How to answer the real estate critics and skeptics • A Florida Vision of Hope!

How to answer the real estate critics and skeptics • A Florida Vision of Hope!

I read this article today from The Florida Association of Realtors® ~ "How to counter the real estate critics"

"Nobody is buying homes anymore."

According to this article, The National Association of Realtors® (NAR) claims that 2007 was the fifth best year of sales in US history!

"Home prices will only go lower."

The housing market is NOT having a "going out of business" sale. Traditionally, there is a stabilization period after rapid appreciation that we have experienced in South East Florida. Florida Association of Realtors® statistics show only a 5% statewide decline in home prices. Historically, a rapid jump in home prices has been followed by a period of stability- NOT decline. "In Florida, residential properties shoot up quickly and then stabilize" said Hank Fishkind, Ph.D. of Fishkind & Associates, Inc., Orlando.

"Renting makes more financial sense."

This depends on how long one plans on staying in the property. Usually, home ownership makes financial sense. The key benefits are annual tax savings and historically stable and continuous potential for appreciation. In addition, home owners benefit from "forced savings" from paying down the mortgage.

"Historically, home values don't rise."

It is clear that residential values have historically increased! Think about the price our parents paid for their home? Obviously there has been a significant increase over the years. Nationally, home prices rose 88% from 1995 to 2005. Historically, home prices rise 1.5 to 2 percentage points faster than the rate of inflation, says David Lereah, NAR's former economist.

"Mortgage money is scarce."

Many lenders are eager to lend money to qualified buyers. Indeed, it is more difficult than in previous years to secure financing. There are still many options available for primary residential financing- http://www.hud.gov/buying/loans.cfm

"It's hard for someone with bad credit to get a mortgage."

Yes, it is more difficult than in previous years for a borrower with less than perfect credit to obtain high LTV financing. Although more difficult to obtain credit for some- it is not impossible with 10-20% down payments.

"Mortgage fraud is widespread, making lenders more cautious."

Mortgage fraud was widespread during the recent U.S. housing boom market! As housing prices stabilize, and sales volumes return to more realistic levels, lenders are scrutinizing applications more rigorously. Qualified borrowers will still be approved for mortgage loans.

"Home prices in Florida are too high."

Florida offer a vast array of housing opportunities. From reasonably priced condominiums to elaborate waterfront and oceanfront mansions. In comparison to the national and global markets; Florida is still one of the most affordable places to own a home or condominium. Europeans and foreigners in general have seen this great opportunity in recent years and have been major buyers in our state.

"Nobody is moving to Florida anymore."

This is a fallacy. Florida continues to experience a huge daily increase in population, not only during the winter season, but throughout the year as well. Florida has long been known as a balmy, tropical resort destination. Many retirees have traditionally made Florida their retirement haven. In recent years, many youthful residents have been making Florida their home as well. Florida's population is expected to rise by at least 350,000 by 2010. Florida Demographics

"First-time buyers are being priced out of the market."

Now, with prices starting to stabilize, fist-time buyers can qualify for loans and purchase modestly priced homes and condominiums throughout Florida. Many lenders are offering special financing options for qualified, first-time home buyers.

"Inventories of unsold homes will only get larger."

Inventories of homes and condominiums for sale have been stabilizing in most Florida markets. True, the number of properties on the market, currently is higher than the peak years of 2003-2005, there is little evidence that inventory will increase substantially in 2008.

Click The Link Below For The Whole Story

CLICK FOR THE WHOLE STORY

• Aventura • Bal Harbour • Bay Harbor Islands • Fisher Island • Golden Beach • Hallandale Beach •

• Hollywood Beach • Miami • Miami Beach • South Beach • Sunny Isles Beach • The Waterways • Williams Island •

SIB REALTY, LLC • 18206 COLLINS AVENUE • SUNNY ISLES BEACH, FL 33160

MOTT MARVIN KORNICKI

305-935-3533 ( CALL US TODAY! ( 305-767-2121

JUST CALL OR SEND ME AN E:MAIL WITH YOUR PARTICULAR SITUATION

Contact us