The National Association of Realtors reported single-family homes in the US fell by 2.6% in March 2012 over March 2011 (4.48 million units). However, the median home price sale was up 2.5% on a year-over-year basis in March 2012.
Home sellers have reportedly increased listing prices in kind-- up 5.6% over March 2012, according to Realtor.com. Nonetheless, as we have stressed in the past, real estate is a local business. The magazine SmartMoney listed its most realistic and least realistic housing markets.
Most Realistic: 1) Las Vegas with a difference of +1.5% from list price and sales price; 2) Boston, +2.0%; and 3) Tampa, Florida at -3.0%.
Least Realistic: 1) Atlanta with a difference of -40.0% from list price and sales price; 2) Jacksonville, Florida at -34.0%; and 3) Washington, DC at -13.0%.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
Monday, April 30, 2012
Sunday, April 29, 2012
Cash Buyers And Foreclosures To Keep Home Prices Down? Homes For Sale; Homes For Rent
Cash deals are easier to close because there is no need to get involved with the rigours of bank financing-- appraisals, downpayments, qualifications, etc. However, due to the less risk of closing, generally means the prices offered are a bit lower than market. A recent report in Fortune Magazine, said the average "haircut" off the home is 10% for cash.
Foreign investors are making their way to the US market who are betting on both a recovery in the housing market as well as a strengthening US Dollar. They would get a boost from the apprecation in the home value and the currency translation when they sold and reverted back to the home country currency.
All cash purchases were about 13% of all transactions in the US during 2007, according to DataQuick; this is considered a more normal period of sales. Cash sales were about 33.2% of nationwide sales in December 2011, according to DataQuick.
We also know distressed sales (i.e., short sales and foreclosures) are increasingly becoming a large part of overall sales. Foreclosures are dampening the sales comparisons and are forcing listing prices down in order to compete with the others in the inventory pool.
The overhang of new foreclosures and the sluggish US recovery are reasons I believe the US housing market will not show price appreciaiton in 2012. The market is favorable to buyers of homes, especially cash buyers. Please contact me for your buying, selling and renting needs.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
Foreign investors are making their way to the US market who are betting on both a recovery in the housing market as well as a strengthening US Dollar. They would get a boost from the apprecation in the home value and the currency translation when they sold and reverted back to the home country currency.
All cash purchases were about 13% of all transactions in the US during 2007, according to DataQuick; this is considered a more normal period of sales. Cash sales were about 33.2% of nationwide sales in December 2011, according to DataQuick.
We also know distressed sales (i.e., short sales and foreclosures) are increasingly becoming a large part of overall sales. Foreclosures are dampening the sales comparisons and are forcing listing prices down in order to compete with the others in the inventory pool.
The overhang of new foreclosures and the sluggish US recovery are reasons I believe the US housing market will not show price appreciaiton in 2012. The market is favorable to buyers of homes, especially cash buyers. Please contact me for your buying, selling and renting needs.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
Big And Small Investors Entering The Real Estate Market: Homes For Sale: Homes For Rent
The US government's push to sell big pools of single-family homes that Fannie Mae owns has intrigued large institutional investors to begin looking into real estate for investment vehicles. The Fannie Mae and Freddic Mac homes are those that were foreclosed upon and now sit idle. The US government's pilot project will allow for the large-scale sale of these properties.
The combined Fannie Mae and Freddie Mac own more than 200,000 foreclosed homes and RealtyTrac estimates banks own another 600,000 single-family homes. The combination of a red-hot rental market and an over-supply of homes has gotten the attention of some investors who see an opportunity. The potential to purchase undervalued homes and rent them out is the potential play for many investors.
Some high-profile institutional investors are committing money to buying foreclosures, such as Warren Buffet's Berkshire Hathaway, Och-Ziff Capital Management and Starwood Capital, to mention a few. These larege investors have the potential to crowd-out the smaller investors.
Bids for these homes are to begin in April 2012 for the initial round of 2,500 Fannie Mae owned homes in some the United States' larges cities, such as Atlanta, Chicago and Los Angeles. If this is successful, the Federal Housing Finance Agency (FHFA) is considering selling off pools of distressed homes in the future.
Many homes in the initial round of sales are expected to be homes that already have tenants in them. This will give investors a pretty good idea of what the cash flows will be. Some investors believe they can generate an annual yield of 7% from rental income alone. The long-term goal of many institutional companies would be to form publicly traded real estate investment trusts (REITS) that would potentially yield an internal rate of return in the 25% range over a three-year period.
My background in dealing with large institutional investors enables me to work with both large and small investors. I am uniquely qualified as a Realtor, Certified Distressed Property Expert (CDPE) and direct investment experience.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
The combined Fannie Mae and Freddie Mac own more than 200,000 foreclosed homes and RealtyTrac estimates banks own another 600,000 single-family homes. The combination of a red-hot rental market and an over-supply of homes has gotten the attention of some investors who see an opportunity. The potential to purchase undervalued homes and rent them out is the potential play for many investors.
Some high-profile institutional investors are committing money to buying foreclosures, such as Warren Buffet's Berkshire Hathaway, Och-Ziff Capital Management and Starwood Capital, to mention a few. These larege investors have the potential to crowd-out the smaller investors.
Bids for these homes are to begin in April 2012 for the initial round of 2,500 Fannie Mae owned homes in some the United States' larges cities, such as Atlanta, Chicago and Los Angeles. If this is successful, the Federal Housing Finance Agency (FHFA) is considering selling off pools of distressed homes in the future.
Many homes in the initial round of sales are expected to be homes that already have tenants in them. This will give investors a pretty good idea of what the cash flows will be. Some investors believe they can generate an annual yield of 7% from rental income alone. The long-term goal of many institutional companies would be to form publicly traded real estate investment trusts (REITS) that would potentially yield an internal rate of return in the 25% range over a three-year period.
My background in dealing with large institutional investors enables me to work with both large and small investors. I am uniquely qualified as a Realtor, Certified Distressed Property Expert (CDPE) and direct investment experience.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
Wednesday, April 18, 2012
Rentals: What Landlords And Tenants Need To Know About South Florida Seasonal "Bed Taxes"
With the seasonal rental period ending here in South Florida, I thought I'd comment on the "bed tax" in Florida. Any and all rentals for six months or less are subject to a tax, just like a hotel pays the same tax. That includes vacation or seasonal stays at townhouses, condominiums, timeshares, single family houses, mobile homes, beach cottages, room houses, etc.
I have been asked by those looking to rent why they need to pay this-- it is the law and the landlord will need to pay this and it is usually passed on to the renter.
Those landlords that are collecting this tax from their tenants need to be sure they are turning over the money to the tax collector's office; those that are not are still subject to the tax.
Palm Beach County Tax Collector Anne Gannon said beginning in June or July, she plans to send staffers to condominiums and vacation rental properties across the county in order enforce the "bed tax" on those who are not in compliance.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
I have been asked by those looking to rent why they need to pay this-- it is the law and the landlord will need to pay this and it is usually passed on to the renter.
Those landlords that are collecting this tax from their tenants need to be sure they are turning over the money to the tax collector's office; those that are not are still subject to the tax.
Palm Beach County Tax Collector Anne Gannon said beginning in June or July, she plans to send staffers to condominiums and vacation rental properties across the county in order enforce the "bed tax" on those who are not in compliance.
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
Case-Shiller Index: January 2012: US House Prices Continue To Decrease In 2012
The Case-Shiller Housing Index indicates the US housing market declined another 3.8% on a year-over-year basis in January 2012. Sequentially the market is down 0.8% in January 2012.
What I find interesting is US home prices did not experience a rebound with the recent decline in the unemployment numbers. I think there are several factors involved: 1) there are other factors involved in the drop in unemployment (i.e., those who gave up work are no longer considered "unemployed"); 2) tight lending standards are keeping a good number of potential buyers out of the market; 3) the "shadow" inventory of foreclosures post "robo-signing" are an overhang on the market; and 4) the recovery in the US economy is not as robust as one might think.
The South Florida housing market was down 1.9% on a year-over-year basis in January 2012, which was better than the national average of almost a 4% decline. On a sequential basis, the South Florida housing market saw a slight gain in prices of 0.6%, versus a 0.8% decline in home prices in January 2012.
Some markets of note:
January 2012January '12/December '11December/NovemberMetropolitan AreaLevelChange (%)
Change (%)1-Year Change (%)
Boston147.89-0.4%-1.2%-2.8%
Chicago108.15-1.9%-2.0%-6.6%
Miami138.590.6%0.2%-1.9%
Minneapolis111.42-0.8%-1.2%-1.8%
New York161.16-0.8%-1.4%-2.9%
Tampa124.14-0.8%-0.2%-3.8%
Composite-10148.40-0.8%-1.2%-3.9%
Composite-20135.46-0.8%-1.1%-3.8%
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
What I find interesting is US home prices did not experience a rebound with the recent decline in the unemployment numbers. I think there are several factors involved: 1) there are other factors involved in the drop in unemployment (i.e., those who gave up work are no longer considered "unemployed"); 2) tight lending standards are keeping a good number of potential buyers out of the market; 3) the "shadow" inventory of foreclosures post "robo-signing" are an overhang on the market; and 4) the recovery in the US economy is not as robust as one might think.
The South Florida housing market was down 1.9% on a year-over-year basis in January 2012, which was better than the national average of almost a 4% decline. On a sequential basis, the South Florida housing market saw a slight gain in prices of 0.6%, versus a 0.8% decline in home prices in January 2012.
Some markets of note:
January 2012January '12/December '11December/NovemberMetropolitan AreaLevelChange (%)
Change (%)1-Year Change (%)
Boston147.89-0.4%-1.2%-2.8%
Chicago108.15-1.9%-2.0%-6.6%
Miami138.590.6%0.2%-1.9%
Minneapolis111.42-0.8%-1.2%-1.8%
New York161.16-0.8%-1.4%-2.9%
Tampa124.14-0.8%-0.2%-3.8%
Composite-10148.40-0.8%-1.2%-3.9%
Composite-20135.46-0.8%-1.1%-3.8%
As a local Relator, I am aware of the trends in the US market as well as in many of the communities in which I specialize. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
http://MYsouthFLrealestate.com
Referrals are appreciated and welcomed.
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
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