Located on 63rd Manor in prestigious Rolling Oaks subdivision of Southwest Ranches, Florida, this is absolutely the best priced 2-acre lot within the city.  The reasons that this could in fact be the best deal are the following:

• The acreage is fully entitled for immediate residential build;
• The wetland delineation and determinations have been done, mitigation has been addressed  and there are absolutely no issues with this beautiful property;
• It is located within the subdivision of Rolling Oaks on a picturesque cul-de-sac and nestled between fabulous homes.
• Priced at $329,000, lots of similar quality fetched over $1,000,000 just a few years ago.

If you are looking for a deal and haven’t found one yet, this is it. Don’t settle for a million dollar home that’s not exactly what you want. Buy this land for pennies on the dollar and build your dream home today!

reduced listing – this is REAL VALUE!

Just a quick update on my listing in Hawk’s Landing, a premier subdivision in Plantation, FL.  10805 Golden Eagle Court has just been reduced to $2,199,000.  This is very aggressive pricing considering the following factors and features:

As a buyer or seller, while this news will not be a boon to the market or a catalyst for near-term growth, it does help to alleviate the negativity surrounding the sector in general. The masses are concerned with other “more important” things and as such, the cycle of a complete real estate crest and trough may finally be over. If so, it certainly begs the question “where do we go from here?”

In my opinion, we are now basing steadily, beginning to wade through massive inventory levels and will soon begin to see low-single-digit appreciation. Gone are the days, at least for now, of monster double-digit annualized growth. Remember, when the real estate market got hot, there were a number of factors facilitating that move.

The first catalyst was a tremendous shift in the mindset of investors who, disenchanted with the securities markets, opted to move money to the real estate sector in favor of a more tangible investment. When this happened, the momentum in real estate started to pick up in a healthy way, but soon the normalcy of the shift began to take on some bad habits.

Although tremendous amounts of capital were redirected and infused into the real estate sector, this proved too smooth a transition for banks and brokerages, who, self-admittedly, created serious problems. How so? If you recall, the shift of monies from the stock market to the real estate market, although healthy for purposes of accelerating growth in the real estate sector, was NOT anything out of the ordinary. It wasn’t until the introduction of “creative financing” that the real fun started. Every Tom, Dick and Harry soon “qualified” for a loan on not only overpriced primary residences but countless investment properties as well.

Teaser rates and NINJA loans (No Income, No Job, No Assets) somehow entered the mainstream and caused … Well, I think you know what it caused. In an effort to continue rapid acceleration in the housing market, bankers threw out the model of what typified a solid loan candidate. When they did that, the market erupted, that is, until it didn’t.

Now, banks, brokerages and lenders of all types have been shell-shocked to the point of erring on the side of extreme caution, that is, refusing to lend to those applicants who were once considered acceptable risks. So, for those few who can actually prove income, hold down a steady job and maintain good credit, a home loan is still NOT a lock.

When will home prices go up? First the real estate sector will need to base healthily for a while; then, lenders will need to tread back into the water and trust that their core business of lending actually works when done correctly; and finally, genuine confidence of buyers, sellers and lenders alike must come back for this market to rebound successfully.

Jason Kapit, Esq. is a Realtor with EWM, Weston Town Center. Contact Jason at 954.650.4443, buzz@jasonkapit.com or www.jasonkapit.com.

Parkland Golf & CC Caseras townhome, 3 bed / 2 bath – 100 feet from pg&cc driving range and putting green! Phenomenal deal – not a short sale – seller willing to take a loss – fabulous, never lived in corner unit is perfectly located in Caseras for complete privacy. Features include: crown molding, granite kitchen, marble floors, and hurricane impact glass. Private long drive ample guest parking and steps to the pool . USD $439,000 – www.7683caseras.info

There are thirteen separate parcels, with road frontage that collectively make up approximately 938.6 acres of contiguous raw land (offered @ $14,000/acre – $13,140,400) in Polk County.

The specific location is Deen Still Road in Davenport, FL approximately 2 miles north of intersection US 27 and Interstate 4.  Once you approach Deen Still Road, you continue west approximately 2 ½ miles to an unpaved gated road (Wheeler Rd.) This road defined the western border of the property which runs on both sides of Deen Still Rd.  Although divisible, this property is only for sale in total.  It is very saleable as it is the only piece of its size for sale in this area and currently lies between two very beneficial pieces of property.  The east bordering property was recently rezoned residential (1:10 density) and custom homes are currently being sold.  The west bordering property was recently purchased by Rinker Development.

All parcels offered for sale have multiple designations per Polk County.  Those designations include allowances for:
[1] Residential homes (1:20 density)

[2] General use

[3] Agricultural

Of utmost importance is the fact that this property is situated in the Green Swamp.  Although this is an environmentally sensitive area and has been limited to agricultural uses in the past, Polk County has recently revised its policy of development in this area and has recently granted Florida Pines, a neighborhood on U.S. 27 the right to construct 260 single-family homes on a 65 acre tract of farmland.  Although this tract of land is in the Green Swamp, the ruling has essentially shown that Polk County is receptive to commercial and residential growth when economically sound as compared to the detrimental effect on the environment.

As a result of ongoing development and this new ruling, these parcels now have tremendous potential as rapid growth is currently underway in this immediate Orlando area.  The area is positioned for revitalization as both the Marriott and Omni International have begun construction of Hotel & Condominiums minutes away from the site.  Adjacent to thriving hotel and retail facilities, newly designed Champions Gate community and Golf Course (designed by Greg Norman, and current site of the Office Depot Championship), as well as world headquarters of the David Leadbetter Golf Academy have brought a new dimension to the area.  Victor Posner Development companies have also started to build what is referred to as Posner Park, a 366 acre mixed use development comprised of a business and office park, 2,600 hotel rooms, and 1,991 residential units.  This project is 2 miles from Deen Still Road.

At this time, the perfect buyer profile would be:

[1] Investors;
[2] Clients who require 1031 exchanges;
[3] Builders/Developers requiring land banks for future use; (very low impact fees)
[4] Builders/Developers requiring additional lands for mitigation purposes;
[5] Builders/Developers who can absorb costs associated with rezoning, county and governmental regulations in an effort to utilize the property immediately.

For more information, please contact me directly at buzz@jasonkapit.com, (954)650-4443 or www.orlando938acres.info

The issues surrounding short sales have become almost mainstream today.  Can’t afford your home?  Avoid foreclosure via the short sale.  Is it that easy?  Not by a long shot.

Truth. The banks don’t have the staff to explain it and I am not even sure they could explain it if they did because short selling is essentially new to the banking system and although they have dealt with similar scenarios in the past, never before has there been the volume, UNTIL NOW.

The best way for me to explain why you need to be PERFECT if you are a seller who is considering a short sale is by scenario:

Suppose you have a mortgage or mortgages on your home totaling $800,000.  Your home is worth $600,000.  The following two questions need to be addressed before the banks will even consider allowance of a short sale.

[1] Is there a financial hardship?  No hardship – no short sale.  (i.e. “I am strapped for cash and I don’t want to sell my other 9 investments properties in this environment” won’t cut it)
[2] Are you current?  This is tricky but if you are current on your loan(s), you may not qualify for the short sale scenario either, because without a solid argument, there is no hardship, YET.

Assuming, the answer to number one is ”yes” (you will have to prove it) and the answer to two is “no”, you may then , subject to lender approval, try and sell your home in this market but you better be PERFECT in execution,  otherwise you may be doomed to foreclosure.

PERFECT in timing and pricing.  The two are inter-related and if you can not adequately execute both, you will be in trouble.

[1] Timing.  You don’t have much time.  Sure there will be people out there that will beg to differ and argue that you can stall an inevitable foreclosure for months and even years…which may be the tactic of choice if you wish to continue the daily stress involved for months or even years.  I think you would have to be a sadist but who am I to judge.  Assuming you are not, the goal is to quickly put an end to this, which leads to pricing.

[2] Pricing.  Sounds easy but it isn’t.  Here’s why.  There are two trains of thought on this.  [1] Price as close as you can to recovering the full debt even when comparables dictate a lower selling price.  Insane idea, never works.  [1] Price it rock-bottom, essentially ringing the dinner bell for all vultures to come by for a quick pick-up.  Also insane, works every time, but many times with dire consequences.  Pricing too low is often a mistake made by a seller who is elated by the bank’s allowance of a short-sale scenario.  Sellers misunderstand the effect of the short-sale as they often equate it to a do-over, even though a majority of the time it is not.

The short sale will allow the seller to avoid the ominous default and ultimate foreclosure which may undoubtedly wreck their credit but, IT WILL NOT AUTOMATICALLY RESET THE DEBT (shortage) OWED!  For instance, if you owed $800,000 and the short sale of your home recovers $600,000, the shortage of $200,000 is still in question.  More often than not, the shortage will be designated as a collectible balance.  It is still a deficiency and a recorded judgment, much like the original mortgage.  On some occasions, banks quash the entire debt and absorb the loss but with the amount of short sales occurring, lenders are in no position to write down these losses so long as they are not going to have to hold onto tangible assets.

Bottom Line:  If you are even remotely thinking about selling your home via the short sale process, understand that it is a PROCESS that requires real guidance and precision to navigate successfully.  For questions regarding your specific situation, my contact information is below.

Jason Kapit, Esq. is a Realtor with EWM. Contact Jason at 954.650.4443, buzz@jasonkapit.com or www.jasonkapit.com.

Worth mentioning: The last time bad weather hit, food and power were scarce and fuel climbed over $4.00 per gallon (even though it was then priced at approximately $2.00 per gallon). Imagine what would happen to the price of fuel in the event of another catastrophe?  Do you actually think reparations will be timely made following another active storm season? Believe it or not, there are some repairs that have still not been made YEARS AFTER the last active storm season.

Memories of the 2005 hurricane season were short lived, 2006 and 2007 were a gift, and this year’s warnings will not be heeded and unfortunately, havoc is bound to occur. The reality: Inland Florida is no longer a safe haven from hurricanes. Wilma taught us that no matter how far inland we are, Mother Nature can be a destructive force. Roofers and landscapers are now on everyone’s speed dial. Disaster restoration companies have taken over and hurricane shutter and impact glass companies will have steady work for years to come.

YES, hurricane shutters or impact glass, as costly as they may be, are worth every penny. Why? Very simple. They add security, protection and VALUE to your home! Security and protection are a given. The value aspect is worth commenting on. Recently, clients of mine inquired into the cost of accordion style shutters for their 5,000 square foot, single-story home. The quote was upwards of $35,000. Outrageous? At first glance, maybe, but in reality, how do you substantiate the purchase of a $1,500,000 home and then decide that $35,000 of weather protection is absurd? You have to factor in the cost of protecting [1] your most expensive tangible asset and [2] your family, certainly the most precious.

Forward look: If you already have hurricane protection for your home, great. If not, it’s a bit late to start your hurricane protection quest, but give it a shot. Speak to neighbors or friends who have protection and fared well, and ask for recommendations. Additionally, speak to your homeowners insurance company about [1] discounts for hurricane safety protection and [2] determining whether your policy limits reflect the true replacement cost of your home.Remember, we have seen tremendous appreciation over the past few years as well as substantial fall-off. It is vital to properly determine the true value of your home for purposes of insuring both dwelling and contents.

Lastly, I have received a lot of questions regarding what types of damage you can file a claim for as a result of a hurricane. This too is a question for your insurance professional, but in speaking with a few CPAs, it has been brought to my attention that if the damage sustained is less than your hurricane deductible, you still may have recourse filing the damage as a “casualty loss”. Once again, you should confirm this with your tax advisor but with so many housing and financial issues in the air; make sure you obtain sound advice. Wishing you all a safe summer 2008!

What makes for a decent rental environment? Under normal circumstances, rentals thrive when market prices are out of reach and mortgage requirements are hard to satisfy. I would suggest to you that even with the retreat of home prices over the past 24 months, home prices are still hanging in there. Additionally, the sub-prime mortgage debacle has all but put an end to anyone on the bubble thinking they might qualify for a home loan. Lenders have changed their tune rather quickly regarding who they consider to be a good risk when it comes to providing credit. This alone shrinks the buyers’ pool considerably.

It follows that this would catapult the rental market. Not so fast! Delving into South Florida’s market, one can make the argument that rentals are in as much trouble as sales. The reasons: [1] conversion reversions and [2] fractured condos. These two wordy concepts are becoming mainstream in light of the oversaturated condo glut. Let’s start with the first.

[1] Conversion reversion. When the market was hot, condo conversions were all the rage. VC funds, developers and anyone who get their hands on enough money to buy apartment buildings, (typically those needing updating), bought up quickly and soon thereafter were slated to become condos for purchase. The new owners would give tenants the right to purchase their unit at a reduced price. If they refused, their lease was not renewed. Obviously, we know what happened next and many of these conversions did not pan out, whether due to market melt down, lack of funds to finish the project or any number of other factors. In an effort to make up losses, condo conversions are now being converted back to apartments for rent.

[2] Fractured condos. A fractured condo is the result of weak sales within the newly developed condo. Suppose a 500 unit condo is being built on the beach. Sales start out brisk, exceeding 50%, which is normally the required threshold for funding the build-out. Construction begins, sales continue and ultimately the building is complete. Purchasers have moved in, but wait. Only 75% of the building is sold and sales going forward are next to nill. What are developers doing? You guessed it. They are offering the units for rent, much to the dismay of end-user purchasers, hoping for a non-transient building. Now they must deal with short-term renters and who knows what else.

The bottom line: The market was weak to begin with. When you consider these above two factors, the rental market picture seems even bleaker. Rental vacancies in Miami-Dade and Broward have tripled over the past year. Don’t get me wrong. The rental market is not dead and there are many renters that need a place to live, but problems do persist in this segment of the real estate market. Inventories (both for-sale and rental units), are saturated and you are just going to have to be patient and wait for the upswing of the cycle to return.

Jason Kapit, Esq. is a Realtor with EWM. To contact him, email buzz@jasonkapit.com visit www.jasonkapit.com

Commissions: A typical full service agent’s commission ranges from 5-7% (i.e. on the sale of a $500,000 home, the commission earned is between $25,000 and $35,000). That is a lot of money to anyone. As staggering as this sounds, many sellers do not realize that 80% of homes are sold by realtors and that these homes are consistently sold for far more money than “by owner” sales — 27% more on average, according to the National Association of REALTORS^® Profile of Home Buyers and Sellers. Suddenly, paying a 5-7% commission makes a lot more sense, because in the long run, the use of a Realtor’s^® services yields a higher profit on the sale of your home, even after you have paid commissions.

Representation: The old adage, “He who represents himself has a fool for a client,” has universal application. It is not just for lawyers. Today’s market is much different than in years past. Consider that just 3 years ago there were approximately 150 single-family homes for sale in all of Weston. Now there are over 900. Inventory has literally quintupled and economists predict that there is a minimum of 30 months worth of inventory to be sold. Realtors^® are extensively skilled and trained to accurately price and market properties to qualified buyers (via print media, internet, television, MLS, etc.) Additionally, your Realtor^® should gather feedback from selling agents, negotiate contracts, and ultimately oversee that mortgage applications/approvals, inspections, appraisals, walkthroughs and most importantly a successful closing all take place in a timely and professional manner.

Marketing: Make no mistake about it. The key to selling in this environment is aggressive marketing, that is, exposing the property to as many qualified candidates as possible. Simply putting a sign up in front of the property or adding it to the MLS (Multiple Listing Service) will do very little in a market where inventory levels are high and similar homes exist for sale. You need exceptional marketing. Hoping and praying for an offer is futile and a complete waste of time.

The answer: An emotional attachment to and a legal ownership of your home does not necessarily suggest that you are the most qualified person to sell it. Hire a Realtor^®. You will be way ahead of the game by saving time and money. If money is the issue and you are looking to “net” more, hire a Realtor^®. If your reason for selling “by owner” is based upon negative past experiences with a realtor, you have not found the right one. Would you stop dining out entirely because the service in one restaurant was bad in the past? Residential real estate is a relationship business built on trust and professionalism. Just as important as the decision of whether to sell your home, so too is the decision of who should sell it. Buying and selling your home may possibly be the biggest monetary transaction of your life. Make informed decisions and you will be fine.

Jason Kapit, Esq. is a Realtor^® with EWM. To contact him, email kapit.j@ewm.com or visit www.JasonKapit.com