INVENTORIES CONTINUE DOWN; PENDINGS REMAIN THE SAME

HERE WE GO AGAIN....

RealtyTrac advises that while foreclosure activity fell for the 11th straight month on a yearly basis in August, it rose compared to July. In August the nation’s foreclosure rate was 1 in 570 housing units. The increase in foreclosure activity was driven by a 33% jump in default notices, largest monthly increase since August 2007. RealtyTrac’s CEO stated that, “The big increase in new foreclosure actions may be a signal that lenders are starting to push thru some of the foreclosures delayed by robo-signing and other documentation problems.” Scheduled auctions and bank repos fell both month-to-month and year-over-year in August. In Florida 23,569 properties received a foreclosure filing in August, a 59% drop from August 2010. That accounts for 1 in 376 units.


Banks are offering incentives of $10,000, $20,000 and $30,000 to sellers who go to foreclosure to help with a new start and a new bill, Homestead Act 2, being introduced shortly, will propose offering $20,000 to foreclosure buyers for down payment assistance. A similar offer was made by President Abraham Lincoln in 1862 for Union Army veterans to file an application and claim up to 160 acres of government land; the homesteader was required to improve the land building a home and growing crops. It would come in the form of a loan and be forgiven each year in the first 5 years of the homestead, by 1/5th each year.

MARKET HEADING UP?

Realtor.com reports that homes, condo and townhouses for-sale inventories shrunk for 4th month in a row to 19% less than a year ago among the 146 markets most searched by Realtor.com users. Miami, Orlando and Fort Myers had declines of nearly 50%. 11 of the 20 markets that whose inventories declined in August were in Florida.


This may reflect a slowdown in homes moving thru the foreclosure process. Areas with high unemployment rates and many seriously delinquent borrowers could swell up inventories. Realtor.com states that , “Florida is a judicial foreclosure state that’s been ground zero in the robo-signing scandal.” Fears remain of a foreclosure glut.


Median list prices were up by 1% in 64 of the 146 markets tracked, down in 49 and unchanged in the other 33, a steady improvement trending. In 14 Florida markets, the median price list was down.

BOCA RATON HISTORICAL SOCIETY HOLDS TOURS AT THE ADDISON

Perhaps you have enjoyed a wonderful meal in the Addison restaurant.

In 1925, Palm Beach Architect Addison Mizner launched plans for a resort community in a then small farming town called Boca Raton. There are two adjacent structures on Camino Real and Dixie Highway which housed his Mizner Development Corporation that included his sales offices, drafting rooms a small apartment for him and an alfresco restaurant. The structure is modeled after El Greco’s house in Toledo, Spain.


The Boca Raton Historical Society will be offering tours of these historic buildings from 5-8 pm on Wednesday, September 21st, 2011. Cost is $10 per person, which will benefit the Historical Society, and Complimentary cocktails, hors d’oeuvres and music will be provided. Call 561-372-0568 to RSVP.

DELRAY BEACH'S CREST THEATRE PRESENTS HOLIDAY ICE SHOW

Treat yourself to the Award Winning MUSICAL MOMENTS ON ICE feauring Big Band and Abba sounds and sounds of many other musical genres along with world class skating, elaborate costumes and artistic athleticism for a most memorable performance.

The performance will be held at the Crest Theatre, 51 North Swinton in Delray Beach within Old School Square on December 16, 17 and 18th, with matinee and evening performances. The Crest Theatre is located within Old School Square at 51 North Swinton Avenue in Delray Beach. Call the Crest Theatre Box Office: 561.243.7922 ext. 1. Individual ticket price is $42.

2002 PRICES PREVAIL FOR SOME SOUTH FLORIDA HOMES

According to the Chairman of the Index Committee and S&P indices, “No cities made new lows in June 2011,” and “this month’s S&P/Case Shiller Home Price Index report showed mixed signals for recovery in home prices.” Home sales, they say, are at the same levels in June as they were in 2002. Homes in the tri-county area were up .6% from May but down 5.1% from the same period in 2010. Keep in mind that “2002 prices prevail” does not refer to all sales. When homes are well located for the buyers needs and have extra features such as pools, boat docks, sizeable lots, and upgraded kitchens and baths, the seller may get a higher price than the “2002 value.” Investors looking for income earning properties, on the other hand, bid low, so those sales are at the 2002 level, and maybe lower if not in good condition.


Pending sales have declined, and until we have easier access to credit, an increase in job opportunities, and the financial markets stabilize, the housing market will continue to struggle to recover. Lawrence Yun, NAR chief economist, said, “The market can easily move into a healthy expansion if mortgage underwriting standards return to normalcy… proper comparables [must be] used in appraisal valuations” and he added that the short sale process must be streamlined. He also stated that, “investors are buying real estate as a future inflation hedge.”


Nevertheless, this remains the best time ever to buy in Florida, and discerning cash buyers are buying. Those looking at higher end houses realize that if they buy now, they can live in a beautiful home, in due time it will appreciate in value while they are enjoying the lifestyle… and real estate has ALWAYS “COME BACK”.