC guidance for cleaning and staying up to date on our local and state governing bodies! We are always reviewing and inspecting Personal Protective Equipment. (PPE). Although it may be second nature to many agents by now, we are to stocked with on face masks, gloves, hand sanitizer and cleaning products (without hoarding them and contributing to shortages) we welcome clients into the office even if they aren’t prepared with PPE.

We continually acknowledge other perspectives. We recognize that there are many varying degrees of comfort when it comes to ‘IN-PERSON” interactions. We are interacting daily on the side of being overly cautious and respectful. Continually self-educating, self-evaluating how we can become better ally’s.

If the pandemic and recent protests have taught us anything, it’s that now is the time to create bridges with others and try to be sensitive to points of view that differ from our own. We are engaging and practicing dialogue about how to best approach interactions with our clients and between each other in a cautious and respectful manner during these particularly trying times. Many have suffered job losses, illness and death of loved ones over the past few months — and many more have been redlined or sidelined over the years because of racial bias. We are mapping new industry standards to address the injustice.

We are reinventing our office events. Customers by choice still have reservations for large groups, doesn’t mean we can’t host an open house. We are creative and learn from others in the industry and take it out in the open, if you will! We even use vehicles for open interactive events, and if you keep up to date with my blogs, mastering the virtual open house when demanded. https://danswingblogdotcom.wordpress.com/2020/05/10/8-tips-for-virtually-prepping-a-home-for-sale/

Real Estate tech keeps improving in new ways. My staff is using it, and we are continually engaging our National, State and Local Real Estate Associations to practice and use these new Technologies.

We are extremely mindful of monitoring our health regular and take sick days seriously when the need arises. This does not mean disengage, technology does not lend restrictive measures in current times.

In closing, we have checklists of “To-Do’s and necessary supplies for reference before ALL IN-PERSON meetings.

The first two (2) interactive charts are pulling data of a median priced home in this category. You may come back to it anytime for updates. The third chart is pulling the average priced home and the fourth (4th) chart goes back to Median price homes. *NOTE the fourth chart is indicating these Median values are selling currently at $570,000!

Note that this line graph is interactive and place your cursor along the line to see what’s trending. Click on the link below!
This depicts the criteria of homes priced between $339,000 and $405,000 or more. Single Family, Previously owned, 1500 to 2500 Sq. Ft. Heated. Two (2) bedrooms. These statistics were pulled from actual live data up to the day you access and review the chart.
This next line graph is interactive, by placing your cursor along the line anywhere to see what’s trending.
This depicts the criteria of Median homes priced between $405,000 or more. Single Family, Previously owned, 2000 or more Sq. Ft. Heated. Three (3) bedrooms or more. These statistics were pulled from actual live data up to the day you access and review the chart.
This next line graph is interactive for the average price homes clear back to January 2017. By placing your cursor along the line anywhere to see what’s trending. Note there is a slight difference in values between Median and Average priced homes.
This depicts the criteria of the average priced homes between $405,000 or more. Single Family, Previously owned, 2000 or more Sq. Ft. Heated. Three (3) bedrooms or more. These statistics were pulled from actual live data up to the day you access and review the chart.
What’s extremely interesting, Del Webb is a 55 Plus community and you would want to believe buyers are downsizing. In this next graph, the trend defy’s these statistics. Buyers are looking for larger homes and the values are consistent with this and noticeably a far better investment at the moment.
This depicts the criteria of the MEDIAN priced homes between $405,000 or more. Single Family, Previously owned, 2500 or more Sq. Ft. Heated. Three (3) bedrooms or more. These statistics were pulled from actual live data up to the day you access and review the chart.
Amazing events are coming to this challenging journey. Interview all your choices in Real Estate, Vendors, and Friends! I’m here to make your day, or year better!
We had an extreme surge in buyers between June 1st and June 22nd. Most all were cash deals and have pushed values up a little bit. This may indicate a progressive sellers market, “IF the asking price supports the LIST price or close, thereof!” More importantly the Staging and amount of photos completed, uploaded and the minor bits and pieces of tidbits without doubt enhance the interest and value, providing you have a CASH buyer!

I will post some more interesting tidbits in the next week or so. At the moment, I have CASH buyers looking for homes in and around Ponte Vedra Beach and Ponte Vedra.

You’ve most likely seen yellow throw away signs on street corners, main thoroughfares, intersections that say “Sell Your House for CASH” You may have received a Post Card, a personalized computer generated letter offering you cash for your home and can close in one day with no contingencies!

REALLY!

Does any of this raise a RED FLAG? “NOTHING IS FREE” You either got to work for it or there are underlining factors that affect these company services. We Buy Houses & Pay Cash! Sell Your Home Hassle Free! We Buy Ugly Houses! Open Door, and many more internet companies offering to buy your home for cash if they do not sell it!  “THESE ARE REAL ESTATE INVESTORS”

What is the catch?  These companies say they offer NO CLOSING FEES, BUY IT AS IS, NO COMMISSIONS, and many more promises. Like any transaction, nothing is FREE! These investors would not offer services of this nature if they did not make money on you.  

So, many of these companies are powered by “Algorithm-powered technology.” One of the most inconvenient aspects of buying a new home—and offloading the old one—is lining up move-out and move-in dates. Typically, people need to sell their old place before buying the new one because they simply need the money from their existing home to pay for the new one. But doing so can result in a gap between moving dates, requiring temporary housing.

They work like this: These companies, dubbed (iBuyers,) make cash offers for your current home at an algorithmically determined “fair market price,” allowing you to take the money, buy your next home, and move out at whatever date works best for you. The transaction closes in a matter of days.

The companies then clean and fix up your old house and sell it on the open market, collecting a fee from the seller. And because the price at which iBuyers buy the house is usually not the maximum the house would fetch if it were sold traditionally, they likely make a small gain on the sale price.

iBuyers resist being labeled “home flippers” because of the negative connotation (the practice has been “shown to diminish” cities affordable housing stock). It  boils down to a financing instrument. The companies essentially extend a line of credit to a home buyer using the existing property as the collateral. Customers then use that line of credit to buy a home.

I have many financial institutions that will offer you the same tools, allow me to market and sell your property for the highest and best offer while giving you the flexibility to purchase your new home. I do this all the time for my buyers relocating from all over the United States.

The key difference is that iBuyers do not collect on the loan through monthly mortgage payments or by selling the loan. Instead, they collect on the loan after the move-out by liquidating the collateral—the old house—for more than they paid for it.

Do you want to capitalize on the most you can get for your existing home and still have the flexibility to purchase that new home wherever it may be located? RE/MAX agents do this all the time.

Some old and some new technology! Investors capitalize by leveraging capital to purchase Real Estate for much less than you could ever imagine and how they do it. I’ll cover this in another Blog. It’s simple, your investment is minimal and your rate of return, (ROI) may set you up for life!

Courtesy of the National Association of Realtors.

This is an accumulation of different sources, and the National Association of Realtors.

It’s frighting how many buyers have very little knowledge when it comes to purchasing Condominiums! I might add, Townhomes, and properties located within a homeowner association offer certain perks, but it’s important to consider them in your decision process.

How much storage is available?
Some properties include storage lockers, but there may not be attics or basements to hold extra belongings.

How’s the outdoor space?
Your yard may be smaller than you’d find in a traditional single-family home, so if you like to garden or entertain outdoors, this may not be a good fit. But if you dread yard work, it may be the perfect option.

Are amenities important?
Many properties offer swimming pools, fitness centers, and other facilities that would cost much more in a single-family setting.

Who handles maintenance and security?
Property managers often hire professionals to care for common areas and perform in-unit repairs. Keyed entries and doormen may regulate access to your home when you’re not there (good news if you travel).

Are there required reserve funds and association fees? How much are they?
Although fees generally help pay for amenities and provide savings for future repairs, the HOA or condo board determines these fees, and you’ll have to pay them even if you’re not in favor of the improvements.

What are the association rules?
Although you have a vote on future changes, association rules can dictate how you use your property. Some condos prohibit home-based businesses; others prohibit pets or don’t allow owners to rent out their units. Read the covenants, restrictions, and bylaws carefully before you make an offer.

What’s the average vacancy rate?
It’s never too early to be thinking about resale. The ease of selling your unit may depend on what else is for sale in your building, since units are similar. 

How many units are owned by investors?
Some lenders require a certain percentage of the building to be owner-occupied and may not be able to offer you financing if the ratio is too low.

Can I meet other residents before making an offer?
You will share space and decision-making duties with your neighbors when part of a homeowner association, so it’s important to make sure you can work together. If possible, try to meet your closest prospective neighbors before you decide on a place.

QUESTIONS TO ASK THE CONDO BOARD!

Before you purchase a condo, you should have an attorney review property documents for you. However, you should contact the board yourself ahead of time. You’ll learn how responsive and organized its members are and be alerted to potential problems. Its very difficult to get cooperation from the management and the board. Rely on your Realtor to pull most of these resources for you!

How many units are owner-occupied?
Generally, the higher the percentage of owner-occupied units, the easier the condo will be to resell.

What covenants, bylaws, and restrictions govern the property?
Carefully read the bylaws to determine if you can abide by them. Also, find out if there are grandfather provisions that allow current owners more rights than you would have as a new owner, such as the ability to rent out your unit.

How much does the association keep in reserve?
Ask how the money is being invested.

Are association assessments keeping pace with the annual rate of inflation?
Smart boards raise assessments a reasonable percentage each year to build reserves for funding future repairs.

What does the assessment cover?
Ask specifically about common-area maintenance, recreational facilities, trash collection, and snow removal (if applicable).

What special assessments have been mandated in the past five years, and how much of that was the responsibility of individual owners?
Some special assessments are unavoidable. But repeated, expensive assessments could be a red flag about building conditions or fiscal policy.

What’s the turnover rate?
This will tell you if residents are generally happy with the building.

Is the condo building in litigation?
Obviously, this is never a good sign. If the builders or owners are involved in a lawsuit, reserves can be depleted quickly to pay legal fees.

What other projects has the developer built?
Try to visit one, and ask residents about their perceptions. Also, request an engineer’s report if the building has been converted from another use.

Are multiple associations involved in the property?
In very large developments, umbrella associations also may require separate assessments.

We are RE/MAX, stocked full with inventive ways to keep our staff and you safe. We’ve rearranged our offices to encouraging social distancing. Reference CDC guidance for cleaning and staying up to date on our local and state governing bodies! We are always reviewing and inspecting Personal Protective Equipment. (PPE). Although it may be second nature to many agents by now, we are to stocked with on face masks, gloves, hand sanitizer and cleaning products (without hoarding them and contributing to shortages) we welcome clients into the office even if they aren’t prepared with PPE.

We continually acknowledge other perspectives. We recognize that there are many varying degrees of comfort when it comes to ‘IN-PERSON” interactions. We are interacting daily on the side of being overly cautious and respectful. Continually self-educating, self-evaluating how we can become better ally’s.

If the pandemic and recent protests have taught us anything, it’s that now is the time to create bridges with others and try to be sensitive to points of view that differ from our own. We are engaging and practicing dialogue about how to best approach interactions with our clients and between each other in a cautious and respectful manner during these particularly trying times. Many have suffered job losses, illness and death of loved ones over the past few months — and many more have been redlined or sidelined over the years because of racial bias. We are mapping new industry standards to address the injustice.

We are reinventing our office events. Customers by choice still have reservations for large groups, doesn’t mean we can’t host an open house. We are creative and learn from others in the industry and take it out in the open, if you will! We even use vehicles for open interactive events, and if you keep up to date with my blogs, mastering the virtual open house when  demanded.

Real Estate tech keeps improving in new ways. My staff is using it, and we are continually engaging our National, State and Local Real Estate Associations to practice and use these new Technologies.

We are extremely mindful of monitoring our health regular and take sick days seriously when the need arises. This does not mean disengage, technology does not lend restrictive measures in current times.

In closing, we have checklists of “To-Do’s and necessary supplies for reference before ALL IN-PERSON meetings.

I had so many positive comments I was encouraged to post it again.