Tampa sees increase in existing home sales – Tampa Bay Business Journal

Existing home sales in the Tampa Bay area went up in the third quarter compared to a year ago, as home sales statewide experienced an upswing.

Tampa, St. Petersburg and Clearwater had 6,502 existing single-family homes close through the third quarter, up 10 percent from the 5,913 sold in 2007. That was double the state average of 5 percent, although its median value drop of 19 percent to $169,700 was more in line with the drop through the rest of Florida of 20 percent, said the Florida Association of Realtors.

via Tampa sees increase in existing home sales – Tampa Bay Business Journal:

12 tips for saving on your homeowners insurance : Blanco County News

The article below comes from a Texas newspaper, but these helpful hints certainly apply just about anywhere, especially here in Florida. With today’s economic uncertainty, every dollar saved is a BIG help. #7 on this list was a surprising one, thankfully it doesn’t apply to me.

This year, after the food frenzy of Thanksgiving ends and before the holiday hustle and bustle begins, take some time to shop around for the best deal on your homeowners insurance. The Insurance Information Institute offers “12 ways to save” on insurance. Consider these tips when youre making comparisons.

1. Shop around

It will likely take some time, but simply comparing insurers and rates could save you money. The insurer you select should offer both a fair price and excellent service. Talk to a few different insurers to get an idea of the type of service they give. Ask them what they can do to lower your costs.

2. Raise your deductible

Deductibles are the amount of money you have to pay toward a loss before your insurance company pays. Deductibles on homeowner’s policies usually start around $250, but by increasing your deductible to $500, you could save up to 12%. Here are some general guidelines for how much you can save by increasing the deductible amount:

$ 500 – Save up to 12 percent

$1,000 – Save up to 24 percent

$2,500 – Save up to 30 percent

$5,000 – Save up to 37 percent

3. Get your home and auto policies from the same company

Many large insurers that offer several different consumer insurance and financial products will take 5 percent to 15 percent off your premium if you buy two or more policies from them.

4. When you buy a home, consider what insurance will cost

Is your dream house more than 50 years old? Count on your insurance costs rising. Some insurers will offer a discount of 8 percent to 15 percent, if your house is new. By the same token, avoid buying in areas that are prone to flooding and try to buy a home that’s close to the local fire station – your premiums will definitely be lower.

5. Insure your house, not the land

Insure the house – not the property on which it sits. After all, the land under your house isn’t at risk from theft, windstorm, fire and the other perils covered in your homeowners policy.

6. Improve your home security and safety

You can usually get discounts of at least 5 percent for a smoke detector, security system or dead-bolt locks.

for tips 7-12, click here: The Real Estate Corner : Blanco County News

Lennar’s “Smart” Promotion

 Smart Cars for Not-So-Smart Homebuyers

My favorite company logo. Doesn't black and red just give you the warm and fuzzies?

I have to say, I’ve been biting my lip on this one. Then again, since Lennar revealed their true colors (right) I’ve been dumbfounded by the advertising and marketing strategies coming from Zimmerman (their ad agency). It’s easy to be in awe of such a reputable agency with a great track record and knowing that it all started with a USF grad, but since Lennar took on such an intimidating look, the only words I’ve been able to conjure up are: huh?! That’s certainly a post for another day.

Ah, the smart car. It’s no secret that as Americans we’re becoming more environmentally aware and proactive (I just bought an SUV) thanks to the fear of gas prices, the economy, and the impending warming of the globe (earth?). As much as there’s a wealth of information online, I didn’t feel that it was necessary to find out the results of Lennar’s notorious “Mustang” promotion at the crest of the downturn for this post. Seeing some of the gimmicks that have been put out there over the past few years, I’m seriously starting to question the Builder’s assumption of the intelligence of their buyers. Back to the subject: The smart car is culturally relevant, hip, and full of buzz right now. There you go, first impression made. Now the fun part:

Applicant must reserve loan funds and value of car will lower the amount that can be loaned on a home.

- In other words, I have to buy a smaller house than the one I want for the smaller car I’m supposed to get for “free”? Isn’t one of our major challenges right now getting approval for financing? I’m sure adding a car to their DTI ratio will help. “Mr. Homebuyer, if you’d like, you can pass on the smart car to be able to qualify for the home you actually wanted.” Really? Ok then, I guess. How convenient. I thought we were trying to get them to buy a home, not a car?!

**CONSUMER NOTICE: NO PURCHASE NECESSARY TO ENTER OR WIN. PURCHASE WILL NOT INCREASE YOUR CHANCES OF WINNING.

- I think I’ll take my chances with Fantasy 5. At least I can pay the taxes off with the winnings. OH! Maybe… that’s what I can use my FTHB tax credit for! To pay the taxes on the not-so-smart car… I knew that’d be good for something!

This is what happens when you let the patients (ad agency) take over the asylum. From their “shouting” radio ads, to even their newspaper and online ads, I’m starting to wonder if Lennar is planning on joining the Automotive industry as well. The evidence is right there in black… and red.

 

Click on the image for a larger version. Your thoughts?

Pulte ponies up some extra ca$h

I hope they write a check, that's a tiny pig.

Pulte was pretty quick in spinning this FTHB tax credit last week and taking it a step further. The email states “At Pulte Homes, we believe that everybody deserves a jump-start on moving into a new home. That’s why we’re giving at least $7,500** in savings to ALL of our homebuyers!” The disclaimer states that this may be used as part of or in addition to existing offers, but $7500 alone is a nice chunk of change. If you read my post below on the tax credit, you won’t be surprised that I think this is a better deal than getting it from Uncle Sam!

I also want to give an extra point to Pulte for going after previous or current homeowners. In most cases, unless they have a home to sell, they’re easier to qualify for a loan. Notice it was only ONE point. A buyer with a home to sell might as well have the credit score of a teenager. Good luck.

Pulte: Jump Start incentive

The $7500 first-time home buyer tax credit/loan/debt. Thank you, Washington!

Much Ado About Nothing, as always.

Thanks to the most popular overpaid politicians in Washington D.C., the home building industry had a glimmer of hope (for now) thanks to the recent housing bill that was passed granting first-time home buyers a $7500 tax credit. This of course is only a bit of Novocaine on the impending root canal that is the end of Down Payment Assistance. Needless to say, being a FTHB myself, I was pretty excited… at first.

First, let’s take a look at this from the Builder or Realtor perspective. The biggest challenge right now for FTHBs is qualifying for a loan. Unless the buyer has a near spotless record and above average credit score, trying to qualify them is a much fun as watching a reality show on VH1. Another challenge for FTHBs is that they (we) are a generation of debt dependants. They have multiple credit cards, cars they can’t afford, loans they haven’t paid off, etc. In other words, this new generation doesn’t have a very good concept of how to save money. Helloooo? Deposit? Down Payment? Closing costs? A $7500 tax credit is useless if you can’t get them in the home to begin with.

To sum it up, this $7500 FTHB tax credit is no more than a great builder scheme incentive that they didn’t have to come up with or pay for.

From a FTHB’s perspective: again, pretty exciting at first! Then I remembered the one thing I learned in my first career (different industry). Credit=Debt=Bad. I do have to give credit praise to the NAHB for putting together a pretty easy-to-read/understand website. This gracious $7500 tax credit (not deduction, as the website clearly states) is a no-interest loan that is to be paid back over 15 years. 15 years? I didn’t plan on staying in my 2 bedroom townhome for 15 years. You mean I have to pay back the unpaid amount if I sell it? Well fortunately for those FTHBs that have lost 5 or 10 (15) years worth of equity in the past 2 years are forgiven. For those like me who got a great deal and have not seen a price reduction in my community since I purchased my home, this does nothing other than prolong the inevitable. I either pay my taxes upfront, or pay it over a 15-year period.

I’m not denying the fact that this is will be a great benefit for some, but it only feeds the demon that is the debt which serves as the foundation of this country’s economy. Debt is bad, mmm-kay?

Question: Have you actually generated any buyers or moved any fence-sitters because of this? NAHB, Centex, KB, and Lennar think so.

NAHB: Federal Housing Tax Credit

NAHB: Builders Finding Strong Home Buyer Interest in Tax Credit