I Am NOT Responsible for Poinciana Florida Market Conditions.

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Yikes!!!!Hi folks. I had one of my Sellers email me earlier today needing an update on what is going on with her property. She’s an absentee Seller and I could feel her frustration. She had been to my Poinciana website and noticed that I had just closed on a short sale that was similar in size to her house. Anyway, I’m sure many of you are getting these types of emails, so, I decided to post my response here, just in case it will help you with responding to your Sellers. The main thing, of course, is too just be honest. As a listing Broker, I can’t control the market and I certainly don’t take responsibility for it. 

When I first listed this property we were within 5% of market value and have in fact had 2 offers on it that were turned down. So here’s my response to my Seller. 

START OF EMAIL

Thanks for your email. I did just close on a short sale property a couple of weeks ago. It was about the same size as yours but was a single story. It sold for $140,000 with the seller paying $8,400 towards the buyers closing costs for an effective selling price of $131,600. 

We are getting some activity on your home but it is very sporadic. I have attached a market report showing how homes with at least 4 bedrooms, 2000 sq ft or more built no earlier than 2004 are doing in Poinciana since we placed yours on the market. 

What it shows you is that there are currently 199 homes for sale that meet these parameters. The average home has 4 bedrooms 2,551 sq ft and is priced at $174,413 or $68.49 per sq ft. For reference yours is priced at $74.79 per sq ft. 

There are 18 properties under contract(pending). These are on average 4 bedroom homes with 2,623 sq ft priced at $151,446 or $58.50 per sq ft. 

There have been 52 sales since your house was placed on the market. These were 4 bedroom homes with 2,552 sq ft and sold for $160,917 or $64.30 per sq ft. 

This shows me 2 things:

  1. First, the homes that are selling (sold and pending) are larger than yours and are selling for less money per sq ft. The sales are at $64.30 and the pendings are at $58.50.
  2. Secondly, this shows me that prices are still declining. That means that your house will be worth less tomorrow than it is today and less next week than it will be tomorrow. 

The last time we discussed pricing was 4 July. At that time, the average price per sq ft was $66.00. Your house at that time was worth $141,000. Based on that figure a price reduction to $149,000 was suggested. You agreed to $159,000. 

Based on today’s price per sq ft the value of your house is $137,500. So the issue is still pricing.

Poinciana is averaging about 45 sales a month out of 1200 listings. That means that there is 26 months of inventory on the market. 83% of the sales are either bank owned properties (REOs) or short sales. 

So, to answer your question, people are looking at the best priced properties out there. If they can find a bare basic house that is relatively new for $20,000 less than yours then that is what they are buying. 

To compound our market difficulties, as of September 31st, Seller paid down payment assistance will no longer be allowed. This is a huge part of the market in Poinciana. FHA is also raising their minimum down payment from 3% to 3.5%. Mortgages are getting more and more difficult to get. 

So what do you do?

  • Reduce it and sell it before it gets worse.
  • Rent it out. 

Here is a link to my latest market report

I hope this helps you to understand what’s going on. I’ll look forward to your thoughts. Please feel free to give me a call if you want to chat. END OF EMAIL 

Folks, chasing a declining market downward is a losing proposition. What say you?  

MORE INFO FROM BROKER BRYANT… THE SOURCE FOR POINCIANA REAL ESTATE

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Kissimmee Florida Short Sale saga continues………..

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Kissimmee Florida real estateHi folks. Today, I spoke with Countrywide (CW) about one of my short sale listings. This particular home was placed on the market back in July of this year. I priced it properly and within a few weeks submitted a cash contract to CW for $87,000. Since the 3 most recent sales were for $85,000, $87,000 and $90,000 I figured CW would jump all over this deal and remove their 3rd party approval so we could move toward closing….. WRONG!!! 

After many attempts I could not even get this transaction in front of a negotiator. I tried and tried and tried but they kept telling me the offer was too low. After about 2 weeks of going back and forth I finally spoke to someone at CW that told me their opinion of value was $105,000 and to resubmit at that price if I wanted it to be accepted. Well the Buyer said “adios” and went and bought another house. This all took place back in August. 

In late September CW contacted me to let me know they had declined the short sale!!! Heeeeeeello…..you had already done that 6 weeks ago!!! 

Anyway……after the contract being declined, in August, I placed the property back on the market, at $105,000, to try and meet CW’s expectations of value. Of course that got me exactly where I knew it would…..no where. The property languished on the market with 100s of other over priced listings while the properly priced REOs (bank owned properties) were selling with multiple offers. 

As usual, I started reducing the price every 10 to 14 days to try and find the sweet spot….AGAIN!! This morning, I reduced it to $79,000. Later in the day I contacted CW, as I do every week, to let them know I am still trying to get them another contract and to make sure they haven’t set an auction date yet. I was fortunate to get a nice lady, who was very forthcoming with information, so I thought I’d check to see if she would tell me the price that the recent appraisal came back at. 

She placed me on hold and about 10 minutes later came and told me that CW has placed a value of $85,000 on the property!! $85,000!!! I had a cash buyer at $87,000, 3 months ago, and now they tell me $85,000. Holy crap batman!!! 

Folks, you need to buy this house today. Make an offer of $79,000 and my Seller will accept it. Check it out:

521 EAGLE CT KISSIMMEE FLORIDA 34759
$79,000

Listing price may not be sufficient to cover all encumbrances, closing costs, or other seller charges and sale of Property at full listing price may be conditioned upon approval of third parties. Folks…. this is a great opportunity to own a 4 bedroom home in Poinciana for a reasonable price. The house is in very good condition. This is a short sale and will require minimum 60 days to close. Seller will contribute towards your closing cost if the price is right. Ceiling fans in all rooms. Tile flooring through out.

POINCIANA FLORIDA REAL ESTATE SHORT SALE INFORMATION

POINCIANA FLORIDA REAL ESTATE MARKET REPORTS

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

MORE INFO FROM BROKER BRYANT… THE SOURCE FOR POINCIANA REAL ESTATE

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Copyright © 2008 http://www.brokerbryant.com/ | All Rights Reserved  

Two down……eight to go!!!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Florida real estate broker 407-873-2747

Time sure does fly. In fact I would say we are closer to three years into this down cycle already. That means we only have seven more years to go!!! OK….let’s hope not. I wrote this post, about doing a short sale, two years ago.

When The Wall……Comes Tumbling Down!

So, yesterday, I get a call from one of my Sellers. I had written about this particular Seller, in one of my earlier posts Three blind mice, three blind mice…blah, blah, blah!” First, let me say I really like these folks. As you can see, this is a public post, as all of mine are, my Sellers read my Blog and know that I am going to use their situations as teaching tools. Maybe, if they read this it will reiterate what I told them yesterday and finally reality will sink in. I just hate it when folks dig their hole deeper by trying to solve serious problems, by putting a bandage on them, when the situation calls for an amputation.

These folks owe $195,000 on a house worth, maybe, $185,000. The property is currently listed with me, with the intent of finding a Buyer, and then being able to negotiate a “short sale”. The combined payment is $1,400 a month and is way more than they can afford. Anyway, I got a call yesterday wanting to know if they were able to take the home off the market. Of course, I have no problem with this, as all of my listing agreements can be canceled at any time. In fact, I was kind of excited, hoping that they had decided to take measures to keep the house. I never wanted to list their house to begin with and had suggested they do whatever it takes to continue making payments. Like get a job!!

The reality is, that a rental will cost them $1,100 to $1,200 a month, anyway. So really, by losing the house, they are only saving a couple of hundred dollars a month. It doesn’t make financial sense.

Well, I guess the stress has become too much and they have cracked under the pressure. Their new game plan is to refinance the house again. Supposedly, the Mortgage Broker who has offered to “help” them, said he can reduce their payment by $40 per month!!! Of course, this will cost them another $6,000 to $7,000, in equity, that doesn’t exist to begin with. And there are no proceeds to the Seller. Thanks for your “help”, buddy.

When I asked the Seller about this, their response was, that by refinancing, they would be able to skip March’s payment and then they could use their tax return to make the payment for April. I asked them if they would then be able to continue to make more payments and they said “No, but we can’t worry about that now, we just want to buy some time.” So, there you have it, their well thought out plan. Quite the doozie!!!

Of course, we all know that this plan doesn’t have a chance in hell of working. The payment will more than likely go up once the deal is structured. The Sellers by this time will be sold on their “solution” and will move forward with the refinancing, regardless of the payment. The “tax refund” will be spent on something else way before it is received. They will never make a payment on the new loan. A “short sale” will probably be out of reach by the time more “artificial equity” is taken from the house and placed in the Mortgage Broker and Lender’s pocket. The Seller will be left facing an inevitable foreclosure again. And the “mind numbing” cycle of stress will begin all over again.

Well, I’ve done my best to get these folks to see reality. It ain’t going to happen. The only thing left for me to do is pick up my sign and move on to the next “blind mouse” and try once again to help folks that are not willing to be helped. Such is the life of a REALTOR® in a declining market.

This is the fault of ALL Mortgage Brokers, Loan Officers and Lenders out there who prey on the stressed out uninformed consumer. OK, OK just kidding. But I do love getting the financial guys riled up!!!

Unfortunately, we can educate and counsel the consumer until we are blue in the face but in the end they will still do what they want. I feel like I have been banging my head up against a wall. The wall of irresponsibility. Well folks, I’m here to tell you, that if attitudes don’t change, this wall is going to come tumbling down. And the innocent will be crushed.

MORE INFO FROM BROKER BRYANT… THE SOURCE FOR POINCIANA REAL ESTATE

Sell Poinciana Real Estate Poinciana Real Estate Poinciana Real Estate Poinciana Real Estate Agent

Copyright © 2008 http://www.brokerbryant.com/ | All Rights Reserved 

 

How to respond to Email enquiries.

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Call me 407-873-2747My goal with Tutas Towne Realty, Inc is to make everything as automated as possible. We are a virtual real estate compnay. The days of driving around showing properties for days on end are over. Now don’t get me wrong, you may have to show some, but my goal is to limit your time doing so. Wouldn’t you rather work in your jammies?  

Foreign Investors will buy sight unseen. I know because these are the only buyers I ever work with. I don’t have time to spend looking at homes.  

Our job is to find buyers and sellers and help them to buy and/or sell real estate. The best thing is that we already have buyers. In fact we have 100s of them just waiting to be contacted and sold. Starting next week we should be getting 10-20 buyer leads a day. I am working on a system to help us handle these. Not all will buy but I bet we can find one a day. If you can do 5-6 a month that’s $60,000 to $80,000 a year.    

The key of course is to work hard and most importantly to work smart. Don’t spend too much time on things that won’t generate a paycheck. Previewing properties is a good thing but only after you have sat down and contacted buyers and sellers for a couple of hours. Personally I would spend the first 2-3 hours of everyday contacting these buyer leads that we are getting. Start by answering their question via email. My job is to make sure you have the info you need to be able to respond to these people.

We have a site set up for International Investors at http://buyproperty.ning.com  Please take some time to get familiar with the information that is on it as it will answer a lot of the questions people may ask you. Get in the habit of linking to my articles to answer questions. That way it takes the burden of being right or wrong off of you. Also, a 3rd party (me) response adds credibility. That’s why I’m such a huge fan of Google searches. If someone ask me something I don’t know I will research it on Google and then simply link them to the information.  Make sense? 

EXAMPLE: What rate of return can I expect if I purchase a long term rental home in Poinciana? 

Hi Enquiring Mind,

Thank you for your email and interest in purchasing a property in Poinciana.  Here is a link to an article that will help to answer your question.  Also, while on our site you can search for properties by going back to the main page. You’ll see the property searches on the left hand side of the site. Let me know if you see a property you want to buy and I’ll send an offer over to you. Don’t forget you’ll need to be able to provide  “proof of funds” . Please don’t hesitate to contact me with any other questions.

See how easy that is? Not only did I answer his question but I also sent him back to our website 4 times!!!! 

HELPFUL HINT: Save your emails in a folder/label or template so you will eventually have a library of responses. Then you just have to copy/paste/send.

I’m here to help. If you want to copy all of your customer emails to me for a while I will tweak them for you. OK?

That’s enough for today. Now go help a lot of people and get paid for doing so!!!

Are you a Florida REALTOR(R) looking for a change? Check it out. http://TTRealtyNet.com

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

MORE INFO FROM BROKER BRYANT… THE SOURCE FOR CENTRAL FLORIDA REAL ESTATE

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved  

Here’s a dose of reality for you!!!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Yikes!!What a difference 3 years makes. Right now the average price in Poinciana Florida is $73,000. You can still do 100% financing but only with VA, USDA(rural housing) or FHA with a gift from a family member or employer.

3 years ago I wrote this: (I highlighted the statements that truly show how far we have fallen)

Negotiated a deal on one of my listings yesterday. The Buyer is purchasing using 100% financing with Seller paying closing costs. My market is affordable housing with the majority of homes priced from $190s to $250s and it seems like most of the Buyers lately have been purchasing with no money down.

Now don’t get me wrong I am in favor of home ownership for everyone but I fear a lot of the Buyers are going to have financial difficulties in the near future. With high insurance costs, property taxes and mortgage payments I am seeing payments of close to $2,000 per month for a starter home. That’s a pretty big nut to crack every month in my area where most families are regular working class people and don’t have any reserve funds if they should encounter a financial setback.

Also, a good number of these purchases are being made with ARMs with the Buyers basing their ability to pay on future raises at work or a part time job that they may or may not be getting. In my opinion Mortgage Brokers and Realtors are being overly aggressive in selling these folks on the advantages of home ownership without really taking the time to counsel the Buyers on the true costs involved. And since they don’t have to come up with any money at closing they are sitting ducks for Mortgage Brokers who are charging them sometimes outrageous fees for doing these types of loans.

So my challenge to Realtors who are dealing with first time Home buyers with a little or no money down is to really take the time to explain the pros and cons of purchasing a home. If the Buyers are fully informed and are wanting to move forward then help them to negotiate fees or guide them to the myriad of programs available that can help them with financial assistance. Placing a Buyer in a home he can’t afford can damage them for years. It can cause bankruptcies, divorces and even illnesses. So let’s “Protect the public” it’s what Realtors are supposed to do.

END

Maybe I really am psychic! What do you think?

Short Sale Basics

                                    Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

http://ShortSaleSuperStars.com…Join today. IT’S FREE!!!!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

All things Short Sale

 

Hi folks. After much discussion Wendy Rulnick and I have decided to open up www.ShortSaleSuperStars.com to everyone. That’s right…no more membership fee. So……if you are interested in Short Sales pop over and join. We’d love to have you.

 

More short sales

 

***If you are facing foreclosure then please contact me. You do NOT have to be foreclosed on.

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

***The content of this blog is solely my opinion***

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

Invasion of the peace snatchers!!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

As some of you may know TLW and I just had one of our sons get out of the Marine Corp last week. Not only did he get out be he brought his wife and 4 children and moved directly across the street from us. YIKES!!!

OK…not really YIKES. We have actually been adapting pretty well. My daughter in law has been cooking for me and my son is coming to work with me starting tomorrow. So we have a lot of good things going on.

This weekend they invited some of their friends over and we had a pool party at our house. Here are a couple of the highlights of our weekend. Enjoy!!!

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

Florida Foreclosures. Be prepared to pay higher than asking price

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

Florida foreclosure stats

How many times have you heardI want to buy a foreclosure so I can get a deal” and “I was told I could buy foreclosures for 20% less than asking price”?

I hear these things every day. It’s frustrating when you try to explain the “market” to potential buyers and they don’t listen to you. I’m sure they figure that all we are really doing is trying to sell them. Well they are right. We do want to sell them a house. BUT…we also want to make sure they get  the house they want and are able to buy a house.

In my market, Kissimmee Florida, the well priced foreclosures are flying off the shelves. It is imperative that buyers understand the market or they’ll end up without a property at all.

So….hopefully this article will help you to understand the market in my area. As you can see, there were only 21 REO (foreclosures) properties that sold in Poinciana Florida between 1 October and 14 November 2009 that fall within these parameters:

  • Built in 2000 or later.
  • At least 1500 sq ft living area.
  • Priced less than $65,000.

Of the 21 sales only FOUR sold for less than the asking price. The average was 110% of asking price. That means a house priced at $60,000, on average, sold for $66,000. This means if you are looking for this style of property offer at least asking price and be prepared to go higher.

Knowing what a property is worth will make it easier to prepare an offer that will be accepted. That’s where we come in. Does this help?

Here a list of the properties used for this report with their asking prices and selling prices. Check it out.

Florida Foreclosure Report

 

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

Copyright © 2009 http://www.brokerbryant.com/ | All Rights Reserved

 

The long tail tells the tale!

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

 

Ok, so I did a little Google test today. I’ve been reading about the “long tail”, not quite sure I understand this but how’s this:

I “Googled” and my ActiveRain blog showed up as follows.

 

 

  • Transaction Brokerage Relationship-came in at #5 out of 7,690,000.
  • Transaction Broker Relationship-came in at #10 out of 4,790,000.
  • Range Pricing-came in at #s 10,12 and 13 out of 62,500,000.
  • Non-Brokerage Relationship-came in at #3 out of 9,001,000.
  • Transaction Broker-came in at #10 out of 902,000.
  • 45 Day Listing Agreement-came in at #1 and 2 out of 21,100,000.

So, folks, if you need “expert” advise about Real Estate please contact, Broker Bryant. Oh, by the way, you can “Google” that too!

ActiveRain-The Good the Bad and the Ugly.

Posted by admin December - 31 - 1969 - Wednesday ADD COMMENTS

I don’t know if you guys have noticed, but what an awesome week we have had on ActiveRain. Man, I love this place! Here is a list of some of my favorite ActiveRain moments. And of course, my favorite picture-Craig Schiller.

We’ve had:

Scandal:

Politics:

Decision and Indecision:

Realtors writing about staging and Stagers writing about Real Estate:

NAR from New Orleans updates:

Consumer care and concern:

Veterans Day:

Carnival of Real Estate-coming and going:

Mortgage Folk battles and Blog Wars:

Consumer debates:

Technology:

System Failure:

So there you have it folks. Some of the posts that have brought me joy, frustration, confusion, pride and have made me think. All I can say is that if you are just posting and not reading you are missing out on some serious information here at ActiveRain.

Please accept my apologies for anyone I may have left out. There are way to many excellent posts for to include them all. Please fee free to link to your favorites in the comment section. Have a great week!!!

P.S. Please let me know if any of the links aren’t working and I will fix them. Thanks. Broker Bryant signing off.

About us

I am a licensed real estate Broker in the state of Florida. My opinions on real estate have been formed from my experiences and 15 years of working in the business. My opinions are in line with Florida Real Estate laws and the REALTOR(R) Code of Ethics. Your State’s laws may differ. So do your own homework before implementing any of my business practices into your business.