Florida Real Estate, Tourism and Immigration News

Saw a good article in the Miami Today from Patricia Hoyos about signs of improving home prices in the Miami area.

Experts foresee rising Miami-Dade housing prices

Residential real estate experts foresee a boost in property values due to international buyers growing increasingly interested in South Florida.

Still, with a lack of inventory, financing hurdles and more foreclosures on the horizon, the real estate industry is far from its 2005 market peak.

The state of the residential market was discussed at the fourth annual Residential Real Estate Outlook Luncheon on Friday at the Westin Colonnade in Coral Gables.

The luncheon and panel discussion were hosted by the Coral Gables Chamber of Commerce in partnership with the Miami Association of Realtors and Miami Today. Michael Lewis, Miami Today’s publisher, served as moderator.

“You can see that our monthly closings and sales are inching up,” said Patrick O’Connell, senior vice president of new business development for EWM and a panelist. “All the numbers are going in the right direction now, and that’s what we want to see.”

According to a market report by the Miami Association of Realtors, as of August, condominium sales are up 53% from one year ago and single-family home sales are up 49%. Also showing a favorable number is the residential inventory, which is down to 15,405 from last year’s 25,679 units on sale. The industry generally considers a six-month supply of residences on the market to be optimal; larger numbers tend to drive down prices.

In Florida, 31% of sales are to international buyers. In South Florida, 60% of buyers are foreign nationals, said Jack Levine, chairman of the board of the Miami Association of Realtors and a panelist. Nearly one in three international transactions in the US is in Florida, and nearly one in three international transactions in Florida is in the Miami and Fort Lauderdale area.

“The buyers are coming in here and they want to buy, and the pricing is great,” Mr. Levine said “The main problems I see are in the financing side of it.”

However, financing doesn’t seem to be a big problem for many international buyers, who tend to pay mostly with cash. Mr. Levine said foreign buyers also tend to buy residences at the higher end of the market.

Panelists agreed that the number of buyers from Brazil is increasing significantly. On average, Brazilian buyers pay about 85% in cash and only need financing for the remaining 15%, with a median purchase of $215,000, according to the market report.

Many of these international buyers are purchasing foreclosed properties as investments to rent them to others, Mr. Levine said.

“The rental market is on fire,” he said.

Around 53% of international buyers are from South American countries, including Venezuela, Brazil, Argentina and Colombia. Residents of Canada, France and Italy also represent a large number of international buyers.

Lorenzo Perez Jr., chief executive officer of Premier International Properties Inc., emphasized the need for realtors to reach international buyers through social media. With the majority of social media users not being from the US, he said, the web can be an effective way of reaching potential buyers.

Because of these international buyers, panelists predict that next year property values will rise.

“We do foresee an increase in values in properties,” said Mayelin Carbajales, vice president of Mercantil Commercebank’s residential lending sales department. “It all depends on the market. Currently, in Dade and Broward and Palm Beach, we are seeing an increase in value because of the foreign national buyers that are buying there.”

A major problem currently facing the residential real estate market is having limited inventory.

Mr. Perez said there is a demand for properties, but there hasn’t been much inventory placed out there. High numbers of bank-owned real estate properties continues to be a problem that could continue to hurt South Florida’s real estate in the upcoming year. ”From a banking perspective, we are going to see an increase in foreclosures,” Ms. Carbajales said. “We are also seeing distressed borrowers.”

According to Mr. O’Connell, the universal message from his contacts in the banking industry is that a lot of bank real estate owned properties are in the pipeline. He said real estate owned inventory in the market is currently down 50% to 60% from the peak.

In the luxury homes market, he cited a 30% decrease in inventory.

Mr. Levine said he expects the real estate owned inventory to be “gobbled up as soon as it comes back up in the market.” The question remains when these properties will be listed again on the market.

Also hurting the real estate industry are banks being more hesitant to lend than in the past.

In coming months, banks are going to require higher down payments and increase credit score requirements, Ms. Carbajales said. Overall, she predicted, standards across the country for borrowers will be raised.

With the number of foreclosures still high, banks are continuing to be concerned about the risks associated with lending, she added.

The panelists said they don’t expect foreclosures to slow down in 2012. But on the bright side, they anticipate that interest from international buyers will remain strong, increasing the value of properties.

“We aren’t able to predict with crystal balls,” Mr. Levine said. “We try to pick up trends, but it’s really, really hard, especially because there are so many moving variables.”

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In Florida property it appears that what goes down must come up!

Good hunting!

Bill Cowie
www.BritishHomesGroup.com

Orlando Florida (Kissimmee Office) 407 396 9914

British-American Chamber of Commerce Advisory Board

Request more information on Florida homes or submit a Custom Property Search Request

The BRITISH HOMES GROUP Florida
2960 Vineland Road | Info@britishhomesgroup.com or (+1) 407 396 9914

THIS PROPERTY HAS SOLD.

PLEASE SUBMIT A:  Custom Search Request

BRITISH HOMES GROUP Florida ~ Specialising in Florida Real Estate

Brand-New Luxury 5-Bedroom Luxury Villa Close to Disney

A BRITISH HOMES GROUP “BEST BUY”

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• 2 En-Suite Master Bedrooms plus 3 additional bedrooms
• Upstairs Theatre and Game Room
• Backs on to wooded Conservation Area
• Minutes from Disney, 3 Championship Golf Courses, Supermarket and Shops
• Ideal for Second Home, Long and Short-Term Rentals

FINANCING AVAILABLE

For Overseas investors (including UK) with a 30%/ $71,700 deposit

THIS SPECTACULAR BRITISH HOMES’ “BEST BUY” WILL NOT LAST!

So if you are at all interested please contact MARK SHORE, our UK/Florida property specialist (from Bristol!), directly.

Mark will give you full details on this and other great buys in the Disney area and help you with the mortgage financing arrangements if needed – all in time for you to enjoy this year’s “Season” in the Sunshine State of Florida!

Mark’s Orlando Mobile Phone Number is 863-557-6443

Good luck – but please act quickly if you are interested!

Bill Cowie President

www.britishhomesgroup.com

Orlando, Florida

Kissimmee Office 407 396 9914
Direct (Mobile) 407 620 7777

British-American Chamber of Commerce Advisory Board

Request more information on this home or submit a Custom Search Request

The BRITISH HOMES GROUP Florida
2960 Vineland Road | Info@britishhomesgroup.com or (+1) 407 396 9914

THIS PROPERTY HAS SOLD.

PLEASE SUBMIT A:  Custom Search Request

4 BEDROOM 3  BATHROOM POOL HOME  WITH SPA & RESORT FACILITIES!

New British Homes’ “Best Buy” 4-Bedroom Orlando Villa!

$145,000!

Developer Financing available with a 30% Down Payment – less than £30,000!

• 4 Bedrooms, 3 Bathrooms, Private Swimming Pool and Spa
• Superb Club House and Community Swimming Pool, Fitness Center, Games Room – and Private Cinema!
• Approved for Long- and Short-Term Rental
• Short drive from Disney and the other World-Famous “Attractions” as well as the Orlando and Millenium Malls, downtown Orlando and Orlando International and Sanford Airports.

British Homes Group customers have already bought 4 of these incredibly-priced new Florida villas in the last few weeks – within days of them coming on the market!

So why buy “distressed” and often “worn” when you can own your own brand newplace in the sun at the same price – or less!

And if this particular “Best Buy” Florida villa is not for you the British Homes Group has full information over 20,000 other properties for you to choose from here in Central Florida alone!

If you agree with the growing number of industry observers that the Orlando marketplace is, at long last, beginning to turn-around and rebound now could be the ideal time to invest in Florida property.

Happy Bargain Hunting!
This property would make an ideal second or investment home, or it can be used for short-term-rental vacation home.

Mortgages are available for British and other international buyers with a 30% down payment.

Thank you to our friends at Stirling Sotheby’s International Realty for the latest Central Florida Property Market Trends.

2010 Market Trends Review and 2011 Forecast Observation

· 2010 Started out very strong through the second quarter. This was fueled by the governments Home Ownership Tax Incentive Program, which artificially stimulated the real estate market.

· 2010 Close sales peaked in June with 3,059 closed transactions and then declined monthly through November followed by an up-tic in December of 18%.

· 2010 year end sales were 19.57% ahead 2009 sales.

· Listing inventory has steadily declined with just under 15,000 listings on the market in December 2010, which is considerably below the nearly 26,000 listings that were on the market in February 2008.

· After 5 years of declining home values, many property owners are coming to the realization that we will not see a quick recovery in home prices.

· We are seeing signs of more home sellers returning from the sideline and repricing their properties to what we are calling the “New Price Normal” allowing them to sell their current home and move on to purchase their new dream home at prices that are 40% to 60% below the market peak and in some situations we are seeing some properties under valued.

· 50% of all closed monthly transactions are for cash.

· Central Florida’s luxury market of $1 Million plus properties in 2010 dramatically out performed $1 Million plus sales in 2009, with Orange County seeing the bulk of the sales activity.

· Distressed sales which include bank owned properties and short sales continues to be an active part of our overall Central Florida sales, hovering in the 65% to 70% range monthly for most of 2010.

· Short sales and bank owned properties will continue to be an active part of our market in 2011, which will continue to hold back area home price increases.

The following report from the BBC/US NAR further indicates tht the Florida property market may “finally be past its worst”:

From BBC BUSINESS…

US pending home sales show signs of recovery

The US housing market is still suffering under a flood of repossessed home sales

The number of newly signed sale contracts on existing US homes registered another uptick in December, beating analysts’ expectations.

Pending home sales increased 2% in the month, according to the National Association of Realtors, following a downwardly-revised 3% rise in November.

The data is an early indicator for the housing market, as usually a contract is signed weeks before a sale closes.

But some economists warn the rise may be down to sales of repossessed homes.

Separate data released yesterday showed that sales of newly built homes also recovering, but from a heavily depressed level, as house-builders are unable to compete with a flood of foreclosed properties being auctioned off by banks.

The latest data from the National Association of Realtors adds to the picture of a market that may finally be past its worst.

“This shows housing is moving up from a low level again,” said Steven Wood, chief economist at Insight Economics in California. “But with the glut in existing homes, housing won’t be a significant contributor to [economic growth] this year.”

—————–

As we observed earlier this month:

“As more and more industry observers see signs that the Florida property market is either at or close to “bottom” could there be a better time to invest in your very own place in the Florida sun?

Florida home prices are now often 40-60% off – but not for long!

Please let us know if you or any of your other family members, friends or business assosciates would like us to help them find their own sunny villa – close to Disney or anywhere in our “Sunshine State”.

February is shaping up to be record month for bargain-priced Florida home sales for British Home Sales in Orlando.

Come join us and the growing number of other astute Florid property investors -  before it’s too late and the current unprecedented “Buyers Market” passes.

Best!

Bill Cowie  President

www.britishhomesgroup.com

Orlando Office     407 396 9914

THIS PROPERTY HAS SOLD.

PLEASE SUBMIT A:  Custom Search Request

3 BEDROOM 2 BATHROOM BRAND NEW HOME WITH $5000 IN BUILDER INCENTIVES & $2000 FROM BRITISH HOMES GROUP TOWARDS TRAVEL!

This brand new property has 3 bedrooms, 2 bathrooms, a den, 2 car garage,
upgraded kitchen with granite counter tops and is 2302 sq ft. The price is
only $232,000 and the rear garden backs onto a conservation area.

The builder has just slashed $30,000 off the price for a quick sale and will
also pay $5000 towards closing costs. BHG will also pay $2000 after
closing towards your travel expenses if you fly over now to buy this
property.

This property would make an ideal second or investment home and is in a
prestigious guarded gated community with a superb golf course, fitness room,
tennis courts and community pool. The development is very popular with
people who want a bit of luxury at an affordable price and the monthly HOA
payment is only $110.

Mortgages are available for British and other international buyers with a 30% down payment.

 

From our friends at Stirling Sotheby’s…

I am pleased to provide you with our updated January through October 2010 Central Florida Market Trends report which reflects a 20% drop in October sales compared to October 2009.  The report also reflects a month over month sales decline from our June 2010 market peak.

The following are highlights and market observations from October 2010:

• October single family sales were down 28% from the same time period in 2009 and declined 23% from September 2010.
• October condominium sales totaled 434, slightly ahead of October 2009, and down 9.16% from September 2010. 
• October overall sales declined 35% from the June 2010 market peak and were down 20.13% from the same time period in 2009.
• New Home sales contracts filed in October 2010 totaled 3,466, down 10% from the same time period in 2009.
• Central Florida’s overall pending contracts totaled 8,817, down just slightly from the same time period in 2009.
• All cash transactions continue to dominate with 53.57% of all closed sales in October 2010 closing for cash – the highest all cash sales month for the year.
• In October 2010 there were 15,441 homes available for purchase through MLS, down 1.92% from the same time period in 2009 and the single lowest inventory month for 2010.
• Distressed sales, which include bank-owned properties and short sales, continue to be an active part of our overall Central Florida sales.  The total number of distressed sales in October total 67%. Distressed sales since February 2010 have ranged between 65% to 70% of all sales monthly. 
• Central Florida’s luxury market of $1 million plus properties is performing substantially stronger in 2010 over 2009 with Orange County seeing the bulk of sales activity.  Through October 2010 Orange County reported 145 $1 million plus property sales followed by Seminole County with 20 $1 million plus sales.

The luxury end of the market continues to see more consumer confidence, which is resulting in more property showings and luxury home sales.  It is our belief that luxury home sales will continue to strengthen through 2011. 

I hope you find this information helpful and I will continue to keep you updated on Central Florida’s Real Estate Market Trends.

4 BEDROOM 2 1/2 BATHROOM POOL HOME CLOSE TO DISNEY…

NOT a short-sale or bank-owned property, just an amazing price for this huge home. Immediate response on all offers. 4/2.5 POOL home in short-term rental community. Close to Disney and other parks. New carpet and freshly painted, vaulted ceilings, split bedroom plan, 2 car garage, inside laundry room. Home sits on a cul-de-sac on a huge lot (over 1/4 acre). Very nice home for short-term rental or primary residence.

Mortgages are available for British and other international buyers with a 30% down payment.

  

5 BEDROOM 4 1/2 BATHROOM POOL HOME CLOSE TO DISNEY…

THIS FLORIDA HOME SOLD FOR $426,200 IN 2006

5 bed 4 1/2 bath Vacation Home that is in excellent condition. Built in 2006, this home has lots of bookings to convey from the Management Company if it remains as a Vacation Home. Furniture available by separate negotiation. Great location, just off the main highway 192 in Kissimmee, in the gated golf community of Remington. Minutes to the Turnpike and other major roads. No rear neighbors.

ZONED FOR SHORT TERM RENTALS. “Short Sale”

Mortgages are available for British and other international buyers with a 30% down payment.

  

US CLOSING COSTS

Thank you so much for the tremendous response to our recent announcement of the Orlando Builder Close-Out Sale.

For those of you proceeding with purchasing one of these unprecedented bargains we thought it might be helpful to review one of the major cost items associated with investing in Florida property: “Closing Costs” or “Settlement Fees”.

US Closing Costs can represent 4-5% of the total cost of investing in Florida property – and therefore should be understood thoroughly before you invest!

Needless to say, we can help you with any questions that you might have.

In the meantime following is an article on US Closing Costs from today’s issue of the US Helium magazine:

Overview on a home buyer’s recurring and non-recurring closing costs

by Gene Patterson

Closing costs are an unavoidable part of getting a mortgage or refinancing.  In a buyer’s market it is possible to get the seller to cover many of the closing cost fees.  But in a seller’s market where the properties are “hot” this is unlikely to happen.

What is a closing cost?

The closing costs are all of the little fees that are associated with buying a house.  It includes things like appraisal fees, application fees, title search, credit report, origination points and a lot more.  The amount of the closing costs can vary greatly depending upon the loan that they are based off of.  They can conceivably get as high as 4-5% of the price of the home.  Closing costs are broken into two separate type of costs:  recurring and non-recurring closing costs.  Both fees are due to be paid at closing and the homeowner will be required to pay the recurring fees annually.

Non-recurring closing costs

These are the closing costs that are all one time only fees.  These fees include: title insurance policy, wiring fees, credit report, lender fees, courier fees, escrow fees, notary fee, appraisal fees, government filing fees and title search.  These fees are due at closing and if the right deal is made can sometimes be absorbed by the seller rather than the buyer.  They are a onetime only fee.

Recurring fees on the other hand are going to have to be paid every single year.  Hence the word, “recurring”.  These fees include:

Property taxes:  for the first year, how much of the taxes you owe as the “buyer” depends on when you purchased the home.  You are only on the hook for the taxes while you live there.  Structure the home buying agreement right and all of the upfront (first year) closing costs will be covered by the seller.

Interest:  Of course the loan will accrue interest that will have to be added to the principal and paid over time.

Homeowners Insurance:  Your lender will likely stipulate a minimum amount of homeowners insurance you must have as long as your loan is in effect

Recurring costs can either have the annual closing costs paid out each year or have it rolled into the mortgage for simplicities sake.

See, once you break it down the difference between recurring and non-recurring closing costs is not that hard to understand.

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For those of you who have not yet found exactly what you are looking for in Florida’s exciting Buyer Market why not let us help you with your search?

We have information on over 20,000 homes in the Disney/Orlando area of Central Florida alone!

We also have “listing” information on many bargain-priced beach-front homes on the Sunshine State’s beautiful sandy coast – from Tampa to Miami.

Happy house-hunting and great savings!

And please tell your friends (they can share the purchase, use and rental income) – the time couldn’t be better! 
 
 
Sincerely,

Bill Cowie  President

www.BritishHomesGroup.com

Orlando Office: 407 396 9914

British-American Chamber of Commerce  Advisory Board