Kevin Sandridge - Winter Haven Mortgage Broker

As of December 2008, Winter Haven, Florida had roughly 1,161 properties for sale and a total of 1,267 listings in either active or pending status. Last month, 59 properties were sold at an average price of $126, 543 or median price of $120,000.

Calculating the absorption rate isn't an exact science, but it does provide us with a trend that merits our attention.

Sellers in particular should keep watch of Winter Haven's absorption rate as they establish a pricing basis for their homes.

Calculating Winter Haven, Florida's Absorption Rate

As I referenced above, there are a total of 1,267 listings available (active and pending - not closed yet). Last month 59 properties sold and closed.

So, let's do a bit of math:

I've calculated Winter Haven's absorption rate as follows:

Step 1: 59 properties sold x 12 months = 708

Step 2: Take 708 and divide it by 52 weeks = 13.62.

Step 3: Divide 1,267 by 13.62 = 93 weeks to sell Winter Haven's current housing inventory... that's 23 months, folks!

Hear that Winter Haven Homebuyers?

Bring these absorption rate figures to your next seller negotiation and watch them squirm! If you're looking for a home here in Winter Haven and need to be pre-qualified for a home loan, contact me at 863-604-3019, and I'll get you situated.

Or, go ahead and apply for your Winter Haven home loan today!

Note: Home inventory information believed accurate but not guaranteed.

Hi folks! A bit late on this one, but thought you'd appreciate some insight into the Winter Haven, Florida housing market. As always, I would like to extend a special thanks to Lakeland, Florida Realtor Petra Norris, who issues a comparable report for the Lakeland, Florida area. What's even cooler is that I-4 Metro's Own Journalist Extraordinaire and all 'round good "Human" Mr. Chuck Welch has kindly mapped out the homes sold via his interactive Community Walk map.

A few of the finer points about this Winter Haven, Florida Homes Sold Report

• By "homes sold" I am referring to single family homes and condominiums. Homes sold as "by owner" do not appear here.
• The geographic area covered in this report consists of the Winter Haven, Florida area.
• Rather than use school zones, I've used Zip codes - which I feel provides a clearer picture of what's presented here.
• The Zip codes included in this edition of my report include: 33880, 33881, and 33884.

Winter Haven, Florida Home Sales Data - December 2008

Home sales in Winter Haven for December 2008 rose 5.36% from the November 2008 totals - up from 56 to 59. The average sales price was $126,543, and of the homes sold, 1 was a Townhouse, 50 were single family homes, 3 were classified as manufactured/mobile homes, and the remaining 5 were condos.

The average sold price per square foot dropped 3.9% down from $73.11 in November to $70.26 for December, and the average List Price to Sales Price Ratio dropped from 97.19 % to 92.13%. What this means is that on average, sellers reduced their initial asking price by just over 8 %.

Note: The information contained in this report was obtained from the Mid-Florida Regional MLS. The data presented here is believed reliable but is not guaranteed.

My Take on All of This: While Winter Haven, Florida home sales activity increased by a slight 5.36%, but sellers are having to give in to market pressure a little more by lowering their asking prices to more reasonable levels - averaging more than an 8% price reduction per home sold.

Condo prices continue to see downward pressure over single family homes, except for those with exceptional qualities, like the one sold in the Winterset Community, which boasts one of the best views of Lake Winterset - one of the largest and most beautiful lakes on the Winter Haven's Chain-of-Lakes.

For more information on the location of the Winter Haven, Florida homes sold, along with price and size of each home, click on the interactive Community Walk map below, which was created by Chuck Welch of MetroI4News.com.

CommunityWalk Map - December 2008 Winter Haven Homes Sold Full size map: December 2008 Winter Haven Homes Sold

One common misconception out there about FHA loans is that you can only have one at a time. Although it is most common for folks to have only one FHA loan, there are cases where Winter Haven, Florida home buyers might in fact qualify to purchase two homes using FHA financing.

If you live here in the Winter Haven area and are considering a second home purchase, contact me so we can determine whether you might qualify for a second FHA loan.

• Do you have limited down payment funds?
• Do the funds you have available for your FHA down payment qualify solely as family gift funds?
• Do you have a lower credit score than is typically allowed for a conventional loan? (Lower than 650)

If you answered yes to any of these questions, you may be eligible for FHA Financing on your second home purchase.

Now, you might wonder how it's possible to gain FHA approval on a second home when you haven't sold your current FHA financed property. That's why I'm here. The following situations may allow you to have more than one FHA mortgage:

• Relocation - If you now work in a geographic area that represents an unreasonable commuting distance from current home, you may use FHA financing to purchase another home. The first home may be kept and maintained as a rental property if you wish.
• Increase in Family Size - Should your family "outgrow" your present FHA financed home, you may obtain a second FHA loan. The one caveat here is that your present FHA loan has to be paid down so that your balanced owed on the first home represents at or below 75% of the current appraised value. You may see this as 75% Loan to Value (LTV)
• Vacating a Jointly Owned Property - An example here would be a divorce, where you or your spouse stays in the first FHA financed home and the other seeks FHA financing on another property.
• Non-Occupying Co-Borrower - An example here would be a parent or other family member with one FHA loan serving as a co-borrower on a home for a college student living away from home. Because you are not living in the second home, you are defined as a "non-occupying co-borrower" - retaining a joint interest in the new property as well as primary interest in your first FHA financed home.

Now, you're probably asking: "But wouldn't the debt owed on your first FHA financed home factor in when qualifying for the second one?" The answer may surprise you!

In most cases, the majority of debt you carry on your first FHA financed home will not be counted when you apply for your second FHA home loan!

Here's how this breaks out:

• Relocation - If you're not going to be living in the first FHA financed home, but want to keep it - rent it out! Typically (depending on your area) 85% of the monthly rent can be used to offset the current payment.Simply furnish your FHA lender with a copy of a One-year lease and proof of security deposit ( or the first month's rent), and chances are your second FHA home loan will be approved!
• Increase in Family Size - The same rules apply as for relocation, but you must also show that you have a least a 25% equity share in the first property.
• Vacating a Jointly Owned Property - In the divorce example, you may be exempt from the debt from your first FHA financed home being factored in at all, as long as:
  • There is a final divorce decree that awards the home and the debt to you former spouse; or
  • You can prove that the remaining occupant co-borrower has been making payments on their own and has an on-time 12-month payment history.
  • Non-Occupying Co-Borrower - In a case where you're the co-borrower on another home but do not plan to live there, you just have to prove that the current resident has has been making payments on their own and has an on-time 12-month payment history.

So there you are! The "One FHA Loan at a time" myth has been dispelled! Fact is, you may, in certain situations, have two FHA loans at a time. It's exciting news, especially in today's real estate market.

However, do keep the following in mind:

Though it's possible to have two FHA loans out at once, the main thing that FHA is trying to avoid here is catering to investors looking to "game the system."

As such, Lenders pay special attention to how long the you lived in the first FHA financed property and the circumstances that have you looking for another FHA home loan.

If you live in the Winter Haven or the Polk County, Florida area and find that you are in the market for a second FHA home loan, give me a call at 863-604-3019 or contact me online so we can get you squared away.

Apply for a Florida FHA Home Loan Today

Kevin Sandridge The Florida Mortgage Pro Signature Home Funding 410 Laurel Cove Way Winter Haven, FL, 33884	Mobile: 863-604-3019 Fax: 888-496-0265 kevin.s@sigfunding.com http://www.floridahomeloansspecialist.com
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For many in the first time Florida homebuyer category, the biggest obstacle is usually... wait for it... yup! You guessed it... the down payment!

Shoot. Even those of you reading this who are no longer home buying virgins most likely remember saying something like:

"Man, I'd like to buy a home but don't have the money for the down payment or closing costs!"

Up until October 1st of this year, many first time homebuyers looked to Downpayment Assistance Programs (DPAs) like those offered through Nehemiah and Ameridream as a means of sourcing the funds necessary to meet FHA's 3 percent (now 3.5 percent) down payment requirement plus cover some if not all of their closing costs. Though DPAs as many of us have come to know them have been suspended, there are lesser known alternatives out there.

Now, there is a lot of merited talk about the $7,500 First Time Homebuyer Income Tax Credit and the ways it can offset down payment costs, the purpose of this Florida FHA Mortgage post is to provide some insight into 6 of the most feasible down payment assistance options that do still exist:

1. Gift Funds - Family, close friends (with no financial interest), employers, and charitable organizations (with no financial interest) are acceptable donors.
2. Secured Loans - Can be collateralized by investment accounts or real property. Payments on loans against deposited funds (401K, etc.) aren't considered in ratios.
3. Sale of Personal Property - Requires third party estimate of worth and proof of sale (car, boat, motorcycle, eBay).
4. Bridal Registry Accounts - Account is opened prior to wedding to allow family and friends to deposit cash gifts.
5. Commission from Sale - Family member, who is a licensed real estate agent and entitled to the commission from the sale, can gift commission to borrower.
6. Rent Credit - When purchasing a home currently being rented, the amount of rental payments that exceed the fair market rent can be considered part of the cash investment.

Additional details and documentation requirements apply to each source but all are legitimate and workable. If you have further questions about any of these Florida FHA mortgage down payment assistance options, contact me for all the information.

Apply for a Florida FHA Mortgage Today

Kevin Sandridge The Florida Mortgage Pro Signature Home Funding 410 Laurel Cove Way Winter Haven, FL, 33884	Mobile: 863-604-3019 Fax: 888-496-0265 kevin.s@sigfunding.com http://www.floridahomeloansspecialist.com
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What Is A Florida FHA Home Loan?

FHA stands for Federal Housing Administration. The FHA regulates these loans and offers them at more competitive terms and rates to keep home ownership affordable for a wider variety of people. This makes a Florida FHA Home Loan ideal for first time home buyers or those with less than perfect credit. However, there are some strict requirements, so this is not the right choice for everyone.

Advantages of FHA Loans for First Time or Damaged Credit Home Buyers

The credit requirements for FHA home loans are much lower than other traditional mortgage loans. You must have some credit established, but there is greater flexibility for accepting credit imperfections. You can even use non-traditional ways of proving payment history, such as utilities or rental history, which is great for first-time buyers. If this doesn't fit your current situation, read more about other Florida Home Loans here.

Other Advantages of Florida FHA Home Loans

The low credit criteria of FHA home loans can be good for home buyers other than those with a bad credit score. For example, some people just haven't had enough major expenses to build a good credit score. You'd be surprised how many people avoid using credit at all costs and then find themselves out of luck when they need it.

Another advantage is that there are no income limit requirements. This opens the door for more people to take advantage of these low interest loans. Your fees will also be lower than other options because they are regulated closely to avoid over charging. You don't need any cash reserves and you can take advantage of low down payments.

Something most people don't realize is that you can receive a gift to use as your down payment, lowering the cost of taxes charged against you. And the interest you pay on the loan may also be tax deductible, which is yet another hidden advantage not widely familiar to everyone.

FHA Home Loan Qualifications to be Aware Of

Of course, there are a few things you need to keep in mind when considering Florida FHA home loans. While the credit requirements are lenient, there are still guidelines. You cannot have declared bankruptcy within the last two years, and you must have a decent credit history since any previous bankruptcy. You will not be eligible for an FHA loan if you've had a foreclosure within the last three years. This requirement can be waived, however, if you can prove you were under extenuating conditions.

Any outstanding federal debt, like student loans or SBA loans, should be taken care of. It's also a good idea to have all judgments paid off before applying for Florida FHA home loans. If you have a spouse who is not a part of the purchase, they may be required to sign a form.

When Selecting Your Florida Home Loan, Be Sure to Practice Good Judgment

As with all loan option, make sure you ask any questions and read all terms and conditions before you sign for your Florida FHA home loan. Getting a great rate with great terms can turn into a nightmare if the payments are too high, so figure out how much you can afford before agreeing. This way you can be sure your dream house will stay yours.

Overall, a Florida FHA home loan can save home buyers a lot of stress and money as long as they are careful about their decisions. Take the time to explore your other options for Florida Home Loans by clicking here.

Apply for a Florida FHA Mortgage Today

Kevin Sandridge The Florida Mortgage Pro Signature Home Funding 410 Laurel Cove Way Winter Haven, FL, 33884	Mobile: 863-604-3019 Fax: 888-496-0265 kevin.s@sigfunding.com http://www.floridahomeloansspecialist.com
Building effective relationships one step at a time...
Visit MyBlogLog and get a signature like this!

Catch More Florida Mortgage News and Insights here:

The Florida Mortgage Blogger | Central Florida Homes and Mortgage Report