Jon Zolsky, your Daytona Beach, Florida connection

It was Monday November 2. My telephone rang. Showing a Canadian number. The gentleman introduced himself and told me he read my blogs. Could I show them condo-hotel properties?

Of course.

We meet in our office. They pretty much know what they are looking for, but they are open to suggestions. They have a lot of questions, they want to know pros and cons of owning a condo-hotel.

Instead of steering them in one direction (You want condo-hotels? Here's what you should buy), I am trying to make sure this is what they will be happy with in couple of years. I am not the first agent they met. They went to someone else, and most probably met more than one agent. They are not complaining, but I can feel that they are a bit frustrated. They are going to spend money and they want to spend it wisely. The agents tried to sell them without educating them. They want a fair deal, but being from Canada, they are not sure what a good deal is. They need guidance.

There are many sides to owning a condo-hotel. I can't simply say that this one is the ultimate best. It depends. I can't make it simple. And they quickly learn the issues.

There are no ideal condo-hotels in the area. Whether it is physical condition, or rental situation, or a divided Board of Directors (or even worse - a misguided Board), there is always something which is affecting the resort now, or may affect it in the future.
I am human, and I avoid some properties, and sometimes it is more of a gut feeling rather than real numbers or real facts behind. But doing it for years, I have developed this 6th sense, that tells me that with everything else equal, stick to this resort and pass on the other.

Sometimes I can only rely on instincts. I often catch myself on saying things today that are different from what I was saying 5 years ago. A lot of things happened, even those that we could not have imagined happening before.

Until 2004 the question "What would happen if a destructive hurricane comes?" was more from the science fiction. But August 2004 has changed it. Before 2004 I would say that there was unlikely the way that a condo-hotel association could be terminated, but we have seen it in 2005. Are we getting smarter? Maybe simply more experienced...

When I tell people about the potential or existing problems, two things happen. They either say that this is not for them, or they get into it with the understanding of the issues. Both scenarios are OK. The problem with condo-hotel is that people have wrong expectations and do not really know what they are getting into.

Therefore, my goal is to give realistic expectations. Constant questions and answers while we are touring the properties. Condo-hotels one day, residential condos another. After which they say "Thank you. We will let you know if we decide to go ahead with any of the properties".

And this is OK. Because this is their money, and they have all the rights to get scared, to decide to wait, or simply get in the car and go to St, Augustine or Jacksonville. They are buying a vacation property, and it can be where there is warm climate, nice sandy beach, and warm Ocean. Which is anywhere in Florida.

They called me next morning. Could I arrange showing of that unit in Ocean Walk again? And could I bring the draft of the offer with me?

It is a short sale. I called the agent as I always do. It gives me the indication whether my clients would waste time, or have a pretty good chance of closing. Sounds like she knows what she is doing. Yes, she would agree to small things that we wanted.

We looked at the unit again, met with owner's liaison, asked her questions, got the rental agreement, and now we have the offer accepted by the Seller, signed and taken off Active on MLS.

Now it is a waiting game for me and my clients. Meanwhile they are talking to their attorney and their tax man to make sure they are structuring the deal the right way. Don't forget, they are Canadians, and besides FIRPTA, I really can't help them with that. But we have time.

They told me that I helped them understand the issues, and they are thankful for that. And I am thankful that they were able to process all the information I was giving them, and, believe me, there was a lot. I give more than they would have expected. Because my goal is to have happy customers, not just customers.

if you want to call me, here's the number: 386-405-4408. Tell me you read it on Active Rain. And stay warm.

Hottober in Daytona Beach - Florida.

These are the last days of the most incredible October I can remember. A commentator on local TV station called it Hottober. Daily temperature are either record high, or close to that for at least 3 weeks straight.

Yesterday's high of 89 was a tie with the record temperature in 2005. Water in the ocean is very warm, we are having a second summer, less hot and much more pleasant.

89F may sound hot, but couple degrees less than in August already feel better for us, and we enjoy it.

Right now at 6 PM on Saturday it is 83F and it feels like 88F. It is perfect. I enjoy every minute of it.

How different it feels in the spring and in the fall. When it hits 80 in the spring, it is so hot, and you feel that you are dying without the AC. And in the fall when the temperature suddenly drops to 82F, it feels cool and pleasant, and you turn off the AC and open the windows.

What surprises me is that Daytona Beach is empty when it is the best weather. Back in Russia on the Black Sea they called it a velvet season when school started and kids had to leave. There were fewer people on the beach, which meant that finally you could find where to put your foot.

Because in my native Russia they use centigrade, I do not really compare the temperatures, it is a tricky formula, and I never do it. But it would be interesitng to compare. I got the online conversion table and figured it all out.

So, in Florida average temperature for January is 69.8F. Average July temperature is 84.2F. In Moscow, where I lived last two years before emigrating to US, July average is 64.8F - less than in Florida in January. And Moscow average temperature in January is 18.5F. Sounds cold? Not really. Let me check average temperatures in Vorkuta, the place above the Arctic Circle, where we lived 14 years prior to moving to Moscow. Average July temperature is 53F. Average January is - 5.1. But cold temperatures are 9 - 10 months and annual average is 20F.

Forget about the Arctic. It is warm and green in Florida. It is a velvet season in Daytona Beach now. Come and enjoy Hottober. Are we going to have Hotember?

Welcome Home!Welcome to Oceanside Inn - Daytona Beach Shores

I had a closing today. One that was traditional and that we now do not have very often. Sitting at the table with the Closing agent and the Buyer felt like a thing from the past. We still did not have the Seller and seller's agent at the table, but this was REO and I did not expect the agent to come.

The unit is direct oceanfront. It is the south east corner, so in addition to all the view directly to the ocean, it also has panoramic vistas south up to New Smyrna Beach. This is the largest studio floor plan in the resort and at 543 sf thee is enough room for my client. This is the only unit on that stack with full standard kitchen. I do not know who the original owner was, as they have put it there initially, instead of small kitchenettes in other units.

The buyer is from Boston. She came here twice and both times stopped in Oceanside Inn to get the feel of the property. Stayed in different units.

After the closing we went to the condo-hotel resort and when we walked into the lobby, she smiled and greeted everyone she saw there at the front desk by name:

"Hi Nick, hi James". And they smiled and greeted her by name. And when I told them that I wanted to introduce the new owner to them, they said: "Welcome Home!"

And it was beautiful.

I love Oceanside Inn - the best condo-hotel resort in Daytona Beach Shores. They can make you feel at home.

P.S. If you are looking for inexpensive oceanfront to call your second home, just drop me a line in the e-mail or call 386-405-4408.

Ocean Walk Resort, a part of a billion-dollar Ocean Village complex, consists of a 2-towers. 19-story South Tower was built in 2001. This was the first real project in Daytona Beach on the Beachside in many-many years. George Anderson and his partner really broke the ice. At that time, when Daytona real estate and overall economy were stagnant at best, this was an extraordinary visionary project.

North Tower - 25 story high- followed in 2004. Wyndham Ocean Walk Resort offers 711 spacious suites and timeshare units. Guests of the resorts enjoy outdoor heated pool with waterfall, a computerized golf simulator and the island putting green surrounded by a 250-foot "Lazy River." The full service Vacation Therapy Spa pampers guests with luxurious manicures, pedicures, facials and massages.

Wyndham Ocean Walk Resort combines hotel luxury with condo amenities. The resort's spacious one-, two- and three- bedroom condominiums are beautifully furnished in a contemporary style. The award-winning Wyndham Ocean Walk offers Art Deco styling and South Beach flare.

Check the prices for all units presently for sale in the resort. 12 units for sale.

I checked my blog about Ocean Walk dated August last year. There were 26 condo-hotel units starting from $240K for a one-bedroom unit to $710K for a 2 bdr/2 baths Look at the difference. Price is down more than 30% and the same time the inventory is less than half.

And look at SOLDS from August last year until today. 10 units sold (3 more than a year prior), and the sold prices were from $160K for a one-bedroom to $390K for a 2 bdr/ 2 bath units.

Is it the sign that we are at the bottom and with inventory shrinking the prices will start going up?

I think so, do you?

BTW, if you do, my phone number is 386-405-4408. What I wrote here is not all about Ocean Walk Resort, but rather a tip of the iceberg

While I read about first time buyer incentive on AR all the time, I did not have that happening to us. There is a reason for that. We are in a resort market, working primarily on the beachside, and dealing with condo-hotels or beachside condos. They are not primary residences, and the question of First Time Buyer benefit was mute.

And then I received a call from Lev Levitan, a mortgage broker from Palm Coast, our neighbor city to the North. "Can you find something inexpensive for my client in Port Orange?" Of course. I got the number, called and had a conversation with a buyer, a real first time buyer. She wanted a condo or townhome, or a house in Port Orange, FL, and she could not go over $100K. Financing was a challenge, we had to arrange that Seller would agree to pay up to 6% of the closing costs, and even with that the money was very tight.

But she had a workable (awful word, but you know what I mean) score, and a decent full time employment. And she is full of life, and ecstatic about getting the place of her own.

We checked the available listings in the area. Finding properties under $100K though possible, is challenging. Anthea was not in love with anything she saw. We also had to be careful with condos, as though you could get the right price, the condo fee would be a problem when financing. She asked me about Oak Meadow Townhomes. A very good place for a starter but it is not in Port Orange. So what?

Real Estate 101. You gotta look beyond the specified location or municipality.

There were several listing there, and we looked at 5 of them. Favorites are a 2/2 townhome for $99,900 and a 3/2 for $119,900. The main reasons were the price and condition. After coming back there to show the unit to her brother, she finally decided on the one for $99,900. We negotiated the price and ended up with $92,500 with the Seller's contribution of up to 6% towards closing costs.

Financing was nerve recking process. With the changes in policy, we had 3 rejections. Lev Levitan from EQ Financial kept assuring me that he would get it financed, and after a couple of rejections I did not feel confident. We had to extend the contract, and the seller was very concerned. I feared that we would not be able to get another extension, we were getting dangerously close to the expiration of the contract, and then Lev called and said we were closing on time. What a relief.

We get to closing, and a had a combustible mix of people at the table with such great sense of humor, that bursts of laughter were coming one after another. I was very impressed at how John Pyle from Equity Title was still able to keep his cool, and did not miss a signature, and everything was done. That was that rare closing, which was absolute fun for everybody. Lev Levitan came from Palm Coast to a closing and stole my job off explaining to Anthea the Settlement Statement, but I was OK with it. I very rarely see mortgage brokers coming to closings, and it always impresses me and the Buyer. Anthea was all smiles and happiness. With a steady job and still workable credit score, she did not expect it to be difficult, and was surprised that it was anything but easy, and involved help from her mom.

But that's all done. And yesterday we went to a party to Anthea's new place, a two level townhome with 1,321 sf and a large terrace overlooking the green buffer. Quiet community conveniently located on a very quiet street between two main roads. It is not a posh community with all imaginable amenities, no. But with $50 monthly maintenance, it is a very good starter home for Anthea, who is planning on going for her Master's very soon.

On these photos you see the community, Anthea with Lev Levitan, her mom, her guests. We are wishing her the best. I am sure this is money well spent, and $8K was a great help.

Good luck, Anthea