Orlando has the biggest supply of vacant new homes of any major U.S. metropolitan area, according to a Metrostudy analysis of housing data from the markets it surveys nationwide.
The four-county metro area has an 11.7-month supply of finished-but-empty residential properties, compared with a normal supply of one-and-a-half to three months for most major markets, the Houston-based company said last week.
"The higher the months of supply, the greater the downward pressure on starts and prices, and Orlando and coastal Southern California, along with Las Vegas and San Diego, have the most severe problems," said Brad Hunter, Metrostudy's chief economist.
The Orlando market has been cutting into its built-but-unsold inventory, with 18,423 move-ins and 12,000 starts during the 12 months that ended March 31. But other markets are making faster progress: Atlanta, for instance, had more than 20,007 move-ins and fewer than 9,000 starts for the same period.
Tuesday, May 26, 2009
Thursday, May 21, 2009
Orlando Condos Deals for Cash Buyers
A foreclosed condo can seem like an attractive bargain, but buyers without cash might have trouble getting financing and any buyer should investigate the property carefully to ensure that it is financially stable, experts say.
In markets that are dominated by condo developments--like southern Florida--many buildings have multiple foreclosures and vacancies. As a result, the condo associations are struggling with shortfalls. To compensate, condo boards are raising fees for remaining owners and tacking on special charges.
Fannie Mae won’t purchase mortgages in condo buildings in which more than 15 percent of the owners are late paying their association fees. Also Fannie requires that 70 percent of units in a new building be presold – up from the previous 51 percent standard. Both these factors discourage lenders from approving condo loans."
If a building is in trouble and a buyer can't get a loan, then it means the building will continue spiraling down,” says Summer Greene, managing director for Prudential Florida 1st Realty in Fort Lauderdale, Fla.
Orlando has no shortage of deals. A recent buyer purchased 2 bedroom condos in great areas for $47,000 & $50,000. On one of the properties generated 8 offers and buyer bid $5,000 over asking price to get the property.
Whether purchasing an investment property, vacation or primary home Buyers Broker of Florida can represent the buyers best interests all the way to closing.
In markets that are dominated by condo developments--like southern Florida--many buildings have multiple foreclosures and vacancies. As a result, the condo associations are struggling with shortfalls. To compensate, condo boards are raising fees for remaining owners and tacking on special charges.
Fannie Mae won’t purchase mortgages in condo buildings in which more than 15 percent of the owners are late paying their association fees. Also Fannie requires that 70 percent of units in a new building be presold – up from the previous 51 percent standard. Both these factors discourage lenders from approving condo loans."
If a building is in trouble and a buyer can't get a loan, then it means the building will continue spiraling down,” says Summer Greene, managing director for Prudential Florida 1st Realty in Fort Lauderdale, Fla.
Orlando has no shortage of deals. A recent buyer purchased 2 bedroom condos in great areas for $47,000 & $50,000. On one of the properties generated 8 offers and buyer bid $5,000 over asking price to get the property.
Whether purchasing an investment property, vacation or primary home Buyers Broker of Florida can represent the buyers best interests all the way to closing.
Wednesday, May 13, 2009
$8,000 Tax Credit, Could Be Used as Down Payment
First-time homebuyers will soon have another option if they want to use their $8,000 tax credit toward a downpayment. On the tails of a Florida-created program that Gov. Charlie Crist is expected to sign into law, the federal government announced its own downpayment assistance program at the National Association of Realtors® Midyear Legislative Meetings & Trade Expo taking place this week in Washington, D.C.
While the tax credit applies to “first-time homebuyers,” the term is misleading. In general, anyone who hasn’t owned a home for the past three years is considered a first-timer under the program. Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development (HUD), hopes to have additional details available within a few days, though it’s still unclear how soon homebuyers can apply for the credit.
Donovan said that the Federal Housing Administration (FHA) would allow its lenders to credit homeowners up to $8,000. He made the announcement to several thousand Realtors yesterday at a special daylong session called, The Real Estate Summit: Advancing the U.S. Economy.
“We all want to enable FHA consumers to access the homebuyer tax credit funds when they close on their home loans, so that the cash can be used as a downpayment,” Donovan said. According to Donovan, FHA approved lenders will be permitted to “monetize” the tax credit by using short-term bridge loans. Donovan also said that more will be done, and the Obama administration plans to further stabilize the housing market.
“I do think we have some early signs that the market overall is stabilizing,” said Donovan. “Since January, we’ve seen both home sales moving up and down around a relatively stable number, and we are seeing the first signs that the rapid decline in home prices is starting to abate.”
While the tax credit applies to “first-time homebuyers,” the term is misleading. In general, anyone who hasn’t owned a home for the past three years is considered a first-timer under the program. Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development (HUD), hopes to have additional details available within a few days, though it’s still unclear how soon homebuyers can apply for the credit.
Donovan said that the Federal Housing Administration (FHA) would allow its lenders to credit homeowners up to $8,000. He made the announcement to several thousand Realtors yesterday at a special daylong session called, The Real Estate Summit: Advancing the U.S. Economy.
“We all want to enable FHA consumers to access the homebuyer tax credit funds when they close on their home loans, so that the cash can be used as a downpayment,” Donovan said. According to Donovan, FHA approved lenders will be permitted to “monetize” the tax credit by using short-term bridge loans. Donovan also said that more will be done, and the Obama administration plans to further stabilize the housing market.
“I do think we have some early signs that the market overall is stabilizing,” said Donovan. “Since January, we’ve seen both home sales moving up and down around a relatively stable number, and we are seeing the first signs that the rapid decline in home prices is starting to abate.”
Tuesday, May 12, 2009
Orlando Real Estate Hitting the Bottom
Bargains are here and people are buying up Orlando Real Estate with mulitple offers occurring are signs are market is at the bottom and normalizing. We are at at 11.6 month supply of homes, while last year at this time was 20.7. First time home buyers are taking advantage of $8,000 home buyer credit and investors are paying cash for distressed properties. Read the article in the Orlando Sentinel for more information. Do not wait to buy Orlando Real Estate as interest rates and prices are expected to rise in years to come.
Monday, May 11, 2009
April Orlando Real Estate Statistics
Members of the Orlando Regional REALTOR® Association in April sold nearly seven times more homes in the lower-price range categories than in the upper categories, which according to economists is typical of a rebounding market.Read More
- Average Mortgage Rate: 4.86%
- Inventory: 20,194
- New Listings: 3,715
- New Contracts: 3,412
- Under Contract: 5,818
- Back on Market: 648
- Expired: 1,014
- Withdrawn: 1,339
- Sales Closed: 1,741
- Average Days on Market: 104
For Historical view. Click Here
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