Destin Florida Real Estate: March 2008

Saturday, March 29, 2008

Home Buyers Looking Again

Daily Real Estate News March 26, 2008

More Consumers Ponder Home Purchase

The number of consumers who say they plan to buy a home in the next six months rose slightly this month to 3.3 percent from 2.9 percent, despite an overall drop in consumer confidence. According to a survey by the Conference Board, a private research group, consumer confidence fell 11.9 points to 64.5, marking a downturn in sentiment to levels usually seen only during recessions. Consumer expectations about the future plunged to their lowest point since 1973, when a recession was followed by painful inflation.Consumers expect inflation to reach 6.1 percent in the next year, the highest rate since the aftermath of Hurricane Katrina in 2005, when gasoline prices surged. "We've been seeing a gradual trend upward since the end of last year, and it's following in line with oil, gas and food prices," said Lynn Franco, who oversees the Conference Board survey. Source: The Wall Street Journal, Sudeep Reddy (03/26/2008)

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Market Trend Reports in Destin, Niceville, Pensacola Florida Areas

Banks Paying Foreclosure Victims to Leave Early

Daily Real Estate News March 28, 2008

Foreclosed Owners Paid to Leave

About half of foreclosed properties are trashed by homeowners on their way out, according to a recent survey of real estate professionals by Campbell Communications, a marketing and research firm.Banks rarely pursue charges against destructive home owners; it's not worth the cost and trouble. Instead, many are trying to prevent home rage by giving the real estate professionals who take on the sales listing authorization to offer somewhere between $300 and $1,000 to occupants to get them to leave the property intact and broom clean.A bribe? "Yeah, somewhat," says John Carver, an agent specializing in foreclosed homes for Prudential Americana Group in Las Vegas. But "you lose a house, and then you get some financial help – it's a good thing ... It's a win-win for both parties."Source: The Wall Street Journal, Michael M. Phillips (03/28/08)

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Now's the Time to Bail Builders Out!

Daily Real Estate News March 28, 2008

Slow Sales Drive Some Builders to Brink

Small and mid-size builders in regions of the country where housing sales are slow are facing bankruptcy in increasing numbers. Delinquencies on loans to build single-family houses reached 7.5 percent of the value of all such loans in the fourth quarter, up from 2.1 percent a year earlier, according to Foresight Analytics, an economic and real-estate research firm."Even rock-solid, generational businesses are taking desperate measures," says Jerry Howard, the chief executive of the National Association of Home Builders. While the industry group does not track bankruptcy filings by its members nationwide, its Atlanta affiliate estimates that as many as 20 percent of local builders are behind on interest payments. Banks there are requiring some builders to pay off their loans in full or contribute additional equity that they don't have, according to the 2,000-member Greater Atlanta Home Builders Association.States with the highest delinquency rates for construction loans for single-family homes in the fourth quarter of 2007:

Michigan: 14 percent
Ohio: 13.7 percent
Arkansas: 11.1 percent
Arizona: 10.3 percent
Minnesota: 10.0 percent
Florida: 9.9 percent
Georgia: 9.6 percent
South Dakota: 9.2 percent

Source: The Wall Street Journal, Michael Corkery (03/21/08)

Even some of the national guys are giving homes away with great possibilities for financing and rebates and free upgrades.

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Last Minute Tax Advise

Daily Real Estate News March 28, 2008

Last-Minute Home Owner Tax Primer

As April 15 approaches, here’s what home owners need to know about the deductibility of mortgage interest and property taxes.Taxpayers may deduct on Schedule A of Form 1040 mortgage interest on the purchase or home equity debt on two residences, their primary home and another dwelling, including a boat or a mobile home. These dwellings must have sleeping, cooking, and toilet facilities to qualify for a loan interest deduction. Interest paid on vacant land isn’t deductible.Real estate taxes are deductible on all properties owned by the taxpayer — not just the first two. The deduction must be taken in the year the taxes are paid. Taxes placed in escrow are deductible when they are paid to the taxing authority, not when the money is put in escrow. Penalties and interest on late tax payments aren’t deductible. Also, in order to deduct taxes and interest, the taxpayer must itemize instead of taking the standard deduction.Source: Houston Chronicle, Shannon Buggs (03/27/08)

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Thursday, March 27, 2008

Multi Family Is Coming Back For Investors

Daily Real Estate News March 27, 2008

Multifamily Housing Lures Investors

The shifting housing market is making multifamily housing more attractive for investors.During the property boom, the rental market soured and landlords had to offer expensive incentives to get and keep tenants. With rising mortgage rates and tighter credit, landlords are able to raise rents and attract tenants. But this change didn’t come quickly enough to save landlords who had to mortgage their properties during the bad times and are now facing foreclosure."There will be a lot of product hitting the street in the coming months and it should be pretty cheap," says Mike Bacza, a carpenter and potential investor. "This year I expect I'll buy at least two multifamily units in a decent neighborhood."Likewise, building contractor Chad Blankenbaker is planning his strategy. "I'm shocked at how low the prices are," he says. "There's so much inventory that no one has to fight to buy anything."Source: Reuters News (03/16/08)

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Don't Forget: PMI is Deductible

Daily Real Estate News March 27, 2008

Don't Forget: PMI is Deductible

As April 15 tax day approaches, here is a reminder for home buyers with mortgage insurance.Home owners with adjusted gross incomes of $100,000 or less can deduct the full cost of their government or private mortgage insurance premiums on their 2007 federal returns.Families with incomes between $100,000 and $109,000 are eligible for a reduced deduction.This is a new tax break that Congress has approved through 2010. "On average, this year's tax break could be worth $350 per taxpayer — an annual deduction that qualified home owners can take each year through 2010," says Kevin Schneider, president of the Mortgage Insurance Companies of America (MICA).Source: MICA (03/26/08)

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Wednesday, March 26, 2008

Short Sales-Banks Changing Their Minds

Daily Real Estate News March 25, 2008

More Banks Consider Short Sales

After about a year of dealing slowly and reluctantly with short sale offers, many banks are reconsidering, looking for solutions that will allow them to recoup debt in foreclosure situations.Observers say that if the trend continues, it will reduce or eliminate the need for taxpayer bailouts.The National Short Sale Center, which helps short buyers negotiate with banks, says three-quarters of its short offers are approved now, up from maybe half six months ago. "Before, people on the phone at banks didn't even have the authority to negotiate. Now they're calling us with numbers," says Pam B. Canada of nonprofit NeighborWorks in Sacramento, Calif.To be sure, many agents and counselors think banks still have their heads in the sand. "They're out to get the last dime, even when people don't have a dime," says real estate practitioner Heidi Mueller in San Francisco as she heads to an auction sale on the courthouse steps.Source: Forbes, Bernard Condon (04/07/08)

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Monday, March 24, 2008

Existing-Home Sales Rise in February

Daily Real Estate News March 24, 2008

Existing-Home Sales Rise in February

Sales of existing homes increased in February and remain within a fairly stable range, according to the NATIONAL ASSOCIATION OF REALTORS®. Existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 2.9 percent to a seasonally adjusted annual rate of 5.03 million units in February from a pace of 4.89 million in January, but remain 23.8 percent below the 6.60 million-unit level in February 2007. The sales pace has been in a fairly narrow range since last September.Lawrence Yun, NAR chief economist, said the gain is encouraging. “We’re not expecting a notable gain in existing-home sales until the second half of this year, but the improvement is another sign that the market is stabilizing,” he said. “Buyers taking advantage of higher loan limits for both FHA and conventional mortgages will unleash some pent-up demand. As inventories are drawn down, prices in many markets should go positive later this year.”The national median existing-home price for all housing types was $195,900 in February, down 8.2 percent from a year earlier when the median was $213,500. Because the slowdown in sales from a year ago is greater in high-cost areas, there is a downward pull to the national median with relatively fewer sales in higher priced markets.Source: NAR

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Friday, March 21, 2008

Weekly Housing Trends March 21st-Destin Florida Area

Mortgage Rates Drop Below 6%

Daily Real Estate News March 21, 2008

Mortgage Rates Drop Below 6%

According to Freddie Mac's data, mortgage rates have dropped back below 6 percent after spending more than a month above that threshold. Thanks to the Federal Reserve's aggressive moves to insulate the U.S. economy by slashing borrowing costs, 30-year fixed home loans averaged 5.87 in the latest numbers. That compares to 6.13 percent this time last week and represents the first time since mid-February that the benchmark interest rate has been less than 6 percent. "Slowing consumer spending and weak employment conditions are among the concerns behind the Fed's decision to lower the target federal funds rate," says Freddie Mac chief economist Frank Nothaft. Source: Tulsa World (Okla.) (03/21/08) © Copyright 2008 Information Inc.

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Wednesday, March 19, 2008

Keep Selling Until Deal is Done

Daily Real Estate News March 19, 2008

Keep Selling Until Deal is Done

Even after a buyer is found and the papers are signed, there’s no guarantee that the deal will close, say real estate practitioners."The risks are with the property or the buyer's credit, income, or down payment," says Kent Cochrum, president of Kingsland Financial Services in Wheaton, Il.Even pre-approval is no guarantee this days. Something as small as missing a bill payment shortly before closing can derail a loan. Sellers shouldn’t stop marketing a home just because they accept a purchase contract, says Cindy Banks, an associate with Re/Max Cornerstone in West Chicago. She keeps records of buyers interested in a property and continues to show that property in many instances. "You've got to track the leads in case [the buyer's financing] crashes and burns," she says.Source: Chicago Tribune, Marilyn Kennedy Melia (03/16/08)

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Monday, March 17, 2008

Renting Better Than a Vacant Home

Daily Real Estate News March 17, 2008

Renting Better Than a Vacant Home

If a house doesn’t sell, owners should consider renting – and hiring a real estate professional to manage the property, experts say.Renting out a house rather than leaving it vacant is almost always a better option, says Eileen Landau, an associate with Realty Executives in Naperville, Ill. She tells her clients to plan to rent the property for several years, get some income and “get on with your lives.”Some are afraid they’ll lose a tax-free sale. But sellers only have to live in a home for two of the last five years to claim the capital-gains exclusion, so even if that is an issue, sellers have three years to rent, Landau adds.Once a home is rented, any fix-up costs are tax deductible, points out Rob Massey of Rentals.com. An empty house is hard to insure and it’s a target for vandals. "A vacant house goes downhill fast," says Karen Rhodes, an associate with Happy Home Realty in Chattanooga, Tenn.Source: United Feature Syndicate, Lew Sichelman (03/16/08)

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Friday, March 14, 2008

Destin Florida Real Estate Trends-March 14th

Falling home prices spell opportunity for buyers

Daily Real Estate News March 13, 2008

Tap Today's Housing Opportunity

Falling home prices spell opportunity for buyers, even if they already own a home and don’t want to be a landlord.Here are three smart ways to invest in today’s housing market.Trade up. Now’s the time to buy a larger home in a better neighborhood at what will almost certainly be a good price. To be sure, buyers will have to sell their old home at a modest price. Still this could be an excellent time to improve quality of life at a bargain rate.Buy a vacation home. Buyers, especially those who are a few years away from retirement, could find this is the perfect time to buy a place that will be more than a vacation home down the road. Help offspring go from renters to owners. This is a great time to give the kids an advance on their eventual inheritance so they will have enough money for a down payment. Source: The Wall Street Journal, Jonathan Clements (03/12/2008)

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Wednesday, March 12, 2008

The Fed reports that more needs to be done about foreclosures

Federal Reserve Chairman Bernanke Says More Needs to Be Done to Prevent Home Foreclosures

WASHINGTON (AP) -- Battling a dangerous wave of home foreclosures, Federal Reserve Chairman Ben Bernanke called Tuesday for additional relief and urged lenders to help distressed owners by lowering the amount of their loans.

"This situation calls for a vigorous response," Bernanke said in a speech to a banking group meeting in Orlando, Fla.

Even with some relief efforts under way by industry and government, foreclosures and late payments on home mortgages are likely to rise "for a while longer," Bernanke warned.
Rising foreclosures threaten to worsen the problems in the housing market and for the national economy, which many fear is on the verge of a recession or in one already.

"Reducing the rate of preventable foreclosures would promote economic stability for households, neighborhoods and the nation as a whole," Bernanke said. "Although lenders and servicers have scaled up their efforts and adopted a wider variety of loss-mitigation techniques, more can, and should, be done," the Fed chief said.

One of the suggestions Bernanke made was for mortgage and other financial companies to reduce the amount of the loan to provide relief to a struggling owner. "Principal reductions that restore some equity for the homeowner may be a relatively more effective means of avoiding delinquency and foreclosure," Bernanke said.

Bernanke acknowledged this idea might be a tough sell to lenders. Lenders, he said, are reluctant to write down principal. "They say that if they were to write down the principal and house prices were to fall further, they could feel pressured to write down principal again," Bernanke said.
Bill Stevens, chief executive officer of CapitalBank in Greenwood, S.C., said: "We've been talking about it as bankers. It's a tough business decision."

Tom Loonan, vice president of the State Bank of Easton in Minnesota, suggested that debt relief for some who got in over their heads may anger others, who took out mortgages that they could afford. "There's going to be some animosity," he said.

Still, Bernanke suggested such longer-term permanent solutions may work better than shorter-term and temporary ones, where the distressed homeowner could find himself in trouble again. "When the mortgage is `under water' a reduction in principal may increase the expected payoff by reducing the risk of default and foreclosure," he said.

On Wall Street, anxious investors pulled the Dow Jones industrials down 45.10 points.
To date, permanent home mortgage modifications that have occurred have typically involved a reduction in the interest rate, while reductions of the principal balance of the loan have been quite rare, he said.

"Measures that lead to a sustainable outcome are to be preferred to temporary palliatives, which may only put off foreclosure and perhaps increase its ultimate costs," Bernanke said.
Brookly McLaughlin, spokeswoman for the Treasury Department, which has been leading the Bush administration's relief efforts, noted that foreclosures are expensive for both lenders and homeowners, giving parties an incentive to renegotiate a mortgage contract. However, "we're not going to dictate how those renegotiations should be accomplished," she said. "If lenders find that in some cases a principal writedown is less costly than foreclosure, then that is an option they have the incentive to consider."

More than half of the projected 1.5 million home foreclosure proceedings started in 2007 were on subprime loans given to borrowers with blemished credit histories or low incomes.

The housing collapse dragged down home values, clobbering these subprime borrowers. Many were left with mortgages that exceeded the value of their homes. They were further socked by low introductory rates on their adjustable mortgages resetting to higher rates, making their monthly payments difficult or impossible, to afford. Problems in the credit markets have made refinancing a mortgage harder.

This year, about 1.5 million loans -- representing more than 40 percent of the outstanding stock of subprime adjustable-rate mortgages -- are scheduled to reset to higher rates, Bernanke said. The Fed estimates that the interest rate on a typical subprime ARM slated to reset in the current quarter will increase to about 9.25 percent from just above 8 percent. That would raise the monthly payment by more than 10 percent, to $1,500 on average, he said.

Declines in short-term interest rates and a Bush administration initiative involving rate freezes will "reduce the impact somewhat, but interest rate resets will nevertheless impose stress on many households," Bernanke said.

Sheila Bair, chairman of the Federal Deposit Insurance Corp., also said it's important to think long-term. "Repayment plans or brief deferrals of payments will not allow us to get past our current problems. They are analogous to `kicking the can down the road,'" she told lawmakers Tuesday.

On Capitol Hill, a number of measures have been offered to help stressed homeowners.
Rep. Barney Frank, D-Mass., chairman of the House Financial Services Committee, welcomed Bernanke's call for more action. "It is now clear that we will not be able to avert a more serious and prolonged economic slowdown if we don't address the problem of increasing mortgage foreclosures," Frank said. "Bernanke's willingness to work with us in a cooperative way, and his outline of the principles that we should be applying are very hopeful signs."

Associated Press Writer Travis Reed contributed to this report from Orlando, Fla.
Federal Reserve: http://www.federalreserve.gov/

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Real Estate Moves to Front of Auction Block

From downtown Orlando condos to raw land and homes near the beaches, the "bid-calling" patter of auctioneers has been picking up speed in Central Florida and across the country. "We've never been busier," said Chris Fisher, a second-generation auctioneer in Volusia County.

According to the National Auctioneers Association, residential real-estate auctions surged 47% from 2003 to 2007 -- more than any other category -- and generated nearly $17 billion in sales nationwide last year. Commercial real-estate auctions accounted for another $15.7 billion last year, up 33%. These are not the "court-ordered auctions." [Source: Orlando Sentinel]

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Monday, March 10, 2008

Luxury Homes Still Moving Strong

Investors with Money Still have Money and are still Investing.

Daily Real Estate News March 10, 2008

Luxury Market Keeps Moving StrongPeople with money who can afford to pay big prices for houses continue to do so even though the housing market may be slow for buyers with lesser resources.Ron Baron, founder of the Baron Funds investment company, last year paid a record $103 million for an ocean-front property in East Hampton, N.Y. He is currently building himself a mansion on the site.Wall Street financier Philip Falcone recently paid $39 million for a 27-room Manhattan townhouse that was once owned by Penthouse magazine publisher Bob Guccione. On the West Coast, the 29-bedroom, 40-bath former home of William Randolph Hearst and actress Marion Davies is on the market in Beverly Hills for $165 million, which might be the highest asking price for a home in U.S. history."For the ultraluxury market to take a hit, there would have to be serious financial woes that went a lot deeper than what we're seeing now," says Rick Goodwin, publisher of Unique Homes, a magazine and Web site about luxury properties. "If they've got the money, it's not going to be a hardship to fork over cash for a $10 million house."Source: BusinessWeek.com, Prashant Gopal (03/07/08)

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Vacation Home Ruling-1031

Daily Real Estate News March 10, 2008

IRS Releases Vacation Home Ruling

The Internal Revenue Service recently issued a Revenue Procedure ruling that spells out how vacation properties can qualify for 1031 exchanges, which involve the exchange of investment properties. The guidance aims to clear up the debate about whether vacation homes are investment or personal use properties. The ruling states that the property must be held by the taxpayer for 24 months. The holding period is broken into 12-month blocks, and during each the property must be rented at the fair market rate for no less than 14 days. Additionally, the owner can use the property for 14 days or 10 percent of the days rented, whichever is greater, plus a "reasonable" number of days devoted to maintenance tasks. Because it is a safe harbor ruling, experts say failing to comply with all the rules does not mean the exchange will be denied or an audit will automatically occur. However, they underscore the importance of keeping good records of the property's rental history and the dates the property was occupied by the owner for maintenance. Source: Realty Times, Gary Gorman (03/06/08)

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FHA Limits Increase

FHA increases loan limits
Change could help more people get financing and invigorate housing market
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FIND THE HIGHER LIMITS(click here to read more)
To look up the loan limit for a metropolitan area and also to check the limits for multiple-family residences, go to http://www.hud.gov/.
Near the top is a news section called "Sustaining and Promoting Home Ownership."
From there click on "Loan Limits." If you click on "More," and then scroll down to the bottom of the HUD news release, you can also read and print the "Mortgagee Letter," which is the FHA's official notification to lenders of the new program.
By Michael Pollick The government has raised loan limits on FHA loans for most U.S. metropolitan areas, including an increase of more than $100,000 to $442,500 for Sarasota and Manatee counties. In Charlotte County, the new limit is $296,250, a $72,000 increase.The loosening up of Federal Housing Administration loan limits comes at a critical time for housing markets. Because of the credit crunch that began last summer, lenders have made conventional loans tougher and tougher to get. That, in turn, has frozen inventory at already record-high levels in many regions, including Southwest Florida.The looser FHA limit "opens up the door for competitive financing at attractive rates for homes up to $442,500, which is going to be a big assistance in our marketplace for people who might not otherwise qualify," said Steve DuToit, a Realtor in the downtown Sarasota office of Keller Williams Realty.The mandate to raise FHA loan limits came through congressional legislation passed last month, as part of an overall economic stimulus package.Congress also charged HUD with the new responsibility of generating geographically-based loan limits for Fannie Mae loans. These are expected to be available by April 1. Mortgage officials have previously told the Herald-Tribune that they did not expect the limit on these conventional loans in this region to rise above the current $417,000 level.The federal agency's move has fairly broad implications for Southwest Florida.For example, more than half of the homes and condominiums for sale in the Sarasota Multiple Listing Service are priced at $400,000 or less and could thus be financed by a nearly-no-money-down FHA loan. Even homes prices a little higher would fit in the new limits.FHA single-family home loans are only for those who plan to occupy the home. For now, the higher loan limits are temporary, lasting for this year only.FHA programs also include higher limits for two-, three- and four-family homes.The old limit on FHA 30-year, fixed, single-family loans was $336,100 in the Sarasota-Bradenton-Venice area. In Charlotte County the old limit as $224,209."It is really going to open a lot of doors in the community," said Frank Fontanetta, president of Sarasota's Sentinel Mortgage Co. "I think it will be a big impact, to get the market going."In addition to being easier to get than a standard loan, with no credit scoring, FHA loans can be secured with a minimal down payment of as low as 2.25 percent.Fontanetta said he expects to have pricing on the new loans with the higher caps by Friday.Rates in general for 30-year, fixed-rate, FHA loans have been in the low 6 percent range.There are 75 areas in the United States, out of a total of 3,200, that will qualify for the highest loan limit of $729,750. One of these is Monroe County, home of Key West.Other places that will enjoy $729,750 FHA loans are New York, Los Angeles, San Francisco and Washington, D.C.Collier County, with Naples, landed a new single-family FHA loan limit of $531,250. Previously, FHA's loan limits in these very high-cost areas were capped at $362,790."This is important," said HUD Secretary Alphonso Jackson, speaking at a Greater Los Vegas Association of Realtors keynote speech. "Families in high-cost states have been priced out of FHA-backed loans. This has created a vacuum, filled by exotic subprime loans.""Even moderate cost areas like those in the South and Southwest, such as Dallas, Houston, Augusta and Tallahassee will be helped, with most loan limits there rising to $271,050," said Brian Montgomery, another FHA official.The regular FHA 30-year, fixed-rate loan program is called the 202B.Another program, the 203K Streamline Loan, makes it possible to include the cost of expected home improvements when buying a home."It is a renovation loan that allows a borrower to spend up to $35,000 on cosmetic improvements on buying the home and then finance the whole thing," Fontanetta said.Assuming that the basic loan needed to acquire the home was $250,000, under the Streamline program, the borrower could reserve another $35,000 for cosmetic improvements, bringing the loan total at closing to $285,000. That would avoid taking out a credit line or second mortgage for the improvements. The improvement money is held in escrow and drawn to the contractor doing the work.The Streamline loan, which has been in existence for a long time, "allows you to buy property that needs fixing up, like a bank foreclosure, a property that is in distress," DuToit said.Raising the limits on that program also could help the Southwest Florida market to unload some of its excess inventory, a hangover from the construction and real estate boom of 2003-05."This is back to basics," DuToit said.

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TIA Hangar Deal May Create 410 Jobs

Could something similar this come in a few years for the Panama City Florida International Airport?

By TED JACKOVICS, The Tampa Tribune
Published: March 7, 2008
Updated: 03/06/2008 08:55 pm
TAMPA - Up to 410 new jobs could be created at Tampa International Airport in the next two years after approval Thursday of a maintenance hangar lease with a Dothan, Ala.-based company.
The 15-year lease with Pemco World Air Services Inc., which specializes in aircraft maintenance and converting airliners such as Boeing 737s into cargo carriers, should help offset a slowdown in airport revenue as the sluggish economy cuts into passenger traffic.
The new jobs outweigh annual lease revenue that could rise to as much as $630,185 by 2010, officials said. "I am more excited about the 400 new jobs than the rent," said airport director Louis Miller. The new jobs are especially welcome during the current tough economic times, said Tampa Mayor Pam Iorio, who sits on the Hillsborough County Aviation Authority board.
Pemco will begin moving into the former US Airways hangar on the east side of Tampa's airport on April 1. The hangar is the size of three football fields and has been unused since US Airways closed it in November 2002, idling 300 local employees.
A former Delta Air Lines maintenance hangar also on North West Shore Boulevard that employed about 350 people has been vacant since mid-2005.
Pemco executive Kevin Casey on Thursday hinted that the company could become interested in that facility some time in the future.
However, Pemco's lease with the aviation authority includes a termination provision if the Delta facility is leased to a competitor and Pemco is unable to conduct its business, which could occur if another company rented the Delta hangar and stripped Pemco of its employees.
For the time being, however, that appears to be more a matter of long-term legal protection for Pemco's interests rather than a pressing concern.
The vacant Delta and US Airways hangars resulted from the aviation industry's economic slump at the beginning of the decade. That led to both US Airways and Delta filing for bankruptcy court protection and allowed them to terminate lease agreements, among other restructuring moves.
Because much of U.S. airline heavy maintenance is outsourced to foreign countries in recent years, recruiting a new hangar tenant has been difficult. At one point, a group of former airline mechanics discussed forming their own company to work from one of the hangars, but those plans failed to materialize.
The US Airways and Delta hangar closings idled highly qualified mechanics and those with other skills, many of whom remained in the community and who might be interested in returning to work at the Pemco hangar, Miller said.
The aviation authority originally authorized negotiations with Pemco in July, but following an ownership and management change, Pemco deferred forging a lease.
The timing of the management changes and uncertainties about Pemco's client base caused new Pemco president Wakelee Smith to be uncomfortable in executing a large lease in his first month as president, airport officials said.
The aviation authority said it then discussed leases with other companies, but none of those contacts were successful and the discussions were terminated.
One of those was Miami-based Astar Air Cargo of Miami, which expressed disappointment at losing out to Pemco for the lease in July. A representative for Astar would not comment Thursday on whether Astar is interested in the Delta hangar.
The Pemco hangar lease provides an escalation in guaranteed land and facility rent from $105,719 for nine months in 2008 to $407,634 in 2010. A formula based on Pemco's revenue could increase the latter amount by an additional $222,000 by 2010.
In other business, the aviation authority approved in a federally required public hearing a proposal to issue $215 million in airport revenue bonds and a continuation of commercial paper not to exceed $200 million.
The bond money would be used to fund all or portions of various projects, including the economy parking garage expansion, the cargo road extension between Ohio and Hillsborough avenues, a new cargo building and some projects for the new North Terminal scheduled to open in October 2015.
Reporter Ted Jackovics can be reached at tjackovics@tampatrib.com or (813) 259-7817.

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Rates may Stay Down For a While

Daily Real Estate News March 7, 2008Fed: Rates May Remain Low for AwhileThe Federal Reserve may need to keep a lid on interest rates for a significant length of time if the financial markets continue to be under duress, New York Fed President Timothy Geithner told the Council on Foreign Relations."If turbulent financial conditions and the associated downside risks to growth persist, monetary policy may have to remain accommodative for some time," he said.Geithner also said that dealing with growth risks and rising inflation "requires a fine balance" but added "if the medium-term outlook for inflation deteriorates significantly, the Federal Open Market Committee will move with appropriate speed and force to address this risk."Source: Reuters News, Pedro Nicolaci da Costa and Steven C. Johnson (03/06/08)

www.Destin-Florida-Condominiums.info

Low Cost Updates

Daily Real Estate News March 7, 2008Low-Cost Kitchen UpdatesSellers whose kitchens are old and outdated, but who don’t want to spend money gutting and remodeling, should consider these tips from interior designers for updating inexpensively.
Buy new lighting. Replace fixed ceiling lights with modern movable track fixtures.
Replace the hardware. Handles on today’s cabinets are large and sleek instead of small and ornate. Also, brass is out. Replacing the outmoded ones can make the whole room look more modern.
Buy a new faucet. A stylish faucet can make a big difference.
Update the backsplash. Colorful mosaic tiles are better than plain boring tile.
Buy new seating. If sellers can’t afford that, then they can certainly reupholster or replace the cushions.
Clean up the clutter. Get rid of the canister set, the breadbox, and all the appliances on the counters. Leave only one bowl of fruit and a plant on the countertops.Source: The New York Times, Stephen Milioti (03/06/08)

www.Destin-Florida-MLS.com

Thursday, March 6, 2008

FHA Limits Changed!

I know you've all been waiting for some relief to our current market conditions, and it arrived today: the new FHA and Fannie Mae- Freddie Mac conforming loan limits have been released by the U.S. Department of Housing and Urban Development. To find out the new limits in your area, simply click on this link: https://entp.hud.gov/idapp/html/hicostlook.cfm, which will take you to the "mortgage limits" page at the HUD web site. On that page, enter your state and county information, chose the type of loan from the "Limit Type" drop-down box (FHA Forward, Fannie/Freddie or HECM). [Note: FHA Forward is what HUD is calling the temporary FHA loan limit.] Then click the "send" button at the bottom of the page. On the results page, you'll see the new loan limit for the type of loan you selected for your area. You can also find a county-by-county listing of the new FHA and Fannie Mae-Freddie Mac loan limits at REALTOR.org by following this link: http://www.realtor.org/GAPublic.nsf/files/chart_hud_loan_limits_08.pdf/$FILE/chart_hud_loan_limits_08.pdf
The new loan limits for FHA and Fannie Mae and Freddie Mac are now calculated at 125 percent of the HUD published median prices, with a floor of $271,050 and $417,000, respectively, not to exceed $729,750.
We expect the impact of these loan limit increases on the housing market to be significant because of the infusion of capital into the mortgage market, which should result in lower interest rates across the board. In addition, there will be a direct impact on high-cost areas that previously required borrowers to take out costlier jumbo mortgages.
As NAR research points out, increasing FHA loan limits will help an additional 138,000 Americans achieve the dream of home ownership and will allow nearly 200,000 homeowners to refinance and potentially keep their home. In addition, NAR believes that increasing the loan limits for Fannie Mae and Freddie Mac will bolster the housing finance market, which continues to be severely stressed, by providing an immediate infusion of much needed liquidity to the nation’s mortgage market.
An economic impact study conducted by NAR in January 2008 estimated that increasing the GSEs’ conforming loan limits would result in as many as 500,000 refinanced loans and could help reduce foreclosures by as much as 210,000. In addition, over 300,000 additional home sales could be generated, housing inventory would be reduced and home prices would be strengthened by two to three percentage points.
HUD was mandated in the Economic Stimulus Act to publish new loan limits within 30 days of the bill's signing by President Bush on February 13. NAR strongly supported this economic stimulus package because of the relief we felt it would bring our members.

www.RandBCoastalRealEstate.com
www.InvestSmarter.com

Tuesday, March 4, 2008

Going Green, the New Thing...Does it Make Sense?

Green Energy Costs Worry Businesses

The debate over going green has leaped miles beyond whether to pursue such options to the bedeviling question of how. As the Florida Legislature prepares to weigh various green energy proposals, powerful business interests are steering the discussion to the cost and the potential impact on Florida's competitiveness. Many of the legislative proposals in the works so far -- such as tax credits for renewable energy, funding for renewable-energy research, and energy-efficiency standards for new construction -- are palatable to most businesses. But others would set mandates, such as a proposal from Gov. Charlie Crist to set a renewable fuel standard of at least 5 percent of total consumption by 2012 and 10 percent by 2015. [Source: Miami Herald]

www.InvestSmarter.com
www.RandBCoastalRealEstate.com
www.Panama-City-Beach-Florida-Condominiums.com
www.Destin-Florida-Condominiums.info
www.30a-Florida-MLS.com

Market Turning Around?

Daily Real Estate News March 3, 20085

Proposals to Turnaround the Market

The word bailout isn’t popular in Washington, D.C., these days, so the efforts by both political parties to clean up the housing mess are all skirting the issue."Anything that can be described as a bailout is going to be dead-on-arrival, so how these proposals are framed is critical to whether or not they even have a chance at enactment," says Jaret Seiberg, a financial services policy analyst with Stanford Group. "It has to be framed as a short-term rescue for the housing market and the economy and not as a way to help individual lenders or investors."Here are the five most prominent plans for propping up, rescuing, freezing, and throwing a lifeline to the housing market:

Rep. Barney Frank: Give the Federal Housing Administration $15 billion to buy up loans and refinance them at lower rates, and give state and local governments $10 billion in grants to buy up foreclosed properties.

Sen. Christopher Dodd: Create a new Federal Homeownership Preservation Corp., funded with up to $20 billion, to purchase distressed loans and help struggling home owners to refinance.
Treasury Secretary Henry Paulson: Encourage the banking industry to freeze interest rates for five years for some borrowers, and give some home owners a 30-day reprieve from foreclosures.
Senate Majority Leader Harry Reid and other democrats: Let bankruptcy judges reduce the obligations of borrowers unable to pay their mortgages, and spend $4 billion to buy and fix up foreclosed homes.

Office of Thrift Supervision: Allow about 8 million home owners who owe more than their homes are worth to refinance into government-backed loans, giving lenders the ability to share some of the gains if the home is eventually sold at a higher price.Source: The Associated Press, Alan Zibel (03/02/08)

www.InvestSmarter.com
www.RandBCoastalRealEstate.com
www.Panama-City-Beach-Florida-MLS.com
www.Destin-Florida-MLS.com

Outside Investors Seek Florida

Housing Glut Attracts Canadians

Many Canadians will be looking for more than beaches, palm trees and sunshine as they head south for the March break. Some will be looking at for-sale signs on houses, townhouses and condominiums. And in Florida, there will be lots to see. There have never been more residential properties on the market in the Sunshine State than there are now. Many of these homes are wearing price stickers reduced 50 percent from this time last year. There are sad stories to go with the bargain prices. Many of the homes were owned and occupied by families that paid nothing down and were given low-interest mortgages for the first few years. But when it came time to renew those mortgages at higher interest rates, millions of owners throughout the U.S. discovered they couldn't afford the higher payments and their mortgages went into default. [Source: Toronto Star]

More information on these real estate markets can be seen at
www.InvestSmarter.com

And properties of interest can be found at:
http://www.panama-city-beach-florida-mls.com/Featured-Listings-Panama-City-Beach-Florida/
http://www.panama-city-beach-florida-condominiums.com/hot-panama-city-beach-florida-condo-deals/
http://www.destin-florida-mls.com/
http://www.destin-florida-condominiums.info/hot-destin-florida-condominium-deals/
http://www.randbcoastalrealestate.com/Subdivision-Reports/

Saturday, March 1, 2008

Destin Floirda and Surrounding Areas Trends

FLORIDA

Crestview
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

Destin
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

Ft. Walton
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

Navarre
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

Niceville
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

Pensacola
2008 Resale Housing Trend Report
2007 Resale Housing Trend Report

For more information on properties located throughout our Emerald Coast please use the following website to assist in your search:

www.RandBCoastalRealEstate.com
www.InvestSmarter.com

For a more specific look at Destin Florida, Fort Walton Beach Florida, Crestview Florida, Niceville Florida, Defuniak Springs Florida, Eglin Airforce Base, and the beautiful coast through 30A please use the following sites to narrow your search to Residential Homes, Condominiums, and Commercial Real Estate in Destin and Niceville Florida

www.30a-Florida-MLS.com

www.Destin-Florida-MLS.com

www.Destin-Florida-Condominiums.info

www.Destin-Florida-Commercial-Real-Estate.com

We have developed a few Panama City Beach Florida and Panama City Florida Related Real Estate Websites along with sites for Destin Florida and the Niceville area. We would appreciate any feedback on these sites. Thanks and have a great day!!!

Troubled Markets

Wells Fargo Analysis: 200 Troubled Markets

Wells Fargo & Co., the country’s second-largest mortgage lender, says it has identified more than 200 housing markets nationwide where the mortgage crisis has spread.Wells Fargo tightened its lending standards in affected markets in 24 states and the District of Columbia.Wells Fargo said California has at least 33 housing markets "at risk," and that at least 20 counties, including Los Angeles and San Diego, face severe distress.

Florida has 33 at-risk markets, followed by Michigan and Virginia with 15 each, and Maryland and Ohio with 13 each, Wells Fargo said.Other at-risk markets are located in Arizona, Colorado, Connecticut, the District of Columbia, Illinois, Louisiana, Massachusetts, Minnesota, Missouri, Nevada, New Hampshire, New Jersey, New York, Oregon, Pennsylvania, Rhode Island, Washington, Wisconsin and West Virginia.Source: Reuters News, Jonathan Stempel (02/27/2008)

For more information on properties located throughout our Emerald Coast please use the following website to assist in your search:

www.RandBCoastalRealEstate.com
www.InvestSmarter.com

For a more specific look at Panama City Florida, Panama City Beach Florida, Lynn Haven Florida, Bay Point Florida, Callaway Florida, Springfield Florida, Tyndall Air Force and other properties located in Bay County please use the following sites to narrow your search to Residential Homes, Condominiums, and Commercial Real Estate in Panama City Florida and Panama City Beach Florida

www.Panama-City-Beach-Florida-MLS.com

www.Panama-City-Beach-Florida-Condominiums.com

www.Panama-City-Beach-Florida-Commercial-Real-Estate.com

For a more specific look at Destin Florida, Fort Walton Beach Florida, Crestview Florida, Niceville Florida, Defuniak Springs Florida, Eglin Airforce Base, and the beautiful coast through 30A please use the following sites to narrow your search to Residential Homes, Condominiums, and Commercial Real Estate in Destin and Niceville Florida

www.30a-Florida-MLS.com

www.Destin-Florida-MLS.com

www.Destin-Florida-Condominiums.info

www.Destin-Florida-Commercial-Real-Estate.com

We have developed a few Panama City Beach Florida and Panama City Florida Related Real Estate Websites along with sites for Destin Florida and the Niceville area. We would appreciate any feedback on these sites. Thanks and have a great day!!!

Rates to Be Cut Again?

Daily Real Estate News February 28, 2008

Bernanke Prepared to Cut Key Rates Again

Federal reserve Chair Ben Bernanke told the House Financial Service Committee during an appearance on Wednesday that the Fed is prepared to lower key interest rates again to bolster economic growth. The Fed "will act in a timely manner as needed to support growth and to provide adequate insurance against downside risks," he said.Bernanke was asked when he thought the housing market might stabilize. It's possible, he said, that by "later this year it will stop being such a big drag directly" on the economy. But home prices probably will decline into next year, he added."It is very difficult to know, and we've been wrong before," Bernanke said.Source: The Associated Press, Jeannine Aversa (02/27/08)

For more information on properties located throughout our Emerald Coast please use the following website to assist in your search:

www.RandBCoastalRealEstate.com
www.InvestSmarter.com

For a more specific look at Panama City Florida, Panama City Beach Florida, Lynn Haven Florida, Bay Point Florida, Callaway Florida, Springfield Florida, Tyndall Air Force and other properties located in Bay County please use the following sites to narrow your search to Residential Homes, Condominiums, and Commercial Real Estate in Panama City Florida and Panama City Beach Florida

www.Panama-City-Beach-Florida-MLS.com

www.Panama-City-Beach-Florida-Condominiums.com

www.Panama-City-Beach-Florida-Commercial-Real-Estate.com

For a more specific look at Destin Florida, Fort Walton Beach Florida, Crestview Florida, Niceville Florida, Defuniak Springs Florida, Eglin Airforce Base, and the beautiful coast through 30A please use the following sites to narrow your search to Residential Homes, Condominiums, and Commercial Real Estate in Destin and Niceville Florida

www.30a-Florida-MLS.com

www.Destin-Florida-MLS.com

www.Destin-Florida-Condominiums.info

www.Destin-Florida-Commercial-Real-Estate.com

We have developed a few Panama City Beach Florida and Panama City Florida Related Real Estate Websites along with sites for Destin Florida and the Niceville area. We would appreciate any feedback on these sites. Thanks and have a great day!!!