The upside of Florida real estate: 15 market positives

 
1. Great prices. Statewide, the median sales price for existing homes last month (February) was $141,900; a year ago, it was $199,300 for a 29 percent decrease. 

 
2. The time is right. Home sales volumes are rising again - a clear signal that today's "buyers market" is changing.  Existing home sales rose 20 percent last month with a total of 9,858 homes sold statewide compared to 8,181 homes sold in February 2008, according to FAR. February's statewide existing home sales were 16.7 percent higher than January's statewide sales.  Florida Realtors also reported a 15 percent gain in statewide sales of existing condominiums in February, continuing a trend in recent months for higher statewide sales of both the existing home and existing condo markets compared to year-ago levels. Statewide existing condo sales last month increased 25.1 percent over the total units sold in January according to FAR statistics.

 
3. High inventory levels. Conditions are ideal for buyers to find their dream home. Inventory is still plentiful in all price ranges. But as sales volumes increase, inventory levels are likely to shrink. That reality translates into this advice for buyers: Don't wait too long.
 
4. Low mortgage rates. Mortgage rates are still at the lowest levels since the 1960s. Lower rates multiply a buyer's financial power. Even half a percent can make a sizeable difference. For example, on a $200,000 home, half of 1 percent could save the homeowner about $815 a year. Buyers can get more home for the money, which is a perfect scenario for families looking to upsize.  How low did they go?
 
5. Incentives to buy. Federal, state and local housing programs can help buyers make that big purchase. The U.S. Housing and Economic Recovery Act of 2009 includes an $8,000 tax credit for first-time buyers. President Obama's 2009 economic stimulus package also identifies and offers incentives to help home buyers with mortgages. Talk to a local mortgage lender about state and federal incentive programs.

How to get the $8,000 credit.
 
6. A long-term-growth state. Long-term economic and demographic trends continue to favor Florida. By 2010 economists forecast that Florida will be the third-most-populated state in the country. Florida's population is expected to swell about 75 percent by 2030. Florida has been one of the 10 fastest-growing states in the U.S. for each of the past seven decades, and often the state has been in the top four, according to census data. Population growth will continue to provide a foundation for other economic development, such as new jobs and growing incomes.  All of these trends are positive indicators for real estate growth.
 
7. A migration magnet. Even with a slowdown in economic growth nationally, projections call for Florida's population to return to more normal growth levels of about 317,000 a year between 2010 and 2020, similar to the 1980s and 1990s, said Stan Smith, director of the University of Florida's Bureau of Economic and Business Research. That's a lot of new buyers coming into the market.
 
8. A favored retirement destination. Over the long term, Florida stands to benefit from the migration of the aging Baby Boomer generation, roughly 80 million strong. Demographic studies show that the Sunshine State's mild climate and outdoor amenities continue to make Florida a top retirement destination.

9. Business-friendly state. Florida has always been a business-friendly state - no state income taxes, plus incentives from local municipalities encourage businesses to set up shop here. Even with the current economic downturn nationwide, Florida leaders continue to keep business needs in the forefront of planning for the state's future. The Milken Institute/Greenstreet Real Estate Partners ranked five Florida communities on its "Best Performing Cities Index 2008," which ranks U.S. metropolitan areas by how well they are creating and sustaining jobs and economic growth. Florida continues to be one of the best states for business, moving up to 3rd in Chief Executive's survey of the best places for jobs and business growth. (Chief Executive, Mar '09). Four Florida metros, Orlando, Miami-Ft. Lauderdale, Cape Coral-Ft. Myers and Jacksonville, are among the nation's best places to start a small business. (Bizjournals, Feb '09)
 

10. Positive investment outlook. Every quarter, the University of Florida's Bergstrom Center for Real Estate Studies conducts a survey of industry executives, market research economists, real estate scholars and other experts. In the fourth quarter 2008 survey, the investment outlook for various types of Florida properties remains steady. "People who have responded to our surveys have not lost their faith in Florida as a place to be and a place to invest," said Dr. Wayne Archer, director. "We have 40 pages of comments from our respondents, and although the dominant theme is the disruption of financing, perhaps the second theme, as one person put it, is people being on the sidelines with full pads and helmets just waiting to jump back in."

 
11. Homeownership has value. Realtors believe - and research supports that belief - that homeownership provides a variety of tangible and intangible benefits to the community and homeowners. Studies show that home equity is still the largest single source of household wealth, both for the individual homeowner and for homeowners as a group.

 
12. Greater sense of well-being. Owning a home leads to increased personal well-being. Research shows that people who own their own homes tend to show higher levels of personal esteem and life satisfaction, which in turn helps to make homeowners and their children more productive members of society.

 
13. Beneficial for kids. Studies show that children raised in homes owned by their families are more likely to stay in school and more likely to graduate high school. They're also shown to have a higher lifetime annual income.

 
14. Community involvement. People who own homes have a strong financial stake in what happens to their community and tend to become more involved in community and civic affairs. Studies show that homeowners also interact more with their neighbors and communities. Compared to renters, homeowners join up to 41 percent more civic and/or nonprofessional organizations, such as the PTA or Scouts; vote in local elections 15 percent more often; enhance their neighborhoods with gardens 12 percent more often; attend church about 10 percent more often; and have a 3 percent greater chance of being interested in public affairs.

 
15. An unsurpassed lifestyle. Finally, let's not forget the things that brought people to Florida in the first place, and will continue to attract them - beautiful beaches, fabulous weather and a friendly business climate, with no state income tax.  It's no wonder that Florida's combination of temperate climate, outstanding recreational amenities and economic opportunity has consistently put Florida in the top three of Harris Poll's "Most Desirable Places to Live" survey.

 This e-mail was forwarded to me from a friend who runs a carpet cleaning business who got it from a friend in Canada, who got it from a friend from Australia - I read it and I decide to FW it on to you guys........ It's pretty good reading.
                                                            &

 After reading this - let me know if you need a knowledgeable, honest & successful Realtor in Sunny Isles Beach (Miami Beach) FL!  The real estate market here in Miami is slow too yet there were over 177 Miami Dade "BEACHES" condos that sold in the month of January and I'm part of this business although I had to let my help go so it's Back to just me selling real estate with my woman handling vacation rentals at MiamiDreamRental.com. So here's the letter!!

 

To All My Valued Employees,

There have been some rumblings around the office about the future of this company, and more specifically, your job. As you know, the economy has changed for the worse and presents many challenges. However, the good news is this: The economy doesn't pose a threat to your job. What does threaten your job; however, is the changing political landscape in this country.

However, let me tell you some little tidbits of fact which might help you decide what is in your best interests.

First, while it is easy to spew rhetoric that casts employers against employees, you have to understand that for every business owner there is a back story. This back story is often neglected and overshadowed by what you see and hear. Sure, you see me park my Subaru Outback outside. You've seen my big home at last year's Christmas party. I'm sure all these flashy icons of luxury conjure up some idealized thoughts about my life.

However, what you don't see is the back story.

I started this company 28 years ago. At that time, I lived in a 2 bedroom flat for 3 years. My entire living area was converted into an office so I could put forth 100% effort into building a company, which by the way, would eventually employ you.

My diet consisted of baked beans, stew and soup because every dollar I spent went back into this company. I drove a rusty Toyota Corolla with a wonky transmission. I didn't have time to go out with women. Often times, I stayed home on weekends, while my friends went out drinking and partying. In fact, I was married to my business -- hard work, discipline, and sacrifice.

Meanwhile, my friends got jobs. They worked 40 hours a week and made a modest $50,000 a year and spent every dime they earned. They drove flashy cars and lived in expensive homes and wore fancy designer clothes. Instead of hitting David Jones for the latest hot fashion item, I was trolling through the discount stores extracting any clothing item that didn't look like it was birthed in the 70's. My friends refinanced their mortgages and lived a life of luxury. I, however, did not. I put my time, my money, and my life into a business with a vision that eventually, some day, I too, will be able to afford these luxuries my friends supposedly had.

So, while you physically arrive at the office at 9am, mentally check in at about noon, and then leave at 5pm, I don't. There is no "off" button for me. When you leave the office, you are done and you have a weekend all to yourself. I unfortunately do not have the freedom. I eat, and breathe this company every minute of the day. There is no rest. There is no weekend. There is no happy hour. Every day this business is attached to my hip like a 1 year old special-needs child. You, of course, only see the fruits of that garden -- the nice house, the Subaru, the vacations... you never realise the back story and the sacrifices I've made.

Now, the economy is falling apart and I, the guy who made all the right decisions and saved his money, have to bail-out all the people who didn't. The people that overspent their pay suddenly feel entitled to the same luxuries that I earned and sacrificed a decade of my life for.

Yes, business ownership has its benefits but the price I've paid is steep and not without wounds.

Unfortunately, the cost of running this business, and employing you, is starting to eclipse the threshold of marginal benefit and let me tell you why:

I am being taxed to deathand the government thinks I don't pay enough. I have state taxes. Federal taxes. Property taxes. Sales and use taxes. Payroll taxes. Workers compensation. Unemployment taxes. Taxes on taxes. I have to hire an accountant to manage all these taxes and then guess what? I have to pay taxes for employing him. Government mandates and regulations and all the accounting that goes with it, now occupy most of my time. On Oct 15th, I wrote a cheque to the Australian tax Office for $288,000 for quarterly taxes. You know what my "stimulus" cheque was? Zero. Zip. Zilch.

The question I have is this: Who is stimulating the economy? Me, the guy who has provided 14 people good paying jobs and serves over 2,200,000 people per year with a flourishing business? Or, the single mother sitting at home pregnant with her fourth child waiting for her next welfare cheque? Obviously, government feels the latter is the economic stimulus of this country.

The fact is, if I deducted (Read: Stole) 50% of your pay you'd quit and you wouldn't work here. I mean, why should you? That's nuts. Who wants to get rewarded only 50% of their hard work? Well, I agree which is why your job is in jeopardy.

Here is what many of you don't understand ... to stimulate the economy you need to stimulate what runs the economy. Had the government suddenly mandated to me that I didn't need to pay taxes, guess what? Instead of depositing that $288,000 into the Canberra black-hole, I would have spent it, hired more employees, and generated substantial economic growth. My employees would have enjoyed the wealth of that tax cut in the form of promotions and better salaries. But you can forget it now.

When you have a comatose man on the verge of death, you don't defibrillate and shock his thumb thinking that will bring him back to life, do you? Or, do you defibrillatehis heart? Business is at the heart of Australia and always has been. To restart it, you must stimulate it, not kill it. But the power brokers in Canberra believe the poor of Australia are the essential drivers of the Australian economic engine. Nothing could be further from the truth and this is the type of change you can keep.

So where am I going with all this?

It's quite simple.

If any new taxes are levied on me, or my company, my reaction will be swift and simple. I fire you. I fire your co-workers. You can then plead with the government to pay for your mortgage, your 4WD and your child's future. Frankly, it isn't my problem any more.

Then, I will close this company down, move to another country, and retire. You see, I'm done. I'm done with a country that penalizes the productive and gives to the unproductive. My motivation to work and to provide jobs will be destroyed, and with it, will be my citizenship.

So, if you lose your job, it won't be at the hands of the economy; it will be at the hands of politicians who swept through this country and changed its financial landscape forever. If that happens, you can find me sitting on a beach, retired, and with no employees to worry about....

Signed,

Your boss

 I know ActiveRain's blog platform to be Search Engine Friendly and I read tons of your blog postings... I'm curious if the new fee based blog platform for new ActiveRain member's will fly? What are the major benefits for a reoccurring monthly fee vs. other free blogging platforms?

ActiveRain participants want to know!?

 I have been hearing about RealBird for some time but pushed it to the side as I do most other marketing ploys. I read over Christmas about RealBird again in my favorite publication, Agent Direct News, which has the latest on technology. I went to the RealBird siteand was a bit perplexed on the uniqueness. What I noticed was just the regular until I began to explore a bit more. What I love about RealBird program is the Widgets! I added this to many pages on my web site for a personal showcase of each of my listings. On each new listing, I simply go into the RealBird web siteand add it automatically placing into the widget on my web site. Awesome FREE addition to my web exposure.

 

Try it out for Free here:  http://realbird.com/

 

FOR IMMEDIATE RELEASE

CONTACT:    Ashton Coleman 1-888-383-7326

 

MORE THAN A MILLION $5 MILLION-DOLLAR HOUSEHOLDS

Number of Ultra-Affluent households in the U.S. increased 23% in 2006

Increasing wealth drives luxury home market

 

North Bay Village, Florida (August 16th, 2007) - For the first time in history, there are more than a million households in the United States with a net worth of $5 million dollars or more (not including primary residences), according to an April report released by the Chicago-based Spectrum Group, "Affluent Market Insights 2007."

The number of Ultra High Net Worth individuals (those with a net worth of $5 million or more, excluding primary residences) grew 23% in 2006, representing the fastest growing sector of the luxury market.  These numbers echo trends seen elsewhere indicating that while the rich are getting richer, it's the ultra-affluent who are experiencing the greatest increase in wealth.  According to the 2006 Forbes list of the Top 400 Richest Americans, each of the 400 individuals has a net worth of at least $1 billion dollars, a first since the company began compiling its list.

There are also now more than 9 million Millionaire households in the U.S. (those with a net worth of $1 million dollars or more, excluding primary residences), an 8% increase from 2005 to 2006.  And during the same timeframe, the number of Affluent households in the United States (defined as those with a net worth of $500,000 dollars or more, excluding primary residences) rose 9% to a record 15 million-plus.

"We've seen these national trends reflected in the local housing market," said Ashton Coleman of Keller-Williams Realty in Miami Beach, who is also a member of the Dallas-based Institute for Luxury Home Marketing.  "There are currently 11 homes priced at a million dollars or more in the North Bay Village market."

Despite the general downturn seen in the housing market throughout much of the nation, the upper-tier continues to chart its own course, particularly where multi-million dollar homes are concerned.  While those at the entry level of affluence are more likely to be affected by current market corrections, the upper echelon has traditionally demonstrated its capacity for greater resiliency in the face of economic fluctuations. 

Indeed, according to Forbes, two of the three most expensive properties in the world-a spec chateau in England neighboring Windsor Castle, and Donald Trump's re-vamped Maison de L'Amitié in Palm Beach, Florida-have been vacant for two years.  The owners have the resources to wait for the market conditions they desire.  For some, luxurious estates are second homes, investments, or simply discretionary purchases.

"At a time when the newswires are filled with stories of sub-prime lending crises and real estate gloom, we've simultaneously seen listings for $100 million-dollar homes hit the market, a history-making event in residential real estate," said Laurie Moore-Moore, founder of the international Institute for Luxury Home Marketing, who has written and taught extensively on the luxury residential real estate market.

Even in Florida, which has witnessed a notable downturn in upper-tier homes and estates, the caveats are quite particular to the market segment-greatly influenced by factors such as an international clientele, dollar valuations, and proposed tax changes.  Luxury is not dead; it's in a holding pattern, waiting for certain changes in market conditions before making a move.

The convergence of a more complex market and an increasing number of affluent homeowners underscores why buyers and sellers of fine homes and estates value working with trusted real estate professionals who have the specialized skills, resources, and experience to help them achieve their lifestyle objectives.

And what about those Ultra High Net Worth individuals?  They might be just around the corner.  According to Forbes, 27 of them are in the Florida region, including 8 in Palm Beach.

For current information on the upper-tier market, please contact Ashton Coleman at 305-978-7704 or by email at: Info@MiamiDreamRealty.com.

Ashton Coleman with Keller-Williams Miami Beach is a member of the international Institute for Luxury Home Marketing and has taken specialized training in the selling and marketing of upper-tier homes.  [SunPost Best of edition: North Bay Village Property Specialist for 2006 & 2007, TRC & e-Pro certified.]

About The Institute for Luxury Home Marketing

The Institute for Luxury Home Marketing is the premier independent authority in training and certifying real estate professionals around the world in the art of handling exceptional properties.  Through specialized training, education, proprietary research, tools, and branding, Institute members build expertise in marketing luxury homes and estates for buyers and sellers.   Members who meet strict performance requirements may earn the prestigious Certified Luxury Home Marketing Specialist (CLHMS) designation.  Information about the CLHMS designation and an international member list can be found at http://www.clhms.org/, which is also accessible via The Wall Street Journal's RealEstateJournal.com website.

 

                                       

Press Release

For immediate release

Contact:  Ashton Coleman

(305) 978-7704 /direct

(888) 383-7326 /toll free

  

Record US residential sale breaks $100 million mark                                                                                           

Heiress sells 40-acre "building lot" in New York's Hamptons to financial mogul

The cloud over the current residential real estate market has a silver lining.  The upper-tier market continues to boom, as evidenced by the record-breaking sale of a residential property in East Hampton (NY) for $103 million.

The new sale was supposed to be hush-hush. But, the news was quickly out that Schlumberger Oil fortune heiress Adelaide de Menil and her husband Ted Carpenter had sold the ocean front property to Ron Baron, founder of Baron Funds Investment Company.  The transaction breaks the previous record for the most expensive home sold in the US which was set in 2004, by the sale of Revlon Chairman Ron Perelman's Palm Beach estate. 

Although the sale in the Hampton's is a new US record, the world record residential sale is still held by Forbes Billionaire Lakshmi Mittal's purchase of a London estate for $128 million.

"By comparison, the most expensive home sold last year in Miami Beach was $22,500,000," according to  Ashton Coleman of Keller-Williams Miami Beach Realty.  "In 2005 there were 7 homes that sold above $5M, In 2006 that number rose to 13 total homes!"

"Although the US housing market slipped overall in 2006, the luxury market has continued to boom, as a result of rising wealth at the top of the demographic pyramid," said Laurie Moore-Moore, Founder of the Dallas-based Institute for Luxury Home Marketing. "Sales of homes priced at $5 million and above jumped 18% last year and rose a staggering 31% in the first quarter of 2007, according to new research by DataQuick."

"At least five US sellers are so optimistic that the luxury home market will stay strong that they've priced their homes at more than $100 million," said Moore-Moore. "The chances are good that Baron won't be king of the residential hill for long, we may see a new record in the next 18 months or so."

Leading the pack as the priciest estate is "The Pinnacle," under construction at the members-only Yellowstone Club in Montana, and offered for sale by the club's developer, Tim Blixseth, for $155 million.  The four other highest priced homes include Saudi Prince Bandar's estate in Aspen (CO), priced at $135 million; "Fleur De Lys", a Los Angeles (CA) property priced at $125 million; Donald Trump's $125 million Palm Beach (FL) re-do; and  the $100 million estate known as  "Tranquility," at Lake Tahoe (NV).  The priciest home on the market locally is $32 million, said Coleman.

 "One interesting fact about the record-setting New York sale," added Moore-Moore, "is that Baron didn't want the existing homes on the property.  So, they were removed for his convenience, leaving him with a fabulous site for building his custom home." The houses were donated to the nearby community for use as city buildings.

                                                                        ###

About The Institute for Luxury Home Marketing

The Institute for Luxury Home Marketing works with residential real estate professionals around the world, providing education and training to assist them in delivering exceptional service to buyers and sellers of luxury homes and estates.  Institute members have completed specific training and have access to specialized tools to build expertise in marketing upper-tier properties.  Members who meet strict performance standards may earn the prestigious Certified Luxury Home Marketing Specialist designation.  Information about the CLHMS designation and an international list of members can be found at http://www.clhms.org/, which is also accessible via The Wall Street Journal's RealEstateJournal.com website.

 

Call any time Toll free at 1-888-38-DREAM/37326 to chat Miami & the Beaches local market conditions. Now is an ideal time to buy in Miami Beach! WHY? Great inventory, low interest rates (for those who need financing) and some very motivated seller's.This current South Beach market is still growing and is a great place to invest for the long-term. With very limited space, the exciting nightlife scene, incredible outdoor activities & restaurants, the Performing Arts Center (PAC) in Downtown, American Airlines Arena (Miami Heat games,concerts) the Financial District of Brickell and the Amazing Beaches, make this a very desirable place to live. Panoramic Ocean, Bay & Cruise ship views entertain from luxury high-rises and waterfront homes. Our South Beach market is surprisingly still undervalued when compared to New York and California. The weather is perfect almost year round and the action never stops.

South Beach has new construction on the point selling at approximately $900-2100 per square foot. Icon, Setai has original investors making a fortune on their pre-construction purchases. You can still find 1 Bedroom resale apartments in the low $200's in the heart of South Beach. Many Conversions are taking place here with starting prices in the mid-200's. For the investor making less than adequate income, SoBe is not a place to purchase but to rent a property. 1 Bedroom rentals start at $1,100/month. Small apartments (650 square feet), nicely redone are selling at $225,000. Small Oceanfront studios are now selling at $225,000+ and it is becoming harder to find. The new condominiums in the prime locations (SoBe,SoFi) are selling for over $2,000 per square foot!

Miami Beach has become a place for the wealthy investor. How do you afford to live here if can't afford to buy? Besides renting, moving North is the Trend. This includes Intracoastal & Bayfront Properties throughout 67th Street and 71st Street selling for $200+ per square foot. Also Normandy on the water and golf course has some great potential, with some of the best restaurants Miami has to offer (Katana's, Las Vacas Gordas, Prima Pasta, Tamarind). The Island of North Bay Village has the best views and values for Miami beach island living.

Call me any time for further information or to begin discussing properties of choice at:
1-888-38-DREAM/37326!

VISUAL TOURS (copy/paste into browser): http://www.visualtour.com/inventory.asp?U=45846