The State of Florida offers excellent tax incentives for applying Green standards to new construction or renovating commercial and residential buildings. Besides tax incentives, I was surprised to learn that applying Green standards is not as costly or stringent as most people think.
Jerry Nelson is an accredited LEED professional builder with luxury residence builder, Bomar Builders Inc. (LEED = Leadership in Energy and Environmental Design-developed by the US Green Building Council-USGBC. LEED is accepted internationally and nationally as a standard of excellence.)
Jerry Nelson said, "The greatest misconception about Green building is the cost. The real expense is in the pre-construction planning with architects to make green systems integral with the building."
On average, an upfront investment of 2% in green building design results in saving more than ten times the initial investment in the life-cycle of total construction costs. In addition, the cost of building green falls into the same percentile of costs for building outside of green standards.
Jerry Nelson cautions, "Putting a solar panel on house is not really "green" construction. Green construction is integrating a sustainable system to provide proper air quality and lower energy costs. The end result is that the whole house is a system-a living thing." However, changing one dynamic can affect many features in a home. For example, installing energy efficient windows reduces cooling costs and sun damage to interiors while adding needed light and protecting the building from hurricane winds.
Nelson believes buyers need more motivations to go Green. He adds, "As incentives go, there is no question as to compensation when using LEED's home standards. A LEED certified building or residence is considered to comprise the most comprehensive Green system, integrating energy savings, water efficiency, CO2 emissions reduction, improved indoor environmental quality, and stewardship of resources and sensitivity to their impacts. In other words, using LEED construction lowers an individual's "carbon footprint" in his environment. Visit www.usgbc.com for more information on this excellent program.
BOMAR endorses LEED standards for building Green. "In Florida, most new construction is going green whether we know it or not. For example, schools and public buildings now require LEED in construction. Green is being mandated in many areas of the public sector," Nelson said. For more information of building Green, visit www.BomarBuilders.com.
This is all important information for homeowners whether planning to build their dream home, or renovating their existing home to improve quality of life. Any improvement to our homes impacts not only us for the better, but our environment, as well. In my next blog, I will return with more benefits on building and renovating Green. So stay tuned!
Wishing you the best from my corner of paradise, Julie
The Fort Lauderdale International Boat Show kicked off the main selling season for real estate here in South Florida. As temperatures start to drop in the Northern States and overseas, potential buyer's attention turns to the Sunshine State. Low prices and high inventory are a major attraction this year. As November sets in and the holiday season approaches, here is the latest news from the trenches of the luxury real estate market.
The Good
· The Fed again pledges to hold rates at record-lows for an extended period, signaling that the weak economy remains dependent on government assistance to grow. Most analysts do not think that the Fed will begin to boost rates again until next spring or summer.
· The Central Bank hopes low rates will encourage consumers and businesses to boost spending and invigorate the economy. The Fed signaled that it can continue to hold rates because inflation is all but nonexistent.
· The economy began growing again last quarter for the first time in more than a year. However, much of that growth was from Government support spending on homes and cars.
· The Florida Realtors statistics show sales of existing single family homes rose 33% in the third quarter of 2009 versus 2008--marking the fifth consecutive quarter that Florida has seen higher existing year-to-year sales. Statewide sales of existing condominiums in the third quarter rose 56% versus 2008, marking the fourth consecutive quarter.
· The general view is that Florida will rebound because the sun shines every day and there are lots of advantages to living here. Foreign investors see this too and believe that prospects are good for long term investments. This month Julie has seen buyers from Russia, Canada and Europe.
· The first-time buyer tax credit has been extended which favors the under $1M market. However, any boost to buyer confidence will impact on the sales of luxury real estate over time.
· Investors are very slowly and cautiously returning to Florida, they are looking for the ultimate bargains and always make low offers, often with equally low deposits. However, Julie welcomes the activity on her inventory and encourages all buyers to counter offers which have to "start somewhere".
· The quality of buyers has improved since the summer time. Buyers are more serious and are coming back for a second look (often resurfacing after cooling off for many months). The Internet provides such a wealth of knowledge that these buyers are very well educated as to market values and opportunities.
· Julie is talking to a number of buyers who are considering listing in the New Year after all of the holiday activities.
· Social media continues to grow in popularity with Zillow, Trulia, Inman and the new Blockshopper program providing additional exposure for Julie's listings and widening the Internet "net" both nationally and internationally.
· Brian Radeer has joined Julie's team as a buyer specialist and brings extensive experience of the oceanfront condominium market, in particular.
· Julie and the team has $8M in pending sales for November and looks forward to a strong end to 2009.
The Bad
· Fed Chairman, Ben Bernanke, cautions that rising joblessness and tight credit for many people and companies could restrain the rebound in the months ahead, with economic activity likely to remain weak for a time.
· As with all past economic rebounds, the recovery will not stop the unemployment rate from rising. The jobless rate could rise as high as 10.5% before declining. The delicate balance between boosting interest rates and removing government support too soon could damage the recovery. On the other hand, maintaining low rates and keeping support for too long could fuel inflation.
· The Fed continues to caution that the tepid recovery has begun but gains are small or scattered. Predictions for Florida are that the holiday outlook is weak with home sales rebounding at a slower pace. Although layoffs eased, firms are waiting for a surge in sales before hiring.
The Ugly
· South Florida buyers are increasingly leery about Chinese Drywall. An extreme example is ruling out entire communities or residences built within the past seven years. As many as 100,000 homes in the US, including 36,000 in Florida could have the imported wallboard which is thought to corrode wiring, cooper pipes, appliances and give off the "rotten egg" odor. In the worst case, homeowners report nosebleeds and respiratory problems. However, this is denied by State and Federal officials who have yet to make this link.
· Under Florida law, sellers and their real estate agents must disclose any known material defect or condition which would affect the value of a property. To this end the Florida Association of Realtors has added a disclosure form for Chinese drywall, but there is no state law requiring the use of this document.
· Massive amounts of foreclosures continue to clog the county's civil courts. To put this in perspective 135,000 foreclosures could be filed in Miami-Dade, Broward and Monroe this year compared to 17,500 in 2006.
The overall message is this ‘THERE IS ONLY ONE WAY TO ENTICE THE BUYER .... THAT IS WITH PRICE'. Julie will be contacting all of the sellers that she works with to encourage them to continue price adjustments in order to maximize the opportunity of a sale this season. As always Julie and her team welcomes comments and questions on any aspect of the luxury real estate market in Fort Lauderdale.
I had the pleasure of being interviewed by Michael Gerrity of the RealEstateChannel.com. Click below to enjoy this insightful article on the Fort Lauderdale International Boat Show and its affect on local luxury real estate.
With the 2009 Fort Lauderdale Boat Show wrapping up another successful season, I thought my readers would enjoy a sail back in time to see how this tropical paradise lured the first of Fort Lauderdale's luxury boaters, way back when.
In 1893, Frank Stranahan's camp and ferry crossing on the New River caught the attention of the local newspaper, the Tropical Sun. Stranahan's camp, then called the New River Station, was the focal point adjacent to the original fort where traders and nature hunters met. The New River Station then consisted of sturdy tents and comfortable cabins which attracted the sporting crowd to the surrounding Everglades for fishing and hunting. (Today, Stranahan House stands as a historic site on the New River in the heart of the city.)
In 1896, Mr. C.B. Cory, a wealthy naturalist and sportsman, arrived with a refurbished Mississippi steamboat named the Wanderer. The ship cost Mr. Cory $100,000, then a princely sum for a pleasure craft. The Wanderer offered twelve bedrooms, a magnificent lounge, a piano, a recreation room and a gun room. According to one observer, the 90-foot vessel, "at the time represented one of the finest privately owned boats in the country."
Mr. Cory moored the vessel along forty acres of property he purchased on the banks of the New River. Over time, Cory transferred ownership to his friend, a famous actor, Joe Jefferson. Mr. Jefferson entertained society notables, such as Grover Cleveland, as well as a number of women guests who were frowned upon by the local residents. The Wanderer enjoyed notoriety as the first "Party Boat" in Fort Lauderdale until the Hurricane of 1926 reduced it to timbers.
As we watch the mega-yachts from this weekend's Boat Show glide through Port Everglades in all their sleek, nautical finery, keep in mind the hearty folks who appreciated Fort Lauderdale's boating attractions in the "wild" days, when "wild" held an entirely different meaning!
Over the past couple of weeks some of my friends and customers are putting a focus on their retirement goals!
Losses from the financial crisis and uncertainty (even with the good old bond market) are leaving so many of us scratching our head as to where and when to invest! But good old bricks and mortar in the form of residential real estate may not be such a bad option, especially if a retirement or vacation residence is on the horizon.
One million dollars does not buy you what it once did real estate-wise. In fact, it now buys you more! Sales of residences over $1M adjusted by more than 50% from the peak four years ago, opening excellent buying opportunities for those willing to take the plunge. Plus, consider the inventory that is now available for potential buyers.
I have approaching fifty listings, ranging from $1M to $11M and they are all beautiful residences! There is the highest selection of luxury residences that I have ever seen over my 11 year span as a real estate broker. Since July 4th, I have seen a shift in the buyer's attitudes when they look at the properties I represent. They are taking a little more time, asking more detailed questions and making offers when everything stacks up for them. Some Fort Lauderdale properties offer excellent rental income, so that if you are not quite ready to retire you can rent, full or part-time, until the glorious day arrives to soak in the sunshine every day!
Whether you are looking to stick your toes in the sand of our beautiful Fort Lauderdale beaches, dock your boat behind your private residence or enjoy the 5-Star amenities of our luxury condominium communities, there is definitely an opportunity to achieve your real estate dream! Please do not hesitate to contact me or visit our website at www.luxuryrealestateftl.com. Your retirement goals could be well within reach.
Mid-October has arrived and the season is underway in Fort Lauderdale. I would like to share an update of my activities I presented to my Sellers from the frontline of Fort Lauderdale 's luxury real estate market.
The Good
· I have invested in two Internet-based marketing programs to promote my listings: Zillow and BlockShoppers. Between these two sites, and the rest of my Internet networking, I am confident in reaching over 300,000 visitors (new faces, not return browsers) per month with my listings.
· I am proud to be a sponsor of the Go Red for Women, American Heart Association initiative. I invite any lady in the Fort Lauderdale area who would like to become involved with this dynamic group, which is in association with the Cleveland Clinic, to please contact me.
· A survey conducted by the National Association for Business Economics released results in the beginning of October which stated that most economists see recovery starting in the US, but they expect that the recovery will be slow as worries over unemployment and high federal debt continue to stop consumers from making big decisions (especially real estate). This is compounded by the lack of mortgage options available to potential buyers.
· This week I have received three offers on my luxury inventory and one of the offers resulted in a contract for 320 Coral Way, Las Olas, which (subject to inspections) will close on November 18th. I am confident that this activity points to movement and sales in the luxury real estate market.
· In October four of my sellers decided to adjust their list prices. This is a wise strategy as these listings will now be set to take advantage of the sales season and hopefully achieve results.
· For those who qualify, there are some excellent mortgage rates available. If you would like assistance, please contact Mason Pruner, Branch Manager of Wells Fargo, at 954-857-3502 for the latest rates and programs available.
· People are moving for happier reasons! (Source: Relocation.com) People have returned to moving in hopes of improving their lives rather than moving to escape foreclosure or economic crisis.
The Bad
· Appraisal issues . . . Just over the last week our office has experienced transactions falling apart because properties are not appraising for the contract prices. It is very difficult for the appraisers because of the very limited number of sales in 2009. If you are concerned about the list price of your residence for sale, I encourage an appraisal which is totally objective and extremely useful when a contract is being negotiated. Imagine how frustrating it is for the seller when a result is finally obtained and you are planning to move - then come to find that your property will not appraise for the contract price.
The Ugly
· I am pleased to report little ugliness for October (except for the low market activity and long market times). The only possible exception is with the condominium market where in the entire Fort Lauderdale market, there has only been one sale in excess of $3M and only three sales between $2 -3M. The condominium market is very challenged, and potential buyers are increasingly concerned about the financial stability of the communities in terms of maintenance fees in default and residences in foreclosure.
· The media is still quick to remind us that the banks have held back a vast number of foreclosures and short sales. Apparently they have been waiting for the market to improve and sales to increase. These distressed sales will be released within the coming months and may be impacted by those sellers who have increased interest rates on their loans and can no longer make the payments.
If you have any questions or concerns about your property, please contact me. It is my goal to achieve the best price and terms for the residences I represent and to see a result this selling season!
This summer, Forbes.com reported a list of what they found to be the top ten cities in the United States for housing recovery based on the findings defined by the US Office of Management and Budgets (OMB) and Zillow.com. Forbes researched 161 metropolitan areas where sales had increased and foreclosures as a percentage of overall sales had been lowest.
I am happy to report that the Miami-Fort Lauderdale area ranked first in recovery. The report cautions that these statistics do not mean the housing market is on the rebound, and mentions cities, such as Las Vegas, that continue to struggle. This report shows that the ten cities cited are the most like to recover sooner. To read more, visit: http://www.forbes.com/2009/08/13/recovery-cities-homes-lifestyle-real-estate-housing-recovery-cities_slide_1.html?thisSpeed=15000
Here are the top ten b
est cities for housing recovery:
In a recent Gallup Poll reported by FloridaRealtor.com, economics is not the key driver in community attachment as many may believe. This survey showed that of the three highest ranking draws to community attachment, the first priority was openness.
It is exciting to read that tolerance for population diversity commands the highest attraction to loving one's community. Cities and towns favorable to people all ages, income levels, cultural and racial differences and educational backgrounds earn the most loyalty.
Second most important community-engaging requirement is social offerings. Cities and towns offering downtown revitalizations, parks and pet-friendly areas, a vibrant nightlife, active cultural centers, civic activities and friendly neighborhoods form the major requirements for community constancy. Regular community interaction cements a sense of ‘neighborhood' with its inhabitants.
The third most important factor in community attachment is aesthetics. A city/town's physical setting and "green" attributes are more important for those surveyed than public safety or improved highways. This encourages consideration of environmental factors and the use of "green" materials in urban design and new construction.
What please me most about reading this information, is that Fort Lauderdale offers each of these top three requirements to those choosing to live, work and play in this tropical paradise, which was one of the driving forces in my choice to live here. Now, I am curious to know: What attracts you to where you live?
Once again, Nick Churton, my colleague from the London Mayfair International Realty office, has posted his thoughts on the current UK real estate market. Thought I'd share . . .
Just like the stock market there is a right time in the real estate market to buy, hold or sell. But, unlike the stock market, buying real estate is usually allied to selling, so a clear financial advantage is harder to anticipate or achieve. Despite the turbulence of the past year the market now in the UK, against all odds, is rather good for selling. Here's why.
Figures just out show that the rental market is reaching some sort of equilibrium, with the numbers of available properties having dropped over the past six months or so. This is an important indicator. It suggests that those owners who couldn't sell their homes in the recession, and were thus letting them instead, have now begun to find buyers. This erosion of inventory in the rental sector indicates a new dynamic in the sales sector.
Just as in the US, over the course of the year, buyers have been snapping up those properties priced keenly to sell. These bargain seekers have, in the main, been cash buyers or those with sufficient funds to require only a small mortgage. Now two things have happened in the market. Cash buyers are drying up along with the bargains. In many areas prices have been rising to reflect the paucity of available stock.
Will more inventory become available over the coming months as home-owners see more chance of a sale? Would a greater supply of property for sale suppress, or even reverse, some surprising price advances of the past few months? These questions are hard to answer in a post recession economic environment that even yet threatens greater job losses and higher taxation.
In the UK, with a general election less than a year away, we are now in an all-important political party conference season. Those of us in the real estate industry and those whose plans include buying and/or selling property over the coming months are busy analysing how the policies of an aspiring new government may affect our real estate market. All the parties have new ideas. But what good, if any, these measures would have in practise is difficult to see just now. But the real drivers of the real estate market are deaths, births, confidence and taxes. Any incoming government next year can't do too much about the first two. But how they manage the latter pair will be crucial to them and to the population.
So what to do now to make the most of this UK market before the general election next year and even Christmas this year? Why, sell of course. But if there is a property to buy as well it really does not matter too much in the financial scheme of things. What surely does matter is that we and our families are happy and safe in the homes we have or the homes we wish to buy. These are always the best reasons to determine whether to buy, hold or sell and no market or political party, whatever their policies, will ever change that.
John Brian Losh, CEO of Luxuryrealestate.com recently stated, "The good news for luxury homebuyers is that they are getting about 20% ‘more house' than they were able to buy two years ago, plus the prestige of owning a $1M home is returning."
Luxuryrealestate.com is a national and international affiliation of top luxury brokers who feed market reports and opinion to the institute almost daily. This is a reliable statement that is being endorsed by brokers from all of the major luxury markets across the US and globally. This is encouraging news for the buyers about to start their search this sales season.
I have just returned from New York and could feel the chill in the morning and evening air! For those of you looking to escape the cold winters and achieve the tax advantages of living in South Florida it is now time to plan a visit and research the exciting options that await you here in Fort Lauderdale.
Rates on 30 year loans remain at 5.04% as of September 28th. The 15-year fixed rate mortgage fell to 4.46% (lowest on record since 1991) according to Freddie Mac. Applications for home loans rose nearly 13% last week from a week earlier as refinancing applications surged according to the Mortgage Bankers Association. For those qualifying under the new financing regulations this is good news indeed.
For further market information and local opportunities please do not hesitate to contact Julie Jones at 954-328-3665 or luxuryrealestateftl.com.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
;)
;)
