Florida home sales up, prices continue to fall

         For the first time in two years, single-family home sales rose in Florida last month, according to the Florida Association of Realtors. However, median sales prices continued their decline. “It could indicate a stabilization in Florida’s housing sector,” FAR noted in a press release.

         Fort Lauderdale reported 559 existing home sales, down slightly from last year’s 581 sales. The median sales price fell 19 percent, to $303,600 from $373,700.

         Miami continued to get pummeled, with just 392 existing homes sold in July, a 22 percent drop from 505 home sales during the same period last year. The median sale prices declined to $322,700 from $377,400.

         West Palm Beach/Boca Raton reported 652 homes sold in July compared with 605 homes a year ago. That’s an 8 percent increase. Median prices, however, were down to $291,300 from $372,200, a 22 percent drop.

         Nationwide, existing home sales jumped by 3.1 percent in July – reversing a 2.8 percent decline from the previous month. The median price for a home sold in July dropped to $212,000, down by 7.1 percent a year ago.

         Condo sales fared worse. In Fort Lauderdale, sales dipped 1 percent, to 559 from 562, as the median sales price dropped 26 percent, to $138,300 from $187,200.

         In Miami, condo sales fell 22 percent, to 395 from 509. Median prices were down 19 percent, to $230,700 from $285,800.

         In West Palm Beach-Boca Raton, condo sales increased 16 percent, to 510 from 440. Median prices were down 15 percent, to $152,300 from $178,200.

         Statewide, 3,375 units sold in July, compared with 3,641 in July 2007. The median sales price of condos dropped 13 percent, to $168,500 from $194,100. (South Florida Business Journal (excerpts), Monday, August 25, 2008, by Susan R. Miller)

       If speed bumps are popping up all over the County, why can’t Coral Bay get any?

       While Coral Bay has made some progress since Alliance started as our management company nearly two years ago, we still have a long way to go.        These questions are some of the more obvious things that the CDD has neglected to maintain.(Copyright, Eddie Velie Real Estate Services, LLC)

close to the market value.  The brochure from the Broward County Property Appraiser’s office, says they use the value as of January 1st of the year we are in. In any case the value must be a just value.

       Just value is an assessed value using “objective valuation methods,” according to the Florida Supreme Court. There are three major valuation methods. The most common valuation method for residential real estate is the “comparable sales” approach while the other two methods are used mainly for income and commercial properties.

       Appraised value is the value assigned by a State Licensed Appraiser for use by banks and lenders as mandated by Federal law if the loan is Federally related (all are). They use closed sales and the comparative (comp) sales approach to value. In a fast changing market, they adjust the value for time if the comparable is over three months old as in this market.

       Best-use value is the value if, for example, the City rezoned the property to commercial and a retail store may have a higher market value than the residential property when sold. Most businesses are taxed on this value.

       In-use value is the value as the real estate is currently used as apposed to best-use value. If, in an analysis, we determine a wide enough gap between best-use and in-use value, we may tear down the existing structure and start over with a new building or business.

       Determining real estate value can be very confusing because it can literally change from day to day. If we quote the assessed value (the County’s estimated market value as of January 1st)  of property as the market value, and property values have declined by 20% during the year, we just over-valued our property by at least 20%. The opposite was true just 3 years ago. (Copyright, Eddie Velie Real Estate Services, LLC)

THIS MONTH

EDDIE VELIE,

Consultant, Realtor,

Mortgage Broker, CAM

EXIT United Realty

(954) 263-6287

VelieRealEstate@aol.com

http://VelieRealEstate.com

 

Copyright, 2008

Velie Real Estate Services, LLC

Articles and opinions here in do not necessarily reflect the opinions of EXIT Realty or any of my business, social, or voluntary affiliations or associations.

No One Knows Coral Bay Like Eddie Velie, Consultant, Realtor, Mortgage Broker, CAM

At Home In Coral Bay, Sept—Oct, 2008

A Mortgage & Real Estate Newsletter By Eddie Velie Real Estate Services, LLC

No One Knows Coral Bay Like Eddie Velie, Consultant, Realtor, Mortgage Broker, CAM

Page 2

At Home In Coral Bay, Sept—Oct, 2008

A Mortgage & Real Estate Newsletter By Eddie Velie Real Estate Services, LLC

The SIX Real Estate Values

       There is a common misconception about real estate values. This is because there are six different definitions of value. They are market value, assessed value, appraised value, in-use value, and best-use value, and the Florida Supreme Court’s “just value.”

       By far, the most important of these is the market value. All of the other definitions of value are simply theoretical opinions of what the analyzing party to the transaction thinks is the market value of the property.

       Market value’s simple definition is what a buyer and seller are willing to buy and sell real estate for, at arms length (the two parties are not related in any way), on any given day. In a Free Enterprise system such as the United States, the market value fluctuates with supply and demand because sometimes we have buyers but no sellers and visa versa.

       Assessed value is the value assigned by the County property appraiser’s office for the purpose of determining property taxes. Many people quote their assessed value as the market value of their home and many times, the assessed value is not even

CDD Editorial —  Questions for the CDD Board & Management Co.

       Dear CDD board and management company: Under the FL Sunshine Laws, I submit the following questions.

       What is planned for landscaping along the new fence on South Bay drive? When is the landscaping due to be installed?

       What was the total cost of the fencing project? How many feet of fencing was installed in all of Coral Bay & who was the general contractor for the fencing project?

       What is the status of replacing and repairing the docks at the club house and on the peninsula?

       What is the CDD Board’s position on the lake shoreline erosion and who should have to pay for it?

       When does the CDD expect to open Peninsula Park to the public again?

       When does the CDD plan to replace the palm trees to at the South Bay drive entrance?

       When does the CDD plan to up put the gates down & when are the security cameras being replaced?

       When does the CDD plan to resurface the tennis and basketball courts?

       When does the CDD plan to resurface the roads in the CDD? Wouldn’t it be prudent to piggyback on the City of Margate general obligations bonds for roads that we are helping to pay for?

       Is the ticket and tow policy still being enforced? If so, how long does the tow company wait between a ticket being issued and when they no longer count that ticket? (for example, If I am issued a ticket on January 1, 2007, and forget to move my car on June 15, 2008, will my car still be towed?)

 

Why Lowering Taxes Is So Important To Home Prices

         A buyer can qualify to offer $20,000 more for your home if your taxes are lowered by $110 per month. The chart on the left appeared in my Nov-Dec 2007 issue. The analysis is done using Calyx Point software that most mortgage brokers use nationwide. Because your taxes are based on the value on January 1, 2008, you won’t see the 20—30% decline in value, in your taxes, we have experienced this year, until next year.

(Reprinted from REALTOR^® Magazine Online by permission of the NATIONAL ASSOCIATION OF REALTORS^® Copyright 2005. All rights reserved.)

No One Knows Coral Bay Like Eddie Velie, Consultant, Realtor, Mortgage Broker, CAM

At Home In Coral Bay, Sept—Oct, 2008

A Mortgage & Real Estate Newsletter By Eddie Velie Real Estate Services, LLC

20 Low-Cost Ways to Spruce Up Your Home

1. Make your home more appealing for potential buyers with these quick and easy tips.

2. Trim bushes so they don’t block windows and cut down on light.

3. Buy a new doormat.

4. Put a pot of bright flowers (or a small evergreen in winter) on your porch.

5. Put new doorknobs on your doors.

6. Put a fresh coating on your driveway.

7. Edge the grass around walks and trees.

8. Keep your garden tools out of site.

9. Be sure kids put away their toys.

10. Buy a new mailbox.

11. Upgrade the outside lighting.

12. Use warm, incandescent light bulbs for a homey feel.

13. Polish or replace your house numbers.

14. Clean your gutters.

15. Put out potpourri or burn scented candles.

16. Buy new pillows for the sofa.

17. Buy a flowering plant and put it in a window you pass by frequently.

18. Make a centerpiece for your table with fruit or artificial flowers.

19. Replace heavy curtains with sheer ones that let in more light.

20. Buy new towels.

21. Put a seasonal wreath on your door.

 

CLICK HERE FOR 56 MORE CHECKLISTS!

 

· * Zoning error-records show it is the North Community Pool

· Note: The CDD is exempt from paying real estate taxes.

· Note: Data is from Broward County records downloaded

Copyright 2008, Velie Real Estate Svcs, LLC

No One Knows Coral Bay Like Eddie Velie, Consultant, Realtor, Mortgage Broker, CAM

At Home In Coral Bay, Sept—Oct, 2008

A Mortgage & Real Estate Newsletter By Eddie Velie Real Estate Services, LLC

10 Ways to Make Your

House More Salable

1. Get rid of clutter. Throw out or file stacks of newspapers and magazines. Pack away most of your small decorative items. Store out-of-season clothing to make closets seem roomier. Clean out the garage.

2. Wash your windows and screens to let more light into the interior.

3. Keep everything extra clean. Wash fingerprints from light switch plates. Mop and wax floors. Clean the stove and refrigerator. A clean house makes a better first impression and convinces buyers that the home has been well cared for.

4. Get rid of smells. Clean carpeting and drapes to eliminate cooking odors, smoke, and pet smells. Open the windows.

5. Put higher wattage bulbs in light sockets to make rooms seem brighter, especially basements and other dark rooms. Replace any burnt-out bulbs.

6. Make minor repairs that can create a bad impression. Small problems, such as sticky doors, torn screens, cracked caulking, or a dripping

5 Ways to Speed Up Your Sale

1. Price it right. Set a price at the lower end of your property’s realistic price range.

2. Get your house market-ready for at least two weeks before you begin showing it.

3. Be flexible about showings. It’s often disruptive to have a house ready to show on the spur of the moment, but the more often someone can see your home, the sooner you’ll find a seller.

4. Be ready for the offers. Decide in advance what price and terms you’ll find acceptable.

5. Don’t refuse to drop the price. If your home has been on the market for more than 30 days without an offer, be prepared to lower your asking price.

 

6. faucet, may seem trivial, but they’ll give buyers the impression that the house isn’t well maintained.

7. Tidy your yard. Cut the grass, rake the leaves, trim the bushes, and edge the walks. Put a pot or two of bright flowers near the entryway.

8. Patch holes in your driveway and reapply sealant, if applicable.

9. Clean your gutters.

10.  Polish your front doorknob and door numbers

 

WHAT IS YOUR HOME WORTH?

       The chart below shows all the sales I could find for 2008 YTD. Using the averages at the bottom, multiply the “price per square foot” times the square feet of your house, and you will get the approximate value of your home.

       With the market declining rapidly, a certified appraiser will probably only use the previous 3 months of comps if available. With that in mind and only five sales in the last 3 months, the

average price per square foot is $139.

       Don’t count on it! These are only estimates with no adjustments for upgrades. Any late filings with the county or MLS are not shown either. Copyright 2008 Eddie Velie Real Estate Services, LLC.

Copyright 2008, Velie Real Estate Services, LLC

QUOTE OF THE MONTH

         He [ALLEN GREENSPAN] did offer one suggestion: “The most effective initiative, though politically difficult, would be a major expansion in quotas for skilled immigrants,” he said. “The only sustainable way to increase demand for vacant houses is to spur the formation of new households. Admitting more skilled immigrants, who tend to earn enough to buy homes, would accomplish that while paying other dividends to the U.S. economy.” (Copyright © 2008 The Associated Press, David Wessel (The Wall Street Journal). All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

(Reprinted from REALTOR^® Magazine Online by permission of the NATIONAL ASSOCIATION OF REALTORS^® Copyright 2005. All rights reserved.)

(Reprinted from REALTOR^® Magazine Online by permission of the NATIONAL ASSOCIATION OF REALTORS^® Copyright 2005. All rights reserved.)