Sarasota, FL #1-biggest bang for your buck?! (homes, buying)

[Big House]

Originally Posted by Ron Serrano

I am looking to invest in a rental property in Florida. Is there anything under $60,000 that can result in a positive cash flow?

There are a lot of great deals in Florida right now. It is best if you can do an all cash deal. You need to be careful and run a good analysis on the numbers, investigate the income revenue, taxes, insurance, replacement reserve needed, (debt service costs if not all cash), status of major equipment and appliances, utility and sewer and water costs, and others. But the deals right now really look great! There are going to be some good deals for a while, so you need to consider the best one (or more maybe) to do, because there are many opportunities. You're talking to one of the best agents around by the way! SoFlGal knows the whole market, and all the important factors to consider better than most people, and if you are from out of state, she has relationships with many of the other businesses you will need to make a deal work for you.

[seain dublin]

Does she mention that the job market is bad in Florida? Or the number of people who have underwater mortgages because they're paying more than the home is now worth.

Or how existing homeowners have lost money on their home? How does someone who owns their home outright fit in?

That some would like to sell but they would be taking a loss.

At the end of the day there has to be more than a good deal on a home. You have to factor in job market and the schools unless you are retired and your children are grown.

When the prices are lower there is a reason for that.

Areas that have opporutunity don't have rock bottom home prices.

And what about back taxes on a foreclosed property, who is responsible for that?

[SoFLGal]

Originally Posted by seain dublin

Does she mention that the job market is bad in Florida? Or the number of people who have underwater mortgages because they're paying more than the home is now worth.

Or how existing homeowners have lost money on their home? How does someone who owns their home outright fit in?

That some would like to sell but they would be taking a loss.

At the end of the day there has to be more than a good deal on a home. You have to factor in job market and the schools unless you are retired and your children are grown.

When the prices are lower there is a reason for that.

Areas that have opporutunity don't have rock bottom home prices.

And what about back taxes on a foreclosed property, who is responsible for that?

Yes, if you look through thread after thread and read my posts I often mention the poor job market. But I don't think this area is the only area with a less than stellar job market right now.

All foreclosed properties must have the liens, back taxes, etc cleared before closing. They would not be able to close in the state of Florida with a cloud on the title. I sell for many banks in the area and can tell you that this is a fact because I'm on the front lines making sure any lien, taxes, etc have been cleared from the property and sending the required paperwork to the banks.

I'm not sure what the point of the rest of your post is? How someone that owns their home out right would fit in??? It's a well known fact that many in this area have lost money on their homes.

[SoFLGal]

Originally Posted by HenryHelmhazzard

Thanks for the feedback. I spoke to someone earlier in the year (Aprilish) at Bank of America about a refi to take advantage of the lower rates. He said they often referred to Zillow at his office. Interesting, and a little frightening. Since then, we've had some work done to the house and are thinking about putting an application in to get the ball rolling. I've heard of enormous delays...

Wow! That's really scary that BofA is relying on Zillow.

[Big House]

Originally Posted by SoFLGal

Yes, if you look through thread after thread and read my posts I often mention the poor job market. But I don't think this area is the only area with a less than stellar job market right now.

All foreclosed properties must have the liens, back taxes, etc cleared before closing. They would not be able to close in the state of Florida with a cloud on the title. I sell for many banks in the area and can tell you that this is a fact because I'm on the front lines making sure any lien, taxes, etc have been cleared from the property and sending the required paperwork to the banks.

I'm not sure what the point of the rest of your post is? How someone that owns their home out right would fit in??? It's a well known fact that many in this area have lost money on their homes.

That's true, and at the same time many of the investors today are making great deals - in Florida. Last year, I bought my home at foreclosure, paid 65% less than what it was last sold for. I didn't buy it to sell it or flip it, and I expect then when I ever sell it I will end up in a positive position on it.
Many houses are selling now for less than cost! Investors can buy a number of good properties and rent them out that will more than cover the loan/debt service. I've seen many great investment deals, and am strongly thinking of buying some when I come down.

[jvelte]

Originally Posted by tommy-105

She also says that it's easy to get a job in Lansing Michigan (it's number three on her list as far as deals go) and mentions that Saginaw (#10) and Grand Rapids (#5) Michigan have jobs as well. I was under the impression that things were really tough in Michigan. Maybe they're low paying jobs like here.

I grew up in MI (in and around Grand Rapids). Fantastic area with lots to do. I disagree with her somewhat on jobs though. The automotive industry slowdown has killed the state, but Grand Rapids is very diverse and has a huge healthcare and technology platform for added support. Saginaw, NO IDEA how she came up with #10 there. Lansing... unless government or MSU jobs, which are both suffering from budget deficits. Grand Rapids is definitely the shining star of the state right now.

[seain dublin]

Originally Posted by SoFLGal

Yes, if you look through thread after thread and read my posts I often mention the poor job market. But I don't think this area is the only area with a less than stellar job market right now.

All foreclosed properties must have the liens, back taxes, etc cleared before closing. They would not be able to close in the state of Florida with a cloud on the title. I sell for many banks in the area and can tell you that this is a fact because I'm on the front lines making sure any lien, taxes, etc have been cleared from the property and sending the required paperwork to the banks.

I'm not sure what the point of the rest of your post is? How someone that owns their home out right would fit in??? It's a well known fact that many in this area have lost money on their homes.

Actually my comments regarding the job market had to with what this Barbara Corcoran said, I asked did she mention the poor job market in FL.

Yes it is bad everywhere but FL has been very hard hit.

My point was regarding existing homeowners is that perspective buyers should be made aware that homeowners in this area have been especially hard hit when it comes to taking a loss.

There is more to life than a good deal on a house, FL got into this mess and is now#2 or #3 in foreclosures because too many people were put into houses they couldn't afford.

If she is targeting retired people fine, but those who need to work for a living need to factor in can I get a job, and can I get a job that will allow me to live a comfortable life, and pay the mortgage.

Again an area that offers opportunity isn't going to have the rock bottom prices.People need to be able to pay the mortgage once they decide on a house...that's all.

Not everybody may be aware about how far home values have fallen especially if they're not familar with the area.

Well I tell people in other states they're shocked. Home values have dropped everywhere, but again FL took a really bad hit.

You are aware because you're in the business. But someone in NJ who doesn't know the right questions to ask could be clueless.

60 Minutes did a profile on the housing crisis and the whole story was centered in FL. It showed how people got in over their heads.

We paid 20% down on our first home. We never would have done what some of these people have done with 0%,that NEVER should have been allowed.

[tommy-105]

Originally Posted by jvelte

Saginaw, NO IDEA how she came up with #10 there.

I don't think this was necessarily a "best place to live" list. It think it had more to do with getting a good deal.

I thought SoFLGal explained it real well at the beginning of the thread:
"Barbara states that these areas are the areas where prices have dropped the most but in the last quarter, prices are shooting up"

Sarasota had the best ratio of price drop verses speed of upswing. At least that's how I understood it.

Seems like an ideal situation for someone like Chrissy who seems confident about her employment.

[Scots]

Originally Posted by jvelte

I grew up in MI (in and around Grand Rapids). Fantastic area with lots to do. I disagree with her somewhat on jobs though. The automotive industry slowdown has killed the state, but Grand Rapids is very diverse and has a huge healthcare and technology platform for added support. Saginaw, NO IDEA how she came up with #10 there. Lansing... unless government or MSU jobs, which are both suffering from budget deficits. Grand Rapids is definitely the shining star of the state right now.

I agree, I lived in East Lansing (home of MSU) for 13 years, up until 3 years ago, and still have many friends there. I can tell you that Lansing is still hurting big-time. Michigan's economy is one of the worst in the US, as is unemployment, and Lansing has a long way to go before it will be on the upswing. If the point of the Today Show segment was that housing is cheap (it is), has fallen hugely (it has), and might be ticking up, then ok, but if the idea is to suggest that people should move there, then I don't get it. There are no jobs in Lansing and the state has been trying for a long time to replace the auto industry with something else. Foolishly, they made a decision to move a chunk of the biomed base out of Lansing (moving the med school from the main campus of MSU in East Lansing out to the west of the state) cutting off one of their main options for growth. So again, I don't get the point of this Today Show article.

[gypsychic]

The piece on the today show was simply about where there are good real estate deals to be had, period, not whether anyone should move there or that they are the best places to live. She just gave one or two points about what was positive about each city.