"Lien on Me" In Florida Ain't no Sunshine

By
Real Estate Broker/Owner with St.Cloud Homes

Remember that song?  Lean on me...when you're not strong...I'll be the one to help you carry on" Bill Wither's soulful rendition has taken on a slightly different meaning in "Lien" on Me  which is forcing homeowners who purchased property two years ago to discover "it won't be long..until they need somebody to "lien" on. Now discovering they have paid more than the house is worth. 

Particularly hard hit is the community of Harmony, Florida. Located in Osceola County midway between between Melbourne, and Disney.  It was designed to be a utopia for nature lovers, horse lovers, and golfers. But nearly two years after breaking ground, the development has not yet completed the infrastructure of stores, upscale shops, the equestrian center, or vision many residence had hoped it would become. In fact, sales are down. Values have dropped like rocks. Resales are up however.

In a community of 625 families, there have been record numbers of residents putting their 3 & 4 bedrooms on the market. Prices range from The mid two hundreds, up to over $850,000.   There is a 28 month inventory of homes. From January 1 to May 1, 2007 sales average one per month. Banks are foreclosing all over Florida at a record rate, as home owners struggle to make payments. 

Many buyers from abroad have simply abandoned their properties, frustrated they were unable to sell for a profit.  "Two years ago when I came here, they had buyers in golf cart and the sales people pointed here and there telling us what was going here and there.There were only five houses available. It is not even what I wanted but I needed a house right away and had kids to get into school. Now, two years later there is nothing" reported one concerned home owner, who recently was told his home is now valued at $249,900. Sounds like a good buy right? Problem is he paid $305,000.

Many homeowners are "singing the blues" everywhere the market is slow.  "This is not just related to Real Estate it is affecting business world wide" said a semi-precious global gem dealer. "First the war in Iraq which was never supposed to go this long, now, the gas prices forcing the cost of doing business up everywhere. The dollar is not strong abroad, and China's ability manufacture products cheaper due to less expensive labor-it having a widespread impact" he said.   Seems that in some parts..homeowners are signing a different tune...

AIn't No Sunshine when the buyers are gone... 

Posted by

St.Cloud Homes

Allison Stewart Broker, SFR, CDPE 

407-616-9904www.kissimmee-stcloudflhomes.com

                                                                                                       

    St. Cloud Homes YOUR Local Real Estate Experts serving Home Buyers/Sellers in Kissimee, St. Cloud Fl, Harmony, Lake Nona, Anthem Park, Bay Lake Ranch, Lake Lizzie, Reunion, Celebration, Lakepointe, Steven Plantation, Acadia Estates, East Lake, Windermere, Bay Hill. Our unparalleled service begins with YOU.

   For a free consultation call us 407-616-9904 or visit our website or  email us

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Rainer
47,389
Jeff Fulgham
T.U.P. Realty - Tupelo, MS
Broker E-Pro ABR

I gotta take issue with one comment. You stated that the wqar in Iraq wasn't suppose to take this long. Where did you get your information? Who told you it wasn't going to take this long? President Bush made it perfectly clear when we went in that it would take years to build that country into a democracy. The war in Iraq has nothing to do with the falling real estate prices in your area. I thought active rain was to discuss real estate stuff. Please guys don;t turn this into a political forum. I really enjoy being here but I won;t if I have to read liberal political crap about how George Bush and "his war" is the root of all our problems. Hey we could have had Al Gore as Pres. Then what we would not be standing up for ourselves against the terrorist but we probably would be paying alot more for gas and paying alot more for electricity and other energy. Oh yeah he also thinks the world is going to explode into a ball of flames because Joe down the street drove his Hummer H2 to the ball game last week.

May 08, 2007 05:24 AM #1
Rainmaker
453,716
Allison Stewart
St.Cloud Homes - Saint Cloud, FL
St. Cloud Fl Realtor, Osceola County Real Estate 407-616-9904

Quotes in this piece came from the property owner-they do not necessarily reflect those of the author. The homeowner is somewhat distraught over the drastic short falls of current value versus the amount borrowed to purchase when the market was much different than it is at present. While it is very interesting to hear a foreign perspective on our National economy and a different view of the global economy.  It is no way intended to disrespect our valent armed forces serving abroad.  Fair enough?

May 08, 2007 05:31 AM #2
Rainer
25,386
Luisa , Orellana
Greater LA Escrow - Los Angeles, CA
Greater LA Escrow

Wow...surprised by the comment Jeff made. It it clear to me that someone is having a bad day today. I agree with your response Allison. It is merely a quote by someone who is giving a comparison of what the economy and situations are at this time. To take offense into that? Geee....

Great post Allison! and poor home buyers. We sometimes tend to get ourselves into something based on illusion/dreams of what it will become and forget about the risks we take based on that decision. Everything is a risk, if you ask me. It's sad that the great community they were sell-ed on didn't come true. ;)

 

May 08, 2007 06:01 AM #3
Rainmaker
453,716
Allison Stewart
St.Cloud Homes - Saint Cloud, FL
St. Cloud Fl Realtor, Osceola County Real Estate 407-616-9904
Thanks Luisa- I felt badly refusing his listing but it would be bad business decision on my part as well to invest in marketing a property that will only sell 50K under what he paid for it 2 years ago. I think once the onfrastructure is developed in this new town, and it has small conveniences like a gas station, convenience store, coffee shop, video store the community will really take off-but it is along way down the road.
May 08, 2007 06:07 AM #4
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Rainmaker
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Allison Stewart

St. Cloud Fl Realtor, Osceola County Real Estate 407-616-9904
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