Miami Beach Florida Real Estate News & Listings Presented By Keller Williams Realty

Median home prices show signs of stability

Fri, 12 Feb 2010 20:25:00 GMT

Prices in Miami Dade county rose 6% in 2009 for an average home price of $280,000. Home prices rose in more than 40 percent of U.S. cities in the fourth quarter of last year, as massive federal spending helped the housing market show signs of stability.

The National Association of Realtors said Thursday that the median sales price for previously occupied homes rose in 67 out of 151 metropolitan areas in the October-December quarter versus a year ago. That’s a sharp improvement from the third quarter, when prices rose in only 20 percent of cities.

The national median price was $172,900, or 4.1 percent below the fourth quarter last year. That was the smallest year-over-year price decline in more than two years.

Home sales surged in the quarter, outpacing the third quarter and the previous year’s figures. A federal tax credit of up to $8,000 for first-time homebuyers that was originally due to expire Nov. 30 but was extended through April provided much of the fuel. Sales for the quarter hit a seasonally adjusted annual rate of 6 million, up 27 percent from a year earlier.

Marbella by the Grove Condo

Mon, 16 Nov 2009 06:08:12 GMT

Short sale - Bank wants an offer!

PRICED RIGHT!

Mon, 16 Nov 2009 05:35:57 GMT

PROPERTY BEING FULLY REMODELED, PUT IN YOUR OFFER EARLY AND HAVE BUYER BE PART OF THE REMODELING. PROPERTY WILL BE CLEARED OF ALL CITY AND COUNTY CODE VIOLATIONS.

GREAT FIND IN PRIMROSE PARK!

Mon, 16 Nov 2009 05:05:50 GMT

PROPERTY BEING FULLY REMODELED, AND WILL FEATURE NEW ROOF, NEW A/C, NEW ELECTRIC, NEW SMOKE DETECTOR SYSTEM, NEW LANDSCAPING, NEW TILE IN LIVING AREAS AND CARPET IN BEDROOMS, NEW BATHS, UPDATED KITCHEN CABINETS AND NEW APPLIANCES. PUT IN YOUR OFFER EARLY AND HAVE BUYER BE PART OF THE REMODELING. PROPERTY WILL BE CLEARED OF ALL CITY AND COUNTY CODE VIOLATIONS. EASY TO SHOW, WON'T LAST. HUGE HOME ON LARGE LOT.

AL

Mon, 16 Nov 2009 04:47:53 GMT

Stats for Florida Real Estate Market

Sun, 08 Nov 2009 19:56:00 GMT

Existing home sales rose 34 percent last month with a total of 14,419 homes sold statewide compared to 10,778 homes sold in September 2008, according to Florida Realtors. Statewide existing home sales last month increased 4.1 percent over statewide sales activity in August.

Florida Realtors also reported a 77 percent increase in statewide sales of existing condos in September compared to the previous year’s sales figure; statewide existing condo sales last month rose 8.9 percent over the total units sold in August.

All of Florida’s metropolitan areas reported increased existing home sales in September; all but one area also showed a gain in condo sales. A majority of the state’s cities have reported increased sales for 15 consecutive months.

Florida’s median sales price for existing homes last month was $142,000; a year ago, it was $174,900 for a 19 percent decrease. Housing industry analysts with the National Association of Realtors® (NAR) note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes. The median is the midpoint; half the homes sold for more, half for less.

The national median sales price for existing single-family homes in August 2009 was $177,500, down 12.1 percent from a year earlier, according to NAR. In Massachusetts, the statewide median resales price was $315,000 in August; in California, it was $292,960; in Maryland, it was $265,862; and in New York, it was $205,000.

Walking away from underwater mortgages

Sun, 08 Nov 2009 19:18:00 GMT

As property values have plummeted by an average of 50 percent, strategic defaults now make up a sizable chunk of South Florida’s foreclosures. In the fourth quarter of last year, they accounted for an estimated 28 percent of all defaults in Miami-Dade and Broward counties, according to recent research from the credit bureau Experian and Oliver Wyman, a New York-based international consulting firm. That’s up from 8 percent in the same quarter two years ago. With property values down even further now, researchers are certain the numbers have risen even more.

“People are saying, ‘Everyone is doing this, and I do not feel any compunction in fashioning my own bailout,’” said Roy Oppenheim, a foreclosure defense attorney who conducts weekly seminars that discuss strategic defaults and other financial options for distressed borrowers.

South Florida is already a veritable Atlantis of underwater borrowers. In September, homeowners here collectively owed $62.7 billion more than their homes were worth, according to an analysis by First American CoreLogic. The analysis found that about half of all outstanding mortgages in Miami-Dade and Broward are underwater.

Among those who bought in Broward in 2006, the median negative equity was $75,000 as of March. In Miami-Dade, the figure was $63,000, the Web-based real-estate service firm Zillow.com reports. Negative equity refers to the difference between a loan balance and the market value of a home.

The many consequences
Walking away, however, is fraught with financial, legal and ethical dilemmas. Lenders, government and the credit industry are starting to pay more attention to how strategic defaulters think and behave – in an effort to convince them to tough it out.

Tracking strategic defaults is an inexact science. Experian researchers identified possible strategic defaulters as homeowners who have gone straight from current on their payments to not paying at all, but remained in good standing on other credit obligations. Nationally, Experian estimated 588,000 borrowers defaulted on purpose in 2008.

Also fueling the phenomenon has been a shift from viewing a home as a place to live to an investment, valued insofar as its potential resale price goes up.

Most strategic defaulters find themselves weighing whether the hit to their credit scores is easier to bear than paying underwater mortgages for years to come.

The most optimistic analysts say it could be three years before prices begin to appreciate. Others say prices have another 30 percent-plus to fall before flat-lining.

Surprisingly, strategic defaulters with good credit scores who remain current on their other credit lines can quickly rehabilitate their credit scores after foreclosure – faster than many realize, according to Sarah Davies, a senior vice president at VantageScore, a credit scoring and consumer analytics firm owned jointly by the nation’s three major credit reporting agencies. “You can pull yourself out of any major impact from foreclosure in 24 months,” she said.

And five years down the road?

“A foreclosure is going to be very easy to explain, seeing there are thousands of others who have also defaulted. So, there is a safety-in-numbers issue there,” Heuson said, referring to a possible borrower rationale.

Consumers are essentially putting a price on their credit score, said Piyush Tantia, a partner in the retail and business banking practice of Oliver Wyman.

But there are other risks.

Foreclosure defense attorneys warn of the growing threat that lenders will obtain deficiency judgments against borrowers. Such judgments allow them to collect the difference between the loan balance and the market value of the properties. They also allow lenders to garnish wages and seize assets.

While the risk is not great now statistically, Marc Ben Ezra, a Fort Lauderdale attorney who files foreclosures for banks, said it’s possible that lenders may begin pursuing legal rights to collect.

Jim Angleton, senior vice president of Miami-based Republic Federal Bank, estimated lenders are going after borrowers 15 percent of the time. “You know they are not being forthright with you about their assets when they are keeping their credit cards, their very fine cars and other assets current.”

Oppenheim recommends homeowners bulletproof themselves by hiring a lawyer and perhaps an accountant to explore the possible consequences.

Other real-estate experts say walking away may not be worth it in the short term, when you factor in the cost of finding new shelter and the increased consumer interest rates that stem from any foreclosure.

Tactic not for everyone

Defaulting, though, is not for everybody whose mortgage is underwater, and plenty of people stick with their homes out of a sense of financial responsibility, integrity and faith that prices will recover eventually. There are also people who forked over tens of thousands of dollars in down payments and face a real financial loss by walking away.

SPECTUCULAR WATER VIEWS FROM THIS RENOVATED 3 BED/ 2 BATH

Tue, 03 Nov 2009 01:56:35 GMT

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ENJOY SPECTACULAR WATER VIEWS FROM THIS SOUTH BEACH 2/2

Tue, 03 Nov 2009 01:22:07 GMT

THIS 2 BED/ 2 BATH GEM IS NESTLED IN THE HEART OF SOUTH BEACH. UNIT FEATURES GREAT BAY & COURTYARD VIEWS, AN OPEN BALCONY, WASHER & DRYER, DISHWASHER, GRANITE KITCHEN COUNTER TOPS, UPDATED BATHROOMS AND HARDWOOD FLOORS THROUGHOUT. MEMBERSHIP IS INCLUDED FOR THE RENOWN DAVID BARTON GYM. THE FLAMINGO HAS BEEN COMPLETELY RENOVATED AND FEATURES MANY DESIRABLE AMENITIES OF A WORLD CLASS CONDOMINIUM INCLUDING BAY FRONT POOLS AND CONVENIENT SHOPS.

GREAT 2/2 W/ BALCONY CLOSE TO BEACHES

Tue, 03 Nov 2009 00:31:44 GMT

GREAT LOCATION- CLOSE TO BEACHES, ENJOY QUIET LIVING & BEAUTIFUL SUNSETS FROM 2007 DANIA BEACH CONDO. THIS 3RD. FLOOR 2/2 SPLIT BEDROOM APARTMENT OVERLOOKS POOL & FEATURES LARGE DIAGONAL TILE IN LIVING AREAS, BERBER CARPET IN BEDROOMS. GRANITE KITCHEN COUNTERS, FULL SIZED WASHER/DRYER & ACCORDION HURRICANE SHUTTERS ON WINDOWS & SLIDING DOORS. WITHIN WALKING DISTANCE TO BEACHES, SHOPPING & PARKS. JUST MINUTES TO I-95. NON SMOKERS ONLY.

ENJOY LUXURIOUS LIVING & SPECTAULAR WATER VIEWS FROM 2/2.5

Mon, 02 Nov 2009 23:29:27 GMT

THIS UNIT HAS BREATHTAKING VIEWS OF BISCAYNE BAY, THE OCEAN & MIAMI BEACH SKYLINE. CHEF'S KITCHEN HAS BEEN COMPLETELY UPGRADED WIITH GRANITE COUNTERTOPS, WOOD CABINETS, & TOP OF THE LINE STAINLESS STEEL APPLIANCES. UNIT HAS HIGH END FIXTURES, CUSTOM CLOSETS, LARGE BLOCK ITALIAN POLISHED FLOORS, AND VAULTED CEILINGS. LARGE SLIDING GLASS DOORS AND WINDOWS ALLOW FOR BRIGHTNESS WHILE SAFEGUARDING FROM HEAT. LUXURY BUILDING WITH ALL AMENITIES AND THE GATEWAY TO MIAMI BEACH, LOCATION IS KEY!

FABULOUS VIEWS OF BISCAYNE BAY FROM RECENTLY UPDATED 2/2

Mon, 02 Nov 2009 22:39:47 GMT

ENJOY VIEWS OF BEAUTIFUL BISCAYNE BAY FROM THIS TOP FLOOR NEWLY REMODELED 2 BEDROOM 2 BATH UNIT. PRIME LOCATION NEAR RESTAURANTS, SHOPPING & MAJOR ROADWAYS. QUIET NEIGHBORHOOD WITHIN WALKING DISTANCE OF LOCAL ELLMENTARY SCHOOL. BUILDING FEATURES NEW ROOF, NEW SEAWALL, NEW A/C TOWER, REMODELED POOL AREA, LOBBY AND HALLWAYS. CALL FOR AN APPOINTMENT TODAY!

STUNNING 5/5.5 HOME IN PRESTIGIOUS NEIGHBORHOOD

Sat, 31 Oct 2009 00:44:14 GMT

COMPLETELY REMODELED! THIS STUNNING 5 BEDROOM 5.5 BATH HOME IS LOCATED ON PRESTIGIOUS NORTH BAY ROAD AND FEATURES MARBLE FLOORS THROUGHOUT, GRANITE BATHS, 2 CAR GARAGE, HURRICANE IMPACT WINDOWS AND LARGE LOT. ENJOY PROXIMITY TO EVERYTHING SOUTH BEACH HAS TO OFFER.

$8,000 Home Buyer Tax Credit - Will It be extended?

Thu, 22 Oct 2009 03:00:00 GMT

Congress wants to extend the tax credit for first-time homebuyers beyond its scheduled end-of-November expiration. For the past several weeks, Obama administration officials have been talking about possibly extending the credit to help spur the economy and create jobs.

IRS investigates home tax credit claims. The Internal Revenue Service has opened 107,000 examinations of questionable claims and identified 167 criminal schemes involving the tax credit since it was expanded as part of the economic stimulus package enacted in February. But lawmakers understand the program is popular and has helped the struggling housing industry recover.

Lawmakers said they might add protections to help prevent fraud. But there is a growing consensus among congressional leaders that the housing market is still fragile enough to justify extending the program.

It would cost about $1 billion a month to extend the existing credit, according to congressional estimates. The bill is estimated to cost $16.7 billion.

The existing credit allows qualified first-time homebuyers to reduce their federal income taxes by 10 percent of the price of a home, up to a maximum of $8,000. Homes purchased after Jan. 1 are eligible. The full credit is limited to single filers making less than $75,000 a year and joint filers making less than $150,000.

About 1.4 million first-time homebuyers have qualified for the credit through August. The National Association of Realtors estimates that 350,000 of them would not have purchased their homes without the credit.

The IRS began special screening procedures for tax returns claiming the credit after it was enacted, said IRS spokesman Frank Keith. For example, taxpayers who previously claimed the mortgage interest deduction would warrant a second look if they claimed the first-time homebuyers credit, he said.

Processing claims presented special challenges for the IRS during the spring tax filing season because homebuyers were eligible for different credits, depending on when they purchased their homes.

First-time homebuyers who purchased homes in 2008 were eligible for only $7,500 in tax credits, and the credits had to be repaid over the following 15 years. Those who bought homes in 2009 were eligible for up to $8,000, and there was no requirement to repay the money. Also, people who bought homes in 2009 were allowed to claim the credit on their 2008 tax returns.

An audit by the agency’s inspector general found that 93 percent of the returns claiming credits for homes bought in 2009 were coded incorrectly, meaning those taxpayers could be incorrectly identified as liable for repaying the credit. The audit was released in September by the Treasury Inspector General for Tax Administration. It reviewed 47,276 electronically filed returns.

The IRS, in a response to the audit, said it plans to track the returns and confirm that taxpayers are liable to repay the credit before pursuing them.

Florida attorney offers foreclosure advice

Tue, 20 Oct 2009 21:48:00 GMT

A foreclosure defense attorney, Mark Stopa, is blunt in his advice to homeowners facing imminent foreclosure:
• Stop making payments.
• Hire a lawyer to frustrate the bank.
• Use the yearlong delay to build a savings account with unpaid house payments.
• Enjoy living mortgage-payment free.
Stopa’s technique for stalling foreclosure involves asking a judge to dismiss a case because the originating lender isn’t the same one initiating the foreclosure. It takes a bank about six months to avoid that legal tactic. After that delay, banks are more likely to cooperate with the homeowner, Stopa says. He charges a flat fee of $1,300 to initiate this stalling technique.

Any chance his advice will backfire?

A foreclosure task force commissioned by the Florida Supreme Court concluded in August that only a few law firms, known as “foreclosure mills” by detractors, handle most of the cases for banks, and their expedited processes sometimes result in errors. At the same time, the task force said foreclosure defense attorneys often file “boilerplate motions to dismiss” that delay rather than resolve the issue.

Renting Versus Owning Real Estate

Thu, 22 Jan 2009 13:51:00 GMT

Renting versus owning is both an intellectual, financial decision and an emotional decision. The financial decision is first and foremost an analysis of the comparative cost of renting versus owning. It makes no sense to pay more than rental equivalence to own residential real estate. wealth, but most of these people will find the increased cost of ownership over time negates any appreciation advantage they may obtain. Also, many people have found out painfully that property does not always appreciate in value. Many people still do because they are chasing the fantasy of endless appreciation and real estate

The cost of a rental can be determined fairly easily as there are usually a number of comparable properties on the market to establish a realistic rental rate for any given property. Of course, it is easy to justify in one's mind a comparative rent that is higher than the market will bear. A person who is "in love" with a house will almost certainly imagine it will command a rent amount that exceeds the reality of the market. It is probably a good idea to take 5% to 10% off comparable rental rates on properties offered on the market. Once a realistic comparative rental rate is established, and a realistic evaluation of the true costs of ownership as outlined above is complete, a simple comparison of the two figures will reveal if a property is overvalued, undervalued or at parity.

Some people expend a great deal of effort evaluating the costs of ownership to determine if it is a correct decision, but many people do not. Some people make the decision to purchase the most expensive asset they will ever own with no analysis at all. The decision to buy a house is primarily an emotional one. Even those who go through all the analysis generally only do so to provide rationalizations for their emotional decision. During price rallies, greed becomes a powerful emotion motivating people to fudge any financial analysis performed.

Another factor often called the "nesting instinct" causes both men and women to want a place to call their own, particularly when there are children in the family or on the way. There is nothing wrong with making decisions that are heavily influenced by emotions. Most people pick a spouse this way. The real challenge is to have the emotions and the intellect working together to make a decision that is both fiscally sound and emotionally satisfying. Of course, this is easier said than done.

The fundamental value of all housing prices is equivalent rents because rental is a direct proxy for ownership. Unfortunately, during the housing bubble, appraisers used comparative-sales prices to establish value rather than an approach using rental income. This allowed prices to detach from fundamental valuations due to irrational exuberance.

To determine the value of a property, one must evaluate the local rental market to establish comparable rental rates, and one must carefully evaluate the true, total cost of ownership. A potential buyer can determine the maximum amount that should be paid for a property by manipulating the loan and downpayment amounts so the monthly cost of ownership matches the cost of a rental. Of course, in the real world most people do not bother with this type of analysis, but then, in the real world, many people mistakenly overpay for residential real estate.

Revest Group Expands Scope of Services

Mon, 01 Dec 2008 22:56:00 GMT

If you watch the news, you know that the Real Estate market is more turbulent than ever. Foreclosure rates are up 71% from this time last year. The fact is, almost everyone knows at least one person who is facing foreclosure or who will within the next few months. In most cases, circumstances are out of the home owner's hands. A change in their personal life or current market conditions have put them in a position that they cannot recover from without serious help.

At Revest Group we are responding to this situation by expanding our scope of service and expertise. This past month two of our associates, Melanie Hyer and Bria Toulemonde, participated in rigorous studies of the short sale and foreclosure markets and both earned the designation of Certified Distressed Property Expert (CDPE).

If you or someone you know is facing foreclosure, we can help. While foreclosure is a highly personal, emotional and stressful situation, the good news is that there are realistic alternatives worth pursuing.

Call us at 786.260.0748 to learn more.

Citibank Announces Moratorium on Foreclosures

Tue, 11 Nov 2008 11:27:00 GMT

Citibank announced several intitatives to help homeowners stay in their homes including a moratorium on foreclosures for qualified borrowers.

The Citi Homeowner Assistance program will reach 500,000 homeowners with mortgages held by Citi. The program offers help to borrowers who are not yet behind on their payments but need assistance in making future payments.

Citi has also extended a foreclosure moratorium practice. Citi will systematically implement its practice of not initiating a foreclosure or completing a foreclosure sale on any eligible borrower where Citi owns the mortgage, the borrower is seeking to stay in the home which is his/her principal residence, is working in good faith with Citi, and has sufficient income for affordable mortgage payments.

The company also streamlined its existing loan modification program to aggressively rework delinquent loans.

Click Here to Read Full Press Release

Revest Group Featured on NBC 6 Evening News

Fri, 31 Oct 2008 16:09:00 GMT

NBC 6 Local News has retained Melanie Hyer as an expert on South Florida real estate and has featured several interviews with her in recent weeks. Click on the links below to view the broadcast segments.

Staying Afloat: The Real Estate Market

2008 Market Update: Have Housing Market Prices Hit Rock Bottom?

What You Should Know About Your Condo Association

New $7,500 Tax Credit for First Time Buyers

Thu, 09 Oct 2008 18:21:00 GMT

The Housing and Economic Recovery Act of 2008 was just signed by President Bush with some amazing benefits for first time homebuyers. Call everyone you know who wants to buy their first home (or who hasn't owned one in three years), this is too good to miss - it's a $7,500 tax CREDIT (not deduction but a credit).

If you have not owned a home in three years, you qualify as a first time home buyer. If you buy a home after April 9, 2008 and before July 1, 2009, you qualify for this credit. Call your friends who just bought a home since April 9th and tell them they may take $7,500 off their tax bill if they qualify. It has to be your principal residence, so rentals do not count.

The tax credit is 10% of the cost of the home, up to a maximum of $7,500. This is not an additional deduction that lowers the amount of income to be taxed, it is a tax credit. In other words, you take $7,500 off your tax bill. But there is a catch; the credit you receive now is actually an interest-free loan that must be repaid.

The loan has no interest, and will be paid back over 15 years. You get the credit on your 2008 taxes, but you start paying it back on your 2010 taxes that are due in 2011, so you get at least two years without a payment. You pay back 6.67% of the credit each year, so for a $7,500 credit the payment is $502.50 per year. If you stay put for 15 years, you pay it off with no interest.

What happens if you sell the house? You pay the balance back at the closing. So, you get $7,500 now, and pay the rest of it back if you make money on the sale of your house. What happens if you do not make enough money when you sell your house? They forgive the rest of the debt.

Other restrictions stipulate that you have to buy your first house in three years before July 1, 2009, not have super high income, not use bond financing and buy anywhere in the US.

If you'd like to learn more about this program, please call me!