Miami, FL

Sunny Isles Beach, Fla., Nov. 19, 2008 - Sales of existing single-family homes in Florida rose 5 percent in third quarter 2008 compared to the same period last year, according to the latest housing statistics from the Florida Association of Realtors® (FAR). A total of 33,203 existing homes sold statewide in 3Q 2008; during the same period last year, a total of 31,558 existing homes sold statewide.

"Coming on the heels of positive sales activity in September, Florida's existing home sales are once again above year-ago levels in the third quarter," says 2008 FAR President Chuck Bonfiglio. "Despite lending restrictions and the difficulties of finding affordable credit, we're seeing buyers take advantage of homeownership opportunities in the current market - buyers who want to make a long-term investment in their future. And, more than ever, people are turning to Florida Realtors to find the professional expertise, knowledge and friendly guidance they need to make the complex process of buying or selling their home go more easily and smoothly."

The statewide existing-home median sales price was $185,400 in the third quarter; a year ago, it was $233,200 for a decrease of 20 percent. In 2003, the third-quarter statewide median sales price was $163,700, which reflects an increase of about 13.3 percent over the five-year period. The median is a typical market price where half the homes sold for more, half for less.

Twelve of Florida's metropolitan statistical areas (MSAs) reported increased sales of existing homes in the third quarter compared to the same three-month-period a year ago, while seven MSAs also showed gains in condo sales. A number of local markets have reported increased sales activity over the past few months, according to FAR.

Florida Realtors continued to report positive signs for the state's housing sector in the third quarter, including an increase in pending home sales (based on contracts signed but not closed) and a slower rate of expansion of inventory levels in some areas.

To gain insight into current trends in Florida's real estate industry, the University of Florida's Bergstrom Center for Real Estate Studies conducts a quarterly survey of industry executives, market research economists, real estate scholars and other experts. According to the third quarter 2008 survey, the investment outlook for various types of properties remains steady. "People who have responded to our surveys have not lost their faith in Florida as a place to be and a place to invest," said Dr. Wayne Archer, director of UF's Bergstrom Center for Real Estate Studies. "We have 40 pages of comments from our respondents, and although the dominant theme is the disruption of financing, perhaps the second theme, as one person put it, is people being on the sidelines with full pads and helmets just waiting to jump back in."

Over the long term, Florida stands to benefit from the migration of new residents, particularly as baby boomers age, Archer said, adding that the Sunshine State's mild climate and outdoor amenities continue to make it an attractive retirement destination.

In the year-to-year quarterly comparison for condo sales, 9,472 units sold statewide for the quarter compared to 9,680 in 3Q 2007 for a 2 percent decrease. The statewide existing-condo median sales price was $160,000 for the three-month period; in 3Q 2007, it was $196,000 for an 18 percent decrease.

Continuing low mortgage rates remain another favorable influence on the housing sector. According to Freddie Mac, the national commitment rate for a 30-year conventional fixed-rate mortgage averaged 6.32 percent in third quarter 2008; one year earlier, it averaged 6.55 percent.

For many, the holiday season is already in full swing or is about to commence next week when Thanksgiving arrives. We’re all aware the country and the Miami real estate market is experiencing some tough times which makes it even more difficult to remain optimistic about the future of the country and Downtown Miami real estate but there are things to be thankful for.

Obviously it’s important to be thankful for having supportive friends and family and a roof over your head, whether that roof is luxury Miami homes or luxury Miami condos. During a time when people are increasingly worried about the future of Miami real estate and see nothing but further declines, there are a few things to be thankful for amid all the bad news.

For one, the prices for Coconut Grove homes and Miami Beach condos and pretty much all of South Miami real estate remain at unusually low prices which have opened the door considerably for many homebuyers to finally fulfill their dream(s) of owning Coral Gables homes. While it’s important to be aware of all the risks involved in a Palmetto Bay real estate purchase, the increased buying opportunities are certainly welcome.

Existing homeowners keeping an eye on the future of Key Biscayne real estate also have reason to be thankful. While property values continue to show gains and losses, the alarming decline of 2007 that sent luxury Miami homes and Miami condos into a tailspin has slowed down, giving homeowners and the Aventura real estate market a small ray of hope.

Speaking of hope, the Hope for Homeowners program and the upcoming Obama administration promise to try and fix some of the problems affecting Golden Beach homes and Sunny Isles Beach condos. All these things may not bring the instant fix everyone is waiting for but they are additional reasons to be thankful.

Since the economic and Miami real estate market remains gloomy, homeowners trying to keep their homes and not become the next foreclosure statistic have likely been following the daily developments from Washington as various economic homeowner rescue plans and bailouts are rolled out. Like the old saying goes, “actions speak louder than words” and these homeowners are wondering when some of these plans will actually go into effect.

While it won’t be the instantaneous cure to fixing the troubled Miami real estate market, the government’s $700 billion rescue plan will give homeowners some assistance beginning December 15th and is being spearheaded by the mortgage giants of Freddie Mac and Fannie Mae.

Like all of the economic assistance initiatives as of late, homeowners will need to meet certain conditions in order to receive financial assistance. For one, homeowners must owe at least three months worth of mortgage payments, with the amount owed being at least 90% of what the property itself is worth. The homeowner cannot have declared bankruptcy and the home must also be their primary residence. Perhaps most importantly, the homeowner must be able to show that they aren’t trying to find a method of freeing themselves of the loan.

Since Fannie Mae and Freddie Mac are the country’s major mortgage lenders and thus control the majority of home mortgages, this initiative has a chance to yield much better results. The government is also encouraging banks to renegotiate loans with borrowers by giving them a financial incentive and it has also mandated that banks can only offer loans in which the monthly payments are less than forty percent of the borrower’s income.

What are your thoughts on this latest mortgage assistance initiative? Is it another step in the right direction towards fixing the Miami real estate market or is the government just slowing down another inevitable home foreclosure?

All landlords in the Miami real estate market must be able to know when and how to do an eviction. Being a landlord is today's market is a full time job. The landlord must follow all the rules and must act quickly for time is of the essence. A landlord must know when to evict. Allowing the tenant to live in the property rent free is unaffordable and devastating. Delaying an eviction and giving a bad tenant more time is a very costly mistake that should be avoided. The landlord must realize that when to evict is just as important as how to evict. Landlords must follow the 5 steps of when to evict so that a bad tenant is ejected.

These are the 5 Steps of When to Evict in Miami real estate.

Never allow the tenant to do the following:

1. Non-payment of rent - The landlord must evict immediately when the tenant does not pay the rent. The more you wait the worst it is later and the more money you lose. The landlord can not hesitate and must evict right away. The landlord can't waste any time and must give the three day notice before the 5th of the month. This will reduce the amount of time the tenant is in the premises without paying the rent. Tenants will use any excuse not to pay the rent and if allowed they will remain in the property for months rent free in the Miami real estate market.

2. Late payments - Evict a tenant if they continuously pay rent late and they refuse to pay a late fee. It is all right for a tenant to be late once in a while as long as a late fee is collected. If the tenant is constantly paying rent and near the end of the month is time to get another tenant in the Miami real estate market. The pattern of paying late is intolerable, time consuming and a waste of time and money for the landlord. The landlord must realize that an eviction is inevitable and it is better to do it sooner than later.

3. Withhold rent - When the tenant withholds the rent money until the landlord does repairs to the premises you must evict right away. Tenants will try to withhold rent until they get their way. Usually the excuse is that not all repairs have been completed. Tenants will take pictures of the repairs to be made. The landlord is obligated to do any repairs in order to get the tenant to pay the rent. This form of blackmail in the Miami real estate is not to be allowed. The tenant should not use withholding of rent as a tool for negotiating repairs. The tenant should not force the landlord to do unnecessary and arbitrary repairs.

4. Deduct rent - Evict when a tenant decides to deduct repairs from the monthly payments. The tenant must always pay full rent as agreed. Tenants will buy a brand new stainless steal refrigerator and then deduct form the rent. Tenant is not allowed to deduct any portion of the rent for repairs, improvements, appliances or any other reason. The rent in the Miami real estate market should be separated from the property repairs. Repairs must be approved and paid by the landlord at all times. The tenant should not decide which repairs are to be done and when to do them. The tenant can not make repairs first and then advice the landlord he/she will deduct the repairs from the rent.

5. Live the deposit - Start an eviction immediately when the tenant advises you that he/she is not paying rent and will live the deposit. Living the deposit is unacceptable and against the law. The problem is that the landlord does not know for sure if the tenant will in fact leave the premises when the deposit is gone. It is not unusual for the tenant to stay in the property and try to live subsequent months for free. Do not allow the tenant to live the deposit under any circumstances. The deposit is returned to the tenant in the Miami real estate market usually 15 days after the tenant leaves the premises and the landlord has an opportunity to inspect. The landlord will deduct from the security deposit any funds used to repair the property.

The landlord must follow the five steps of when to evict in the Miami real estate market and take action immediately in order to avoid a potential nightmare. Don't keep a bad tenant in the property just so the place won't be vacant or just because it will be hard to rent. It is always better to rent the property to someone else who will pay the rent on time and take care of the property. Screening the tenant is an essential step in the renting process. Eliminating a bad tenant who is in the practice of, not paying the rent, making late payments without paying late fees, withholding rent until repairs or other demands are made, deducting the repairs from the rent, and living the deposit, is a must for today's landlords. Identifying bad tenants and eliminating potential problems is essential in order to succeed as a landlord in the competitive Miami real estate market.

http://www.lesende.com

Hector Lesende is owner/licensed real estate broker in Miami, Florida and creator of the (Lesende) L Steps. Please visit <a href="http://www.lesende.com/">Miami Real Estate </a> We will sell your home fast. We offer a Foreclosure List. Search <a href="http://www.lesende.com/blog">Miami Real Estate Blog</a> Search <a href="http://www.lesende.com/coral-gables-real-estate.php">Coral Gables Real Estate</a>

Regardless of whether you’re seeking luxury homes, preconstruction or are looking to get started on luxury home auctions, there is no shortage of real estate agents available within each of those markets looking to become your realtor of choice. And that’s not even taking into account the ones who specialize in working with buyers and vice versa.

While every realtor has his or her own level of competence, taking the time to thoroughly evaluate an agent on their experience can in many cases translate to hundreds, if not thousands of dollars in savings when it comes to large transactions like the purchase of luxury condos.

There are various methods of finding a “superstar” real estate agent and one of the best ways to get started is to use the tried and true word of mouth approach. Close friends, family, and colleagues can be extremely useful in determining whether or not that person will yield the results you have in mind. Even so, it’s always good to browse through ads or open houses and interview other agents. Sometimes starting with a clean slate can be just as worthwhile since experiences can vary among clients and realtors, even those with a sparkling reputation.

Besides ensuring the agent has all the proper credentials and a good track record, inquire with the agent to see how experienced they are in your specific neighborhood of interest and, if you’re selling, what kind of customized marketing plan they will implement to ensure the best chances of the home being sold.

Again, real estate agents are “a dime a dozen” and the more time you spend properly researching the right agent, not only will the real estate transaction be that much smoother, the money that you’ll save will make the tedious process of finding the best realtor worth the effort.