Why blog?

Who finds a friend finds a treasure!
(Irish Proverb)Some of my friends and acquaintances ask me why I Blog. They have gone as far as telling me I have too much time on my hands and should "get a life", and perhaps they are correct! For those people I write this post.

I am the creator of my blog! I consider my blog an online forum in which I can express my thoughts and feelings on any number of topics, and update it as often as I like. Some Bloggers focus on a single subject — such as news, politics, sports, food, gardening, or travel — I choose to have mine serve as my online diary, detailing the day-to-day events and thoughts of my life. But unlike a diary, my blog can be read by anyone. Others can then link to my blog and comment on what I have written.

Bloggers come from all walks of life. People around the globe, of all ages, backgrounds, incomes, education levels, languages, expertise, and experiences, blog. In fact, one thing that makes blogging so interesting is that there is no "typical" blogger. By definition, blogs allow anyone and everyone to have a voice. As diverse as they are, however, all Bloggers have one thing in common — a desire to share their stories.


People blog for a variety of reasons. Some want a place where they can document their life experiences. Others use a blog to keep friends and relatives up to date on their lives. Still others blog as a way to share information on topics they feel passionate about with people who share their interests. Others want to contribute their opinions rather than just read the opinions of others.

My blog provides me with an online space that's mine alone. I make entries often or only occasionally. I choose what to include, what to say, what's important to me. My blog is a way to capture what is significant in my world, and what I think and feel about it.

I can write about anything in my blog. Anything that's relevant and meaningful to me is fair game. When it comes to writing a blog, there are no real rules. I am not a professional writer, nor do I have to have certain credentials or education. I can write my posts about anything that interests me or is on my mind. My blog aims to capture what it is I want to say to myself, to my family and friends, to others interested in the same subjects, or even to the world.

I write my Blog posts on the things that I am passionate about: Real Estate, Gardening, Family, Friends, Cooking, Recipes, Pet Rescue and the Bichon Frise.

It’s a wonderful time to purchase a new home now!

Let’s take a look at some of the opportunities for today and the future of Florida’s real estate market.

1. Great prices. Statewide, the existing-home median sales price was $161,200 in the fourth quarter of 2008; a year earlier, it was $216,600 for a decrease of 26 percent.
2. The time is right. Home sales volumes are rising again – a clear signal that today’s “buyers market” may be changing soon. In fourth quarter 2008, statewide sales of existing single-family homes were up 13 percent compared to the same period last year, according to FAR statistics.
3. High inventory levels. Conditions are ideal for buyers to find their dream home. Inventory is still plentiful in all price ranges. But as sales volumes increase, inventory levels are likely to shrink. That reality translates into this advice for buyers: Don’t wait too long.
4. Low mortgage rates. Mortgage rates are still at the lowest levels since the 1960s. Lower rates multiply a buyer’s financial power. Even half a percent can make a sizeable difference. For example, on a $200,000 home, half of 1 percent could save the homeowner about $815 a year. Buyers can get more home for the money, which is a perfect scenario for families looking to upsize.
5. Incentives to buy. Federal, state and local housing programs can help buyers make that big purchase. The U.S. Housing and Economic Recovery Act of 2009 includes an $8,000 tax credit for first-time buyers. President Obama’s 2009 economic stimulus package also identifies and offers incentives to help home buyers with mortgages. Talk to a local mortgage lender about state and federal incentive programs.
How to get the $8,000 credit.
6. A long-term-growth state. Long-term economic and demographic trends continue to favor Florida. By 2010 economists forecast that Florida will be the third-most-populated state in the country. Florida’s population is expected to swell about 75 percent by 2030. Florida has been one of the 10 fastest-growing states in the U.S. for each of the past seven decades, and often the state has been in the top four, according to census data. Population growth will continue to provide a foundation for other economic development, such as new jobs and growing incomes. All of these trends are positive indicators for real estate growth.
7. A migration magnet. Even with a slowdown in economic growth nationally, projections call for Florida’s population to return to more normal growth levels of about 317,000 a year between 2010 and 2020, similar to the 1980s and 1990s, said Stan Smith, director of the University of Florida’s Bureau of Economic and Business Research. That’s a lot of new buyers coming into the market.
8. A favored retirement destination. Over the long term, Florida stands to benefit from the migration of the aging Baby Boomer generation, roughly 80 million strong. Demographic studies show that the Sunshine State’s mild climate and outdoor amenities continue to make Florida a top retirement destination.
9. Business-friendly state. Florida has always been a business-friendly state – no state income taxes, plus incentives from local municipalities encourage businesses to set up shop here. Even with the current economic downturn nationwide, Florida leaders continue to keep business needs in the forefront of planning for the state's future. The Milken Institute/Greenstreet Real Estate Partners ranked five Florida communities on its “Best Performing Cities Index 2008,” which ranks U.S. metropolitan areas by how well they are creating and sustaining jobs and economic growth. Florida’s business climate ranked fourth among executives and sixth overall on “Site Selection” magazine’s 2008 Top State Business Climate rankings.
10. Positive investment outlook. Every quarter, the University of Florida’s Bergstrom Center for Real Estate Studies conducts a survey of industry executives, market research economists, real estate scholars and other experts. In the third quarter 2008 survey, the investment outlook for various types of Florida properties remains steady. “People who have responded to our surveys have not lost their faith in Florida as a place to be and a place to invest,” said Dr. Wayne Archer, director. “We have 40 pages of comments from our respondents, and although the dominant theme is the disruption of financing, perhaps the second theme, as one person put it, is people being on the sidelines with full pads and helmets just waiting to jump back in.”
11. Homeownership has value. Realtors believe – and research supports that belief – that homeownership provides a variety of tangible and intangible benefits to the community and homeowners. Studies show that home equity is still the largest single source of household wealth, both for the individual homeowner and for homeowners as a group.
12. Greater sense of well-being. Owning a home leads to increased personal well-being. Research shows that people who own their own homes tend to show higher levels of personal esteem and life satisfaction, which in turn helps to make homeowners and their children more productive members of society.
13. Beneficial for kids. Studies show that children raised in homes owned by their families are more likely to stay in school and more likely to graduate high school. They’re also shown to have a higher lifetime annual income.
14. Community involvement. People who own homes have a strong financial stake in what happens to their community and tend to become more involved in community and civic affairs. Studies show that homeowners also interact more with their neighbors and communities. Compared to renters, homeowners join up to 41 percent more civic and/or nonprofessional organizations, such as the PTA or Scouts; vote in local elections 15 percent more often; enhance their neighborhoods with gardens 12 percent more often; attend church about 10 percent more often; and have a 3 percent greater chance of being interested in public affairs.

15. An unsurpassed lifestyle. Finally, let’s not forget the things that brought people to Florida in the first place, and will continue to attract them – beautiful beaches, fabulous weather and a friendly business climate, with no state income tax. It’s no wonder that Florida’s combination of temperate climate, outstanding recreational amenities and economic opportunity has consistently put Florida in the top three of Harris Poll’s “Most Desirable Places to Live” survey.
Why It's a Great Time To Buy Real Estate in Florida!
Pricing and Inventory: This is an ideal time for buyers to find a Florida dream home. Inventory is plentiful throughout the state and today’s lower prices offer true bargains for purchasers at all price levels.

© Copyright 2009 Florida Association of Realtors

The mystery of credit scores explained.....

Are you ready to purchase a new home? Do you understand what a lender will use to evaluate if they will approve you for a loan?

I have come across this article which does explain the process in very understandable language, so will post it here for your information.

How Lenders Evaluate a Buyer's Credit in Today's Market

By David Compton & George Smith

When a lender evaluates a buyer's creditworthiness, they consider several factors about the buyer's past credit-usage behaviors. These behaviors have been systematized into what is called a “Tri-Merged Residential Credit Report” (T.M.R.C.R.) and is quantified with a scoring system called F.I.C.O. (Fair Issac Company). The score is essentially a merger of reports from three major credit repositories known as:

Experion/T.R.W.
Equifax
Transunion

While F.H.A. and V.A. are not officially F.I.C.O. driven in their credit-approval processing, many lenders are still giving heavy weighting to the scores on these loans. Conventional (F.N.M.A. & F.H.M.L.C.) lenders have been using this scoring system for years.

Listed below is how the F.I.C.O. scores are generally interpreted: Scores range from 300 to 850.
Score under 600 - will most likely need to use loan programs that are not F.I.C.O. driven. Represents extreme concern for underwriting and may result in additional fees, higher rates and/or points, additional down payment required, or even non-approval.

Score 600 - 620: The underwriter will need to carefully review the application and may result in more fees, points and/or lower loan-to-value ratio.

Score 620 - 660: This is considered a cautious risk although the buyer does stand a good chance of getting the loan provided he/she can explain any derogatory notations (i.e. late payments) in a plausible manner.

Score 660 - 680: This is a standard automated approval score.

Score 680 - 699: This is considered a very good risk by the lender.

Score 700 - 719: This is considered an excellent risk by a lender and is pretty much a “slam dunk” for approval.

Score 720 & above: This is considered “Accept Plus” for automated underwriting.

To determine the borrower's credit score, most lenders apportion weights as indicated to the following factors:
Timely payments - 35%
Total debt - 30%
Length of credit history - 15%
New credit inquiries - 10%
Amount/type of credit - 10%

A buyer/borrower can get a free copy of their credit report from each repository by mail or online at: http://www.myfico.com/Default.aspx. They are entitled to one free credit report from each agency once a year. Consumers should review their credit reports once a year, as they often have inaccuracies and old derogatory notations that should be removed from the report.

Here are some methods that a borrower may use to improve their credit score:
Dispute incorrect information by directly contacting the credit reporting agency.
If the borrower/buyer has any past-due debt, they can contact the creditor directly and settle the debt. Creditors are often willing to settle past-due debt for less than what is owed and sometimes are even willing to remove the derogatory notation about the debt. If the debt has been sold to a collection agency, the borrower would have to contact the agency.
Pay down credit card balances, if possible, to less than 1/3 of the available limit.
Work to show that they have maintained 12 consecutive months of timely payments on ALL of their financial obligations. If they have gone into foreclosure and/or bankruptcy, this will take longer; perhaps three to four years.

If you are thinking of purchasing a home or applying for credit always seek the assistance of a qualified loan/credit counselor. However, these are the basic rules when a lending underwriter is deciding whether or not to approve a loan.

Thinking of buying or selling Real Estate? Real Estate Questions, contact me.....just ask!

Maxine Thomas

Realtor

House Hunting? What you need to know......

With interest rates lower then they have been in decades, anyone thinking of purchasing Real Estate......listen here, now is the time to take action......Just do it!

As a Realtor, I constantly get current updated information on anything that has to do with market changes and conditions. No one can predict for sure how long these current low Mortgage interest rates might last, but most are in agreement...... now is the time to take action.

With so much information available on the Internet today, it is not a bad idea to research and check the situation out yourself as a start, however if you are serious about Real Estate always contact a "Full Time-Professional Realtor", who can help you make the experience as painless and stress free as possible.

I would like to share this article with you, please pay attention as it is calling to your finances and can help you to make a decision that could conceivably save you thousands of dollars.

ONLINE SHOPPERS
Home shopping alone - without the help of a professional even when online - can become a huge handicap for home buyers. Here are four reasons:

• Late information. Shoppers who limit themselves to only looking at real estate Web sites will overlook some very good properties, possibly one that is perfect for them, and they won't get up-to-the minute information.

• Fake listings. Web operators sometimes try to collect page views with fake listings to pump up their advertising returns, and that wastes the time of real home shoppers. It's also frustrating for shoppers to find an interesting home that's not available.

• Questionable information. Home value Web sites only go so far. Sites like Zillow.com and Cyberhomes.com put prices out there that may or may not be an accurate reflection of neighborhood or housing value. Working with a professional means the buyer gets the benefit of a broader range of knowledgeable resources.

• Process help. Once a home shopper has found a property, working with a pro means they'll follow the right path to close the deal. For anyone except experienced investors, going it totally alone can be risky.

Source: US News & World Report, Matthew Badyk (01/07/09)© Copyright 2009 INFORMATION, INC. Bethesda, MD (301) 215-4688

I hope you find this information helpful. If you or anybody you know is thinking of "buying or selling" Real Estate, please give them my name. I can help them and wold be happy to do so.

IT'S ONLY A BUYER'S MARKET IF YOU BUY!

I have been asked by Homes & Land Magazine, Orlando/Central Florida edition, to write an editorial to be published in their up coming edition. Since we have seen such a tremendous transition in the last few years in Real Estate across the country, I have decided to write a short general description of the different types of Real Estate Markets. This is my article as it will appear.......perhaps it will help you.

IT’S ONLY A BUYER’S MARKET IF YOU BUY!
UNDERSTANDING REAL ESTATE MARKETS

Buyers and Seller’s continually have to adapt to changing market conditions and determine the type of real estate market that exists. Although there are many variations and twists that affect the current market, basically real estate markets fall into three categories. Whether you are a buyer or seller you should always consult a Realtor® to help you understand where the current market falls and develop the best strategies to achieve your goals.

Neutral Market
Neutral markets are balanced. Typically, interest rates are affordable and the number of buyers and sellers in the marketplace are equal. Good buys exist in neutral markets, but no particular conditions exist that favor buyers or sellers.

Buyer’s Market
A buyer’s market exists when there is a surplus of inventory…….more houses for sale, than buyers. Buyers have many homes to choose from, and not each home for sale will sell. Smaller numbers of buyers will result in fewer sales which can alter prices. In this type of market buyers have more negotiating power, prices tend to fall and homes take longer to sell.

Seller’s Market
A seller’s market exists when there are more buyers than available inventory. In this type of market there are fewer homes available then buyers. Generally home prices rise higher than they normally would and homes sell quickly.

CURRENTLY WE ARE IN A REAL ESTATE SLOW DOWN……or Buyer’s Market
Homes are taking longer to sell. Homeowners facing a financial hardship do have options prior to selling or losing their home that they could explore. For owners behind on their mortgages, the first option is to try to find a way to catch up their payments. Borrowing from relatives or asking the lender to refinance the mortgage is among the options. Many lenders may be willing to extend the term of the mortgage, add any delinquent payments to the loan principal or adjust the interest rate to make current payments easier to maintain. In a stagnant real estate market with declining sales and inventory growth sellers must find a way to stand out from the competition, many looking to Short Sales or Auctions.

Short Sale
A short sale could be when the net proceeds are not enough to cover the mortgage obligations and closing costs, such as property taxes, transfer taxes and the broker’s commission and/or find themselves in pre-foreclosure stages. We are currently experiencing a rising trend throughout Florida… and the number of sellers facing financial difficulties being clearly on the rise in all price brackets. At the same time, a decline in sales prices over the past two years has left some sellers with little or no equity in their homes—sometimes called an “upside-down” sales situation. However just because sellers are behind on their mortgage or are having financial difficulties doesn’t automatically make the short sale an option. A short sale involves the seller’s negotiating this option with their lender and this type of transaction is a lot more work to successfully complete, it should always be handled by a professional Realtor®

Auctions
There are two types of real estate auctions: Reserve Auctions and Absolute Auctions. In an Absolute Auction the property is sold to the highest qualified bidder with no limiting conditions on the purchase price. A Reserve Auction is one in which sellers establish an undisclosed Reserve bid or minimum price at which they will sell the property. They are not obligated to execute a sale unless the bid reaches this Reserve. The Auction Company, very often working with the listing Realtor, will market the home and hold Open Houses prior to the actual auction, creating more exposure for the home and hopefully resulting with a qualified buyer.

Real Estate, is it a Buyer's market?.....

Everyone is talking about Real estate and the current market we are in.
It is most definitely a "buyer's market". Sellers are motivated, Buyer's have lots of choices and Interest rates are at an all time low.

But you must remember one important factor: It is only a buyer's market if you buy!