Get financials in order. Buyers should check their credit score, taxes, 401(k)s and other aspects of their financial situation to determine the maximum they're comfortable affording for their monthly mortgage, utilities, maintenance, taxes and insurance.

"If your credit score is a mess, clean it up before applying for a mortgage," says Ed Mermelstein, a New York-based real estate lawyer and developer. "A bad credit score may not just affect your rates, but may prevent you from getting a mortgage."

Buyers should also get preapproved by a broker or lender - that means they get an agreement by a bank to lend the buyer up to a specific amount for a home, and it tells sellers that financing is already lined up.

That's different than a letter of prequalification, which states that a buyer's financial information and credit look good. A prequalification does not guarantee a loan. Some websites, such as myhome.bankofamerica.com and trulia.com/guides/home_buying, aim to help buyers getting into the market.

Find a Realtor and start looking. To find a good Realtor, talk to friends, neighbors and co-workers. Referrals can be the best way to select someone. Make sure your choice has experience with the neighborhood and is a good negotiator.

The wrong agent can lead to frustrations. Marc Kruskol, 52, closed on his new home in January after going through about five Realtors.

"I don't have patience for Realtors who are lazy or don't do their job," says Kruskol, who bought a five-bedroom home in Palmdale, Calif., with a pool and three-car garage for $200,000. He got a 30-year, fixed-rate mortgage with a 4.99 percent interest rate.

Diann Patton, a consumer real estate specialist with Coldwell Banker Real Estate, suggests interviewing Realtors for the job. "This person is going to become your best friend for the next 30, 60, 120 days," she says.

Before buyers start looking, Patton suggests they make a pro-and-con list of things they must have in a house and prioritize what's most important. Think about lifestyle needs such as location and proximity to shopping and churches.

"Try not to treat your home like you're living in the stock market," she says. "It's a lifestyle, not about flipping. Don't try to time the market. We never know if it's going to go up or down."

Investigate the reputations of builders, condos. Buyers who are purchasing a new home should check out the reputation of the builder by getting information from the Better Business Bureau.

And, when buying a condo, first-time buyers should check out the financial health of the condo or homeowner association. In the past, this was rarely a problem because, for the most part, owners paid their monthly maintenance assessments and the associations were well-funded, says Robert White, managing director of KW Property Management and Consulting, a property-management firm in Miami.

But now some have cut services, and some are going without insurance, and dues-paying owners are subsidizing those who aren't paying.

"When they buy into a homeowner or condo association, the association may be having financial difficulties," White says. "A first-time owner could buy into the association, and the association could budget more expenses to the units that are paying, subsidizing the units that aren't paying. Ask the management company for a copy of the financial statements."

Make an offer and apply for a mortgage. There are myriad tips on making that final offer. While every local market is different, most economists say buyers are generally in the driver's seat today. Fifty-three percent of homeowners believe a seller's market is still two or more years away, according to a survey of 2,003 adults between March 30 and April 2 by American Express.

This market is very local. Homes in Chicago are getting multiple offers and going for more than 10 percent over the asking price, for example, while those in Fort Lauderdale are selling for 20 percent less than list price, according to ZipRealty.

Have enough cash for a down payment, which can be a minimum of 10 percent, and extra funds for closing costs, including appraisal costs and move-in deposit. Make sure any new additions or construction to an existing home have been properly filed with the city and approved. Be aware that appraisers will likely under-appraise than over-appraise, Mermelstein says.

"Definitely do an inspection. A lot of homes are sold 'as is' now, but you can get a credit (from the seller) if there is something big," says Cindy Royall Libonati, in Woodland Hills, Calif., a Realtor with Ewing & Associates Sotheby's International Realty.

To help determine an offering price, check closing costs of comparable homes on websites such as Propertyshark.com and Zillow.com.

Prepare for closing. At closing, first-time buyers get the keys to their new home. But there's a lot to prepare first. They'll have to get certified funds to cover closing costs and down payments (a settlement statement provided a day or two before closing will tell the buyer how much is needed). Homeowners insurance policies must be secured prior to closing as well. A closing cost estimate is provided after the application for the home loan spelling out what funds will be needed at closing.

Many Realtors suggest buyers have a financing contingency that will let them out of their contract without penalty if they don't get their loan. Buyers should also have a contingency that the home appraises for at least the selling price.

"First-time homeowners don't know you have to have a cashier's check, not a check," says Pat Lashinsky, CEO of ZipRealty, adding that they can be surprised by all the costs. "They can be like 'Whoa, what's all this' if they're not expecting it."

Source: Flordia Realtors

 U.S. taxes can be offset by a number of real estate-related credits and deductions, and the IRS offers information on each.

Karen Russell, real estate industry liaison for Georgia, and in this instance, Florida as well, compiled a list of educational documents for the real estate industry to share with homebuyers and sellers.

"I am sharing the following links regarding credits available to first time homebuyers and long-term homeowners wishing to replace their primary residence," Russell says. "This information can be printed and placed for easy viewing" by interested buyers and sellers.

Energy Incentives for Individuals: http://www.irs.gov/newsroom/article/0,,id=206875,00.html

Seven Facts about the Non-business Energy Property Credit: http://www.irs.gov/newsroom/article/0,,id=214979,00.html

First-Time Homebuyer Credit: http://www.irs.gov/newsroom/article/0,,id=204671,00.html

Seven Important Facts about Claiming the First-Time Homebuyer Credit: http://www.irs.gov/newsroom/article/0,,id=202222,00.html

Five Tips About the First-Time Homebuyer Credit Documentation Requirements: http://www.irs.gov/newsroom/article/0,,id=219518,00.html

Ten Important Facts about the Extended First-Time Homebuyer Credit: http://www.irs.gov/newsroom/article/0,,id=215827,00.html

Source: Florida Realtors®

 The St. Joe Company announced plans to move its corporate headquarters to its large-scale development project adjacent to the new Northwest Florida Beaches International Airport in Bay County. The new location is surrounded by some of the company's most valuable land holdings.

St. Joe's new headquarters will be located in Phase I of the company's West Bay Sector Plan development near the entrance of the new international airport scheduled to open in May.

According to the company's announcement, the new location is central to St. Joe's residential communities and commercial properties under development, as well as company lands slated for new business and development opportunities in the region.

As part of the move, St. Joe will consolidate offices from Jacksonville, Tallahassee, Port St. Joe and South Walton County. Construction of the approximately 50,000 square foot Class A multi-tenant office building is scheduled to begin this summer, with relocation of the company's headquarters and personnel to be completed by summer 2011.

"This move is a very important step in the evolution of The St. Joe Company, and we are excited about expanding our relationships with the people of Northwest Florida," says Britt Greene, St. Joe president and CEO. "At the same time we are very grateful for our 75-year relationship with the City of Jacksonville. There are many friends and supporters in the area that have played an integral part in the growth and success of the company throughout the years. We will remain forever thankful for their contributions and support."

"The relocation represents a new phase for our company where we will be able to closely align our resources in an area that we have been actively involved in developing for the past 12 years," continued Greene. "Furthermore, we expect to capitalize on the many significant business and economic development opportunities that we see emerging as the region continues to evolve into not only one of the nation's top ranked vacation destinations, but one of the nation's newest business and technology corridors."

The St. Joe Company, a publicly held company currently based in Jacksonville, is one of Florida's largest real estate development companies and Northwest Florida's largest private landowner. 

Source: 2010 Florida Realtors®

Photos of the NEW Grand Lagoon Bridge on Thomas Drive are available!

Construction is coming along.  For updates & additional photos, please visit the  GrandLagoonProject.net website.

 5 Week Temporary Road Closure Notice Estimated Dates:  January 25 - March 10, 2010 4823 to 4723 Thomas Drive (Panama City Dive Center to Patches Pub)

Signs of a recovery in the real estate market indicate this may not be the "Winter of your Discount Tent." Home sales, value and mortgage applications have risen slightly as mortgage rates stand at a historic low.

This slight glimmer of positive news is offset by estimates that about 48 percent of all U.S. mortgages will be underwater by 2011. Foreclosures and short sales continue to plague the market, keeping a lid on home prices. As a result, 2010 will continue to be a buyer's market.

That doesn't mean, however, that all hope is lost of selling your home this year. Here are nine tips to sell your home in 2010.

1. Don't wait for a recovery

Home values aren't likely to rebound to previous highs for several years, perhaps even a decade. While you may face a loss by selling now, that negative figure may only be a paper loss, particularly if you've owned your home for some time.

2. Make improvements

If you have access to credit, invest in improving and repairing your home before placing it on the market, rather than trying to go for a quick as-is sale. Rehabs are more affordable now, thanks to the availability of low financing, reduced construction materials costs and lower contractor charges. Focus on upgrades to kitchens and bathrooms, especially counters and cabinets, as these yield the highest returns. Get three different estimates from contractors and add another 10 percent for unexpected costs.

4. Hire professionals

You need professionals, not friends or relatives, to repair, upgrade and sell the biggest investment you'll likely own. Ask for credentials, references and a history of recent performance. Your appraiser should have at least five years experience with an appropriate license or certification. The same applies to hiring a home inspector. Talk to at least two or three appraisers and inspectors before selecting one.

5. Get downpayment assistance

Federal and local governments offer several downpayment assistance programs for first-time home buyers. Look for other city, county and state programs that will piggyback on federal programs for assistance. Search for "downpayment assistance programs" with the name of your region.

6. Take Uncle Sam's help

The $8,000 first-time homebuyer tax credit program that helped jump-start the real estate market in 2009 has been extended into 2010 and expanded. First-time homebuyers qualify if they sign a binding contract to buy a home by April 30 and close by June 30. The program's maximum income limits have jumped from $75,000 to $125,000 for individuals and from $150,000 to $225,000 for couples.

A separate $6,500 tax credit has been added for those who have owned their homes for at least five years and want to upgrade. Homeowners drowning in their present real estate loans are eligible for a loan-modification program with their current mortgage company or loan service through the Making Home Affordable Program (http://makinghomeaffordable.gov/).

7. Price accordingly

Listings move when a property is appropriately priced. Others gather dust because the owners haven't adjusted their expectations to the present market. This doesn't mean, however, you should severely drop your price on a well-maintained home to avoid extended problems. Research your market and price accordingly.

8. Energy tax credits

Through Dec. 31, homeowners who buy and install specific energy-efficient windows, insulation, roofs, doors and heating and air-conditioning equipment can apply for a 30-percent tax credit of up to $1,500 of their costs on each product.

Go one step further and earn a 30-percent tax credit through 2016 (without a spending limit) when you purchase such energy-saving products as solar energy systems, geothermal heat pumps, small wind systems, residential fuel cells and micro-turbine systems. Visit EnergyStar's Federal Tax Credits for Energy Efficiency (http://www.energystar.gov/index.cfm?ctax-credits.tx-index) for a complete summary.

9. It's not personal

Buyers want to imagine themselves in your house for years to come. Excess decor and knick-knacks distract from this vision. Ask your Realtor's advice or hire a home stager to bring your house back to zero before beginning to show it. A general rule of thumb is to eliminate or store at least half the items in every room.

Don't get defensive about colors, design patterns or flooring you installed. Just grit your teeth and think of the closing check while your agent serves as a buffer. Remember the customer is always right, unless, of course, they're low-balling you.

© 2010 www.freeshipping.org.

Termite swarming season gets under way in late February and early March as temperatures begin to warm. Swarming means the termites are leaving their colonies to search for new nesting sites. Florida Agriculture and Consumer Services Commissioner Charles H. Bronson is again warning Floridians to take steps to protect their home. Termites cause about $750 million in property damage in the United States annually.

Termites are most abundant in the southwestern and southern U.S., with the Gulf Coast commonly known as "the termite belt." Since termites try to avoid light and open air spaces, the insects do their damage behind walls. Many homeowners don't realize they have a termite problem until swarming season when they see them flying around their homes.

The swarmers are winged, black insects about one-quarter-inch long and look a lot like flying ants. Termites can be categorized into two groups by their nesting sites. The earth-dwelling termites that make tunnels in the ground or build tubes above the earth are called subterranean termites. The second group, the wood-dwelling termites that have no contact with the earth, are called drywood termites.

Florida's climate makes it especially vulnerable to termites, and they are found throughout the state. Despite this, many homes in the state have no termite protection.

"Prevention is critical in avoiding termite destruction," Bronson says. "The insects can go undetected for long periods of time while they feed on the wood in a home." The Florida Department of Agriculture and Consumer Services regulates and licenses pest control companies and conducts regular inspections to ensure the businesses are adhering to the rules and regulations governing pesticides and pest control. Consumers can contact the department to find out whether a pest control company is properly licensed, to find out how many consumer complaints have been filed against a particular business and to learn about the various types of termite control contracts.

Licensed pest management professionals have the expertise to inspect buildings and treat them to prevent an infestation or provide treatment when the insects are found. Termite companies are now required to clearly tell customers if their contract covers both subterranean and drywood termites. Most pest control operations in Florida are licensed but it's important to check out a business before signing a contract.

Steps that consumers can take to protect their homes from termites include:
 

· Remove wood piles and other cellulose sources from under and next to homes.

· Have an annual inspection by a licensed professional pest control company.

· Direct water sources, such as air conditioner drip lines and roof downspouts, away from the structure foundation.

· When purchasing a home, carefully check its termite protection history.

· Obtain a termite protection contract and renew it annually.

 
Bronson said consumers should read a termite protection contract before signing it. Some contracts only require that the company re-treat a home if termites are found. Bronson says it is better to have a re-treat and repair contract that requires the pest control business to repair any damage caused by termites after a home has been inspected and treated.

For information, visit the department's web site at http://www.FloridaTermiteHelp.org or call (800) 435-7352.

© 2010 Florida Realtors®

St. Joe Co., the largest private property owner in Northwest Florida, hopes Southwest Airlines will lift the company and region out of a major recession that has crashed the real estate market.

"We continue to believe we will be positioned to take advantage of the new airport," St. Joe president and CEO Britt Greene said. "We believe this is a game builder for St. Joe Co."

The company, which donated the land for the airport project, released its fourth-quarter and 2009 report during a press conference Tuesday. The company's net loss for 2009 was about $130 million. In 2008, the company lost about $40 million. The fourth quarter of 2009 saw a net loss of about $59 million compared to a loss of about $28 million for the same time in 2008.

The company was hit hard during the recession, which devastated property values last year. St. Joe sold about $6.6 million in commercial property and $14.3 million in rural property and is positioning itself for the opening of the Northwest Florida Beaches International Airport on May 23, officials said Tuesday.

"We are energized by the significant opportunities the airport will present since it is surrounded by some of St. Joe's most valuable land holdings," Greene said.

The company reduced overhead, restructured and renegotiated and extended its corporate credit facility, company CFO and Executive Vice President William S. McCalmont said. Southwest Airlines is key to St. Joe's plans, which include developing about 1,000 acres in the West Bay sector adjacent to the new airport, Greene said. St. Joe plans a 35,000-square-foot industrial-flex space and 50,000-square-foot commercial spaces. Greene said he expects to make announcements this year about companies locating at the new industrial park.

Local officials have said at least one company has shown interest in the space.

Southwest Airlines will fly up to 2,000 people per day to Bay County, which means more tourism, more business and more demand for real estate, Greene said. The new airport will be a contender for the aerospace industry as local leaders push to be part of a regional effort to build an aerospace corridor.

St. Joe agreed to pay Southwest up to $26 million to cover any losses the airline incurs during its first two years of operation.

Beazer Homes expects to build more than 200 homes, priced between $150,000 and $250,000, to meet demand, Matt Brandman, Beazer's Northwest Florida division president, wrote in an e-mail. New construction has been down countywide since 2008, except in Lynn Haven, and is a leading indicator for economic recovery.

Already, ticket sales are encouraging, Southwest Airlines spokeswoman Christi Day wrote Tuesday in an e-mail. She said vacationers often book early but noted Panama City is different than any of Southwest's other markets. The company is especially pleased with ticket sales in advance of the advertising campaign that starts in March.

"This is a sign that people who are already familiar with the market are excited about being able to travel there more easily than before, and at an affordable rate; and also a sign that others are discovering this new destination on Southwest.com," Day wrote. "We do hope to see this trend continue all the way through the start of service."
 
Copyright © 2010 The News Herald, Panama City, Fla., Scarlet Sims. Distributed by McClatchy-Tribune Information Services.

 PANAMA CITY - Transfer of development rights, or TDR, is a program that allows people to extend building limits on one property by taking them away from another. It is designed "to get development where it is most suitable, and to keep it from where it is unsuitable," said Lora Lucero, an attorney with the American Planning Association.

Bay County enacted its TDR program in 2006, in hopes of keeping Shell Island undeveloped. The program has been used just once, though, by late influential developer Charles Faircloth and partners for a 30-story, gulf-front condominium tower that has yet to be built.

Current Shell Island owners say the TDR program can't do much for them.

"I don't want a building on the gulf," said Dan Alford, who bought a lot on Shell Island for $1,400 in May 1991. "If the county wants the stuff for a public park, they should buy it. And they should buy it for what we could have sold the property for before the market fell through."

Alford is one of 14 Shell Island landowners who sued Bay County in October 2006, hoping to get monetary damages for the county's decision to zone the island public institutional in 2004, a move that barred residential building. Circuit Judge Michael Overstreet ruled Feb. 4 that the owners could seek building permits despite the zoning, but he didn't grant any damages.

If one of the owners moves forward with building plans, the county still could reject a permit, as could the state Department of Environmental Protection or the Florida Fish and Wildlife Conservation Commission.

Craig Willis, the Tallahassee attorney representing Alford and the others, said TDR is of little use to his clients.

"The problem with the TDR ... is that it has never been an effective mechanism of providing compensation to property owners," Willis said. "It's a real illusion of providing some type of compensation."

In Faircloth's case, it could have provided more than an illusion of compensation. Faircloth - the developer behind the Summit, Gulf Crest, Hidden Dunes and Treasure Island - traded four lots on Shell Island to the county in June 2006 for 80 extra feet of height allowance on a lot on the south side of Thomas Drive.

The 300-foot-tall Legacy Beach Resort was slated to rise between the Watercrest condos and Regency Towers (another Faircloth development).

Mary Sittman, one of Faircloth's partners, called Legacy Beach "more than a condominium."

"A 30-story tower, retail, restaurants, a full resort," Sittman said. "It would have been the first of its kind."

Faircloth died in October 2007, however, at the age of 79.

"Mr. Faircloth died, and so did the real estate market, kind of simultaneously," Sittman said. Legacy Beach Resort was never built; the development order on the tower expires in June 2011.

Regardless of what happens with Legacy, some of the remaining Shell Island landowners want some way to get money back from their land, in lieu of spending more time and money gaining approval from various public agencies to build.

Alford said he received an offer for $75,000 on his lot, but the deal fell through when the county enacted zoning in 2004. The county commissioners passed a resolution that year to work toward preserving Shell Island from any development.

Lucero, the APA attorney, said the Shell Island owners might get a chance to make money off their land if the real estate market improves, and other developers want to use the TDR program but need Shell Island lots to trade to the county.

If not, she said, they might be out of options.

"Government is not required to ensure that they can make the highest-profitable and best use of their land. Government is there to protect ... public health, safety, and welfare," Lucero said. "As long as they can make some economically viable use of their parcels, and they haven't been wiped out completely by government regulations, then I think they're going to have a tough battle ahead."

Source:WILL HOBSON / News Herald Writer

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NEW YORK - Feb. 11, 2010 - Seeking alternatives to the nation's struggling foreclosure prevention efforts, federal and mortgage industry officials increasingly are looking for ways to get distressed borrowers to leave their homes voluntarily, without going through the expensive foreclosure process or a messy eviction.

Citigroup, for instance, plans to announce a pilot program on Thursday that would allow delinquent borrowers who don't qualify for or decline mortgage relief the opportunity to stay in their homes without making payments for up to six months before turning over the keys, in return for keeping the property in good condition. The bank estimates that up to 20,000 borrowers in Texas, Florida, Illinois, Michigan, New Jersey and Ohio could be eligible.

The program is just the latest amid a growing acknowledgment that foreclosure prevention efforts will fail to reach millions of borrowers over the next few years.

"This is a graceful way to move on with their lives instead of being foreclosed on and being evicted from their homes," said Sanjiv Das, chief executive of CitiMortgage.

The Citigroup plan attempts to address some common industry complaints, including borrowers who leave their homes in disarray after foreclosure, requiring lenders to spend thousands of dollars fixing up the property before putting it on the market. Also, homeowners who owe far more than their homes are worth increasingly are choosing to "strategically default," even though they can afford to pay their mortgage. The new program gives CitiMortgage more control over when distressed homes are put up for sale, bypassing clogged courthouses that have slowed the foreclosure process in many parts of the country.

By avoiding a glut of foreclosures that could hit the housing market within the next 16 to 18 months, the program - if it is replicated throughout the industry - could help prevent another dip in home prices, Das said.

It would be a more orderly process "than if all of the foreclosed properties came crashing at some point in the cycle," he said.

Other initiatives have also emerged for borrowers likely to lose their homes. Fannie Mae and Freddie Mac, the mortgage financing companies, developed programs allowing former homeowners to become renters after a foreclosure or other proceedings. As part of its federal foreclosure prevention program, known as Making Home Affordable, the Treasury Department announced late last year that lenders would be eligible for $1,000 in exchange for allowing borrowers to sell their home in a short sale. In such deals, the borrower sells the home for less than the outstanding mortgage, and the lender forgives the difference.

Moody's Economy.com has forecast that the number of short sales and transactions in which borrowers surrender their deed in lieu of foreclosure will increase more than 50 percent, to about 490,000, this year. That is just a fraction of the 1.9 million homeowners Moody's has forecast will lose their homes to foreclosure this year, up from 1.7 million last year.

But lenders have struggled to make many of these programs effective. The short sale is often lengthy and cumbersome for homeowners. In some cases, borrowers have second liens on the property, which can hang up the process. And lenders are sometimes suspicious of the potential for fraud if the home is sold cheap to a friend or family member of the borrower.

It's unclear how rental programs for former homeowners are working. Fannie Mae launched its "Deed for Lease" program in November, offering borrowers a 12-month lease in return for turning over the keys to their former home and maintaining the property. A company spokeswoman said that it was too early to judge the program's success, but that former homeowners who surrender their deed to avoid foreclosure - numbering nearly 2,000 through the third quarter of last year - would be eligible. Freddie Mac's year-old program targets former homeowners after their foreclosure, offering them a month-to-month lease. It has not released specific data on how many homeowners have chosen this option.

Citigroup's program goes further. It targets delinquent homeowners who do not qualify for mortgage relief. During the time the borrower is still in the home, they must continue to pay utilities, but in some cases, the bank may help cover some of the taxes, insurance or homeowner association fees. The borrower would also be eligible for transition counseling to help find a new home, and a minimum of $1,000 to help offset moving costs.

If there is significant demand for the program, Citigroup will expand it, Das said. "There might be complications that we haven't thought about," he said. "What happens if they don't turn over the keys after six months or they don't maintain their house like we would like them to maintain their house?" 

Source: washingtonpost.com