Monthly Archives: January 2009

Florida’s Current “Buyers Market”

More on Florida’s current “buyers market” (from today’s Property Wire):

Excessive Supply In Florida Real Estate Presents Opportunities For Investors

Published on: Tuesday, January 26, 2010

Written by: Property Wire

Excess inventory devastated Florida’s real estate market in 2009, bringing housing construction nearly to a halt and creating a buyer’s market of premium properties selling for as little as 50% of 2005 prices. Foreign investors and cash buyers capitalizing on the dollar’s decline will find Florida properties a particularly promising investment in 2010, with the added perk of bountiful sunshine, recreation and entertainment. See the following article from Property Wire for more on this.

Florida is set to be one of the bargain hotspots of 2010 for real estate investors with some properties selling for as little as $47 a square foot, according to a new report.

As the global recession eases and the recovery begins, experts are forecasting that investor confidence will flow back into the US real estate market and national house price declines are predicted to improve by the middle of the year.

New home sales should post an increase of around 20% from the very low levels seen in 2009, according to the report from Winkworth International.

It points out that few real estate markets have suffered more than Florida where oversupply has been a major factor in driving down prices. Foreclosures and a glut of unsold condominiums have especially contributed to slowing down the Florida housing market.

Florida’s loss can be a UK buyer’s gain, according to Charles Peerless, director, Winkworth International. ‘With low prices on a wide range of top quality luxury homes and condominiums in world class developments, combined with a favorable exchange rate and low interest rates, buyers who seek sun, golf and wide ranging lifestyle attractions can now buy a home here for about half what they would have paid in 2005,’ he explained.

Sean Snaith, economics professor and forecaster for the University of Central Florida in Orlando, agrees. ‘For international buyers, 2010 will be a great time to buy in Florida. The imbalance of supply and demand puts the buyer in the driving seat. Large inventory, pricing power and the continuing weakness of the dollar when compared to other currencies mean awesome deals in the housing sector,’ he said.

‘All this means that there has seldom been a better time to get into the Florida property market. According to most local experts, prices have nowhere to go but up and a home in Florida bought at today’s bargain prices should prove to be a laudable investment five years from now,’ added Peerless.

New home construction in Florida suffered more than expected. In the second quarter of 2009 housing starts fell to an annual rate of 35,352, an 88% decline in starts from peak to trough.

There are some pockets of Florida that have been affected more substantially by the downturn than others which now offer excellent opportunities to investors in high quality new developments, Peerless points out. In Orlando, buyers can pay $140 per square foot down from $250 in 2006 and in Sarasota prices that were $350 per square foot are now as low as $47.

He added that this region of Florida enjoys relatively uncongested areas, is sophisticated, less crowded than the east coast. Sarasota was recently highlighted on NBC as the top place in the whole of the US to buy a home and is known for its fine restaurants, beaches, theaters, arts, shops and lifestyle. Prices are at 2002/2003 levels and there has been little or no new construction in the area for four years, so high quality inventory is being snapped up.

The report predicts that central Florida with attractions like Universal Studios and Disney World should experience a quicker comeback than most other areas in Florida. While south Florida is described as the place to buy a condominium. There are sales being made well below construction cost. The major reason for the decline in the Miami condo market is the difficulty in getting finance which tends to be more available on houses. As such, condos offer an excellent opportunity for cash buyers, the report says.

Prices are discounted in North West Florida and are around 2005 levels. ‘Buyers get so much more for their money in Florida than in Europe. Spacious high specification properties, spectacular golf communities, high future capital growth predicted, excellent transportation and, of course, the ever popular Florida lifestyle including sunshine, beaches, golf, cruises, theme parks, shopping and dining,’ it concludes.
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For more information contact info@britishhomesgroup.com or Telephone (407) 396-9914

4 Bedroom Florida Villa for under £60,000

THIS IS NOT A SHORT SALE. THIS IS A BANK OWNED PROPERTY THAT IS PRICED RIGHT AND READY FOR SALE TODAY!

Buy-to-Let this great Florida property.

This house has never been occupied – it is virtually brand new, built in 2006.

4 bed, 2 bath, 1900 square foot home.

Master suite with garden tub & dual sinks.
Kitchen opens up to the large family room.
Brick paver driveway.
No rear neighbors – backs up to orange grove with views of the lake.

151 Winchester 

151 Winchester - Rear View

Ideal for cash-buyer.

This is a great opportunity for homeownership at a fraction of the homes original value. Don’t delay!

Please call 0800 096 5989 or +1 407 396 9914 and ask for Jim.

Info@britishhomesgroup.com or contact us here:

The USD – US Dollar Update from Moneycorp

IS IT TIME FOR THE STERLING BOUNCE?

The Pound stopped short of £1=€1, interrupted by the new year holiday. House prices are still falling in Britain and the States, dampening consumer spending. Britain’s manufacturing PMI improved slightly.

Although the turn of the year was a little more volatile than Christmas week Sterling still managed to stick within a four cent range against the US Dollar. It had a look at $1.44 several times but always rebounded, on one occasion as high as $1.48. When London opened this morning the Pound was trading at $1.45.

As the old year ended investors were taking a particular interest in the Pound against the Euro. Having spent the year on Sterling’s case they found themselves within striking distance of their long term objective: £1=€1.

One way or another the holiday fortnight, and especially the New Year break, got in the way. Enough players were ready to lock in some end-of-year profits on their short Sterling positions to prevent the Pound hitting the magic number.

There were precious few UK economic data to affect the Pound one way or the other. Home buyers once again used spare cash to reduce their mortgages rather than leaving in the bank for a diminishing return. The implication was that spending money is not at the top of most families’ to-do list, as evidenced by well known high street names going out of business and M&S issuing a profit warning. Mortgage approvals fell to a record (ten year) low in November and the Halifax announced a 16 per cent annual fall in house prices. The one positive note came with a rise in the manufacturing sector Purchasing Managers’ Index. It was still at a lowly 34.9 but the improvement was unexpected.

In the States the presidential election process continued at its glacial pace towards Mr Obama’s inauguration. The latest proposal from the Obama camp is that $300 billion of tax cuts will be introduced to help the economy recover its momentum. That would no doubt be a relief to householders, who saw the value of their properties slide further with an 18 per cent fall in the year to October, according to the Case/Shiller index. The US manufacturing PMI fell nearly four points to 32.4, its weakest reading since 1980.

Investors are still nervous about the Pound, particularly about the continued decline in UK interest rates and the government’s intention to use quantitative easing (printing money) to stimulate the economy. US interest rates can fall no further and the world is all too well aware that quantitative easing will be a major feature of the Obama administration’s strategy. The supply of Dollars is likely to grow more quickly than the supply of Pounds, suggesting a weakening Dollar this year.

For more information and expert guidance on the currency markets, call Moneycorp today.

Laura McLoughlin – Laura.McLoughlin@moneycorp.com
Regional Manager – Florida

Moneycorp Inc
7380 Sand Lake Road
Suite 410
Orlando
Florida 32819

TEL: +1 407 352 5890
FAX: +1 407 352 5893

http://www.moneycorp.com

Florida Govenor Supports EB-5 Investment Visas

The current Govenor of Florida, Charlie Crist, issued a letter of support for the State’s EB-5 investment visa program.

Governor Crist, like a growing number of other American politicians (see US Senator Patrick Leahy’s Dublin TV program interview last November http://www.eb5greencard.com/images/JayVideo/rtenews.php ) and civic leaders around the US see the US EB-5 investment visa programme as a “win-win-win” proposition. EB-5 is a “win” for their respective regions in that it (1) attracts capital investment from overseas and thus (2) increases employment amongst their electorate while (3) expands the highly-desirable community of high net-worth “investor immigrants”.

Good news for all concerned – especially UK migrants seeking to invest in their place in the sun!

Great Seal of Florida

CHARLIE CRIST
Governor

December, 2008

Dear friends,

On behalf of the State of Florida, welcome to the Sunshine State. I encourage you to explore all that we have to offer for both fun and investment.

An advanced economy with a highly-skilled, multilingual work force and a dynamic multi-modal infrastructure, Florida serves as the gateway to the hemisphere by facilitating the movement of investment, trade, information and people throughout the Americas. We are home to a rich business climate that includes major companies and research institutes in life sciences, aviation & aerospace, clean energy, manufacturing, information technology, and financial services. Even more, we are still the Florida that you have come to know, with thriving agriculture and tourism-based industries.

A commitment of my administration is to promote Florida internationally and to reaffirm to the world that Florida is open for business. With an annual gross domestic product ranking 4th in the United States and 19th in the world, Florida’s highly diversified economy is ripe for investment in all areas. Our business leaders actively work with Florida’s economic development community and our designated U.S. Department of Homeland Security EB-5 regional centers to attract foreign investor capital to the state. As you consider Florida for your investments, we look forward to working with you to ensure Florida becomes home to your business as well.

Once again, welcome to Florida and I encourage you to consider the Sunshine State for your investment.

Govenor of Florida

For more information on EB-5 Visas visit: http://www.eb5investmentvisas.com

Free Admission to Disney on your Birthday!

Something new for Disney in 2009 – Free Admission on your Birthday…all you need is a valid ID including proof of birth date. To get this wonderful birthday gift for yourself, your children or others in your family, follow these simple steps:

Register your birthday (site listed below).
Print the confirmation message you receive after registering your birthday.
You will also receive an email reminder two weeks prior to your birthday, which you can also use to redeem your free admission on your birthday.
Bring proper ID and your confirmation message to the gate at one of the Theme Parks at the Walt Disney World® Resort or Disneyland® Resort on your birthday in 2009.

If you are a Passholder or already have a Multi-Day ticket you will use on your birthday, still register and bring the free admission on Your Birthday confirmation and proper ID to the designated Will Call windows and you can choose from one of their other birthday gifts instead.

Enjoy!

Guests can get more details here http://home.disney.go.com/parks and click on the ‘Free Admisison on your Birthday’ banner.