LaShawn Norden, REALTOR, (321) 377-0157 Your Real Estate Advocate in Florida

Having realistic expectations when purchasing a home is so important in today's market.

Over the course of the last year or more, every media outlet across the globe has reported the collapse of the real estate market.

And now, they suggest that there are hundreds of thousands of homes that Buyers can purchase that are in pristine condition, in desirable neighborhoods, with every upgrade possible, for a price that is not only attainable...but negotiable...and, that those homes can be purchased and closed on within a reasonable time period.

As much as I wish that to be true, in Central Florida, that's just not the case. As a full-time professional Real Estate agent who is actively working with a dozen or more buyers at any given time, here's what IS a reality in our marketplace.

• YES, there are hundreds of thousands of homes listed for sale.
• YES, some of them are in pristine condition (but less than 5%).
• YES, even fewer of those that are in pristine condition are located in desirable neighborhoods or sought after school districts.
• YES, there are a handful that had every upgrade possible (if those upgrades haven't been removed by the seller or vandals...such as the light fixtures, plumbing fixtures, appliances, counter tops, window treatments, etc)
• YES, the listing price in the MLS might be in the range that you qualify for (that is, if that price has been approved by the seller's lender(s) in the case of a short sale) or isn't under valued to create a bidding war (as is the case with some foreclosures).
• And YES, you might be able to purchase and close within a reasonable time period...if you rule out non-approved short sales (and even some pre-approved short sales are taking months to close) and foreclosures (as some have "title issues" that need to be resolved before closing").

Once a Buyer determines their price range, where they want to live and what features they expect the home will have, many Buyers are coming to the conclusion that they need to be more realistic with their expectations as they aren't finding that exceptionally priced home with all the bells and whistles in a sought after community that is zoned for great schools...at least not at the significant discount that they thought they would.

Working with a REALTOR who knows the local inventory and can educate Buyers on what they can expect to find within their price range is a huge advantage for Buyers in today's market.

If you are a Buyer who is interested in purchasing a home in Central Florida, specifically in Seminole County, I'd welcome the opportunity to educate you on what you can realistically expect to find in your price range!

LaShawn Norden, PA, REALTOR, RE/MAX Central Realty (321) 377-0157, LaShawn@LaShawnNorden.com

If you are considering buying a home in Central Florida that is owned by a government entity such as Fannie Mae or Freddie Mac, you need to be prepared to pay the documentary stamps on the deed as part of your closing costs at the time of settlement.

In a traditional sale, the FAR/BAR contract (both the FAR/BAR8 and the FAR/BAR AS-IS contract) specify that the Seller pay the documentary stamps on the deed unless otherwise noted in an Addendum and agreed upon by both parties.

With that being said, because Fannie Mae and Freddie Mac (otherwise known as the Seller) are not permitted by law to pay this fee, properties that are owned by them WILL have a clause in their required Addendum that states that the Buyer must agree to pay this expense.

In Florida, the cost of Documentary Stamps is 70 cents per $100 of the sales price...which could add $1,400 to the Buyer's closing costs for a home priced at $200,000.

While some Buyers may not mind paying this additional fee, others have a limited amount of cash to apply to their closing costs. To prevent any last minute need to break into the piggy bank, Buyers can always ask the Seller to contribute a flat amount or a percentage of the sales price towards their closing costs. Depending on the offer, the Seller may agree to the contribution, which makes it a "win-win" situation for both parties.

For additional tips on how to structure an offer on a governement or bank-owned property, call or text me at (321) 377-0157 or email me at LaShawn@LaShawnNorden.com

LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com, www.LaShawnNorden.com

Over the last year or more, there has been a shift in the real estate market, with the number of homes that are short sales and bank-owned foreclosures growing by the day. As a matter of fact, in reviewing the number of active homes for sale in Central Florida, I estimate that more than 40% of the inventory that is available for sale is either a foreclosure or a short sale.

With that being said, one of the most notable attractions to foreclosures for Buyers has been the fact that they are often listed at prices that are 20%-40% less than other comparable active listings that are for sale within the same community. Banks and those real estate agents who are representing them have taken this approach to pricing in an attempt to create interest from buyers who will recognize the value, write an aggressive offer and agree to follow the "less than buyer friendly rules" that are required when purchasing.

This trend is certainly noteworthy for Buyers, as it's becoming more obvious each day that the "those who have the gold make the rules" theory is in full force when it comes to buying a bank owned home.

As evidence of how drastic this shift has become, below are a few of the more common "rules" that banks are now requiring Buyers to follow when submitting an offer on their REO (real estate owned) properties:

• Provide a pre-approval letter from the selling bank's preferred lender. Although the Buyer may have a pre-approval letter from their own lender, many bank-owned homes (especially those owned by Countrywide) will require that the Buyer get pre-approved by a designated lending representative before the offer is submitted to the bank for review.
• Accept the house in as-is, where-is condition. Simply put, the bank will make no repairs to the property, even if they are required by the Buyer's lender or FHA/VA to obtain the loan.
• Agree to pay outstanding Homeowner Association fees, without disclosing how much is owed.
• Agree to pay for documentary stamps on the deed. In Florida, that fee is .70 per $100 of the sales price. For Buyers purchasing a $200,000 house, those fees will be $1,400.
• Agree to have all inspections completed prior to offer submission. This requirement thereby eliminates the "inspection" contingency in the contract.
• Agree to pay a per diem charge for each day after the closing date if the property does not close, regardless of why it didn't close.
• Agree that the property must be on the market for a minimum number of days before the bank will consider any offers.
• Agree to provide their escrow deposit in the form of a cashier's check to the seller's attorney.
• Agree that once the Buyer's offer has been verbally approved, that they will then be required to accept additional terms and/or conditions on an Addendum that will follow. Some of these addendums are so completely favorable to the Seller (Bank) that the Buyer might feel as though they are waiving their right to breathe for fear of their offer being rejected.

Regardless of whether you think these rules are "fair" or not, the banks and their agents are not making exceptions. They are what they are and Buyers need to know that the "Golden Rule" as they once knew it, has a whole new meaning today.

If you are considering buying a foreclosure (REO) property in Central Florida, you need to know what's expected.

As a full-time professional REALTOR with experience in foreclosure sales, I'd welcome the opportunity to further educate you on what you should and can expect when buying a home that's owned by a bank. Feel free to call or text me at (321) 377-0157 for a free consultation.

LaShawn Norden, PA, REALTOR, RE/MAX Central Realty, (321) 377-0157, LaShawn@LaShawnNorden.com, www.LaShawnNorden.com

Please join me on Tuesday, March 31st from 5 o'clock until 8 o'clock for a charity event in Windermere's coveted "Chaine du lac" community.

"Chaine du lac" is a enclave of luxurious estates on the banks of Lake Butler in Windermere, Florida and home to those who desire privacy and prestige.

In addition to being able to tour an exceptionally priced custom estate within the community, guests can preview fine art and purchase raffle tickets for a variety of prizes. Music, catered food and a cash bar will also be provided.

The cost of admission is only $10 per person. All proceeds from the event, which is being co-sponored by SunTrust Mortgage & Events By Lisa, will benefit the United Cerebral Palsy organization.

Mark your calendars as this is an event not to be missed!!

Date: March 31, 2009

Time: 5 o'clock until 8 o'clock

Location: 3414 Cocard Court, Windermere, FL 34786. For more information on this property, please view the virtual tour here.

RSVP: to LaShawn Norden, PA, REALTOR, RE/MAX Central Realty by cell/text at (321) 377-0157 or by email at LaShawn@LaShawnNorden.com

LaShawn Norden, PA, REALTOR, Accredited Luxury Homes Specialist, (321) 377-0157

RE/MAX Central Realty

LaShawn@LaShawnNorden.com, www.LaShawnNorden.com

Sears Commercial in Altamonte Springs, Florida will be open to the public for a rare Friends & Family Event this Sunday, March 29, 2009 from 3PM until 9PM.

Sears Commercial sells pretty much anything you would need to outfit a kitchen...and at prices less than retail!

Because this event is "By Invitation Only" you'll need to call Shirley Perrotta at 407-767-6249 to make sure she has you on the guest list.

As a full-time professional REALTOR in Central Florida, I'd like to help you not only find the right home for your needs and budget, but also make sure that you have reputable referrals as well.

Be sure to tell Shirley that I referred you...that way, she'll be certain to keep me on the VIP list so that I can share future events with you!

LaShawn Norden, PA, REALTOR, (321) 377-0157, LaShawn@LaShawnNorden.com, www.LaShawnNorden.com, RE/MAX Central Realty

Advocating for Buyers & Sellers in Central Florida