Homes For Sale: Forclosure and Short Sales: New Legal Tactic to Help Homeowner and Condo Assoc; More Distressed Home Statistics

There is a new mortgage terminator strategy, which is a legal tactic that forces lenders (e.g., banks) to come current with homeowner association dues on distressed homes. The action is a "quiet title action" that requires a lender to prove it owns a property free and clear by foreclosing or giving up its lien.

According to the Community Associations Institute, more than 70% of bank owned houses and apartments are not making regular assessment payments to the boards that operate the properties.

Why would a lender not take title on a foreclosed home and leave it in a "short sale" situation? The answer is in many situations it makes more financial sense for the banks to let things lie. The new strategy will force banks to make a decision as to whether or not it makes sense to hand over title to the homeowners association or come current on fees. The new strategy has been sanctioned by three courts in Florida recently.

Non-payment of association dues puts a financial strain on the community. When not enough funds are collected to pay the bills related to the community, either residents take up the slack or the association reduces the amount of services it provides.

HOA assessment delinquencies doubled since 2005 from 19% of associations reporting delinquency rates of 5% or above, to 65% in 2010. In 2010, 30% of associations have delinquent assessments exceeding 10%. Moreover, 10% or almost 30,000 associations in the US have rates above 20% delinqencies in 2010.

With the new legal tactic in place, associations can take title and force the primary lien holder to initiate it own foreclosure proceeding or release its mortgage so the association can sell the unit to cover the fees owed. This will allow for better upkeep of the communities, help to stave off falling home prices and not place a bigger burden on homeowners who are current with association dues.

I think it is very important for buyers and sellers to understand what is happening in the local markets. As this post discussed, it is important to understand what is happening in individual communities.

As a local Relator, I am aware of what is happening in many of the communities. If you are thinking of selling or buying a home, please feel free to contact me.

Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser

Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty

S FL: Homes For Sale: Foreclosure and Short Sale: South Florida Has Many Distressed Properties; To Pressure Homeowners Looking To Sell

According to Moody's Analytics, there were 15 million underwater homeowners in the United States in the first quarter of 2010. More than half, 7.8 million, owed 25% more than what the home is worth.

Moody's estimates almost one-third of the total (more than 4 million) underwater homeowners owed more than 50% of the homes' value. The worst US markets for underwater homes were 1) California (424,000), 2) Florida (121,000) and 3) Illinois (121,000).

The bottom line is the economy is in a holding pattern until these figures can be reduced, in our opinion. Homeowners cannot sell and move up and home improvements are being delayed. We believe this trickles down throughout the whole US economy.

During previous recessions, the housing industry and consumer spending strengthened the overall economy. To put in perspective the current lull in housing, we turn to the National Homebuilders Association's annual homebuilding estimate of 600,000 for 2010. This compares with the US output in new homes of 1.7 million in more normal times. The National Homebuilders Association's economist, David Crowe, does not expect home building to return to its normal levels for another three years (editor's note: estimated to be 2014)

In regards to home prices returning to a point where their mortgage balance was even with current property values-- estimates have put an estimate of 11 years for that to happen. The assumption behind the 11 year estimate is if prices were to rise at an annual rate of 3% per year. we believe an average of 3% annual price appreciation during the next 11 years to be a likely scenario.

I think it is very important for sellers to understand their respective local markets. This will allow them to competitively price their properties and garner the most interest in what seems like a lengthy buyer's market in South Florida.

If you are thinking of selling or buying a home, please feel free to contact me.

Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser

Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty

South Florida Real Estate: Homes For Sale: Free Home Search: Country Club: Delray Beach: Mizner Country Club

Free home search for Mizner Country Club and other real estate (preview listings, etc.)-- homes for sale: cut and paste this link into your browser:

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217

Mizner Country Club is one of the premier country club communities in Delray Beach, Florida. There is a mandatory equity membership to the clubhouse in order to live in the community. Amenities include: golf, tennis, fitness center, dining, social events and many other features. The advantageous location is one of the many reasons homeowners have chosen the community. Mizner CC is close to major shopping areas, restaurants, major roads and has almost everything one would need within the confines of the community.

I specialize in country club communities in Delray Beach and throughout South Florida. Please feel free to contact me for more information on Mizner Country Club or any other community in the area.

Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser

Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty

South Florida Real Estate: Homes For Sale: Free Home Search: Country Club: Boca Raton: Woodfield Country Club

Free home search for Woodfield Country Club and other real estate (preview listings, etc.)-- homes for sale: cut and paste this link into your browser:

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217

Woodfield Country Club is one of the premier country club communities in Boca Raton, Florida. There is a mandatory equity membership to the clubhouse in order to live in the community. Amenities include: golf, tennis, fitness center, dining, social events and many other features. The central Boca Raton location is one of the many reasons homeowners have chosen the community. Woodfield CC is close to major shopping areas, restaurants, major roads and has almost everything one would need within the confines of the community.

I specialize in country club communities in Boca Raton and throughout South Florida. Please feel free to contact me for more information on Woodfield Country Club or any other community in the area.

Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser

Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty

US / South Florida Real Estate Market To Rebound in 2011?

Sales of existing homes in the US sequentially increased 10.4% during October 2010, according to the National Association of Realtors. This is the biggest gain in the nine-year history of the measurement.

Does this mean the worst is behind us and houses will begin selling at a more robust pace and at higher prices? Or is this a positive number that is being taken out of context?

The positive thinker will point to what seems to be an improving US economy (although slow growth), coupled with low mortgage rates are spurring those on the sidelines to enter the market. With the Federal Reserve recently indicating it will continue its monetary easing, it is likely mortgage rates will remain low. The low rates and many distressed properties offer the perception that now might be offering a once in a lifetime opportunity to purchase a home.

The more pessimistic view is that the number is one data point, and when compared with several years ago, is still not an indication of strong demand. With the supply of houses in the market, a sustained recovery in prices is far in the future, according to a more dampened view of the data.

With the recent increase in US unemployment to 9.8%, from 9.6%, we think the more pessimistic view is more realistic. The economy may be more stable when compared with a year ago; but, there are not enough jobs being created to substantially increase demand, in our view. In addition, the believed oversupply of homes in the market means there should not be much in the way of robust price increases during the 12 months, in our view.

If you are buying or selling a home, please feel free to contact me.

I have provided a link to a property search engine below where you can find and view listings. Contact me for more details on those listings and/or information in the area.

Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100

http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser

Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty