Spring trends in the housing market

Normally the housing marketing is more active in spring and that is not different this year. The market is a seller market with only 4.6 months of inventory on the market and this low inventory has the consequence that the home prices are surging.

The rising home prices are good news for the sellers but not for the investors who are looking for cheap homes that they can flip or rent. Therefore the investor numbers are declining and the normal home buyers have a greater chance to get their new home.

The rising price are also not an important thing for the buyers because it makes it harder to buy a new home even when the mortgage rates are still as low as 3.7 % for a 30 year mortgage. They have to qualify for their home loan. 

The most positive news for home buyers is the return of the Freddie Mac mortgage with only 3 % downpayment. This specific mortgage was not available for nearly 5 years.  

You want to get more market details? You can reach us at andrea@florida-informations.com

Buying a home and get financing – Changes at the beginning of August 2015

You are a frequent home buyer or a first time home, who is looking to purchase a home in the near future? Then you should keep in mind that there changes in the financing process in the coming summer. These change can impact you and your financing preparations.

After the financing crisis and hard to understand financing process with its costs and expenses along the way, the CFPB – that is the Consumer Financial Protection Bureau – is in the process developing a toolkit for home buyers in this matter. This toolkit will help you as the home buyer to understand the necessary steps in the process and the connected costs and expenses that come with the mortgage and the closing.

This toolkit will not only help the home buyers to understand the process better but also to find the best matching type of mortgage. It will also make it easier to understand the differences, requirements and benefits of the different mortgage types.

It is also intended that the mortgage industry use this toolkit with its customers. This toolkit will soon be available in English, Spanish and also for consumers with disabilities.

For more details to this topic please contact us at andrea@florida-informations.com   

Do you know the most affordable tax states in United States?

Everybody wants to save and that applies especially when it comes to taxes. In this field we are all the same and want to keep as much as possible in our own pockets. Everybody is working hard for their meat on the table  and the prices for the groceries, gas, restaurant and health are constantly rising while the wages do not increase at the same rate.

When you have job from 9 to 5 at a specific location, then you are bound to that working space. Also when you have your own business or tight family connection your living spot is defined by that circumstances with its state tax rates.

In case you are free to decide where to live and you are not tight to the job location, then you have the opportunity to reside in states where the tax rates are more favorable for you and your lifestyle.

In a study the states have been examined where the tax burden is the lowest and Florida was ranked on spot number 7 behind states like Alaska, Nevada and Tennessee to name only the top three.

Here is a little inside into the Florida tax rates. A Floridian pays

3.14 % of the income for sales taxes (this tax is calculated on all goods except food)

2.40 % of the income for property tax (only paid by home owners, tenant do not have this expense)

0.02 % of the income for income tax (this tax is the Federal income tax, Florida has no State income tax)

The total tax percentage is 5.56 % of your total income. That is a great number in comparison to many other countries in the world. 

Please keep in mind this is a statistic calculation to give you a hint about the taxes situation in Florida and it is not a tax advice.

For further questions you can contact us at info@florida-informations.com   

 

The life begins beyond 50

In the first half of life the focus is often on having a family and providing for spouse and children. Looking for the better job and earning a good income so that everyone in the family is happy. That is the normal life in many countries but as soon as you enter the second half of your life your daily life is different when you live in Germany or in the United States.

In Germany the people start their working life circle when they left school and got their education. They often stick to their profession for decades and they are not very interested to look for different alternatives in life. The life besides the work is mostly based on hobbies, sports, vacation and a little bit community involvement. They work until they can retire with the age of 65+ and they dream from their retirement and what they would do when they get there. When they get there they are often to exhausted to try new things and stick to what they already know. That is the normal German culture of life.

In the United States the people have a different expectancy of life. In their first part of life they are already very active in their jobs and additional education is big part of their life. They are always looking for better opportunities to make a little bit additional money for retirement. Their most important interest besides the work is their home, their neighborhood and their community where they often do volunteer work. But the most important difference in this way of life is that American people are more sliding into their retirement. They have already plans and they often start the realization for their retirement dreams beyond 50 or 55.

Based on a market study the plans of the retirees in the United States include for example to sell their homes but not for downsizing purposes. They often buy a bigger home so that their family – their children and grandchildren – can come for a visit and live with them during the holidays and vacation time. They slowdown in their work life und enjoy more the life balance. Friends and community work takes over the most important interest. They offer their live experience and knowledge often to community work and projects where they meet will many other folks from different ages and different cultures.

In Fort Lauderdale for example many elderly persons are spent their time as tour guides at historical side and explain the history of the city to tourists. Such services are very much appreciated by the municipalities and they add value not only to their lives of the retirees but also to the lives of others.

You want to know more about different cultures please ask us at
andrea@florida-informations.com

What are Closing Cost?

This is a very important question for a home buyer because these costs are related to your home purchase and they are additional to the purchase price. The closing costs are expenses that are often ignored and not clearly explain to the buyer. The amount of these costs can easily add up to 2 to 5 % of the purchase price.

When you as the buyer make your probably biggest live time investment you are certainly interested to get your new home without any strings attached. To accomplish this goal you have to know that there are some service expenses involved. However, not all closings costs are paid by you as the buyer.

Parts of the closing expenses are paid by the seller but you are the beneficiary. The seller paid costs are the title and lien search to make sure that your title is clean and marketable. The seller also pays his/her part of the service costs of the title company and the documentary stamps for the transfer of the real estate property.

Your buyer part of the closing expenses are the title insurance, the title service fees, the recording fees at the court for your deed and the mortgage. The title insurance covers you as the buyer in case an unrecorded lien is put on your property but the seller or another former owner of your property is the debtor. Such a title insurance is a must have so that you will have a good night sleep in your new home. The title service fees and the court recording fees are mandatory to make sure that you are correctly noted on all legally relevant public records and documents.

Besides these direct related closing costs there are also the expenses for a home inspection, the survey and the lender’s appraisal cost in case you take out a loan on the property. Not every home buyer want these expenses and try to avoid them but that can be a big mistake in the future.

This is only a short summary and focused on a Florida real estate transaction. For more details you can reach us at andrea@florida-informations.com or find information at this link:  
http://www.amazon.com/Your-Residence-Paradise-Property-Purchase/dp/0986252913

Solar Panels for lease

Like every other country the US citizens have rising utility bills too and they are looking how to keep a part of this utility money in their pocket. One solution to this matter is to mount solar panels on their roofs and power their homes with the produced energy.

The installation of such solar panels are not cheap and as a homeowner you have to put some thoughts into this matter. You can either buy the solar panels and install them as a part of your property or you can lease the panels and make monthly rent payments.   

When you buy the solar panel, you have a bigger investment at the purchase but the solar panels are a part of your home. In case you decide to sell your home, these panels will stay and they are a desirable feature for the next home owner. They also will add value to your home. As many market studies show the today’s buyer are looking for energy-efficient add-ons when they go on their house hunt and these panels are definitely such an add-on.

The lease option for the solar panels which might be more affordable to you and easy to get, can be an obstacle when you sell your home. When you sign the lease contract for the panels you normally have to stay in this contract for a long period of time because of the purchase prices of the solar panels. The owner of the panels try to make a profit on their investment and you will not have the option to terminate the lease contract because you have a change of mind. You might be reliable for the lease payments until the end of the lease contract and that amount can easily be a five digit figure.

The only option in your home sale is to get the potential new home owner into your lease contract for the solar panels. To do this in the correct and protected manner for you, you should contact your panel leasing company as soon as you have decided to sell.

To get more details you can contact us at andrea@florida-informations.com

Commercial investors are coming mostly from Asia

The newest studies in the commercial real estate market show that international investors discovered the US market as a good investment option and their number is still growing. Over 40 % of the 13 Billion sold commercial real estate properties were sold in the second half of 2014 to Asian investors. This number puts them on the top of the international investors list.

Second on the international investors list for commercial properties are the European investors with more than 22 %. Closely followed on the third and fourth place by Latin America and the Middle East with 21 % and 20 %.

These numbers are based on nationwide data and there are certain hotspots for these investors. The Asian investors are concentrating their efforts in the last few months in the Mid-West while Florida traditionally is more in the focus of Latin America investors.

The investors are often interested in flexible open office space where the personal work space can be reduced for the benefit of bigger common room to intensify communication.

For more information and where to go for an investment you can contact us at
info@florida-informations.com