Are You in a Situation Where You are Trying to Sell Your Home and the Builder is Still Selling Homes in Your Subdivision, AND, They have Systematically Lowered their PRICES to where You cannot Sell Your Home, because You OWE TOO MUCH??

By
Real Estate Agent with Advanced Realty Services, Inc

WOW, here in Florida, there has been a lot of this!

Past Floridians, and Americans, and Foreign Investors, are taking a Beating!

But they, the New Home Builders, told you that Prices May Change! Yup, you were warned! And the New Home Builder's Attorneys made sure that that was on every piece of paper they gave out. Yup, you were warned.

The New Home Builders are acting like the "5 and Dime's" of yester-year, when on special occasions, like Holidays, Season Changes, etc., the small department store would place a $1.00 item on sale for $.89 during the event, but later would raise the prices back to the $1.00 original price, after the event!

I will not mention names here, but, how many times have you heard from any New Home Builder's Sales Reps that, After this END OF QUARTER, or this END OF YEAR Sale, prices will be back to regular prices?

I will go on the stand, and swear that is what was told to me, and I have witnesses.

 

If you are in the situation that I described in the Title Above, please respond to this Blog. It only takes a minute.

I am feeling alone. Like, I am the only one that has been Duped.

 

I have an Appraisal, dated in June of 2006, on a property that I purchased in Florida, that indicated that the value of the property was worth approximately $569,000 as of that date.

I Closed on the property. Yup, I closed on that property, even though many Buyers walked away (Unbeknownst to me at the time) and lost their 10% to 20% deposits. I couldn't afford to lose my 10% Deposit. The Builder said Close or Lose your Deposit. I knew if the value was worth $569,000, my purchase price was $525,000, that I could sell that property for $540,000, or even $525,000 and still get a portion of my deposit back after costs to sell.

 

The local real estate market in Northern Virginia was experiencing problems starting in July of that year. My concern about purchasing a property in Florida was relieved, after all, Real Estate Markets are Local, THE APPRAISAL MADE BY A LOCAL PROFESSIONAL THAT WAS REGULATED BY THE STATE OF FLORIDA INDICATED THAT THE LOCAL MARKET WAS GOOD!

In that appraisal, there was a Newspaper Ad that indicated that in the 3rd quarter (July through September) of the previous year, that the Real Estate Market was going strong,,, LOOK THE ARTICLE UP, PALM BEACH POST. Very misleading if you ask me.

At the time, I was living in Northern Virginia. I depended on the Professionalism of the LOCAL Experts. Real Estate Agents, Appraisers, Mortgage Companies, Attorneys, Etc.

NONE OF THE LOCAL PROFESSIONALS INDICATED THAT AS OF the date of HURRICANE WILMA, THE REAL ESTATE MARKET HAD TANKED in Florida. But, since I have moved to Florida, it seems as if that is common knowledge amonst the locals.

As it turns out, a couple of months after I purchased the property that was appraised at $569,000, the New Home Builder started to sell the same model at $399,000. And the prices continued to drop to $299,990.

 

The real reason why I am posting this Blog is not related to the information above; but, rather, 

the MLS, and the Property Appraiser's Office in Florida. 

Neither requires Real Estate Agents, or Sellers, or the Settlement Companies, to report Subsidies and Incentives Paid By the Seller when the Real Estate Agents, or Sellers, or Settlement Companies report current sales, by putting the Net Sales Price, or the Subsidies and Incentives that were paid by the Seller at time of sale of the Property in the MLS, or the Property Appraiser's Sales Price Bucket WITH SELLER SUBSIDIES AND INCENTIVES, such that THE NET PRICE OF THE SALE WAS RECORDED anywhere!

If the Seller, or NEW HOME BUILDER, paid $30,000 in subsidies or incentives, who would know?

WHO WOULD KNOW?

The Investors that purchased the mortgage from the Wholly Owned Subsidiary Mortgage Company of the Home Builders would be buying a mortgage, where the property securing that mortgage was appraised at, or above, the Purchase Price, but would be passing on a Mortgage that was secured by a property that was really worth less than the Appraised or Purchase Price! And then very soon after the Closings, the New Home Builder lowered the prices, in some cases, $200,000 lower than what some properties sold for just a few months before. Wow! Sounds a little bit like Fraud.

But the Investors will buy the loan, because the State Regulated Appraisers, are "Regulated and would never misrepresent the real price!"

There was a newspaper article in the Palm Beach Post, published in 2006, that said Real Estate prices were going down, and said the New Home Builders were leading the way. Look it up.

 

Oooops, The State failed the Mortgage Investors and failed to regulate appropriately the Appraisers, and Mortgage Originators, and Settlement Companies, and Real Estate Agents, NEW HOME BUILDERS. and ,,,,!

 

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