Ray Diaz Ft Laud Homes BLOG

Beaten... but not defeated.

2009-04-17T12:18:00.002-04:00

Missed me? Well, here I am, back by popular demand...
I'm still in real estate... and refusing to give up...
The real estate market (the first victim of the dismantling of capitalism in America), is fighting for survival, and I will not give up hope for a reversal.
Ours is a nation founded in Faith, and despite the forceful attempts by many to destroy our beliefs, I firml;y believe that we shall survive this latest attack on our spiritual values and our way of life.
Because of the dire circumstances created by the unbridled greed for power and wealth which have led many of our currently elected Congressmen, and their not so amusing disclaiming of any responsibility for the current real estate market condition, I dare not dwell on the causes, the blame, or the future of the real estate market.
That, I leave in God's hands...
Instead, this post is about the severe and imminent dangers which currently exist in our country, a bastion of freedom and opportunity; and the fututre we could be facing soon, if our lack of willingness to look at reality in the face... continues to go on much longer.
The time for breaking away from denial is long overdue.
That's why I'm posting some notable quotes for you to ponder on... about what our future could have in store for us, unless we are willing to do something about it... before it is too late. Hope you find these quotes enlightening...

"Government is not the solution to our problem; government is the problem...It is my intention to curb the size and influence of the Federal establishment. We do not support government bailouts of private institutions. Government interference in the markets exacerbates problems in the marketplace and causes the free market to take longer to correct itself. We believe in the free market as the best tool to sustained prosperity and opportunity for all."
Ronald Reagan's inaugural address on January 20, 1981

"A government policy to rob Peter to pay Paul can be assured of the support of Paul."
George Bernard Shaw

"Socialism is the doctrine that man has no right to exist for his own sake, that his life and his work do not belong to him, but belong to society, that the only justification of his existence is his service to society, and that society may dispose of him in any way it pleases for the sake of whatever it deems to be its own tribal, collective good."
Ayn Rand

You cannot bring prosperity by discouraging thrift.
You cannot help small men by tearing down big men.
You cannot strengthen the weak by weakening the strong.
You cannot lift the wage earner by pulling down the wage payer.
You cannot help the poor man by destroying the rich.
You cannot keep out of trouble by spending more than your income.
You cannot further brotherhood of men by inciting class hatred.
You cannot establish security on borrowed money.
You cannot build character and courage by taking away man’s initiative and independence.
You cannot help men permanently by doing for them what they could and should do for themselves.
Rev. William J. H. Boetcker

"To take from one, because it is thought that his own industry has acquired too much, in order to spare others, who have not exercised equal industry and skill, is to violate arbitrarily the first principle of association, 'the guarantee to every one of a free exercise of his industry, and the fruits acquired by it.'"
Thomas Jefferson

Democracy extends the sphere of individual freedom; socialism restricts it. Democracy attaches all possible value to each man; socialism makes each man a mere agent, a mere number. Democracy and socialism have nothing in common but one word: equality. But notice the difference: while democracy seeks equality in liberty, socialism seeks equality in restraint and servitude.
Alexis De Tocqueville

Collectivism doesn't work because it's based on a faulty economic premise. There is no such thing as a person's 'fair share' of wealth. The gross national product is not a pizza that must be carefully divided because if I get too many slices, you have to eat the box.
P. J. O'Rourke

The historical experience of socialist countries has sadly demonstrated that collectivism does not do away with alienation but rather increases it, adding to it a lack of basic necessities and economic inefficiency.
Pope John Paul II

We can't expect the American People to jump from Capitalism to Communism, but we can assist their elected leaders in giving them small doses of Socialism, until they awaken one day to find that they have Communism.
Nikita Khrushchev

The meaning of peace is the absence of opposition to Socialism.
Karl Marx

The Tenth Commandment (“You shall not covet anything that belongs to your neighbor”) sends a message to socialists, to people obsessed with fairness, to American presidential candidates in the year 2000, and to everyone who believes that wealth should be redistributed. And that message is clear and concise: Go to Hell.
P. J. O’Rourke

Well, that's all for now. E-mail me if you have any comments:
DiazRayDiaz@aol.com.

HOUSING STIMULUS BILL PASSES ON 07-30-2008

2008-08-04T08:45:00.003-04:00

Howdy!
Here I am again...
Hoping this finds you with your spirits high, your pockets full, and your dreams coming true.
To add some sparkle to your hopes, I've copied below the entire summary of the Housing Stimulus Bill, including links to seek more information, as it appears in the National Association of Realtors website.
Without further ado, here are the highlights on this promising piece of legislature:

National Association of REALTORS®Summary of Key Provisions of H.R. 3221 - The Housing Stimulus Bill (as of 7/30/08)
H.R. 3221, the “Housing and Economic Recovery Act of 2008,” passed the House on July 23, 2008, by a vote of 272-152. On Saturday, July 26, 2008, the Senate passed the bill by a vote of 72-13. The President signed the bill on July 30, 2008. The bill includes the following provisions:
GSE Reform – including a strong independent regulator, and permanent conforming loan limits up to the greater of $417,000 or 115% local area median home price, capped at $625,500. The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).View 2009 FHA and GSE loan limit estimates (PDF)
FHA Reform – including permanent FHA loan limits at the greater of $271,050 or 115% of local area median home price, capped at $625,500; streamlined processing for FHA condos; reforms to the HECM program, and reforms to the FHA manufactured housing program. The downpayment requirement on FHA loans will go up to 3.5% (from 3%). The effective date for reforms is immediate upon enactment, but the loan limits will not go into effect until the expiration of the Economic Stimulus limits (December 31, 2008).View 2009 FHA and GSE loan limit estimates (PDF)FHA Reform Chart (PDF)
Homebuyer Tax Credit - a $7500 tax credit that would be would be available for any qualified purchase between April 8, 2008 and June 30, 2009. The credit is repayable over 15 years (making it, in effect, an interest free loan).First-time homebuyer tax credit chart Frequently asked questions about the first-time homebuyer tax credit
FHA foreclosure rescue – development of a refinance program for homebuyers with problematic subprime loans. Lenders would write down qualified mortgages to 85% of the current appraised value and qualified borrowers would get a new FHA 30-year fixed mortgage at 90% of appraised value. Borrowers would have to share 50% of all future appreciation with FHA. The loan limit for this program is $550,440 nationwide. Program is effective on October 1, 2008.FHA Foreclosure Rescue Chart
Seller-funded downpayment assistance programs – codifies existing FHA proposal to prohibit the use of downpayment assistance programs funded by those who have a financial interest in the sale; does not prohibit other assistance programs provided by nonprofits funded by other sources, churches, employers, or family members. This prohibition does not go into effect until October 1, 2008.More about the seller-funded downpayment assistance provision Tips to finding downpayment assistance programs (PDF)
VA loan limits – temporarily increases the VA home loan guarantee loan limits to the same level as the Economic Stimulus limits through December 31, 2008.
Risk-based pricing – puts a moratorium on FHA using risk-based pricing for one year. This provision is effective from October 1, 2008 through September 30, 2009.
GSE Stabilization – includes language proposed by the Treasury Department to authorize Treasury to make loans to and buy stock from the GSEs to make sure that Freddie Mac and Fannie Mae could not fail.
Mortgage Revenue Bond Authority – authorizes $10 billion in mortgage revenue bonds for refinancing subprime mortgages.
National Affordable Housing Trust Fund – Develops a Trust Fund funded by a percentage of profits from the GSEs. In its first years, the Trust Fund would cover costs of any defaulted loans in FHA foreclosure program. In out years, the Trust Fund would be used for the development of affordable housing.
CDBG Funding – Provides $4 billion in neighborhood revitalization funds for communities to purchase foreclosed homes.More about the CDBG funding provision
LIHTC – Modernizes the Low Income Housing Tax Credit program to make it more efficient.
Loan Originator Requirements – Strengthens the existing state-run nationwide mortgage originator licensing and registration system (and requires a parallel HUD system for states that fail to participate). Federal bank regulators will establish a parallel registration system for FDIC-insured banks. The purpose is to prevent fraud and require minimum licensing and education requirements. The bill exempts those who only perform real estate brokerage activities and are licensed or registered by a state, unless they are compensated by a lender, mortgage broker, or other loan originator.

Well... what do you think? Haven't heard about this?
Maybe it's not "newsworthy" enough news for our beloved "free" media to show it to you... Bet you that you won't see this accomplishment being "glorified" in TV news or newspapers.
This is good news for America, so our "free press" will more than likely choose to "censor" it for you, so you won't get your hopes up. Not "glorifying" this news... will also insure that consumer confidence remains in the state of "suspended animation" (and depression) the press have so successfully induced into our hearts and minds.
What a wonderful thing to live in a free country, the greatest country in the world, where freedom of expression is so respected that the "free press" can actually get away with dictating to its citizens what they are allowed to see a "news" and even control what opinions we are to adopt on any important issues...
How grand would it be for the media to allow a little bit of positive news to trickle down to us from time to time.
What about now?... Well, it seems not, because elections are so soon and they just can't afford to have us wake up from the doom and gloom with which that have so effectively permeated our minds...
Well, time to go...
Till next time,
Ray Diaz
Ahhhh... Freedom!

GOOD Real Estate News... AGAIN...

2008-06-13T13:08:00.003-04:00

Salutations to all!
Being the eternal optimist that I am, I can't pass up the opportunity to share with you a few excerpts from an article written by Paul Owens in the South Florida Sun Sentinel yesterday, June 12, 2008. Bombarded by the continuous negative real estate news, as we all are, I find these tidbits of information continue to reassure me that I may not be in denial after all . . .

Here are a few excerpts from an article titled:

Analyst paints rosy picture for S. FL real estate agents.
Written by Paul Owens in the South Florida Sun-Sentinel 8:55 PM EDT, June 12, 2008.

Home prices in South Florida "easily" could be 20 percent to 30 percent higher by 2013, the chief economist for the National Association of Realtors said Thursday. Addressing local real estate agents during a conference at the Biltmore Hotel in Coral Gables, Lawrence Yun countered the persistent pessimism of experts who insist the region's housing market will continue to struggle before rebounding slowly during the next few years.Yun called 2008 a "year of cleanup" and says the second half will be better than the first because mortgage markets are improving nationwide and across South Florida. Foreign investors and Baby Boomers will boost home sales during the rest of 2008, he said. Although year-over-year home prices have been falling steadily in Palm Beach and Broward counties since the summer of 2006, Yun said price increases could happen here again as soon as this year.
A decade from now, sellers and agents will look back on this as a "small blip on the radar screen," Yun said. "The long-term fundamentals are terrific." During his presentation, Yun described the 30-month housing slump nationwide as a "short-term phenomenon" and said the economic climate is not leading to a recession. He also said there soon could be a shortage of housing because builders have cut back production during the past few years. Newsweek this month called Yun the "Little Orphan Annie of forecasters" for his consistently upbeat predictions in the face of dire market conditions.Real estate agents attending Thursday's conference sponsored by the Realtor Association of Greater Miami and the Beaches said they're seeing increased activity in the market. They say home buyers are getting mortgages, despite reports of tighter lending requirements at South Florida banks. "For the right person with the right credentials, the money's still there," said Terri Bersach, a Coldwell Banker agent in Miami.

The Housing Crisis Is Over

2008-05-31T12:15:00.002-04:00

Howdy! all of you, my faithful, if thus far
(for the most part), silent readers... :

If you dare to post some comments. in my humble blog...
I promise that I won't turn you in as a "double-crosser"
to the "left wing" of the Democratic Party... How's that?

Below is an interesting article, which I'm sure you will not find in our press or TV news, because it would erode the fears they've so hard and consistently instilled on our American public, with the only objective being the demoralization and defeat of American consumer confidence, for mercenary political advantage. This article below was published in the Wall Street Journal earlier this month... and had "no legs"... Who do you think made sure of that? It died there, and has received no exposure by our "media" forces... Ummmmmm who'd deny us access to good news? The press "censoring" the news???? NO, NOT HERE!!! This is still the USA, no?

It was written by Mr. Cyril Moulle-Bertaux, a managing partner of the Traxis Partners LP firm, a multibillion dollar enterprise specializing in global, multi-asset class investment startegies, and respected investment advisory firm, home based in New York City. Please read this article carefully and contrast the substance of this material with the doom and gloom we're being fed in massive, daily, & consistent quantities by our media broadcasters.

Ironic, isn't it? That our treasured principle of freedom of expression is being used against us by those controlling mass opinion, via the press and universities, to undermine our confidence in our economy, our freedoms and our way of life... How many 911's must we live through before we expose these enemies of our way of life, who live among us? With a "free press" like we have... who needs foreign enemies? With university professor who get paid for indoctrinating anti Americanism instead of the subject matter that they were hire to impart.. who needs foreign terrorists? So much for my pontification of the day... (Excuse the rant)... Here's the text of Mr. Moulle-Bertaux's article:

The Housing Crisis Is Over
By CYRIL MOULLE-BERTEAUX May 6, 2008; Page A23
The dire headlines coming fast and furious in the financial and popular press suggest that the housing crisis is intensifying. Yet it is very likely that April 2008 will mark the bottom of the U.S. housing market. Yes, the housing market is bottoming right now.
How can this be? For starters, a bottom does not mean that prices are about to return to the heady days of 2005. That probably won't happen for another 15 years. It just means that the trend is no longer getting worse, which is the critical factor.
Most people forget that the current housing bust is nearly three years old. Home sales peaked in July 2005. New home sales are down a staggering 63% from peak levels of 1.4 million. Housing starts have fallen more than 50% and, adjusted for population growth, are back to the trough levels of 1982.
Furthermore, residential construction is close to 15-year lows at 3.8% of GDP; by the fourth quarter of this year, it will probably hit the lowest level ever. So what's going to stop the housing decline? Very simply, the same thing that caused the bust: affordability.
The boom made housing unaffordable for many American families, especially first-time home buyers. During the 1990s and early 2000s, it took 19% of average monthly income to service a conforming mortgage on the average home purchased. By 2005 and 2006, it was absorbing 25% of monthly income. For first time buyers, it went from 29% of income to 37%. That just proved to be too much.
Prices got so high that people who intended to actually live in the houses they purchased (as opposed to speculators) stopped buying. This caused the bubble to burst.
Since then, house prices have fallen 10%-15%, while incomes have kept growing (albeit more slowly recently) and mortgage rates have come down 70 basis points from their highs. As a result, it now takes 19% of monthly income for the average home buyer, and 31% of monthly income for the first-time home buyer, to purchase a house. In other words, homes on average are back to being as affordable as during the best of times in the 1990s. Numerous households that had been priced out of the market can now afford to get in.
The next question is: Even if home sales pick up, how can home prices stop falling with so many houses vacant and unsold? The flip but true answer: because they always do.
In the past five major housing market corrections (and there were some big ones, such as in the early 1980s when home sales also fell by 50%-60% and prices fell 12%-15% in real terms), every time home sales bottomed, the pace of house-price declines halved within one or two months.
The explanation is that by the time home sales stop declining, inventories of unsold homes have usually already started falling in absolute terms and begin to peak out in "months of supply" terms. That's the case right now: New home inventories peaked at 598,000 homes in July 2006, and stand at 482,000 homes as of the end of March. This inventory is equivalent to 11 months of supply, a 25-year high – but it is similar to 1974, 1982 and 1991 levels, which saw a subsequent slowing in home-price declines within the next six months.
Inventories are declining because construction activity has been falling for such a long time that home completions are now just about undershooting new home sales. In a few months, completions of new homes for sale could be undershooting new home sales by 50,000-100,000 annually.
Inventories will drop even faster to 400,000 – or seven months of supply – by the end of 2008. This shift in inventories will have a significant impact on prices, although house prices won't stop falling entirely until inventories reach five months of supply sometime in 2009. A five-month supply has historically signaled tightness in the housing market.
Many pundits claim that house prices need to fall another 30% to bring them back in line with where they've been historically. This is usually based on an analysis of house prices adjusted for inflation: Real house prices are 30% above their 40-year, inflation-adjusted average, so they must fall 30%. This simplistic analysis is appealing on the surface, but is flawed for a variety of reasons.
Most importantly, it neglects the fact that a great majority of Americans buy their houses with mortgages. And if one buys a house with a mortgage, the most important factor in deciding what to pay for the house is how much of one's income is required to be able to make the mortgage payments on the house. Today the rate on a 30-year, fixed-rate mortgage is 5.7%. Back in 1981, the rate hit 18.5%. Comparing today's house prices to the 1970s or 1980s, when mortgage rates were stratospheric, is misguided and misleading.
This is all good news for the broader economy. The housing bust has been subtracting a full percentage point from GDP for almost two years now, which is very large for a sector that represents less than 5% of economic activity.
When the rate of house-price declines halves, there will be a wholesale shift in markets' perceptions. All of a sudden, the expected value of the collateral (i.e. houses) for much of the lending that went on for the past decade will change. Right now, when valuing the collateral, market participants including banks are extrapolating the current pace of house price declines for another two to three years; this has a significant impact on the amount of delinquencies, foreclosures and credit losses that lenders are expected to face.
More home sales and smaller price declines means fewer homeowners will be underwater on their mortgages. They will thus have less incentive to walk away and opt for foreclosure.
A milder house-price decline scenario could lead to increases in the market value of a lot of the securitized mortgages that have been responsible for $300 billion of write-downs in the past year. Even if write-backs do not occur, stabilizing collateral values will have a huge impact on the markets' perception of risk related to housing, the financial system, and the economy.
We are of course experiencing a serious housing bust, with serious economic consequences that are still unfolding. The odds are that the reverberations will lead to subtrend growth for a couple of years. Nonetheless, housing led us into this credit crisis and this recession. It is likely to lead us out. And that process is underway, right now.
Mr. Moulle-Berteaux is managing partner of Traxis Partners LP, a hedge fund firm based in New York

Florida Market Outperforms Most States

2008-03-13T11:40:00.002-04:00

Howdy!
Long time no visit...
Actually (am not sorry to say), I've been so busy with my real estate customers, that posting my rantings here had to take a hiatus, sort of a break for all of you, perhaps.
Having been brought up as Catholic, though; and through my self inflicted sense of guilt about not posting here (mea culpa)... is what has brought me back to you today, my silent readers...
Having just successfully completed three transactions since my last posting in this blog... proves to me that buyers are ready to do business, if sellers come to earth with their asking prices. After so many years of prices rising by 20 percent per or higher over the previous year's prices... who can blame sellers for expecting what is now an unrealistic price for their home?
It's our job as professionals to educate our customers as to the current realities of the market, with proof in writing and statistics (RAGFL keeps great monthly stats on real estate listed & sold for Broward County at www.R-World.com ) to show sellers and buyers, the market as it is, and not as we wish it were...

*** Anyhow, here's an article from the Florida Association of Realtors website, which may not make "headlines" in the "regular media"... but I thought you may enjoy some "good news"...

Florida real estate market reached bottom in 2007, report saysORLANDO, Fla. – Jan. 8, 2008 – A new report from the Attorneys’ Title Insurance Fund Inc. (The Fund) finds that Florida’s housing market slowed in 2007 in nearly every county analyzed. The report also shows that real estate markets flattened out in spring 2007, before the subprime mortgage crisis in August knocked markets down another 10 percent across the state. Since then, the state’s housing market has flattened and is expected to begin to recover during the next several years.The 2008 Fund Real Estate Forecast, commissioned by Florida-based Attorneys’ Title Insurance Fund's Consumer Education Campaign, was created by economist Dr. Hank Fishkind of Orlando-based Fishkind & Associates, Inc., using deed data for more than 30 Florida counties. The report provides a snapshot of the national economic outlook and 33 county-specific forecasts for 2008 through 2010, as well as a section detailing how actual 2007 data compared to projections that were made in last year’s Fund 2007 Real Estate Forecast report.“Florida is one of the leading states for job creation and outperformed the rest of the country despite the housing market meltdown,” Fishkind says. ‘The state’s population growth also slowed, but is still nearly greater than all of the other Southeastern states put together. Florida has a very large and powerful economy that has gone through a cyclical downshift, but it is still outperforming compared to the rest of the nation.”The Fund’s 2008 Real Estate Forecast shows that Orlando continues to be the strongest residential real estate market in the state because of its large share of fast-growing industries, such as tourism, healthcare, education and defense manufacturing. Not all markets in Florida mirror Orlando’s resiliency, however. Miami-Dade is currently going through the worst condominium bust cycle that Florida has seen since 1975, according to Fishkind. Additionally, the report says that significant excess supply of single-family homes in the Fort Myers and Cape Coral markets will not begin to be absorbed until 2010.“With Florida’s real estate market, it is important to maintain some perspective as recent reductions in home prices come after a very lofty and unsustainable peak, and prices are still up considerably compared to 30 years ago,” said Fishkind. “Florida has created a tremendous amount of wealth and – despite many of the problems that loose lending practices and subprime mortgages have caused – the state now has the highest level of homeownership ever. The market has some indigestion now, but housing markets will return to normal during the next few years; the damage for some is significant, but in the aggregate, Florida still had some significant economic gains.”For more information, go to: http://www.myrealestatestory.com/template.cfm/5_6 © 2008 FLORIDA ASSOCIATION OF REALTORS®

WHAT THE NEW REAL ESTATE TAX PLAN REALLY MEANS

2007-11-02T09:15:00.000-04:00

Howdy!
This time, with no commnets from me (aren't you glad?), I am forwarding to you the entire text from a release by the Realtor Association of Greater Fort Lauderdale (RAGFL) regarding the actual meaning of each highlight of the passed proposal, which will be on the ballot for voting this coming January 29th.
Please read this carefullly, and email me if you have any questions!
Have a great day!
Ray Diaz, GRL

Property Tax Relief Package Passed, Amendment Put On Ballot

Earlier today, the Florida Senate passed a property tax reform package. We are happy to report that this evening the Florida House of Representatives also approved the plan.
The passage of this new tax plan took place after many weeks of negotiations. Although the two chambers had disagreements, legislative leaders agreed to a compromise during the final hours the Special Session on Tax Reform, and just one day prior to the deadline for language to be eligible for voter approval on January 29.
WHAT THE TAX PLAN MEANS FOR YOU! Highlights of the new property tax reform package. Double Homestead Exemption An additional $25,000 homestead exemption is provided for the value of homestead property above $50,000. This exemption does not apply to school taxes.
Portability Homestead property owners will be able to transfer their Save Our Homes benefit (up to $500,000) to a new homestead within two years of giving up their previous homestead. If the just value of the new homestead is more than the previous home's just value, the entire differential can be transferred; if the new homestead has a lower just value, the amount of the accumulated benefit that may be transferred is proportional to the value of the new homestead. (For those who gave up their homestead in 2007 before the amendment was passed, the differential may be transferred if they apply for a new homestead January 1, 2008 or January 1, 2009.) This provision applies to all taxes, including school taxes.
Tangible Personal Property Exemption A $25,000 exemption is provided for each tangible personal property return. This provision applies to all taxes.
10% Assessment Cap for Non-Homestead Property Non-homestead property will have a 10% assessment cap (similar to Save Our Homes) but the cap will apply only to non-school levies. The 10% cap will sunset after 10 years, when it will be presented to the voters for re-approval. Most residential property will be reassessed at just value when it is sold; commercial property and residential properties with 10 or more units will be reassessed after a significant improvement or a sale. This provision will not take effect until the 2009 tax roll. This provision does not apply to school taxes.
Fiscally Constrained Countiesy The bill requires an annual appropriation to fiscally constrained counties to make up for revenue reductions resulting from the adoption of the constitutional amendment by the voters.
Florida House of Representatives Sun Sentinel Article
The REALTOR® Association of Greater Fort Lauderdale - keeping you ahead of the competition with breaking news and information.

TAX RELIEF... OR SOFT STATE MASSAGING TO REFUSE CITIZENS' DEMANDS?

2007-11-01T09:28:00.000-04:00

Hello, again!
Well, if you're a homeowner, and a voter, read the "news" article below... and keep a handkerchief handy for the tears... not of hope and happiness, but of frustration with the lack of initiative by our "elected officials" to prevent a further deepening of the chaos in our housing industry, and the domino effect it's having on our economy...
The Florida Senate has just ambushed the House of Representatives... and WE all lost!!!
When you stand in front of the voting booth again... think hard, vote for this "band-aid" proposed by our "legislators" (and thereby making it appear as is you're happy with their proposal...) or get absolutely NOTHING in term of tax relief... (and have that interpreted to mean that voters are not interested in tax relief!!!).
Aim your voting instrument very carefully toward this issue.
To me, Mr. Rubio's (R) proposal to do away with real estate taxes period... made more sense than this proposal to reduce real estate taxes by a measley $200 bucks a year... That's less than one month's worth of one FPL bill, for goodness sakes!
On the other hand, it's better than nothing...
Mr. Rubio's idea makes financial sense to me, but he's new in Congress, is a Republican, and was laughed at and ridiculed for asking a 2 cent ($0.02) raise to sales tax (thereby asking everyone, not only homeowners) to pay toward the State's revenue pool...
It's almost reverse discrimination toward tax homeowners (punishing the successful) to carry this tax burden alone (while the real estate industry moves toward a coma), instead of asking all residents and TOURISTS (who leave thousands of millions of dollars every year in our State) to contribute a 2 cent sales tax across the board. That's fair to all Floridians...
Do not go gentle into that good night, my dear readers... Fight against the dim wits creating or diluted laws (hoping to pacify us as if we were idiots), while our housing market is rapidly moving to a black hole in outer space...
You vote for this tax "reform" proposal, and we get minimal relief...
You vote against it (or don't vote at all), and the liberal, left wing press will make it appear as if residents do not want tax relief (!!!)... Similar to the way pollers "couch" their survey questions (with built-in spins) to get the survey "results" they want. PLEASE WAKE UP!
I believe our "politicians" are busier "politicking" rather than taking care of taxpayers' needs, and would rather see the state's economy crumble, than to work bipartisanly for the good of their constituents... The goal seems to be to destroy the other political party at the expense of good economic progress, even if it severely damages the prosperity of Floridians!!!
Below, verbatim from Linda Kleindiest:

By Linda Kleindienst and Josh Hafenbrack Tallahassee Bureau
October 30, 2007

Tallahassee - It's now up to Florida voters to say whether the state Legislature has given them the property tax relief they want.On Monday, the state House and Senate approved a trimmed-down tax break package they hope will kick-start the state's ailing housing market by doubling the $25,000 homestead exemption and allowing homesteaders to take Save Our Homes benefits with them when they buy a new house.The average homeowner will see a $220 annual tax break.
Related links
Property Taxes
It will take a 60 percent vote of those who turn out for the Jan. 29 special election to make the tax breaks part of the state constitution."What happened today is historic," said Gov. Charlie Crist, who campaigned last year on the need to provide tax relief. "It's now in the hands of the people."The plan leaves the current Save Our Home provision untouched, capping tax increases on homesteaded property at 3 percent annually.Very similar to what the Senate passed nearly two weeks ago, the bipartisan plan crafted by Senate leaders echoes an agreement that both chambers had with Crist before they started this, their fourth special session of the year, on Oct. 12.The Senate, hoping to break a legislative logjam, passed the proposed constitutional amendment in a 35-4 vote early Monday, shipped it over to the House and went home. Rather than have nothing to put on the January ballot, a reluctant House signed off on the Senate plan in a 97-18 vote after hours of debate.In a rare move, Speaker Marco Rubio made an impassioned speech from the House floor urging members to support the plan.Estimated to give $12.4 billion in tax relief over five years, the plan gives the biggest breaks to longtime Florida residents who want to buy a new home but have been reluctant because of the higher property taxes they'd likely face, even on smaller homes."Portability" is considered a linchpin of the tax plan because it will allow longtime homesteaders to move and take their accrued Save Our Homes tax break with them. Senate leaders say their polls show that 20 percent to 30 percent of the state's homeowners want to move into other homes but are reticent because of the massive tax hikes they might face.The plan would allow homesteaders to take up to $500,000 in their Save Our Homes savings with them when moving into a new home."It is an economic booster," said Senate Majority Leader Dan Webster. R-Winter Garden, of the portability provision. "This allows people to move elsewhere. They can buy a bigger or better home, pay a little more in taxes, but not get hit with the whole load."But the plan gives no extra relief for first-time home buyers, low-income elderly, affordable housing units or owners of "working waterfront" properties being priced out of business by soaring assessments.And it provides nowhere near the relief for permanent residents that House members had called for with their plan to cap non-homestead assessments at 5 percent and establish a new homestead exemption scheme equal to 40 percent of a county's median home value. That plan would have given Broward and Palm Beach County homeowners a homestead exemption of about $100,000.Juan Lopez, a Miami Lakes homeowner, said he'll grudgingly vote for the amendment in January."The other option is not getting anything and missing out on saving $220," he said, adding the plan's savings are the equivalent of one month's electric bill or maybe two weeks of groceries. "Another example of politicians being out of touch with the common person's struggles."Although today is the deadline for putting a proposed constitutional amendment on the Jan. 29 ballot, Senate leaders made it clear on Monday that they wouldn't stick around the Capitol for another day to continue bickering with House members over the tax package."It was as good as we could have gotten," said Senate Democratic Leader Steve Geller of Cooper City.But the House made plain its disgust with the Senate for disbanding after the vote, smarting that the Senate's maneuvering left little choice but to accept the last-minute package."Our [senators] across the hall didn't work for the best bill," said Rep. Susan Bucher, D-West Palm Beach. "They worked for the best flight home."Some powerful lobbying groups, including the state's teacher union, could campaign against the amendment because of speculation it could cost public schools $2.5 billion over the next five years. Senate staff members estimate the plan could cost Broward and Palm Beach counties' schools $275 million and $332 million, respectively."If you balance a tax break on public school children, that is simply not a good choice," said House Democratic Leader Dan Gelber of Miami Beach.But Senate leaders contend that increased economic activity caused by people buying and selling homes again should make up for that loss with more revenue going into taxes the state levies on real estate transactions.

PS: You comments are welcomed!
PPS: And where is the Florida Lotto moneys going??? Why must homeowners bail out the schools with extra "real estate taxes" ?
And what about homeowers who have no children in schools, paying for services they'll never be using?... (Reverse discrimination, or veiled socialism? ... Did that idea also come from left wingers corrupting the Democratic party?).
Please!
Let's demand that this State's priorities come to order, clean up the possible corruption with the Lotto money (otherwise how could they need to tax homeowners on top of the LOTTO Proceeds?).
It's time to give homeowners the real tax relief they deserve, stop punishing succes in our society, and expose the "behind the scenes ploys" by special interest groups (to which some politicians are indebted) ...
Floridians all work hard to suceed and prosper. We deserve transparent and smaller government, REAL tax cuts, real estate tax relief, and dedicated elected officials, instead of professional politicians filling their coffers at the expense of taxpayers. We do not deseve to have our economy torpedoed by our own elected officials... Enough!
Ray Diaz, GRI

2nd Quarter Market Conditions

2007-10-24T10:41:00.000-04:00

Recently published Florida Association of Realtors (F.A.R.) Press Release.

Attached for your review is a short article showing that real estate market trends are not as dismal as they are being painted by the media (oh! what a surprise! How could they?)
They do it because they can get away with it and there's no control over "freedom of expression", even when that "freedom" is being exercised and aimed at the demoralization of our society... Killing consumer confidence is a time bomb to damage our economy... Why would the media do that to us? (oh, what a surprise!...) Because they'd rather see our country fail, than to succeed... How awful, ain't it? Welcome to the 21st Century's Freedom Of Expression as a Weapon of Mass Destruction... and to top it all: used by American citizens (who needs foreign enemies?)... (oh, what a surprise!)... Sorry about the ranting...
Following is the text of the FAR article, verbatim:

South Florida Real Estate Market Conditions - 2nd Quarter 2007
August 15th, 2007 — Leanne Paynter
The Florida Association of Realtors (F.A.R.) has released the sales reports for the 2nd quarter 2007. Most of the South Florida real estate market is doing reasonably well despite ongoing negative media reports. Comparing the 1st and 2nd quarters of 2007, it seems that the real estate market in Broward County and Palm Beach County improved in recent months. Unfortunately, Miami-Dade County did not fare as well.
Sales of single-family resale homes and condos increased in the greater Fort Lauderdale and West Palm Beach areas when compared to the 1st quarter 2007. Median sales prices also increased in both areas during the same time period.
However, in comparison to the 1st quarter 2007, sales of single-family resale homes decreased in the greater Miami area even while sales of resale condos increased. Although sales of condos increased, the median sales price decreased for both condos and single-family homes in Miami-Dade County.
*Median is the price at which half of the homes sold for more and half sold for less.
Source: Florida Association of Realtors (F.A.R.)

***I'd love to read your comments! Ray Diaz

NATIONAL SALES FIGURES SHOW ENCOURAGING DIRECTIONS...

2007-09-11T10:46:00.000-04:00

Hello again!

Below is an article recently published by the NAR (National Association of Realtors) showing more stable sales figures nationwide this past month.
As an antidote to the mass-media-negative-spinning-poison, I belive the material in this article worthy of your serious consideration, if you're interested in gaining an objective overview of our current real estate market. I sincerely hope that you enjoy this article, reproduced here in its entirety:

National Association of Realtors®
Home > Press Room > News Releases
Existing-Homes Sales Stable In July
WASHINGTON, August 27, 2007 -
Existing-home sales were essentially unchanged in July, with increases in the West and Northeast offset by a decline in the Midwest, according to the National Association of Realtors®.
Total existing-home sales – including single-family, townhomes, condominiums and co-ops – slipped 0.2 percent to a seasonally adjusted annual rate1 of 5.75 million units in July from an upwardly revised pace of 5.76 million in June, and are 9.0 percent below the 6.32 million-unit level in July 2006.
Lawrence Yun, NAR senior economist, said the market is holding on despite temporary mortgage disruptions. “Home sales probably would be rising in the absence of the mortgage liquidity issues of the past two months,” he said. “Some buyers with contracts have been scrambling when loan commitments did not materialize at the last moment, while other potential buyers are simply waiting for the mortgage market to stabilize.
“The rise in sales and prices in the Northeast region on a fairly consistent basis in recent months is promising because this was the first region that underwent sales and price weakness after the boom. Now, it appears that it will be the first region to climb back, indicating that other regions could follow a similar path.”
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage was 6.70 percent in July, up from 6.66 percent in June; the rate was 6.76 percent in July 2006. Last week, Freddie Mac reported the 30-year fixed rate dropped to 6.52 percent.
The national median existing-home price2 for all housing types was $228,900 in July, down 0.6 percent from July 2006 when the median was $230,200, the highest monthly price on record. The median is a typical market price where half of the homes sold for more and half sold for less.
Total housing inventory rose 5.1 percent at the end of July to 4.59 million existing homes available for sale, which represents a 9.6-month supply at the current sales pace, up from an upwardly revised 9.1-month supply in June.
NAR President Pat V. Combs, from Grand Rapids, Mich., and vice president of Coldwell Banker-AJS-Schmidt, said that mortgages are available for the majority of potential buyers. “For buyers able to qualify for conventional financing, there are ample opportunities in the current market,” she said. “Availability and pricing of conventional loans are reasonable, and FHA-insured mortgage applications have been rising as low- and moderate-income buyers seek alternatives to subprime loans. If buyers are in it for the long haul, now can be a good time to get into your home.”
Combs added it’s important to boost FHA’s viability. “NAR is advocating for a stronger FHA to help creditworthy borrowers who may be trapped in subprime loans with unfavorable terms,” she said. “We’d also like to see the elimination of prepayment penalties, which can trap borrowers in mortgages they can no longer afford.”
Single-family home sales slipped 0.4 percent to a seasonally adjusted annual rate of 5.00 million in July from an upwardly revised level of 5.02 million in June, and are 9.3 percent below the year-ago pace of 5.51 million units. The median existing single-family home price was $228,600 in July, down 1.0 percent from July 2006.
Existing condominium and co-op sales rose 1.4 percent to a seasonally adjusted annual rate of 750,000 units in July from 740,000 in June, but are 7.5 percent below the 811,000-unit level in July 2006. The median existing condo price3 was $230,600 in July, up 2.4 percent from a year ago.
Regionally, existing-home sales in the West rose 1.8 percent in July to an annual pace of 1.12 million, but are 15.2 percent below a year ago. The median price in the West was $349,400, up 0.9 percent from July 2006.
Existing-home sales in the Northeast increased 1.0 percent to a level of 1.02 million in July, but are 2.9 percent lower than July 2006. The median existing-home price in the Northeast was $290,900, up 5.9 percent from a year ago.
Existing-home sales in the South were unchanged at an annual rate of 2.26 million in July, but are 10.7 percent below a year ago. The median price in the South was $186,300, down 3.2 percent from July 2006.
Existing-home sales in the Midwest fell 2.2 percent in July to a level of 1.35 million, and are 5.6 percent below July 2006. The median price in the Midwest was $173,800, which is 1.8 percent below a year ago.
The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.3 million members involved in all aspects of the residential and commercial real estate industries.
# # #

I hope you found this information helpful. With so many voices out there tellling us "the sky is falling", perhaps the voice of objective statistics will instill hope & confidence in the hearts and minds of Buyers and Sellers in our area...
Best wishes...

And please feel free to post your own comments! Till next time!
Ray Diaz, GRI, Realtor

NEGATIVE MEDIA MONGERS & REAL ESTATE SALES IN BROWARD COUNTY, FLORIDA

2007-08-20T12:10:00.000-04:00

SINGLE FAMILY HOMES IN BROWARD COUNTY:
THE LAST 6 MONTHS:
This past February, there were 1 % more single family home (sfh) listings in Broward County, than there were a year ago, during February of 2006…
But, this past March, there were 3 % less sfh listings than on March of 2006…
Last April, there were 6 % less sfh listings than on April of 2006…
Last May, there were 14 % less sfh listings than on May of 2006…
Last June there were 16 % less sfh listings than on June of 2006…
Last July there were 17 % less sfh listings than on July of 2006…
See the gradual reduction in the number of houses for sale?
The less the supply, the higher the demand, no?
Significant? Is this not a positive trend which should be publicized,
to stimulate & encourage the buying public’s confidence?
Why don’t these factual and positive figures get picked up by the mass media?
This data is available at the website for Realtor Assoc. of Greater Ft. Lauderdale:
http://www.r-world.com/ to anyone interested enough to do the research themselves.
Last Feb.’s Average Sale Price of sfh’s (over Feb. 2006 average) was up by 5 %.
Last March’s, Average Sale Price of sfh’s (over March 2006’s average) was up by 6 %
Last April’s, Average Sale Price of sfh’s (over April 2006’s average) was up by 6 %
Last May’s, Average Sale Price of sfh’s (over May 2006’s average) was up by 4 %
Last June’s Average Sale Price of sfh’s (over June 2006’s average) was up by 9 %
Last July’s Average Sale Price of sfh’s (over July 2006’s average) was up by 3 %
Why don’t these encouraging figures get published by the mass media?
When, for example, In December of 2006, the number of homes that were taking more than 121 days to close was up by a whopping 300 %. That has tapered down these past 6 months to 167 % in February, 158 % in March , 120 % in April, 129 % in May, 120 % in June, and 120 % in July. That’s an average of 115 %. This is less than half of what it was last December!
Homes are still taking a long time to sell (especially when priced above their current market value).
All in all, though, there are encouraging trends... or am I delusional in my brutal optimism?
Are we in one of the toughest real estate markets that our area has seen in decades?
The answer is Yes.
And, are there positive trends beginning to develop already?
I believe that answer is also Yes. See the figures above!
So, what’s the problem with home sales in our area?
In large part, the fault is the media’s, yes... but the fault also falls upon those homeowners who insist on listing their homes for sale in the current market at way over the current market value of their property.
And, also in part, by those real estate agents willing to take on a listing, which is priced way over its current market value.
The average monthly "Total Sold Dollar Volume" for single family homes in Broward County during the past 6 months is down by an average of almost 20% over last years’ figures.
But, that SAME monthly average "Total Sold Dollar Volume" comes to a total of $281,306,000.00.
That means in plain English that an average of over $281 million dollars per month have been changing hands monthly, during the past 6 months, in the sale of single family homes in Broward County.
SO . . . HOMES ARE SELLING! At a monthly average of total sales of over 281 million dollars' worth ... (even if it's 20% down from last year's...).
Which homes sold? Ahhh... there's the rub!
Sellers in general expect more money for their homes than what the current market value of the property warrants. This belief is partly human nature, and partly the result of inflated prices over the past few years. It is the owners' real estate agents’ responsibility to give their customers the real facts in this soft market. Many homeowners develop unrealistic expectations about how soon they will be selling their home, tending to expect the same market activity that flourished until 1-2 years ago. They also believed their agent's initial agreement with the seller's own asking price. . .
Homeowners must accept that home prices have fallen considerably from what they were 1-2 years ago. If they fail to accept this, an overpriced listing will become “invisible” in the eyes of Buyers and Buyers’ Agents, who will seek out & choose the very many available & lower priced comparable homes within any price range for any particular neighborhood within our County. It's that simple, and that difficult for a homeowner to accept...
HOMES WILL NOT SELL AT ABOVE
CURRENT MARKET VALUE
IN TODAY'S MARKET.
NOT NOW, AND SELDOM IN MOST BUYERS' MARKETS.
CURRENT MARKET VALUE FOR A HOME, IS ESTABLISHED BY THE AVERAGE SOLD PRICE OF SIMILAR HOMES IN A PARTICULAR AREA DURING THE PAST 3-4 MONTHS. BY THAT, IS MARKET VALUE ESTABLISHED, FOR ANY PROPERTY, IN ANY MARKET CONDITION.
It’s the listing agent’s job to educate their sellers to accept the difficult realities of the current market… Listing a property way above its current market value is not fair to the homeowner, or to the real estate industry. We all need to be objective (the press, the homeowners and the real estate agents), about dealing with these realities if we are to turn the market around from its present state. Selling a home is a true team effort.
Why does the media, then, continue to focus on the worst scenarios when there is factual evidence to the contrary? To undermine consumer confidence? For whar reason or purpose? The unwillingness on the part of some in press to give objective information may be due in part to their personal political views (even though a political bias seems to be an ethical breach of the essence of their own profession)…
Are we going to continue to allow some media mercenaries spinning in favor of private &/or political interests tell us what to think, what to believe, or how to interpret the news. Will we allow their transparent brainwashing to take hold 'till we become permanently catatonic?
With a “free press” like we have at present, who needs foreign terrorists and enemies beyond our borders; when in fact, the most effective enemies we have are native born, living among us, and doing the work of destabilizing our country from within… subtly, daily, and relentlessly.
We listen to them in radio & TV daily, and read their thoughts every day in newspapers & magazines!
These are critical times for the future of our country. Look carefully at the sources of information you choose to accept as "truth".
If we allow evil intentions from some in the press to continue undermining us, it will affect not only the real estate industry, the construction industry, and the investor blocks. Gradually, like dominoes in a falling line, all aspects of our economy will continue to be affected by this process of repeatedly being told that there is nothing to be done, that we're in a crisis, that the economy is the worst in 30 years (which, of course is just the opposite!), etc.
And who, if not each one of us, in our own special ways, to make it our business to fight back and expose some of these powerful individuals & institutions obsessed with presenting our nation's condition in the worst possible light,and who have made an art out of spinning good news into bad news... and the bad news into worse news of catastrophic proportions?
Hope to hear from you!
Please post your comments in this blog!
Thanks for visiting!
Ray Diaz, GRI, Realtor

Selling or Buying a Home in Ft. Lauderdale?

2007-08-13T10:09:00.000-04:00

The bubble has burst!
THE BUBBLE HAS BURST!
Yeah! Yeah! Yeah!
And the greenhouse effect will eat us up in little pieces, asteroids will make ashes of the planet , climate change will leave Florida underwater; and oh, yes, interest rates, real estate taxes & home insurance costs have permanently killed the real estate market in South Florida (and in most of the country)...
All that is, of course... ONLY if you let the media

brainwash you

into their alarmist & purposely negative thinking...

Because prices were being inflated beyond their true value by speculators, appraisers and even lenders for the past 6-8 years in our area, a major pricing adjustment was bound to take place in our real estate market sooner than later... And, that, it has.

But from that... to the nationwide panic which our censoring (free) media continues to inject & bombard into us (apparently hoping for a paralysis on decision-making regarding buying or selling our homes), is a science-fiction quantum leap!!!

This mass-panic, by the way, is being cleverly & relentlessly instilled within our thinking by the same (free) press who displays subtle nation-wide repudiation towards any who dare to speak out a different opinion than their own...

I say: Take their masks off!
Expose these media agents who undermine the very fiber of our way of life with anti-Americanism, for what they are...
And, worst of all, this negativism is being played out under the guise of "freedom of expression"... It's like a tiger eating himself by its own tail...
The nerve! Freedom of expression available nationally to the media, who then selectively interprets the news, and then in an affront of grand proportions, proceeds to tells us what to think about the news. By this point, the "real news" have become a mere echo of a faint idea, cleverly obscured by the censors of our society: our very own American "free press".

To those of us under their "powers", I say: Fight back!
Turn this trend around and expose the press for what they are becoming: sensationalists seeking to keep the public in the dark about the best things happening in our country, while turning into surrealistic nightmares those issues which (after their free-press-censoring-techniques) appear to so overwhelmingly negative in our eyes, that our only alternative becomes one of giving up... and expecting the worst.
The quicker we get back to living our lives as we have always done, the quicker the real estate market will "stabilize".
It's up to all of us, and not up to what the press chooses to put out this week to demoralize us yet, another notch...
It is up to each and everyone of us to stand up and demand a true account of the news, and not political opinions and propaganda. Personally I hold the media responsible for many of the problems with which we live today. It's thanks to their undermining and relentless repetition of the worst projections imaginable, that we as a society are succumbing to gradually accept as "truth".
The quicker we understand the artificial effects of our press upon reality, the quicker we can all get back to the selling and buying of our homes with the positive expectations which are the building blocks that have created this great country of ours; and has converted it into a beacon of hope for the world...
How about posting your comments in my blog? Looking forward to reading them!