Low Interest Rates and Low Prices equal Time to Buy!

Buffett: ‘I’d buy up a couple hundred thousand’ homes

WICHITA, Kan. – March 1, 2012 – Warren Buffett, the billionaire investor and Berkshire Hathaway CEO, said on CNBC’s “Squawk Box” recently that he’d “buy up a couple hundred thousand” single-family homes if it was practical.

Buffett said that’s because he believes purchasing a home with ultra-low mortgage rates and holding it for the long-term has become a better investment than stocks right now.

“Housing will come back, you can be sure of that,” Buffett wrote in his annual letter to shareholders recently.

Buffett forecasts an increase in household formations, as more people who moved in with their parents or family members during the recession look to move out and get their own home soon.

Buffett said the recovery in the housing market could vary quite a bit among local housing markets, however.


Investors are making up over 30% of purchases-most are everyday people

Recently it was announced the average investor-cash buyer is not who you think. It is not the Donald Trumps of the world buying properties. The next wave in real estate is coming from everyday investor buyers!

According to NAR, the majority of investor business comes from everyday people. Their average total household income is less than $87,600 a year. Which is basically two people making $43,000 a year.

That means teachers, lifeguards, and even government employee's are buying investment properties.

Leading U. S. economists: Florida's.’s housing market bouncing back

ORLANDO, Fla. – Dec. 7, 2011 – Despite national and global headwinds, Florida’s real estate market is entering 2012 on an upward trend, according to three leading U.S. economists.

“Our state is in a mini-recovery,” said Florida Realtors® Chief Economist Dr. John Tuccillo at the state association’s 2012 Real Estate and Economic Forecast Conference in Orlando. “Sales are trending up, listing inventories are falling, the supply of lender-related properties has stabilized, and we are seeing multiple offers on homes in some local markets.”

In fact, Florida homes today may be undervalued, Tuccillo added. “That may seem like a drastic statement,” he said. “But a buyer who plans to own the home for five to seven years can get some great bargains today.”

Mark Vitner, senior economist at Wells Fargo in Charlotte, N.C., said the U.S. economy will continue to face significant challenges, particularly financial concerns related to the European debt crisis. But he expects the U.S. economic recovery will continue next year, making it easier for Midwesterners, for example, to buy Florida homes.

“Florida’s economy is recovering, with tourism and healthcare leading the way,” Vitner said. “International tourism has been particularly strong in Miami and Orlando.”

Looking around the state, Vitner said Jacksonville’s unemployment rate has dropped and home prices are stabilizing. In Orlando, prices have not yet reached bottom, he said, but the winter tourism season should help the regional economy. Tampa and Southwest Florida have seen solid job growth, with little new home construction.

South Florida’s economy is growing thanks to trade relationships with Latin America and the Caribbean, while in the Panhandle, Fort Walton Beach is outperforming Panama City and Pensacola, according to Vitner.

Dr. Lawrence Yun, chief economist for the National Association of Realtors®, said many Florida markets are showing sharp drops in inventories of homes for sale – a sign that demand is picking up and prices are stabilizing. “That’s a major change from just a year ago,” he said. “Buyers have stepped back into the Florida market.”

Noting the state’s powerful appeal to international buyers, Yun said he was particularly optimistic about the outlook for South Florida. “Don’t be surprised to see a gain in home prices in the Miami and Naples markets in the next 18 months,” he said. “From there, the recovery is likely to roll northward to Central Florida and then North Florida.”

Tuccillo noted that foreclosed and distressed properties will remain a significant part of the Florida market in 2012, but lenders are feeding these properties into the market at a gradual pace rather than pushing them out all at once.


Rob Skeel , Realtor- e-Pro - Cell --305-393-6300 Email--rob@robskeel.com
Century 21 Schwartz Realty--877-660-4637
SEARCH ALL KEYS HOMES at www.RobSkeel.com

Keys 3Q Home Sales up 17%

The Florida Keys real estate market recorded 1,621 sales in the first nine months of 2011,making it the best year date sales since 2006!

The Upper Keys jumped 32% over one year ago. Prices have increased 3% on average over 2010.

Pending home in the Upper Keys hit 569 in the 3rd quarter 39% better than last year.

Last year distressed property sales were 23% of the market this year that ratio has dropped to 7%.

If your planning to buy in the Upper Keys, the numbers tell the story, its time to buy. With sales heating up , prices increasing and historic low interest rates I can help you find the right house and the right deal.



Rob Skeel , Realtor- e-Pro - Cell --305-393-6300 Email--rob@robskeel.com
Century 21 Schwartz Realty
SEARCH ALL KEYS HOMES at www.RobSkeel.com

Mortgage loan limits may decline Oct. 1

WASHINGTON - Sept. 14, 2011 - Fannie Mae, Freddie Mac and Federal Housing Administration (FHA) loan limits shrink a bit starting on Oct. 1, though the Florida impact will be felt mainly in high-cost home areas.




The U.S. Department of housing and Urban Development has a searchable database for loan limits, both FHA and Fannie Mae/Freddie Mac, on its website. To see statewide numbers, select only "Florida" and "county" for a search. Change the dates under "Limit Year" to see either the current rates or the rates effective after Oct. 1.



https://entp.hud.gov/idapp/html/hicostlook.cfm

For the record the National Association of Realtors has protested this potential mortgage limit change.

LOW MORTGAGE RATES

The Florida Keys real estate market continues to improve. Inventory has reduced and prices have remained consistant for the past few months.



Cash sales are plentiful but if you are thinking of buying and need a mortgage, interest rates are at or near historic lows. The following article should be of interest to you.



You can check listings and get all kinds of information on my website www.robskeel.com


LOW MORTGAGE RATES




Recently reported data regarding U.S. jobs is having a negative

impact on global markets throughout the world. As stocks have suffered, the sluggish economy is keeping low mortgage rates in place as investors continue to choose safe assets.

Freerateupdate.com's daily survey of wholesale and direct lenders show that mortgage rates have remained stable for the past week as a result of uneasiness that continues to flood the markets. Current 30 year fixed mortgage rates are at 3.875%, 15 year fixed mortgage rates are at 3.250% and 5/1 adjustable mortgage rates are at 2.625%. On the bright side, the majority of consumers are employed and, with good credit, can take advantage of these historical low mortgage rates. With housing prices down, this can be a win-win situation for many and an opportunity that may never happen again. These low conforming rates are available with 0.7 to 1% origination point to well qualified borrowers who can meet lender guidelines to receive approval.

FHA mortgage rates also continue to be low. Many consumers choose FHA mortgage loans because they are consumer friendly since it is goal of FHA to promote homeownership. FHA 30 year fixed mortgage rates are at 3.750%, FHA 15 year fixed mortgage rates are at 3.500% and FHA 5/1 adjustable mortgage rates are at 2.750%. Despite FHA's higher closing costs (APR), which is due to the upfront mortgage insurance premium and other FHA fees, borrowers find FHA's benefits assist in making the overall transaction affordable. A down payment of 3.5% is accepted with a credit score as low as 580, but FHA mortgage rates are not affected by low credit scores. FHA also allows borrowers to use gifts that meet the guidelines, as well as housing grants to reduce FHA mortgage loans.

The only change this week was with jumbo 30 year fixed mortgage rates which are at 4.625%, a decrease of .125%. Jumbo 15 year fixed mortgage rates are at 4.375% and jumbo 5/1 adjustable mortgage rates are at 3.250%. Since jumbo mortgage loans are not government insured, borrowers must have excellent credit in order to receive lender approval. These are the lowest jumbo mortgage rates available with 0.7 to 1% origination fee to well qualified borrowers.





Rob Skeel e-Pro -- YOUR FLORIDA KEYS REAL ESTATE CONNECTION
Century 21 Schwartz Realty

First half 2011 Florida Keys Home Sales

KEYS HOME SALES


Florida Keys home sales are up 15% over prior year. The Upper Keys showed a 33% increase compared to the same period January through June 2010 vs 2011.


Pending home sales are up 38% in the Upper Keys


Distressed properties have declined from 25% of listings to about 13%.


The listing inventory has shrunk 11% over prior year and the ratio between listing price and selling price is down to 8.5% vs the 12 to 13% it has been at for the past 3 years.


MORTGAGE RATES


Buyers with strong credit scores and cash for a healthy down payment can currently find rates like the following:


30 year fixed 4.125%


5/1 ARM 2.636%


Jumbos from 5% to 6%


Getting prequalified is key to obtaining these great rates.


Note: Jumbo rates may go up on October 1st because the government is planning to stop funding these rates and turn it over to the private sector which many economists forecast will cause Jumbo rates to increase.

Recent Sale: 2/2 condo on top floor with unbelievable views in Futura Yacht Club sold as a Short Sale for $200,000.


Rob Skeel , Realtor- e-Pro - Cell --305-393-6300 Email--rob@robskeel.com
Century 21 Schwartz Realty--877-660-4637
SEARCH ALL KEYS HOMES at www.RobSkeel.com

UPPER FLORIDA KEYS REAL ESTATE STATISTICS 1ST Q 2011 compared to 1ST Q 2010

Even though the economy is sputtering along the Florida Keys real estate market is heating up.



Number of home sales 160 + 55%

Sales price to final list price 90.05%

Pending transactions 239 +35% ( all time high since 2nd Q 2004 )

Number of properties for sale 6% less



The market continues to improve with more sales, less inventory and very low mortgage interest rates.

If your seriously thinking of purchasing your Dream Home in the Florida Keys this is a great time to begin your search or take it to the next level.

As always, I am here to assist you, please send me an email or give me a call.


Rob Skeel

www.robskeel.com



YOUR FLORIDA KEYS REAL ESTATE CONNECTION