Kathleen West Flagler County & Palm Coast Realtor

Realtor Magazine's latest edition had a great article about 4 questions that are on most buyers and sellers minds today. I wanted to touch on them concerning the Flagler & Palm Coast areas here in Florida.

1. Why are the prices of homes substantially in today's market?
   1. A: Homes typically have appreciated at a rate of around 4% to 5% per year and it's not unusual to see values fluctuate during the first 4 to 5 years of ownership. During the boom a few years ago, values had appreciated at rates of much higher than normal. We are at a point now, where the market is correcting itself.
   2. This becomes the situation when it too many properties become available for sale. Typically an area should be around a 5 to 6 month supply. We are currently around a 12 to 14 month supply for residential homes available for sale.
2. Where are prices headed next?
   1. A: This is probably the biggest question on most people's minds. It is difficult to tell right now, but there are indicators that things will begin heading in a much better direction than the last few years. Typically the number of sales and prices have reacted about a year differently than one another in the area. We are seeing the number of sales beginning to "flatten out" which is a very good indicator. We are also seeing Palm Coast and Flagler County contunue to be a significant growth area and is projected to grow 10% over the next 4 years according to Florida Trend. Performance this year will definitely be one to watch. But if you are ready to buy, this is a great time to act especially with the historically great interest rates often time in the 4% to 5% range currently.
3. Should I buy now?
   1. A: Most would think I'll just say "yes" because I'm a Realtor. But truth be told from a buyer's standpoint, this is definitely a great time to buy. Great prices, good negotiation position, great selection, and great interest rates. The conditions are perfect for buyers in the area.
4. Is owning a home really a great investment?
   1. A: I've been a renter and a homeowner. I'll take homeownership every time. Right now, monthly rents can be right around the same if not more than monthly mortgage payments. Therefore, I am getting no financial benefit to paying rent each month in comparison to making a mortgage payment and owning. Ownership allows you the tax benefits of deductions for interest and property taxes. It also allows you the ability to sell later on and most often earn a profit to use towards another property if you must move. It is also something you can stay in for a long period of time, pay your loan down, and take the cash later on when selling possibly at retirement age. The most important thing with ownership is knowing what you can afford (pre-approval from a lender and disciplined personal budgeting).

Mayor John Netts, was publicly recognized in Florida Trend's 2009 Yearbook for his Green Leadership efforts. Mayor Netts has held Council Seats on the local government for several years and was voted in as Mayor last year. He has placed a lot of focus on water supply issues and bringing a desalination plant to Northeast Florida. He has also brought a lot of attention to the area in regards to conservation of resources. Palm Coast lanuched the "Let's Green Green" initiative which provides a ton of information regarding recycling and can be found on the City's website at by clicking here.

Mayor Netts has also been a strong proponent of "Open Government" and actively seeks input and partnership with residents for improvements and help in building a strong community. Over the last year we have seen many community programs come about such as the "My Zone After School Program", "Cars Assisting Neighbors" (A program for assisting others get around who may not have transportation), "PC Kids Program for enrichment", and many others. We are also undergoing a huge project to widen the length of Belle Terre parkway which is a main artery that runs the length of Palm Coast. Progress of the project and information regarding traffic has been ver public through the use of a website, city announcements, and signage throughout the area.

Congratulations to Mayor Netts on this recognition, and thank you for your service and dedication to beautiful Palm Coast.

When shopping for residential house for sale in Palm Coast and Flagler County, you will undoubtedly encounter ‘Short Sales'. Right now (as of 3/24/09) of the 1,737 Residential Houses for sale in the County, 518 are Short Sales.

• 274 or 16% of all Residential Houses for sale fall into the $0 to $150,000 listing price range
• 176 or 10 % of all Residential Houses for sale fall into the $151,000 to $250,000 listing price range

So if you are beginning your property search, it is important to understand not only what a ‘Short Sale' is but also what to expect if making an offer on a property with this designation.

What is a Short Sale?

This is a pre-foreclosure situation where the owner owes more than the property can sell for today. Since the sale of the property would not generate enough to pay the loan(s) off and the difference can be very substantial, the owner and the bank are agreeing on terms of settlement of the difference at the time of sale.

Does the bank approve the listing price I am seeing?

Yes and no. The banks often ask for an analysis to set an initial listing price, but are wanting to minimize loss and this is where pricing can get "tricky". The banks are really waiting to see actual offers which come in and will evaluate them at that time. Again, the bank is attempting to minimize loss.

Who has the final say whether to accept an offer?

Unlike normal offerings for sale, the bank must approve the offer. This can take more time compared to normal situations where the owner has the final say in whether to accept and offer or not. Therefore, you must be prepared to be patient to hear back on your offer.

Should I avoid ‘Short Sales'?

I don't recommend it, because you can find a great deal when it comes to Short Sales. But it depends on each individual buyer's situation such as the timeframe in which you want to buy. Again, the process can take a bit longer with ‘Short Sales'. My recommendation is to plan out your search as normal (i.e. area, price range budget, features, etc.). Naroow your choices to about 5 properties and visit each. If some ‘Short Sales' fall into your choices, leave them as an option. Evaluate the properties side-by-side (Click here to get a property comparison worksheet) determining which one best suits your needs. You can evaluate at that time whether the ‘Short Sale' process is right for you. At the same time, you still have other properties to choose from.

Feel free to give me a call today if you are looking to buy in the area so we can get a plan together for your specific needs today.

Visit www.PalmCoastHomeShow.com for the most powerful and comprehensive property search in the area!

I was really surprised the other day when speaking with someone and they told me they had heard that there were over 2,000 foreclosures in the area. I immediately went to run some numbers thinking maybe I had missed something. Thankfully, this was one of those situations where this was information that was far from correct. So I wanted to take some time and provide the correct information in terms of explaining the foreclosure process a bit, current statistics, and where you can go to keep up-to-date on this information.

The first stage of the foreclosure process is notification of default and that legal action being taken is filed with the County Clerk. This is commonly called a "Lis Pendens" (latin for 'suit pending') and serves as notice that there is a lawsuit pending regarding the title or ownership of the property. The issue that arises lately is that "Lis Pendens" with companies that sell access to foreclosure lists. By this I mean not all "Lis Pendens" are actual foreclosures. This may be a situation where a contractor is not paid for a few thousand dollars of work. These advertisers list these properties as seeming to be foreclosures for very low amounts of money which entices people to pay for access to their search websites. So be careful here.

Back on track. If the loan is not brought current in the time alotted, a notice of sale is served and the Clerk sets an auction date. If the property does not sell at the auction, the banks sell the property on their own and most often with a Real Estate Brokerage.

So how does one find out which properties are being "auctioned" through the County? If the Clerk has a website, that is the easiest place to go. Here in Flagler County, you can visit http://www.flaglerclerk.com/dates.aspx to get information on sale dates and the properties schedules. The latest report from 1/30/2009 to 3/13/2009 is available by clicking here and lists 288 properties.

If the properties do not sell at the auction and become listed with a local Real Estate brokerage, they can usually be found through local MLS systems with a Realtor. In the Flagler County Association of Realtors MLS they are classified as "Lender Owned". You can easily view these properties on www.PalmCoastHomeShow.com by clicking the "Lender Owned Tour Bus" button.

These properties are often priced very aggressively, but make sure you visit the property because they can be in need of repair. You will want to evaluate the costs of repairs that may be needed. This is a sale where a home inspection to give you a clear picture of all of the repairs that may be necessary. Realize to that these properties can move very quickly. It hasn't been uncommon for many to go to contract in less than a week.

Visit www.PalmCoastHomeShow.com for the most powerful and comprehensive property search in the area!

On March 10th the City of Palm Coast agreed on a resolution to allow the City Manager, Jim Landon, to pursue contract negotiations with Kemper Sports a leading golf course management company. As many know, the City of Palm Coast acquired the area's historic Palm Harbor Golf Course after a development project by Centex was abandoned. The course has been under reconstruction and the City plans on re-opening the course by September.

Jim Landon stated in a recent Daytona Beach News Journal Article, "From Day 1 we knew that it's not just building a golf course but managing the golf course," said City Manager Jim Landon. "It's extremely critical for the success of this course not just to maintain it, but to manage it and promote it so people will want to come back.

"It is important to have a management company, someone who knows this business and will make it operate in the black. We don't have anybody on city staff that has that expertise."

Green fees also remains a topic of discussion. According to Jim Landon the fees will be the decision of the City Council since tax dollars were used to rebuild the course. As Landon states, "Setting the fees will be a team decision," he said. "Ultimately I will tell you the City Council makes that decision."

Landon said golf course fees are normally broken out by season, time of day and the day of the week, among other factors. The fee schedule will also differentiate between city residents and non-residents.

The Palm Harbor Golf Course was the first to open in Palm Coast when thefirst 9 holes opened on September 4, 1971 with the remaining holes completed a year later. The course was originally named the Palm Coast Golf Club and was adjacent to the first houses built in Palm Coast. These homes are still present on Club House Drive.