Just over two months remain for first-time buyers to take advantage of the $8,000 tax credit.  That’s quite a push considering home purchases have to close by Nov. 30 which means buyers need to get off the fence now or at least by early October.  Likewise, sellers are also anxious to get their properties on the market and closed by the deadline.

A quick look at the numbers illustrates the positive impact the tax credit has had thus far.  NAR credits the uptick in existing home sales for four consecutive months—the first such increase to occur in five years—to the tax credit.    Furthermore, NAR estimates that approximately 350,000 sales wouldn’t have taken place without the credit.  An extension could help keep this momentum going by spurring the housing recovery, which in turn would help strengthen the economy. 

We appreciate all of your efforts in answering the “Call to Action” from FAR President Charles McMillan asking for an extension of the Nov. 30 deadline.  According to Washington Research Group, there is currently a 60 percent chance the extension will be approved. 

While there is a good chance the credit will be extended to year-end, the old adage “no time like the present” should be heeded so that buyers can take advantage of choice properties before someone else does.  Housing affordability is at its highest level in 28 years and there is an incredible selection of homes available creating a once-in-a-lifetime opportunity for today's first-time homebuyers.  You can find additional reasons for motivating buyers off the fence and into a home at the FAR web site. (See link below.)  Listed here for example are some of the highlights noted in  “9 Ways to Get Buyers Off the Fence”.

• Show the cost of waiting. Don’t just tell buyers they’ll save money with today’s low interest rates; show them the numbers.  Work with your Capstone Home Mortgage Consultant and cite examples that illustrate how expensive even a 1-point interest rate increase can be.
• Highlight the bargains. Show buyers properties that have become bargains or that illustrate how much further their money can go.  Point out the opportunities available if they act now before the market turns back around.
• Focus on what you can change, and don’t gloss over what you can’t. One hot issue in Florida right now is property taxes.  Ask your Capstone Title manager for promotional information available regarding Amendment 1 and show how it can benefit buyers who have been in their homes for a long period of time but are ready to move. 
• Remind buyers that market conditions can change quickly. There’s a window of opportunity that won’t last very long, i.e. interest rates can rise, home prices will go back up, etc.

Be sure to share the attached flyer “8,000 Reasons to Buy Your First Home Now” with your first-time homebuyers.  It offers concise answers to many of the frequently asked questions regarding the tax credit.  Do your homework in researching properties that meet your buyers’ needs so they are better prepared to move quickly in their decision-making process.  Utilizing your professional expertise and market knowledge, first-time homebuyers can still close on time and qualify for the $8,000 tax credit. 

Get Buyers Off the Fence and Make it a Great Week!

http://www.floridarealtors.org/AboutFar/homebuyercenter/index.cfm

Thanks

Alan

With just the stroke of a few keys, you can find myriad resources on the Internet to help you in your search for a new home. Besides property listings, you can find out about specific communities, schools and mortgage options. Prudential Real Estate has made three great resources – Environmental Profile, Property Profile and Value Range Estimate – available on prudential.com/realestate that provide detailed real estate information just by keying in a U.S. property address.

With this wealth of information at your disposal, do you really need a real estate professional to represent you? Absolutely.

Think of it this way, when you go to an unfamiliar place, sure you could do a self-guided tour. However, your tour is much more rewarding and enriching when you have someone who is familiar with the location to guide you along because he or she has inside knowledge on the history, culture and stories that you may not have otherwise received.

The same can be said about sales professionals. Their role is more than someone to drive you around from property to property. They can be a great resource, especially to homebuyers relocating from other communities. He or she knows the local area including home values, taxes, utility costs, and school data, and may even be knowledgeable about resources pertaining to your special interests or needs. For instance, should you require help relocating an aging parent with you, your real estate professional may be able to direct you to local services or organizations for the elderly.

A sales professional can familiarize you with the processes involved in buying a home, alert you to potential risks, help you determine how much house you can afford, explain alternative financing strategies, as well as provide tremendous moral support.

Another benefit is having a strong advocate during the negotiating process. Sales professionals can help you objectively evaluate an offer then work to negotiate a favorable contract. During the process, he or she will review the contract and obligations before you sign, explain how contingencies and release clauses work, and so on.

And something easy to overlook is our familiarity with the complexity and risks inherent in the process. In the years I have been practicing I have been continually amazed at how quickly a seemingly simple transaction can grow legally complex and risky. When complex questions arise, a sales professional can help you quickly locate an attorney or other licensed professionals whose services you may require, such as home inspectors, engineers, surveyors and lenders.

As your single point of contact, a sales professional can manage the entire transaction including coordinating inspections, keeping in touch with the other real estate professionals, managing the documentation for the loan process, monitoring deadlines associated with contingencies, providing applicable paperwork, estimating closing costs, and helping prepare for a smooth and uneventful closing.

If you’re about to begin the process of buying or selling a home, consider involving a real estate professional. When the stakes are high, it’s comforting to have a specialist by your side.

Sellers who are still moaning over falling house prices can take comfort in this recent fact.  New research shows that current home values are just about where they would have been if the real estate bubble had never inflated and burst.

A long-term view of the market reveals that, even though prices rose and fell dramatically in recent years, they appear to have settled back into historic patterns.  An analysis conducted by Stan Smith, a University of Central Florida finance professor shows that homeowners who purchased prior to 2005 are within 6 percent of where they would have been had there not been a bubble.  In fact, prices now are about where they would have been had the dramatic rise and fall never occurred.  The S&P/Case-Shiller Home Price Indices—the leading measure of U.S. home prices—further illustrates that as of the 2nd quarter of 2009 average home prices across the United States are at similar levels to what they were in early 2003.

Real estate professionals are also reporting an increase in activity.  According to a HomeGain survey conducted earlier this month of more than 1,000 agents across the country the vast majority expect prices to remain the same or increase in the next six months.

Even more encouraging is that most people—83 percent—still believe that buying a home is a good financial decision, according to a recent survey from NAR.  FAR President Cynthia Shelton explains that, “Many homebuyers are realizing that this is the time to buy—with a good selection of housing inventory, affordable pricing and low mortgage rates.”  “In fact, three-fourths of those responding to the 2009 National Housing Pulse Survey said they think now is a good time to purchase a home, a number that has increased steadily the past two years,” Shelton added.

Clearly, there is no evidence of Americans falling out of love with homeownership as over two thirds of households in our country still prefer to own their home.  In fact the FAR web site “Great time to buy Florida” presents 15 positive facts about real estate in the Sunshine State, some of which are noted below.

·         The time is right. Home sales volumes are rising again – a clear signal that today’s “buyers market” may be changing soon.

·         High inventory levels. Conditions are ideal for buyers to find their dream home as inventory is still plentiful in all price ranges.

·         Low mortgage rates. Mortgage rates are still at the lowest levels since the 1960s.

·         Incentives to buy. Federal, state and local housing programs can help buyers make that big purchase.

·         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 has been one of the 10 fastest-growing states in the U.S. for each of the past seven decades. Population growth will continue to provide a foundation for other economic development, such as new jobs and growing incomes. 

·         A migration magnet. Even with a slowdown in economic growth nationally, projections call for Florida’s population to return to more normal growth levels translating to a lot of new buyers coming into the market.

·         A favored retirement destination. Demographic studies show that the Sunshine State’s mild climate and outdoor amenities continue to make Florida a top retirement destination.

·         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.

·         Positive investment outlook.  Quarterly studies conducted by the University of Florida’s Bergstrom Center for Real Estate Studies show people have not lost their faith in Florida as a place to be and a place to invest.

·         Homeownership has value. Studies show that home equity is still the largest single source of household wealth.

·         An unsurpassed lifestyle. Remember what continues to attract people to Florida:  beautiful beaches, fabulous weather and a friendly business climate, with no state income tax.

 http://media.floridarealtors.org/GreatTimeToBuy/

Tampa Bay Area, (July 24, 2009) – Responding to a need for specific guidelines on working with short sales, Prudential Tropical Realty has introduced a comprehensive program to assist sales executives and their clients in this kind of transaction.

According to Rob Hilliker, Vice President of Marketing & Sales, Prudential Tropical Realty, a significant increase in short sale activity created a need to establish policies and procedures to ensure the professional execution of such a complex transaction. Figures compiled from across the greater Tampa Bay area show that approximately 20-30 percent of properties currently in inventory are listed as short sales. Approximately 10 percent of the closings currently taking place can be attributed to short sales.

“Because short sales account for so much of our real estate activity now, we felt it important for Prudential Tropical Realty to lead the way by taking a proactive approach to a dilemma facing many homeowners today,” Hilliker explained. “After months of research and legal consultation we have developed a program that streamlines the short sale process for our sales executives while providing assistance to our home sellers at the highest level in this type of transaction.”

According to Hilliker, having such a carefully planned program in place produces several benefits for the company’s sales executives as well as their clients. Some of these benefits include:

• Increased likelihood the property will close
• Obtaining highest and best price for clients
• Utilization of legally approved forms and documentation
• No 3rd party wholesaling of properties
• Free consultation with real estate attorney specializing in short sales, foreclosure rescue and negotiating deficiencies.
• Professional mitigation

The short sale program is supervised by Short Sale Coordinator Bob Gascon, a real estate professional with more than 30 years of experience. A member of Prudential Tropical Realty’s management team since 2007, Gascon is extremely well versed in short sale transactions. “As conscientious real estate professionals, it is our responsibility first and foremost to always represent the best interests of our clients,” stated Hilliker.

“Our short sale program is yet another illustration of our mission to deliver a world class experience…one client at a time.”

TAMPA, FL - (August 11, 2009) - Prudential Tropical Realty and D.R. Horton Homes are pleased to announce their recently formed business alliance.  The announcement was made recently by Rob Hilliker, Vice President Sales & Marketing, Prudential Tropical Realty, and Darren Saltzberg, Vice President Sales & Marketing, D.R. Horton Homes.  By working together, Prudential Tropical Realty sales executives and D.R. Horton new home specialists create a “one stop” shopping environment for homebuyers interested in new home construction.  Homebuyers and sellers alike can now capitalize on D.R. Horton’s ability to build great homes in desired locations and Prudential Tropical Realty’s unsurpassed expertise in the local markets.

“We are pleased to be aligned with such a highly reputable company as D.R. Horton as their service philosophy matches that of our own business model,” stated Hilliker.  “Our two companies share a common goal of continuing to grow the Tampa Bay market while maintaining quality service standards to clients.  Clients benefit from the pairing of our two organizations as it brings together the knowledge of D.R. Horton specialists who are experts in their new home communities together with the experience and expertise of our approximately 500 sales executives.”

There are nine communities throughout the Tampa Bay area included in the D.R. Horton/Prudential Tropical Realty alliance.  They are: Eagle Palms, Hidden River, Kinglet Ridge, Little Ridge, Magnolia Green, Panther Trace, Schooner Cover, Walden Woods, and Whispering Woods.

Founded as a family business in 1978, D.R. Horton Homes operates in 27 states and 77 markets across the U.S.  The company specializes in the construction of detached single-family homes, priced from $90,000 to more than $900,000 and coach residences. 

Prudential Tropical Realty has 15 offices located throughout Hillsborough, Pinellas, Pasco and Hernando counties and consistently ranks among the top three real estate companies in the area.  Locally owned and operated since 1959, the Prudential Tropical Realty team offers residential, commercial, property management, relocation, title, and mortgage services.