Archive for November, 2007
Friday, November 16th, 2007
Realtors® need as much knowledge as they can when they start working with a short sale. But I wonder if they really learned that there is more than just submitting all the right documents. You also need to save as much time as possible once you have the buyer and seller in contract. Consumers need to know more ….so I wanted to go over the steps I used recently and show you few things that you’ll need to do in order to travel the straight an narrow and on your way to a smooth and successful closing.
I have done a few short sales and have picked up tremendous knowledge from them. Remember…if you have any experience in short sales you should know the obvious…..none are guaranteed and while waiting for an approval or denial….it can be a long stressful waiting game. My job is to hopefully alleviate some of that stress. I have experienced negotiating on my own directly with the lender and just today…I successfully closed on one by utilizing a reputable title company and attorney that offers a specialized service by negotiating and helping us get the deal done at no additional cost. The average time frame can range anywhere from 30-60 days depending on the bank you are dealing with. But if you follow the correct steps that is probably a good estimate. You should also be aware that just because there is a very large gap in the negotiations it doesn’t mean that the bank won’t except it. I have heard of deals that were approved with an overage debt of $100,000 or more. Most banks do not want to hold on to inventory and would rather take the loss and put someone into a new home……still nothing is guaranteed.
Analyze- you need to analyze whether or not you think that there is a shot you can successfully get the sellers lender to accept the deal. Usually you have nothing to lose. If the seller can no longer pay the mortgage…. then they only have limited choices to make and the easiest might be to try to negotiate a short sale.
Do the numbers make sense- if you believe you are going to move forward then you need to estimate how much their payoff is along with all other closing costs. You will have to give them an estimated net-sheet. An estimate is just that but if you can adjust the price just right to attract a buyer….then you have your executed contract. You must disclose to all parties that they understand that this type of deal is contingent on the banks final approval.
The Short Sale Packet- You will have to fill out the check list in your packet. There is a long list but here are just a few of the items you will need. For example…..you will need the fully executed sales contract,SS#,assets and liabilities worksheet,tax returns,completed hardship letter,payoff information and written authorization to give authority to negotiate on your behalf.
Time Saver- One of the biggest unknowns will be the amount of time you will have to wait for an answer. The first thing you will need to do is to get your short sale packet to the seller. My method of saving time is by picking up the packet in person and hand delivering it to my seller. Go over all the documents with your client and have them executed. Then you will personally deliver all the documents back to the attorney at the title company. By doing this you will save at least one week or more instead of mailing the information back and fourth.
Negotiating the deal- The title companies job is to submit all the documents to the lender and negotiate down as much as they can. Their goal is to have the sellers show a zero on the HUD-1.
The Closing-The title company will then get the approval in writing and schedule the closing. This afternoon we just completed another successful short sale transaction in 47 days. The seller owed $113,000…we sold the property for $119,900 and the overage was only about $7,000 which included all closing costs. The buyer was well qualified with 20% down and our deal went very well and we closed exactly on time with no delays.
If you follow these steps and also do a lot of praying you might be able to save yourself from destroying your credit for a very long time. It is better to be a late a few months…..then to go into foreclosure.
Make sure that you hire a Realtor® who can help guide you in the right direction.
For more information please contact Neal The Real Deal Bloom
-Realtor® /Remax Hometown
2500 Weston Road ,Suite 103
Weston FL 33331
(954)608-5556
Posted in real estate, Real Estate - For Buyers, Real Estate - For Sellers | 2 Comments »
Wednesday, November 14th, 2007
Has anyone ever heard of Blogburst? It’s another place for your blogs to possibly get picked up by some of the world’s most popular media sites such as Reuters….Fox News and Biospace…just to name a few. According to Blogburst you have to submit your blog and if they like it then they send you an invitation to join. Basically all your blogs are automatically placed on their feed.
Please click the >>> Reuters link to my Blog Action Day post called Weston Florida homes go Green with Solar Pool Heating
Posted in real estate | 4 Comments »
Wednesday, November 7th, 2007
I would like to give a big welcome to Neal Bloom - South Florida Realtor.
Neal has decided to share his Real Estate experience and expertise and help me out in a big way with his contributions to this blog.
Neal has more than 12 years experience as a Realtor® helping buyers, sellers and investors achive both their needs and goals. With a commitment of not only treating you as a valued customer, but also as a partner.
My first contact with Neal was through the Active|Rain Real Estate Network. I made an effort to include his posts in my daily reading. I also had the pleasure of meeting him in person at an activerain get together in Central Florida. What struck me the most was that Neal the blogger, and Neal the person and Realtor® are genuinely one and the same.
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Tuesday, November 6th, 2007
With such an inflated amount of Real Estate for sale in South Florida
….”it is an excellent time buy a home.” Prices have come down quite a bit over the last 2 years and inventory levels have reached all time highs. But there was one thing we discovered. Although there aren’t many buyers looking to purchase homes right now…we have been lucky enough to have closed a few deals this year from our Canadian clientele. We want hank you for all of your support!
Tourist season is now approaching and it is a good time to think about the benefits of buying a home in Florida. So spread your wings and fly south for the winter!
Our Canadian connections have not only benefited our business but it has helped our clients get an even better exchange rate on the money that they have invested in Real Estate here in South Florida. All of our clients decided not to finance any of the properties we sold to them. They paid cash for them.
Our clients have been watching the dollar and they’ve noticed that it has been becoming strong so they all decided “it is a good time to invest in South Florida Real Estate.”
For example…..A condo we sold 2 BR 2 BTH condo about 1200 SQ. FT. corner unit at Century village in Deerfield Beach Florida was listed at 149,000 we ended up making the deal at $120,000 after we closed on the deal our buyer was even more ecstatic when she found out that her $120,000 US dollars was actually $112,000 Canadian. Since then she has sent us 4 clients who each purchased condos in the same community. All have closed in less than 30 days.
Last week we just sold a home in Coral Springs Florida. It was a 5 BR 4BTH about 3800 SQ. FT. single family home that was listed at $644,000 and we were able to negotiate a deal for $617,500. The buyer also purchased it for cash and closed in 3 weeks. He also was aware that the dollar was very strong and the exchange rate has hit close to a historic high considering the past being fairly low. By the end our results were 6 closed sales….3 rentals,two of which turned into eventual sales….2 new listings.
Do not wait…”now is the best time to buy your second home in South Florida.” It hasn’t been this attractive for over 40 years and with the recent slump in prices it may never be a better time to buy. Prices have dropped between 20% and 50% and every seller is awaiting ANY offer….so hurry this may not last!!!
We will also soon have additional information in La Presse.
It’s a great time to buy the home that you’ve been looking for. Come visit the area so you can see all of the South FL Real Estate for sale.
You will be glad you looked at all the opportunities available.
If you are interested in moving to our area ……then we strongly urge you to visit South FL- you can view Real Estate for sale here.
If you like reading different stories about our area then please visit my blog The Real Deal tells it like it is in Real Estate
For more information please contact Steven Kohn (954)605-5877 or Neal The Real Deal Bloom(954)608-5556 /Remax Hometown
The Real Deal tells it Like it is in Real Estate-copyright © 2007
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Monday, November 5th, 2007
When I saw the title I really didn’t think too much into it. Then I started reading and he mentions how lenders seem to be getting tough on which mortgage brokers and loan officers they want to deal with. He mentioned how his principle Broker asked him to fill out a long detailed resume on himself and his past work and his achievements. A bit puzzled he asked her why and she said that she was signing up with INDYMAC BANK and they wanted full resumes on all of the brokers who would do business through them. I think they should be tougher…maybe not with that process but with something similar that might make that person think before representing a product they believe in…only to find fault else where when there are problems.
Please help me out here…don’t you think there should be some broader requirements?
I not only found the article interesting…fresh and had probably never been mentioned before but I also thought it was somewhat of a good idea. From what I know about the mortgage industry and correct me if I’m wrong…”loan officers and mortgage brokers are some what limited as far as how regulated they have to be in order to operate as one.”
» Read full article on The Weston Florida Real Estate Blog-The Real Deal Tells it like it is.
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Monday, November 5th, 2007
Welcome to Towngate-A place to live with Family Values. Located in Pembroke Pines FL.
Easy access from I75…between Pines Blvd and Sheridan Street.
The community broke ground in the mid 1990’s and most of the first homes completed occurred in 1996 and the project was completed in 1999. I happen to have lived in one of the last subdivisions that was completed.
The community consists of about 2000 homes…the break down is approximately 14 subdivisions…..which include 2 subdivisions of town-homes and the other 16 are single family homes of all different shapes and sizes. Available were dry lots…with premium lake front and pool lots. All of the subdivisions are gated accept for Mahogany Way and the two town-home subdivisions.
Below is the complete list of each subdivision.
Mahogany Way,Contempo Walk,Creekside,Classic Landings,Classic Vista,Orchid Vista,Royal Bay,Cherry Bay,Governors Run,Kingsview,Canary Bay,Cedar Way,Parkview,Park Crossing,
Silver Palms Elementary School is conviently located right in Towngate.
Pembroke Pines is a fabulous place to live. The schools
in Pembroke Pines are very close by. Many people who move here love the convenience of being close to shopping,entertainment,restaurants and all major highways.
When I was looking for a place to live we chose Towngate because of the convenience of the school and travel was less than 5 minutes.
An on-site state of the art workout facility that is open daily and located right nest to the community clubhouse. Remove some of that daily stress by exercising right in your own neighborhood facility.
Towngate also has the luxury of having 8 concrete tennis courts available right inside the community. Within walking distance of most subdivisions..the community also holds clinics for all ages available at the tennis facility. Play for instruction or just play for fun.
Real Estate for sale in Towngate of Pembroke Pines -Real Estate Market Snapshot as of Oct. 2007
This report is the latest snapshot update of the values in Towngate …free with my compliments.
This report is an update on Real Estate in your area. We continue to do this every 3- 6 months… just to keep you informed of current Real Estate values. This value check up is automatic: all you have to do is open this link and read our Real Estate Market Report.
Pembroke Pines Real Estate for sale in Towngate as of -Oct. 7th, 2007
- 90 Single family homes- Prices range from $285,000 (3BR 2.5 BTH 1702 Sq. Ft.) -$599,000 for (4BR 3BTH 2998 Sq. Ft.) This is an “all time high” for available homes for sale in Towngate
Pembroke Pines Homes under contract in Towngate as of -Oct. 2007
Pembroke Pines homes- closed sales in Towngate -Jan 2007-Oct 2007
If you are looking for a great place set down some roots then you came to the right place.
This information is provided by the Southeast Florida Multiple Listing Service and is believed accurate but not warranted.
Neal Bloom sells Towngate……
Please check out my other links below to see my past area market reports
TOWNGATE 3RD QUARTER 2007 CLOSED AND PENDING SALES
Pembroke Pines Florida-Towngate Real Estate Market Report thru August 2007
1ST QUARTER 2007 TOWNGATE/PEMBROKE PINES-MARKET REPORT
For more information please contact our Towngate experts Neal The Real Deal Bloom (954)608-5556 or Steve Kohn -(954)605-5877 -REMAX Hometown
Please visit my blog The Real Deal tells it like it is in Real Estate
The Real Deal tells it Like it is in Real Estate-copyright © 2007
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Saturday, November 3rd, 2007
I am not tying to offend anyone but I want help stop any more people from making a terrible mistake by getting involved in a very difficult situation.
There is a big game that you can play out there in Real Estate land. You can either play the game hard or you can play fair. It is called house flipping. There is the major leagues and the minor leagues. You can choose your destiny if you play right. But if you play with the big boys you better be able to play at all time.
It’s not a game for everyone but there are different levels of investors who know and do not know how to play the game. It can be a very dangerous game to play if you don’t play by the rules. You can play hard or you can just play for fun. If you can get good at it then you will flourish and make some money. If you go into it thinking you can make a quick and easy deal..then the only thing you might be flipping is a bunch of hamburgers when you lose your shirt. Investing can be fun if you do your home work. But I can tell you from experience that if you are not careful you might else every hard earned dollar you ever made just so you can jump on the bandwagon.
From 2002 until now I was teaming up with a few people and we purchased about 15 properties in Broward County Florida. We made money on all of them except one and after 5 contracts falling through…we rented it out. We rented some but sold them at a later date. Here is where most wanna be investors made their mistakes over the last year or so. Expensive new construction and or condo conversions. People would flock to any developer advertising these properties. what attracted any Tom ..Dick or Harry would be the incentives of not having to put at least 20% down and not having to close on these properties for anywhere from a year or more. They would just figure what the com-parables were going for at the time they went to contract…then they would use hard money and were just betting the market would continue to rise and by the time they had to close the property was worth well beyond what they purchased it for. This is what we call speculating. And it worked….”sometimes.”
I know it worked because I was part of it. The only difference with me was I was more conservative and did not do it alone. Instead of buying a property for $500,000 and betting that it would be worth $200,000 more when it finally closed…I would take my own money and diversify it by placing it on 3 properties instead of that one big one. This way I didn’t have as high of a liability to lose and I didn’t need to take out a mortgage because I would team up with two of my partners and this way we each had a smaller liability but a smaller spread. I am sorry but Real Estate-Cash is King .This way I would end up making the same amount in profit with three instead of relying on one. Another problem many investors didn’t realize was they couldn’t flip every property quick because most buyers would come in with financing but the lenders would want to make sure their loans had to be seasoned for at least 3-6 months which caused many contracts to fall through or be extended and people lost deposits.
In the mean time the investors weren’t aware of this and were stuck carrying the properties longer..therefore not making as much after they would finally close. The worst part of it is this game can be that it is very addicting and tempting with those “large returns” investors were going out of control. Some people didn’t expect that they would have to take ownership and have to carry these properties and their hard money interest only mortgages were costing them thousands of dollars each month. Now many of those people are having a hard time keeping up with their primary residences and don’t have full time jobs since they were only relying only on flipping. Now most of them have to go back to work just so they can bring home some sort of income. The same goes for all the Realtors® that were buying and selling their own properties but now find themselves out of the business after they found out they couldn’t survive.
Here are a few tips that I would like t share with you. They worked for me.
- Make a plan…
- Budget your money wisely. Make sure there is a surplus that includes carrying costs.
- Don’t just rely on photos…you need to physically preview the com-parables.
- Don’t buy on impulse or emotion.
- Remember large purchases can also be a large debt and liabilities.
- If you have the funds available then diversify. Don’t put all your eggs in one basket.
- Use cash if you can…..take on a partner.
- Do the numbers
- Stay in control and have fun
The only advice I can give someone looking to buy investment property now is that it is a great time to buy but if you are looking for the fast buck…the stakes are very high and you better be prepared to carry these properties.
It can be a fun and a very lucrative way to make some extra money…but you also could be playing with fire…so do your homework……be careful and know what you are doing.
If you are interested in Real Estate for sale in Florida ……then we strongly urge you to look at the opportunities available here.
Please visit my blog The Real Deal tells it like it is in Real Estate
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For more information please contact Neal The Real Deal Bloom -REMAX Hometown
Weston Florida Real Estate Blog-The Real Deal-copyright © 2007
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