Category: Real Estate News

I’m happy to announce that I am now a licensed real estate broker in the state of New York. I have opened an office on West 57th Street in Manhattan and am now working with buyers and sellers there.

I have been fortunate to partner with a Chinese National and a Wall Street financier to be able to provide quality services for New York real estate buyers and sellers. In phase one of our new business we are catering to Chinese investors looking to invest in New York real estate. Soon, we will be bringing these investors to Florida to buy a piece of the vacation capital of the world.

We may also have opportunities for real estate agents in both New York and Florida. If interested, please contact us. Or, if you have any interest in New York real estate, please fee free to contact me, Broker and Attorney David Dowell, by phone/text at (407) 864-2265, by email at david@PanAmOrlando.com, or visit me online at www.PanAmOrlando.com.

The Orlando real estate market is ideal right now for buyers to finally purchase their dream home. The Orlando real estate market has been one of the biggest boom markets in the country since the early 1970‘s. Upon the opening of Walt Disney World back in 1971, Orlando and Central Florida became the fastest growing region in the United States. The Walt Disney Resort turned this area into the number one tourist destination in the world. With that, came jobs and thousands of permanent residents, who discovered the wonderful opportunities of Orlando.

The Orlando real estate market continued growing well into the 21st century. But when the national economy began suffering around 2006, so to did the Orlando real estate market. Like most other real estate markets around the country, the Orlando real estate market took a plunge for the next few years. Fortunately, the home prices in the Orlando real estate market have now stabilized and appear to have bottomed out. In fact, many experts now believe that prices are on the way up.

So, now is probably the best time in recent memory to purchase a home in the Orlando real estate market. Whether you are looking to buy a primary home or buy an investment home, the Orlando real estate market is now a perfect opportunity. Some reasons for this thought are as follows:

Great prices. Home prices in the Orlando real estate market have fallen tremendously over the past seven years, but now appear to have stabilized. There are many wonderful opportunities in this market.

Home sales volumes are increasing. This may show that the Orlando real estate market recovery is underway.

High inventory levels. Conditions are ideal for buyers to find their dream homes here in the Orlando real estate market. Inventory of homes is high for all types of homes. But keep in mind that as sales volumes increase, inventory levels will shrink and prices will start to rise again.

Low mortgage rates. Mortgage rates are still at the lowest levels since the 1960s. Buyers can get more home for the money, which is a perfect scenario for families looking to upsize.

Long-term-growth. Long-term economic and demographic trends benefit Orlando and the state of Florida. By 2012, economists believe that Florida will be the third most populated state in the country. Florida has been one of the fastest growing states in the U.S. for each of the past seven decades, with much of that growth occurring in Orlando and Central Florida. These trends are positive indicators for the Orlando real estate market growth.

Migration patterns. Even with a slowdown in the nation’s economy, expert projections see Florida’s population continuing to grow, bringing thousands of new buyers and sellers into the Orlando real estate market for years to come. As a favorite retirement destination, Orlando and Central Florida will benefit from these new residents.

Diverse economy. Orlando’s economy is extremely diverse – from the service industry to the manufacturing industry to the agricultural industry – supporting local, national and international companies. This diversity will help the Orlando real estate market stay strong for many years to come.

A great lifestyle. Let’s not forget the things that bring people to Orlando in the first place, and will continue to attract them – beautiful nearby beaches, world class attractions, countless outdoor activities, a great job market, great weather, and no state income tax! With all this, Orlando continues to be one of the greatest places in the world to live and the Orlando real estate market is as great as ever!

For more information on the Orlando real estate market, please contact us today or visit us at www. YourOrlandoRealty.com.

A short sale is a sale of real estate where the proceeds from the sale are less than the amount owed on the real estate. In other words, the proceeds are “short”. The amounts owed on a short sale property include all mortgages and other liens. In a normal situation, when a piece of real estate is sold, the proceeds of the sale are first used to pay off all mortgages and liens in full. Any additional amounts left over would go to the seller.

But in a short sale, there are not sufficient proceeds from the sale to pay off the mortgages and liens. Therefore, the seller and lender must agree beforehand that the lender will accept these lesser proceeds as payment in full for it’s outstanding loan/lien – even though they are taking a loss. Lenders frequently agree to a short sale in order to minimize their losses. With the drop in real estate values over the past few years, many houses are “underwater”. In other words, they are worth less than what is owed on them. Many lenders understand that if they do not agree to a short sale then they will likely have to foreclose at a later date – in which case they would incur more fees and receive a lower amount of proceeds.

Short sales have become a very popular way of finding a home. There are many short sale properties on the market today and a qualified real estate agent can help you find what you are looking for.

As an attorney, as well as a real estate agent, I can explain the entire short sale process in more detail and can walk you through the entire process. Please contact us to see how we can help you with your short sale.

With the downturn in the housing market over the past few years, in Orlando and all parts of the country, many people considered renting a home to be a better option than buying a home. However, the turnaround in the housing market, and the corresponding thinking of those looking for a new home, has changed dramatically.

Here is a great article that was recently published by the Florida Realtors that really drives this point home.

“WASHINGTON – March 27, 2012 – Fannie Mae’s latest quarterly National Housing Survey focuses on the homeownership aspirations of Americans. Despite the recent housing crisis, most Americans continue to believe that homeownership is better than renting.

And while Fannie Mae’s data finds that financial constraints and employment concerns may be keeping potential homebuyers on the sidelines, that could change. As employment picks up and the economy grows stronger, stabilizing home prices may entice Americans to buy a home in coming years.

Findings

• Across all education levels, Americans say owning makes more sense than renting. This belief is held consistently across all demographic groups.
• • Nearly two-thirds of current renters say that they will buy a house at some point in the future.
• Non-financial factors, such as safety and quality of local schools, continue to be the top reasons   for buying a home across all income groups.
• African-Americans and Hispanics are more likely to cite various benefits to homeownership, such as buying a home as a way to build wealth, as a symbol of success and civic benefits.

“In spite of the impact of the housing crisis on home values and homeownership rates across the country, Americans by and large still hope to become homeowners,” says Doug Duncan, vice president and chief economist of Fannie Mae. “A point of concern for the industry is that some consumers find the mortgage shopping process difficult to navigate. If potential homeowners avoid the process because they believe it to be too complex, we will likely see a continued impact on homeownership rates.”

Overall, certain groups (renters, those with lower levels of education, people with lower incomes, African-Americans and Hispanics) cite potential difficulties in getting a mortgage. Renters today are most likely to cite poor credit, complexity of the loan process and bad economic times as major reasons not to buy a home.

Financing problems

• Renters are consistently more likely than mortgage borrowers to think it would be difficult for them to get a home, and say financial reasons are the major reason they have not bought a home.

• African-Americans and Hispanics are more likely to indicate that getting a mortgage is difficult, regardless of income level. They’re also more likely to cite bad economic times and the complexity of the mortgage process as major reasons not to buy a home.
• Groups with lower levels of education are more likely to say it would be difficult for them to get a mortgage than groups with higher levels of education.
• Hispanics are less confident than other groups about receiving information they need to choose the right mortgage.

Moreover, attitudes about homeownership as an investment, financial constraints and mortgage accessibility may mean that more Americans choose not to act on their aspiration for homeownership, thus potentially leading to lower homeownership rates.

Homeownership as an investment

• The margin of Americans believing homeownership has the highest investment potential has declined over the past several years.
• At the same time, the perceived safety of owning a home as an investment has trended downward, reaching a low of 63 percent in the fourth quarter of 2011.
• In turn, groups with higher levels of education and higher incomes are more likely to think buying a home is a safe investment.”

If you would like some more information about the current real estate market, please contact your premier real estate and legal team at YourOrlandoRealty.com for more information.

A short sale property is one that is sold at a price that is less than the debt owed on the property. Lenders frequently accept a discount on the amount owed to avoid a possible foreclosure or bankruptcy. As an example, a homeowner, who is facing foreclosure, or who just wants to walk away from an underwater home, has an existing first mortgage of $300,000. The market tells you the house is only worth $245,000. You offer to purchase the home for $220,000. Then seller will then try to talk the bank into accepting these proceeds as payment in full for the outstanding loan. If the bank accepts, then the sale can go forward and this is called a short sale.

Why would the lender be willing to take such a discount in a short sale? Several reasons. First, banks do not like excess inventory and bad loans on their books. Therefore, if they see an opportunity where they can sell the property without a huge loss, they will do it. Secondly, lenders know they could lose a lot more money if the property goes to foreclosure. There are so many fees involved if the property goes to foreclosure, that they would be better off taking the discount beforehand through a short sale and be finished with the headache of it all.

Many lenders will accept a short sale. However, you may come across some lenders who will not agree to a short sale. If the numbers work out for the lender they will do it. But it is not always an easy and quick process. It can take a long time. Once a buyer first contacts the lender to negotiate a short sale price, it can take several months to get an answer. Lenders have special committees that review these matters and they definitely take their time. And until there is an offer from a prospective buyer, many banks will not even consider it. So, as a prospective seller of a short sale property, one may want to attempt initial short sale negotiations with the lender before listing the property. If the lender allows this, then the lender can conduct all it’s internal reviews and make a price decision prior to the home being listed. In this situation, once an offer is made on the home, then it should be a quick and simple matter to push this through. As a prospective buyer of a short sale property, one may want to search for a short sale property that has already been through the lender approval process. Many listings will refer to these properties as “pre-approved” short sales, or something similar.

It does not matter what type of house or condition it’s in. All properties can be considered for a short sale. The best properties to perform a short sale on are the houses that need lots of work and repairs, because lenders will give you a bigger discount if they see a house that is continuing to drop in value.

Short sales in Orlando are abundant and can provide a wonderful investment to a buyer and a wonderful relief to a prospective seller. But there are many factors to consider. So you need to find a qualified real estate agent to aid you. Please contact the real estate and legal team at YourOrlandoRealty.com for more information on short sale properties in Orlando and the Central Florida area.