Steve Eckhardt's Tampa Bay Area Luxury Real Estate Blog

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Jumbo Mortgage Rates Fall To Record Lows

Cornerstone Properties & Investments, LLC — Thu, 08 Dec 2011 23:03:37 -0800

The jumbo 30-year fixed mortgage rate fell to a new historic low of 4.68 percent, according to Bankrate.com’s weekly national research. The average jumbo 30-year fixed mortgage loan has an average of 0.4 discount and origination points.

According to Bankrate’s survey, the average conforming 30-year fixed mortgage inched lower to 4.24 percent while the 15-year fixed mortgage held stable at 3.48 percent. Adjustable rate mortgages were generally lower, with the (blank) 5-year ARM dropping to 3.18 percent and the 10-year ARM inching down to 3.8 percent.

Mortgage rates are very low, but based on the ultra-low levels of benchmark interest rates such as 10-year Treasury notes, mortgage rates could be even lower.

Since August, the European financial crisis has forced the spread between risk-free U.S. government bonds and those of various other bonds, such as mortgage-backed bonds, to the highest levels since the early spring of 2009. At that time, economic tensions were at a fever pitch, especially surrounding the well being of the U.S. banking system. This time, it’s Europe’s banking system in the crosshairs, but the result is much the same - a higher-than-typical cost of borrowing when compared to the rock-bottom government rates.

Bankrate’s national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in the top 10 markets.

TGAFTC7AJ8HX

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

$1.4 Billion In Tampa Bay Real Estate Sales To Foreign Investors Over The Last Year

Cornerstone Properties & Investments, LLC — Fri, 04 Nov 2011 17:14:46 -0700

Over the last year an estimated $12.7 billion dollars in real estate was purchased in Florida by foreign investors. Over 86% of those investors bought these properties with cash. Factors that influenced these investors include a weaker dollar, discounted costs for property and increasing rent prices. The Tampa/St.Pete/Clearwater market came in at number 3 with approx. $1.4 billion in sales.

Read more about our huge influx of foreign investment in The Tampa Bay Business Journal.

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Just One Of The Many Reasons To Live On The Florida Gulf Coast!

Cornerstone Properties & Investments, LLC — Fri, 27 May 2011 17:37:15 -0700

Dr. Beach, America's preeminent beach expert, just named Siesta Key Beach in Sarasota the best beach for 2011. Dr. Beach, who is also known as Dr. Stephen Leatherman of Florida International University, says, "The powdery sand is nearly pure quartz." Wide swaths of open beach and gentle waves make it a paradise for anyone. There's plenty of room to throw a blanket down and take in the sun's rays, walk along the water line or play a game of volleyball.

If you are looking for other great beaches where you can enjoy this Memorial Day weekend, check out my links to information about the other great beaches in the Tampa, St. Petersburg, Clearwater and Sarasota areas. Happy Memorial Day Weekend!

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Foreclosures In Florida Drop 59%

Cornerstone Properties & Investments, LLC — Fri, 13 May 2011 14:15:40 -0700

Foreclosures in April were a whopping 59 percent lower in Florida than a year ago according to statistics compiled by RealtyTrac. Nationwide, foreclosure proceedings in April 2011 dropped 34 percent from April 2010.

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Tampa Home Sales Up 17%

Cornerstone Properties & Investments, LLC — Wed, 11 May 2011 17:30:55 -0700

Tampa had the most active existing home sales market in the state with 7,710 sales, up 17% for the first quarter of 2011. Florida existing home sales increased 13% and existing condominium sales increased 29% over the first quarter 2011, according to the Florida Association of Realtors

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Florida's Existing Home Sales Surged In March

Cornerstone Properties & Investments, LLC — Thu, 21 Apr 2011 09:06:15 -0700

Florida's existing home sales surged in March, recording the single biggest month since late 2005. Sales of condos and homes jumped 36 percent from February to March, surpassing the national rise of 3.7 percent, according to figures from the Florida Realtors and the National Association of Realtors. Seventeen Florida regions reported higher sales last month, and it's the fourth consecutive month that statewide sales have exceeded the same month in the prior year. The study also noted that a full 35% of buyers were CASH BUYERS.

More Florida Buyers Are Paying Cash

Cornerstone Properties & Investments, LLC — Wed, 09 Feb 2011 21:02:46 -0800

With condos and homes selling for up to 60% off their all time highs, investors, move-up home buyers, and luxury home buyers are finding value in Florida real estate. In December 2010, almost half of all buyers paid cash in the major markets in Florida. In the Tampa Bay area, over 44% of all buyers paid cash. In Miami, over 54% of buyers paid cash.

Last year about 28 percent of all sales in the U.S. were cash transactions, according to the National Association of Realtors®. In 2008, the rate was only 14 percent. In the last week, Zillow, The Wall Street Journal, and the Florida Association Of Realtors have all taken notice of this positive trend.

Follow the green........when the cash buyers come back in significant numbers, watch for the market to improve!!!

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Is The High End Rebounding In The Tampa Bay Area?

Cornerstone Properties & Investments, LLC — Thu, 06 Jan 2011 00:13:30 -0800

Back in February I featured video of Matt Geiger's 30,000+ square foot estate after a private open house. After three and a half years on the market and several reductions from an initial asking price of $19,900,000 to $9,995,000, the Geiger property has finally sold for $8 million. The $8 million dollar sales price is the highest since May of 2008 when a 13,000 square foot waterfront estate in Belleair sold for $10,250,000. The January edition of Forbes Magazine said a recent Bain Consulting study indicated that sales of luxury goods for 2010 nearly reached the 2007 peak of $235 Billion. Maybe the high end in Florida is ready for a rebound!!!

CLICK HERE TO SEE THE INTERIOR VIDEO -

VIDEO HAS BEEN REMOVED TO PROTECT THE PRIVACY OF THE BUYERS. IF YOU ARE INTERESTED IN VIEWING THE VIDEO AND NEED HELP FINDING A SIMILAR HOME IN THE TAMPA BAY AREA, PLEASE CONTACT ME AT 813-765-1182.

This premier estate sits on almost 28 acres and has a seperate 4900 square foot guest quarters and garage space for 6 cars. The second (entrance level) and third floors of this home are elegant and well appointed. The main house has 6 bedrooms, 8 full baths, & four half baths. The rest of the home is made for entertaining. I'll start with the resort style pool with a large fire pit in the center, a full outdoor cabana, outdoor bar, & chef's kitchen. Between the outdoor bar, the lanai off the living room, and the seating around the pool, you could easily accommodate over 100 people comfortably. Add the 1st level kitchen, full bar area, dance floor, DJ booth, 20 person theater, card room, cigar room, and a jacuzzi room (with a Jacuzzi that could hold 12 6'6" pro athletes) and you could easily host a party for 200 of your closest friends without disturbing the main living area.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

My Blog http://www.luxuryhomeblog.com

Facebook http://www.facebook.com/CornerstoneProperties

Linked In http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

http://blogs.wsj.com/digits/2010/12/13/internet-now-as-popular-as-tv-survey-shows/

Why We Advertise Our Listings Exclusively On The Internet.........

Cornerstone Properties & Investments, LLC — Tue, 14 Dec 2010 00:18:31 -0800

Internet usage has grown 121% in the past five years. So what are people doing less? Listening to the radio and reading things like newspapers and magazines. Did You Know ...

...For more than one-third of home buyers, the first step in the home-buying process was looking online for properties.

...90% of homebuyers used the Internet as an information source when buying a home

...77% of Internet homebuyers drove by or viewed a home they saw online

...36% of buyers first found the home they purchased on the Internet

...Americans spend nearly a quarter of their time online on social networking sites and blogs, up from 15.8 percent just a year ago (43 percent increase) according to new research released from The Nielsen Company. If you're not using Facebook & Twitter to promote your listings, you are missing the boat.

...June 2010 was a major milestone for U.S. online video as the number of videos streamed passed the 10 billion mark. The average American consumer streaming online video spent 3 hours 15 minutes doing so during the month. (Source: Nielsen VideoCensus). House Video is IMPORTANT. Did you know YouTube is the 2nd largest search engine behind Google?

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Brookings Economic Recovery Ranking Shows Tampa Surpassing Miami and Orlando

Cornerstone Properties & Investments, LLC — Sat, 11 Dec 2010 23:46:49 -0800

The city of Tampa is showing its strength in recovering from the recession. In a study of the economies of 150 cities worldwide before, during and after the recession, Tampa ranked 74th in terms of economic growth from 2009 to 2010. This was a huge improvement from its 120th ranking over the 2007 to 2010 period. its ranking was even better during the 1993 to 2007 period, when it ranked 83rd.

The 150 cities studied by Brookings Institution in its Global Metro Monitor were chosen not by their per capita income, but by their positions as areas of high-value and high-impact economic activity in their respective regions and nations. Their gross per capita income varies from less than $1,000 in Kolkata, India to about $70,000 in Zurich, Switzerland or San Jose, California. Additionally, nearly 80 percent of these cities have average incomes that are higher than those of other cities in their regions or nations.

With the above criteria, the selection of Tampa as one of the 150 cities for the Global Metro Monitor means that Tampa is a high-value and high-impact city in Florida. Brookings carried out the study together with the London School of Economics and Deutsche Bank Research.

The two other high-value Florida cities chosen for the study are Miami and Orlando. Before the recession, Orlando had the strongest economy among the three, with a ranking of 40th. Miami followed with a ranking of 66th. Tampa was then 83rd. But over the 2009-2010 period, Tampa surpassed them in terms of economic growth rate. Miami ranked 78th while Orlando ranked 85th.

74th - Tampa
78th - Miami
85th - Orlando

Among the three Florida cities, Tampa posted an income growth rate of 2.5 percent rate over the 2009-2010 period. Orlando posted 1.7 percent while Miami posted 1.6 percent.Before the recession - over the 1993 to 2007 period - Orlando was the most prosperous among the three cities. it ranked 40th on the Global Metro chart with an income growth rate of 2.2 percent and a job growth rate of 2.9 percent. Miami had an income growth rate of 2.1 percent.

Tampa has been recovering faster than Miami and Orlando partly because it didn't have the condo overbuilding problem of Miami and the sudden-growth challenges of Orlando. Additionally, Tampa has been able to maintain the community spirit that makes a city thrive amid challenges.

Posted by Orlando News Center on Dec 11, 2010

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Moody’s Hopeful On Recovery, Notes Pent-Up Demand In Florida

Cornerstone Properties & Investments, LLC — Mon, 15 Nov 2010 21:07:48 -0800

Moody's Analytics economist Chris Lafakis said the Federal Reserve will remain aggressive, with a quantitative easing plan that he equated to "basically flooding the global monetary system." Lafakis predicted the strategy would lift asset prices, reduce corporate borrowing costs, and increase the willingness of consumers to spend.

Lafakis predicted substantial growth in Florida's economy, mentioning that the Miami, Orlando and Tampa areas are expected to recover "quite significantly" due to a rebound in population growth and an increased willingness of people to travel to Florida for vacations. "The story of pent-up demand is true in no place more so than Florida," he said.

Read Article At http://www.floridarealtors.org/NewsAndEvents/article.cfm?id=250253

Steve Eckhardt, Broker, Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

My Blog http://www.luxuryhomeblog.com

Facebook http://www.facebook.com/CornerstoneProperties

Linked In http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Florida’s Existing Condo Sales Up 15% For 3rd Quarter 2010

Cornerstone Properties & Investments, LLC — Thu, 11 Nov 2010 14:14:07 -0800

Sales of existing condominiums in Florida rose 15 percent in third quarter 2010 compared to the same period a year earlier, according to the latest housing statistics from Florida Realtors®. A total of 16,938 existing condos sold statewide in 3Q 2010; during the same period the year before, a total of 14,793 units changed hands.

Meanwhile, in the year-to-year quarterly comparison for existing single-family home sales, 41,122 homes sold statewide for the quarter compared to 44,451 homes in 3Q 2009 for a 7 percent decrease. The statewide existing-home median sales price was $135,200 in 3Q 2010; a year earlier, it was $145,300 for a decrease of 7 percent. 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, according to the National Association of Realtors® (NAR). The median is a typical market price where half the homes sold for more, half for less.

Steve Eckhardt, Broker, Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

My Blog http://www.luxuryhomeblog.com

Facebook http://www.facebook.com/CornerstoneProperties

Linked In http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Homestead Exemption… Now’s the Time to cash in!

Cornerstone Properties & Investments, LLC — Mon, 08 Nov 2010 22:10:27 -0800

Now is the time to purchase a new home if you plan on taking advantage of Florida's homestead exemption next year!! You will want to make the most of this Buyers Market in the next couple of weeks to benefit up to $50,000 in tax exemptions in 2011.

Realtor friend Maria Norton reminds us that technically part of the Florida Homestead Exemption, the Save Our Homes Amendment goes one step further in protecting homeowners by limiting the annual increase in tax assessment to 3 percent per year for properties that qualify. That means that even if the value of your home suddenly spikes (and hopefully it will) you won't get hit with an unexpectedly large spike in property taxes, as well. (Home construction and other improvements may disqualify you from receiving the 3 percent limit, so discuss the benefits or drawbacks of such projects before you take them on)

Starting in January 2009, Florida property owners also began receiving this type of protection on their second homes when a law went into effect stating that the rate increase on second properties would be capped at an annual rate of 10 percent per year.

When it comes to the Save Our Homes Benefit, another term you'll hear a lot is "Portability." Portability is the ability of a homeowner to retain the benefits they've accrued through SOH, even when they move to another home of greater or lesser value.

For instance, logic says that Florida homeowners benefiting from the Save Our Homes benefit are paying less-than-market value for the property taxes on their homes, as the amount they pay each year is capped (unlike taxes in the open market). As such, it's natural to assume that some residents would be reluctant to move and take on higher property rates, along with a potentially higher mortgage.

To prevent that, Portability allows you receive a similar benefit on your new home, even though it's assessed at current market value. Pretty cool, right? The amount will vary depending on the value of your new home, and whether you are upsizing or downsizing on your move. (If you're upsizing, you'll be able to keep the entire benefit. If you're down-sizing, you'll receive the same percentage of the benefit applied to the new home's value.)

Time to make your move...

Initially Posted in Sales, Towers of Channelside, jmc realty by Steve McAuliffe

Call Me At (813) 765-1182 To Find Your Perfect Home.

Steve Eckhardt, Broker

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Clearwater Beach Market Statistics

Cornerstone Properties & Investments, LLC — Tue, 26 Oct 2010 23:16:42 -0700

The median sales price for homes in Clearwater Beach FL for Jul 10 to Sep 10 was $710,500. Sales prices have appreciated 1.5% over the last 5 years in Clearwater Beach. The average listing price for Clearwater Beach homes for sale was $583,286 for the week ending Oct 20, which represents a decline of 0.8%, or $4,702, compared to the prior week and a decline of 1.6%, or $9,584, compared to the week ending Sep 29. Average price per square foot for Clearwater Beach FL was $170.

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Mortgage Rates Fall To 4.27%, The Lowest Point Since 1971

Cornerstone Properties & Investments, LLC — Mon, 11 Oct 2010 11:43:32 -0700

Rates on 30-year mortgages fell to the lowest level in decades for the ninth time in 12 weeks, pushed down by traders anticipating a move by the Federal Reserve to pump more money into the economy.

The average rate for 30-year fixed loans dropped to 4.27 percent, mortgage buyer Freddie Mac said Thursday. That's the lowest on records dating back to 1971, and down from 4.32 percent the previous week.

The average rate on 15-year fixed loans, a popular choice for refinancing, dropped to 3.72 percent from 3.75 percent. That was lowest on records dating back to 1991.

Florida's Population Grows Again After Taking A One Year Hiatus

Cornerstone Properties & Investments, LLC — Fri, 03 Sep 2010 23:07:43 -0700

In the years 1950 through 2008 Florida grew by more than 125,000 residents every year. But, for the year April 2008 through 2009, Florida lost residents for the first time in over 61 years. Last year's population decline, a result of the economic slump, was the first since 1946, when military personnel left the state at the end of World War II. It seems as if that slump has come to an end after just one year.

In the latest report from April 2009 to 2010, Stan Smith, director of The University Of Florida's Bureau of Economic and Business Research, estimates that Florida added a modest 21,000 residents between 2009 and 2010. "At the state level, foreign immigration continues to be relatively strong, and the state also continues to have substantially more births than deaths, which are really the drivers of Florida's growth in the last year," Smith says.

While population growth isn't the only factor that can affect housing prices, it is certainly a positive sign that the Florida market is stabilizing. The largest population gains were in some of the biggest counties. Miami-Dade led by adding an estimated 8,253 residents, followed by Hillsborough, 6,353, and Broward, 5,834.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Luxury Homes Outperforming The General Market

Cornerstone Properties & Investments, LLC — Wed, 01 Sep 2010 11:42:46 -0700

Early last week NAR released the national numbers for July sales. Overall sales saw a large drop 27% from June and 25% year-over-year from July 2009. While the pundits debate whether the sharp drop in overall sales was a meaningful indicator of market activity or just a product of the expiration of the home-buyer tax credit and artificially time-shifted demand, they all seem to have missed the fact that while overall sales were sharply down, sales in the $1M+ price segment were UP in every region across the country and more than 6% nationally:

"Luxury homebuyers have been buying this summer," said Laurie Moore-Moore, CEO of The Institute for Luxury Home Marketing (ILHM). "After waiting in the wings, many affluent buyers spent the summer shopping for value and snapping up trophy properties."

Statistics would indicate that she's right. According to The National Association of Realtors (NAR), for 2009 million-dollar and above home sales were just 1.2% of total sales or about 61,500 sales nationally. In July 2010, million dollar plus market share was up to 1.9%. While sales of homes in the $500,000 and above range rose dramatically in June, the million-dollar-plus market segment was the only price range in July showing positive growth compared to last year. "The mix of what is selling has shifted in favor of homes priced at $750,000 and above," added Moore-Moore.

It is likely that the 0.7% increase in the national median sale price for July was largely function of this increase sales at the upper end as opposed to growing price strength in the lower-priced segments of the market.

Bottom line:
The luxury segment is outperforming the market overall, and this is a good news story that needs to be told!

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Tour The Bellamy, Unit 402

New Listing - The Bellamy On Bayshore, Waterfront Views

Cornerstone Properties & Investments, LLC — Thu, 26 Aug 2010 13:25:24 -0700

Tampa's Bayshore Boulevard is synonymous with gracious Florida living. Here residents enjoy the finest conveniences and comforts, including private elevator entries, wine cellar with private storage lockers, theater, library, conference center, concierge services, two social rooms, two elegantly appointed guest suites - even a fragrance garden. Every detail in this 22-story collection of 64 homes has been finely tuned to this locale's unique characteristics. This 3 Bedroom, 3.5 Baths, plus study offers unsurpassed views of the water, Bayshore, and Tampa. The gourmet kitchen includes a five burner gas cooktop with upgraded hood/venting that will accomodate an indoor grille gas cooktop, wine refrigerator, and granite counter tops. Master suite features granite bath with his and her extended vanities, garden tub and oversized shower plus custom walk-in closet. Bedroom suites 2 and 3 have full baths and walk-in closets. Asking $695,000.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Wave Of Foreclosures Has Begun In The Greater Sarasota Area

Cornerstone Properties & Investments, LLC — Thu, 12 Aug 2010 10:23:20 -0700

According to data released by California based RealtyTrac Inc., total foreclosure filings in the three-county region surrounding Sarasota jumped to 3,349 during July, a 40 percent increase from a month earlier and a 10.6 percent increase from July 2009. While much of the reason for the rise stems from resets on adjustable-rate loans, market watchers are also seeing an increase in commercial foreclosures. Records also show a steady flow of luxury properties going into foreclosure. At least eight homes in the million-dollar-and-over range fell into foreclosure in July. The largest was a $2.08 million loan on a 5,569-square-foot house on Osprey Point Drive.

While the increase in foreclosures may seem high, don't expect much further downward pressure on pricing. Sarasota property sales are at their highest levels since 2005 and inventory has been cut in half. Now is the time to buy, before these opportunities are gone.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

There IS a New Real Estate Transfer Tax in the ObamaCare Law

Cornerstone Properties & Investments, LLC — Thu, 22 Jul 2010 11:18:40 -0700

Another hurdle for luxury real estate.......

Via Lane Bailey - REALTOR & Car Guy (Diamond Dwellings Realty):

Image via Wikipedia

One of the forums in which I participate has had stories on both sides of this issue for a couple of months… with the more conservative members saying that there is a 3.8% sales tax on the sale of homes, and those that are more supportive of the President and his policies saying that there isn’t.

Neither side was real specific about their information source… talk radio for some, blogs for others… nobody seemed to be going to the source… the 20,000+ page law signed by the President. In all fairness, there is a LOT of room in 20,000 pages to hide a lot of little Easter Eggs like this. And being fair to the other side, if there isn’t a tax, the bill isn’t going to say “there is not a tax” anywhere…

I have an answer…

There is indeed a tax on the sale of real estate. It doesn’t apply to many people, but it WILL apply to some people that have profit from the sale of their homes. Starting in 2013, those with incomes over $200,000 will have to pay a 3.8% tax on profit from the sale of their primary residence or investment properties. The exact amount will be based on a formula that includes the profit from the property and the income above $200,000. The tax is not an income tax, but rather it is a “payroll tax”… officially it is a Medicare Tax.

It does not just apply to real estate, but also applies to investment income and dividends.

The bottom line is that both groups are right… and both are wrong.

But…

It will drive another nail into the luxury real estate market. It has been in the doldrums for a while. Adding new taxes will not get it going again. And if you are thinking that this only affects ‘the wealthy’, think again. Those homes are not built by ‘the wealthy’. Those homes are not renovated by ‘the wealthy’. Those consumers are more likely to hire contractors to do improvements. And they are more likely to update more often… They are a driver in the housing sector. This added tax is NOT putting gas in the tank…

from LaneBailey.com

Unless otherwise noted, all content of this blog is the property of Lane Bailey, ©2009 Lane Bailey.

I'd love to hear from you...

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

NAR: International Interest In U.S. Homeownership Increases, Florida and California Remain The Top Two Destinations

Cornerstone Properties & Investments, LLC — Thu, 08 Jul 2010 16:59:54 -0700

WASHINGTON - July 8, 2010 - International homebuyers are increasingly attracted to property in the U.S., according to the National Association of Realtors®' 2010 Profile of International Home Buying Activity. Several factors, including the strength of the dollar, the value and desirability of U.S. real estate, and the emerging economic recovery, continue to drive international interest in owning a home in this country.

"While all real estate in the U.S. is local, the same is not true for property owners," said NAR President Vicki Cox Golder. "The U.S. continues to be a top destination for international buyers from all over the world. Foreign buyers understand the value of owning a home in this country and can rely on Realtors to help guide them through the complex process of buying property in the U.S. With expertise, knowledge and experience, Realtors have a global perspective."

The survey covers the period between April 1, 2009, and March 31, 2010. During that time foreign buyers, including those with residency outside the U.S. as well as recent immigrants and temporary visa holders, are estimated to have purchased $66 billion of U.S. residential property, or 7 percent of the residential market.

Slightly more than a quarter of Realtors, 28 percent, reported working with at least one international client in the past year. This is a significant increase from the 2009 report, when 23 percent of Realtors worked with foreign clients. Eighteen percent of all Realtors were estimated to have completed at least one sale, compared to 12 percent last year.

"Several factors have contributed to an increase in international buyer interest in the U.S.," said Golder. "A large majority of Realtors report the changes in value to the U.S. dollar have had a strong impact on the international real estate business. In addition, perceptions abroad about trends in the U.S. real estate market have led many international clients to believe purchasing a home in the U.S. is more affordable than in their country and holds more value."

International buyers came from 53 different countries around the world. The top four countries were Canada, Mexico, the U.K. and China/Hong Kong. With 23 percent of international buyers coming from Canada, the country has remained the largest buying group in the past three years. Foreign buyers from Mexico have been steadily increasing. In 2010, Mexico replaced the U.K. as the second largest buying group with 10 percent of buyers. Buyers from the U.K. decreased from 10.5 percent in 2009 to nine percent in 2010. Eight percent of recent buyers came from China/Hong Kong.

Two factors important to international clients when purchasing property in the U.S. are proximity to their home country and the convenience of air transportation. Florida typically attracts European, Canadian and South American buyers while the East Coast draws Europeans. The West Coast brings Asian buyers and the Southwest attracts Mexicans.

International buyers were reported in 39 states in 2010, but a slight majority of the total buyers are concentrated in Florida, California, Arizona and Texas. These four states account for 53 percent of purchases and have remained the top destinations for the past three years, with Florida and California remaining the top two destinations.

The median price paid by international buyers for a home in the U.S. was $219,400, a decrease from 2009's median price of $247,100. However, the median price paid by foreign buyers was significantly higher than the overall median market price, which was $172,500 in 2009. On average, foreign buyers tend to purchase closer to the upper end of the market; 16 percent of the total international purchases were for homes priced at more than $500,000. According to Realtors, this was because international buyers are typically looking for a second home.

A majority of international buyers, 66 percent, purchased single-family detached homes. However, more international buyers purchased a condo than did their U.S. counterparts, at 23 percent and 7 percent, respectively. Only 44 percent of international buyers used a mortgage to pay for their home, compared to 92 percent of domestic buyers. Fifty-five percent of foreign buyers paid all cash. Realtors reported that a majority of international buyers use all cash because of the difficulty in establishing international credit in the U.S. Over one-third, 34 percent, of potential foreign buyers was unable to complete transactions because of financing problems in the U.S.

© 2010 Florida Realtors

For Information on purchasing investmentr real estate in the United States, please contact Steve Eckhardt, Broker, Cornerstone Properties & Investments, LLC at (813) 765-1182.

Investor Friendly Changes To Florida Condo Law Takes Effect Today

Cornerstone Properties & Investments, LLC — Thu, 01 Jul 2010 19:02:34 -0700

A massive condominium bill addressing everything from fire sprinkler retrofits to incentives for moving excess condo inventory is among the real estate-related legislation taking effect today in Florida. this 103-page bill contained at least two of the many changes sought: incentives for buyers of multiple condo units and repealing the requirement that individual owners carry hazard insurance.

The "bulk buyer" provision seeks to stimulate condo sales by enabling investors to purchase condo units in bulk (seven-plus units) without incurring the legal and financial liabilities of the original developer. The hazard insurance provision repeals a 2008 law requiring unit owners to provide proof of insurance every year. If a unit owner failed to provide a certificate of insurance, the association was allowed to purchase insurance on the owner's behalf and assess the unit owner for the cost of the insurance.

SB 1196 also specifies that:

· Florida law no longer requires owners to purchase individual unit owner insurance coverage, though it could still be required by lenders or through the Declaration of Condominium;

· Associations of condos over 75 feet high aren't required to retrofit sprinkler systems;

· Lenders must pay more of past-due assessments on foreclosed properties;

· Associations may deny owners or occupants the use of common areas and recreational amenities when the owner is more than 90 days delinquent in paying financial obligations due to the association; and

· Associations may divert tenant rents to pay for delinquent assessments owed by unit owners.

For more information about bulk condo opportunities on the Gulf Coast of Florida, including Tampa, Clearwater, St. Petersburg, & Sarasota, please give me a call.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Flood Insurance Program Reinstated

Cornerstone Properties & Investments, LLC — Thu, 01 Jul 2010 12:30:51 -0700

Great news for our customers purchasing waterfront properties in Greater Tampa Bay, Clearwater, & Sarasota. Congress has extended the National Flood Insurance Program (NFIP) through September 30th. The bill is retroactive and will cover the lapse period from June 1, 2010, to the date the law is enacted.

Steve Eckhardt, Broker, Luxury Real Estate Professional

Contact me at (813) 765-1182

Check Out Steve Eckhardt's Other Social Networking Profiles

Facebook http://www.facebook.com/CornerstoneProperties

LinkedIn http://www.linkedin.com/in/cornerstoneproperties

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa

Read The Story From The Florida Association Of Realtors

Florida’s Existing Home And Condo Sales Rise In May

Cornerstone Properties & Investments, LLC — Fri, 25 Jun 2010 16:37:54 -0700

Sales of existing homes in Florida rose 18 percent in May, marking 21 months that sales activity has increased in the year-to-year comparison, according to the latest housing data released by Florida Realtors®. In Florida's year-to-year comparison for condos, 6,779 units sold statewide last month compared to 4,845 units in May 2009 for an increase of 40 percent.

Find Luxury Real Estate, Communities, Homes, and Estates In Tampa