Neil & Cathryn Blair-Bennett

Having a somewhat analytical mind, I have understood why people have been patient and even hesitant to get in the real estate game. Now the practical side of my mind has come to the surface and I decided to share some of my current thoughts as to when really is the right time to buy.

Well we all know about interest rates by now. They continue to remain near record lows. And despite many lenders attempts to not want to share their bailout money, (FHA minimum credit score requirement is 600, many lenders carrying FHA raised their requirements to 620!), financially it's a really good time to buy.

We have all heard about the "stimulus package", with foreclosure rescue money the number of new distressed properties hitting the market may be significantly less than first reported. In addition, the newly revised $8,000 homebuyer tax credit provides further incentive. Practicality says, it's a really good time to buy.

But what about pricing? Have we hit bottom yet? The short answer is that we reach bottom when we achieve equilibrium. When pricing stabilizes, when inventory is in balance, we are close to the bottom. When search results reveal fewer and fewer homes of similar characteristics within a specified price range, the bottom has come and gone.

With special thanks to the Cape Coral Board of Realtors, here are some facts that might spur some of the fencesitters to action.

Lee County Home Inventory down 21% over this time last year:

1. Cape Coral down 33%
2. Fort Myers down 16%
3. Fort Myers Beach down 7%
4. North Ft Myers down 19%
5. Lehigh Acres down 11%

Lee County Condo inventory down 15% over this time last year:

1. Cape Coral down 23%
2. Fort Myers down 17%
3. Fort Myers Beach down 5%
4. North Ft Myers down 28%
5. Lehigh Acres down 12%

By dividing the available homes (active listings) by the number of homes that went pending (under contract) you can determine the number of homes per buyer-Here are the ratio's by city for single family homes:

City March 1, 2008 March 1, 2009
Cape Coral 12.32 3.55
Fort Myers 19.99 5.44
Fort Myers Beach 35.17 21.89
North Fort Myers 18.13 8.50
Lehigh Acres 16.89 5.08

As you can see, home inventory is dropping drastically, sales are up tremendously, interest rates are the lowest in 30+ years. So if you are sitting on the fence trying to decide if this is bottom enough, look at the facts at hand. Look for further results and home search all sw Florida homes here.

In Faith,

Neil G. Blair-Bennett
Broker-Associate
Alliance Realty Group
14090 Metropolis Avenue, Suite 206
Ft. Myers, FL 33912
Direct Line: (239) 645-3798

NeilBlairBennett@Gmail.com
www.Hope4HomeBuyers.org

This is the first opportunity I've had in nearly a week to sit down and compose my thoughts. We have been showing property every day this week. I could have sworn that someone said real estate was a bad business to be in right now.

To be completely honest, I've never enjoyed it more! There are no gimmicks. Lenders are working with realistic rates and terms, not ridiculous meltdown mortgages. People can actually afford to buy a home as sales are up and prices are down.

The median price of an existing single-family home in Lee County fell to $94,900 in January - a 59 percent drop from a year ago, according to a release today by the Florida Association of Realtors.

Meanwhile, the number of sales was 758, which is 124 percent more than the 338 recorded a year earlier, said the release, which measures sales assisted by a Realtor.

I had 9 sales this week. Of those 9, 6 were 3 bed 2 bath with 2 car garages. They were all 1400 sq ft of living space or bigger and were all built in 2006 or newer. Each of these 6 received an accepted contract LESS thn $50,000. Some examples are pictured below

And here is why primary home buyers and investors alike are buying.

Do you see those house payments? Makes a lot of sense for a homeowner doesn't it? And for the investor? Well there are a lot of people out there who are victims of this economic mess who now need ot rent somewhere to live. If a savvy investor can rent one of these homes at a reasonable market rate then he/she can create a positive cash flow and feel good about giving a family a nice place to live.

SO you see, southwest Florida real estate is still a great opportunity.

Learn more about the homes for sale by visiting http://www.hope4homebuyers.org

In Faith,

Neil G. Blair-Bennett
Broker-Associate
Alliance Realty Group
14090 Metropolis Avenue, Suite 206
Ft. Myers, FL 33912
Direct Line: (239) 645-3798

NeilBlairBennett@Gmail.com
www.Hope4HomeBuyers.org

The new Economic Stimulus Package recently signed in to law has some interesting applications for the housing market. One such application is the $8,000 tax credit for first time home buyers. But, not everyone understands the tax credit, so I will define it's major points here.

What is the definition of a "first time buyer"?: This bill defines a "first-time home buyer" as someone who hasn't owned a home as their principal residence for three years before buying the new house. The purchase date is the day that the title or warranty deed is conveyed. That means if you've owned a vacation home--but not a principal residence--within the past three years, you would still be eligible for the tax credit.

What is the amount of the tax credit?:This credit is equivalent to 10 percent of the purchase price of the home--although it's capped at $8,000--and applies only to first-time home buyers and principal residences. For example, if a home were to cost $64,000 then the amount of the credit would be $6,400. If the home were to be $97,500 then the amount would be the maximum allowable of $8,000. But unlike the plan unveiled in 2008 which gave a $7,500 home buyer tax credit, this one does not have to be repaid. The tax credit included in the economic stimulus legislation is much smaller than the one proposed by the National Association of Realtors, who asked for a $15,000 credit to be applied to all home buyers.

Are there income restrictions?: Yes, the tax credit is subject to income limitations. Single buyers need a modified adjusted gross income (MAGI) of $75,000 or less to qualify for the full credit, that's $150,000 for married couples. Those earning more than these thresholds may be eligible for reduced credits.

When must I buy the property?: Only those who purchase a home on or after January 1 2009, and before December 1, 2009 are eligible for the tax credit. Anyone who purchased a home last year won't be able to take advantage of it.

Are there any repayment stipulations?: Buyers must own the home for at least three years in order to have the credit forgiven. If they sell the home before then, they will have to return the credit to the government. Possible exceptions will be made in certain extenuating circumstances, such as natural disaster, death or divorce.

Is the tax credit refundable: The fact that the credit is refundable means that the home buyer credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. Typically this involves the government sending the taxpayer a check for a portion or even all of the amount of the refundable tax credit.

For example, if a qualified home buyer expected, notwithstanding the tax credit, federal income tax liability of $5,000 and had tax withholding of $4,000 for the year, then without the tax credit the taxpayer would owe the IRS $1,000 on April 15th. Suppose now that taxpayer qualified for the $8,000 home buyer tax credit. As a result, the taxpayer would receive a check for $7,000($8,000 minus the $1,000 owed).

This may be a simplified version of the tax credit and I would certainly advise anyone to consult their CPA for their own individual circumstances. But with one thing for certain;


1.An $8,000 tax credit
2.Mortgage rates hovering around 5% for a 30 year fixed term
3.Pricing beginning in the low $40,000 mark for a new or nearly new home

Can you honestly say that there has been a better time to buy?

Visit us at Hope4HomeBuyers.org and see some of the best that southwest Florida has to offer as far as homes are concerned. Search for your next home using our Personal HomeFinder, or get qualified to buy that next home (remember you have more leverage in negotiations with a letter of qualification in hand.)

In the wake of our financial crisis people are tightening their belts just to survive. I have found 12 things you can do to save your money personally, and perhaps increase your wealth.

•1. Lower the interest rate on your credit cards by threatening to switch to another company.

If your card co. doesn't meet your request, nothing gets better attention than threatening to take away your business if they can not meet your needs. In this economy they should make the effort.

•2. Make just two extra mortgage payments each year.

Over time, this will virtually cut your 30 year interest in half!

•3. Make a budget and stick to it.

This goes for your household budget as well as business budget. Never spend more than you make. If you have never made a budget in the past, now might be a good time.

•4. Track your spending.

Just for one month track every dime you spend and find out where the leaks are. Are you spending too much on groceries, eating out, gasoline or buying stuff on impulse? Do this for only one month. It will be an eye opener to those who like to spend money, then plug the holes.

•5. Trim the Fat!

Take a good look at everything you are paying. Can you save money each month by switching phone services? I saved a minimum of $100 per month doing this. Can you combine your cable and internet service? Can you save money by re-evaluating your car insurance, your homeowners insurance, or renters insurance? Take the time to shop around and get the very best deal to save money each month on the monthly items you must pay.

• 6. Use Direct Deposit whenever possible

This lessens the temptation to touch your money and tends to keep you on budget.

•7. Use store coupons

Since I have been using store coupons, I have been saving an average of $70 per month when I shop the "buy one get one free sales" at the grocery store. Visit coupon.com and other coupon sites since it is a rarity to find coupons in magazines anymore. You can also find retail store coupons online as well. Print them out with your color printer and most grocers and retailers will take them.

•8. Hit the discount stores

Since I have been watching my budget, I am finding that I can save at the dollar stores, Big Lot stores, discount clothing stores like Ross, Marshalls, T.J. Maxx and even the thrift stores and consignment shops for my kids who love to wear the eclectic items. There is nothing shameful about going to Goodwill or the Salvation Army. Not only do you find incredible deals on the most unlikely items, but you do your part in the community by keeping people employed and the monies go to a charitable service. I find the best games, records and eclectic jewelry there! Most recently I found 5 original Elvis albums in pristine condition worth over $300.00! Though it takes a bit of effort to look, you never know what bargains you will find!

•9. Collect your excess coins in a jar.

I started this practice several years ago. Everyone puts their loose coins in the jar each day. Individually, everyone's separate change doesn't amount to much, but when it is combined daily in the kitchen jar, each month it pays for one or two days of school lunches, a family trip to a fast food place or Blockbuster Video for the "4 for $20" on the used videos for family movie night.

10. Sell your stuff on EBay

When you do your spring cleaning at your home or personal business, rather than throw your stuff away, clean it up and sell it on EBay. People will pay anything for everything. This is where I buy my vinyl records for my record collection. I am still looking for a working Atari game console, and i am looking to sell some neon signs I don't need anymore. You never know what you can find or sell. The possibilities are endless, and you usually come out ahead!

11. Credit Repair

In the wake of the financial disaster that some might call their credit score, there is hope. Credit repair does help, but only if you go with a reputable company. You must do your homework and and interview companies who you look to do business with. Ask the right questions, such as "How long have you been in business?" "What is your success rate?" and "What is the method used to fix your client's credit?" Also check with the Better Business Bureau as well. A good credit repair company can put you back on your feet saving you money throughout the year. Did you know that your car insurers check your credit score before deciding on your payment? Of course, a higher score will allow you to pay less. A higher credit score will allow you a better rate on your credit cards and Mortgage. Get your credit where it needs to be and pay out less for your basic needs.

12. Recycle

My grandmother always said, "waste not, want not". She was a young adult with a home in the depression era. In the 70's, she taught me to save bread bags to put chicken bones in, save foil for another days use, save paper and plastic bags from the grocer to use as trash liners. She also saved string, pencils, ribbon, christmas boxes, paper, fabric scraps, etc., and she never threw anything away until she decided she couldn't use it at least twice or more. I knew my grandmother was wealthy. They paid cash for their home, bought a new car every 2 years and lived off the interest of their stocks. It puzzled me as to why she kept stuff like the foil and the plastic bags when they could always afford new, so I asked. Her answer? She replied, "How do you think we stay wealthy?"..... A lesson learned.

"For sale, nearly new home, comes with all appliances, this home needs nothing....listing price $55,000"

Ads like this can be found all over southwest Florida as the bargains are being snapped up at a rate not seen for some time.

Buyers from across the nation and around the world snapped up bargain-priced homes in Lee County in December, pushing sales up 146 percent from a year ago.

Realtors assisted in the selling of 1,064 homes in Lee in December - up from 432 in December 2007 - according to the Florida Association of Realtors. Last month, 600 existing homes were sold.

What's the motivating factors?

Well of course price is first. Activity wasn't going to increase while homes were so overinflated. The median sales price fell 50 percent to $106,900, from $215,200 in December 2007. The median price was essentially flat from November, up about $800.

For the year, 8,217 existing homes sold in Lee, up 43 percent from the 5,753 in 2007. The median price was $158,200, down 38 percent from $254,700 in 2007.

Statewide, existing home sales continued to rise in December as prices fell. Realtors helped sell 11,053 homes in December, a 27 percent increase compared to the same period a year ago, according to the Florida Association of Realtors.

Record low mortgage rates have also been a big contributing factor. 30 year fixed rates have dropped below 5% in some cases, and national builder Toll Brothers recently announced a 30 year fixed 3.99% program to give incentive to buyers.

Forbes.com recently named the Fort Myers/Cape Coral area as one of the 10 best areas for future growth. Citing the expansion of Southwest Florida International Airport, the rapid growth of Florida Gulf Coast University, the rise of commercial building in Cape Coral as just some of the reasons why this market is well poised to expand in the future.

And can we forget the obvious? Warm weather, sandy beaches, great golf, baseball spring training, excellent restaurants, recently opened retail centers, easy access to theme parks, fantastic fishing, are just some of what the Florida lifestyle is all about

Take a few minutes and review some of the homes that Hope4HomeBuyers.org has to offer. Ask the tough questions about financing. Come and see the best of what Florida has.

or