Multiple Offers?, I thought this was a buyer’s market?

Sorry I haven’t had time to write any articles lately. I’ve been extremely busy with foreclosures representing both buyers and sellers. (Sellers being banks).

Investors and first time homebuyers are picking up all the deals it seems. Many agents that I’ve been speaking with in the Orlando area are telling me the same story, busy busy busy.

Last month, the Greater Orlando Association of Realtors President, Leslie Simmons, announced the bottom of the market. I would have to agree. Of course I refer to this area only, since real estate cycles are localized. The bottom of the market has come and gone in many parts of the country already. I do wonder about the rash of foreclosures that the government has stalled, (Freddie Mac and Fannie Mae.) Since they put a moritorium halting foreclosures on these government backed loans, I’m wondering since this has recently been lifted, if we’ll see any significant changes in our market.

Recently I’ve represented a bunch of buyers in all price ranges who’ve ran into bidding wars with the homes they’re interested in. It’s common now to have 5-10 offers in on one property at the same time. Banks are pricing aggresively and it seems buyers want the best deals. Good idea but do you have the stamina? One buyer had to put in 5 offers with me before he got one accepted. One offer was $20,000 higher than list price and this poor buyer still didn’t get it!

Since there are so many investors out there now snatching up the best deals before prices increase again, there are more buyers out there then ever with cash. Buyers with cash often win out over financed offers because the banks realize that more deals are falling through because of tighter lending restrictions.

I’ve taken a few bank owned foreclosure listings recently and have seen it from both sides of the real estate fence, representing buyers and sellers on these foreclosures so I can tell you that cash does talk. Sometimes when we’re lucky, we’ll find a house that no one else is interested in, make a decent offer and get it accepted.

Not too worry if you did miss out on the exact timing of the “bottom of the market”. Typically, the market rebounds at a much slower pace on the way back up.

Just Listed in Alaqua

When a listing as rare as a new home in Alaqua Country Club comes on the market, it’s worth writing about as the majority of the resales are older homes there. A new home is a rarity in this area, especially with this size golf front lot. Sure there are plenty of newer homes in Heathrow Woods but they’re not golf front. There are plenty of golf front newer homes in Alaqua Lakes but the lot sizes are usually half the size. I recently listed this Dave Brewer built custom home and was taken by the olde world charm. I had a lot of fun directing the photographer on the photo shoot. I instructed him to take the shot below of the circular staircase and to me it looks like art that would be suitable for framing.

Just Listed in Alaqua

The home features over 6,000 square feet of living area, a four car motor court garage. Priced at $2,478,450 USD, it’s one of the best prices for newer homes in the area. It is neutrally decorated for today’s tastes and features the most beautiful custom antiqued appointments that blend well with the home’s olde world appeal. Aged faux painting treatments, stone tile mixed with rich hammered mahogany flooring looks good enough to eat.

Alaqua Stairwell

Superb craftsmanship is not only obvious in the stunning externals, it is truly organic to the whole structure. The builder knows today’s buyer wants quality and uniqueness. The floorplan strays from the typical “Palm Beach” contemporary floor plans which are offered in most of today’s

homes here in Florida.

Alaqua Kitchen

For a 360 degree virtual tour click the link below…

http://homesite.obeo.com/Viewer/Unbranded.aspx?tourid=497661 

Call Scott Taylor with Century 21 Elite Properties for more

information on this home at 407-925-2526

First Time Home Buyer $7,500 Tax Credit

Good news for first time homebuyers! Homes purchased on or after April 9, 2008 and before July 1, 2009 are eligible for a $7,500 tax credit. It really is a great time to buy, especially with all the low priced foreclosure homes available now. Investors are coming out of the woodwork buying up all the deals. Financial advisors nationwide are advising their rich clients to place their investment money in real estate. Typical of any down market cycle, the sign of a recovering market are the investors. These are not the run-of-the-mill investor types, rather these are the real investors with loads of money. If they’re out buying multiple properties, a first time home buyer should get a signal that this might be the best time to purchase instead of signing another 12 month lease. There are many skittish potential first time home buyers out there sitting on the fence waiting for someone to say it’s the best time. Though difficult to pin down to a specific day, week or month, if you buy within the year of the bottom of the down cycle, you’re going to be doing well. No one will know exactly when the bottom has hit until long after it happened.

 

I saw a news report on the local news which stated that real estate was up about 50% from this time last year. Another report issued by our local Realtor board stated that we were up 25% in the previous month as compared to 12 months ago. The media certainly has more control over the public perception of the real estate market than the actual facts. Certainly people are always going to be influenced by the negative press releases about the economy. This is only prolonging the down cycle. I hear many buyers say they’re still waiting.

 

I’d like to remind buyers of the homestead exemption purchase and filing deadlines.  You must own and occupy your home prior to January 1st of the year that you make application for the exemption. The deadline for filing is March 1st, however, you can pre-file at any time during the year for the following year. Feel free to contact me if you have any questions regarding filing. 

More great news! For 2009 homeowners can claim double exemptions for up to $50,000 but you must be in the home by December 31, 2008 to qualify for 2009.

 

With the tax credit and homestead exemptions and low low Orlando home prices, It could make a huge difference in their monthly payment come December 2009 and beyond.  This alone won’t save our Orlando real estate market by itself, I believe the investors will, but great for the entry level buyers!

  

Here’s a website that will explain in more detail about the $7,500 credit…

 www.federalhousingtaxcredit.com/index.html