Sarasota Palms Condos (Miramar, Bradenton, University: short sales, apartments, foreclosures)

[jasonfieber]

Hey everyone!!

I just wanted some input, if possible. I moved to Sarasota last summer, and it's been a dream come true so far. I currently rent an apartment on Palmer Ranch and really love it here. I am thinking about purchasing a condo over at a development called Sarasota Palms over on Tuttle just off Fruitville. Has anyone heard anything good/bad about this development? I understand it was converted from apts. back in 2004. It seems like it's in an area of town that's not highly desirable, especially comparing to Palmer Ranch..but it is close to downtown. I was looking at other developments like Parkridge over on University, but Palms is much, much more affordable! Any input??????

[jasonfieber]

If nobody has any comments/input on this condo development in particular, is there any comments or observations on the area around Tuttle/Fruitville? I'm familiar with most parts of the city but I have limited experience in that area of town.

[dishing the 9411]

It might be a better to option to continue renting if you like where you are living. IMHO palmer ranch is a much nicer area. However, you might want to play with the numbers: What is the cost of home ownership in Sarasota Palms compared to the rent you are paying in Palmer Ranch?

[jasonfieber]

The numbers are MUCH better to buy according the NY Times Buy/Rent Calculator.

[SoFLGal]

The Palms has a TON of foreclosures and short sales. I had an investor looking to purchase in there and he decided against it because he felt the whole complex was very unstable. There are 10 pending right now and every one of them is a short sale. Good chance if they are not paying their mortgage, they are not paying the monthly HOA fee of $258-$365, depending on what building. So if there are large portion of people not paying- how is the pool going to be maintained? the tennis courts? the fitness center? the rec building? Just questions that come to mind when looking in a place like this.

Another question I would ask is, if they are really low priced, are lots of investors going to be snatching them up? Is there going to be a large number of renters? Not that that's necessarily a bad thing. Just wanted to pose the question.

In general, the location is over by Ed Smith Stadium. The complex actually almost backs up to the stadium on 10th st. I'll let others comment on that.

[jasonfieber]

So, in general this sounds like a bad investment then? I am concerned about all that, the complex does sound very unstable. Maybe I'll just continue to rent as I'm very comfortable where I live, I just figured if I could buy a decent condo under 60 grand then maybe that might not be a bad thing.

[SoFLGal]

Originally Posted by jasonfieber

So, in general this sounds like a bad investment then? I am concerned about all that, the complex does sound very unstable. Maybe I'll just continue to rent as I'm very comfortable where I live, I just figured if I could buy a decent condo under 60 grand then maybe that might not be a bad thing.

Well, it depends a large degree on the complex itself. You have to be pretty careful and do a lot of research when looking into buying a condo.

I just emailed my partner/mom and asked her what her take on it was and this is what she had to say:

The main problem in his unit was mold. They cleaned and cleaned and it still smelled bad. The whole place is like an old hotel with all the room access in dark hallways.

When I talked to another resident there, he said that there were extensive problems with the electric and plumbing. Plug in two things and it blows a fuse. Leaks are not repaired right away causing mold issues. They do not take care of the maintenance well, and there were a number of foreclosures so the HOA is under a great deal of stress. The guy also said he had three bicycles stolen, the last one was $1000 bike.

On the good side, it's cheap and somewhat close to downtown.

[jasonfieber]

Yeah, I'm concerned about mold. Actually, one of the units I viewed was a REO unit that had extensive mold damage. Obviously, I wasn't interested in that unit. The unit I was interested in is in another building altogether and seemed well taken care of. I guess you get what you pay for though. It's really too bad because it has promise...the units are well updated, granite, ss appliances etc....perhaps to divert attention away from some of the other more serious issues. Off subject: Does Parkridge have any chinese drywall issues? It's in LR and was built around that time, so that concerns me.

[SoFLGal]

I haven't heard of CDW in Parkridge, that's not to say there isn't. I always recommend a home inspection.

The continuing foreclosure flood is creating severe financial problems for condominium associations across Florida, and members are complaining that banks and mortgage companies are doing nothing to help.

In fact, condo owners say that many lenders are delaying foreclosures to avoid paying association dues. That is requiring associations to slash costs and cut amenities, and forcing owners to fork over more cash to keep complexes humming.

In something of a Catch-22, the financial problems at condo complexes also are prompting banks to tighten restrictions on lending.

Banks will not lend in complexes that have not set aside 10 percent of their budgets for reserves. They will not lend when more than 50 percent of the units are rented. They also will not lend where a few owners control too many of the units or where too many owners are in default on their mortgages and dues.

Not every condo complex in Southwest Florida is suffering from the crisis to the same degree.

The majority -- as many as 75 percent -- are older, more stable complexes that did not experience a direct blast from the boom-and-bust cycle.

The ones hit hardest were those that came out of the ground from 2004 to 2007, or were converted from apartments during the same period.

These complexes experienced heavy speculative buying during the boom and are now facing the most foreclosures.

http://www.heraldtribune.com/article...icle/301049999

CONDO CRUNCH
Condominium complexes that drew the most speculators during the boom also suffered the most defaults during the bust.

1. Bermuda on Osprey, Sarasota
• Built or converted: 2006
• Total units: 46
• Number of foreclosures: 35
• Ratio: 76%

2. Condominiums at Waterside, Rotunda
• Built or converted:2007
• Total units: 42
• Number of foreclosures:31
• Ratio: 74%

3. Village at Town Park, Lakewood Ranch
• Built or converted: 2005
• Total units: 272
• Number of foreclosures:143
• Ratio: 53%

4. Park View, Sarasota
• Built or converted: 2005
• Total units: 108
• Number of foreclosures: 55
• Ratio: 51%

5. Bella Villino, Palmer Ranch
• Built or converted: 2005
• Total units: 132
• Number of foreclosures: 44
• Ratio: 33%

6. Garden Walk, Bradenton
• Built or converted: 2005
• Total units: 174
• Number of foreclosures: 54
• Ratio: 31%

7. Watercrest, Lakewood Ranch
• Built or converted: 2005
• Total units: 180
• Number of foreclosures: 55
• Ratio: 31%

8. Admiral's Walk, Sarasota
• Built or converted: 2005
• Total units: 249
• Number of foreclosures: 75
• Ratio: 30%

9. Miramar, Lakewood Ranch
• Built or converted: 2004
• Total units: 84
• Number of foreclosures: 25
• Ratio: 30%

10. Laguna at Riviera Dunes, Palmetto
• Built or converted: 2005
• Total units: 168
• Number of foreclosures: 42
• Ratio: 25%

11. Greenbrook Walk, Lakewood Ranch
• Built or converted: 2006
• Total units: 226
• Number of foreclosures: 66
• Ratio: 29%

12. Serenade, Palmer Ranch
• Built or converted: 2005
• Total units: 324
• Number of foreclosures: 82
• Ratio: 25%

13. Parkridge, University Parkway
• Built or converted: 2004
• Total units: 347
• Number of foreclosures: 83
• Ratio: 24%

14. Las Palmas, Sarasota
• Built or converted: 2005
• Total units: 488
• Number of foreclosures: 105
• Ratio: 22%

15. Palms of Cortez, Bradenton
• Built or converted: 2005
• Total units: 450
• Number of foreclosures: 97
• Ratio: 22%

16. Citywalk, Sarasota
• Built or converted: 2002
• Total units: 70
• Number of foreclosures: 15
• Ratio: 21%

17. Vintage Grand, Palmer Ranch
• Built or converted: 2005
• Total units: 432
• Number of foreclosures: 68
• Ratio: 16%

18. The Sanctuary, Bradenton
• Built or converted: 2005
• Total units: 274
• Number of foreclosures: 40
• Ratio: 15%

19. Lake Vista, Lakewood Ranch
• Built or converted: 2006
• Total units: 240
• Number of foreclosures: 35
• Ratio: 15%

20. Villagio, Sarasota
• Built or converted: 2004
• Total units: 320
• Number of foreclosures: 42
• Ratio: 13%

SOURCE: Sarasota, Manatee and Charlotte county clerks of court

[angelfish]

Not a good idea. A friends brother purchased in there, shoddy conversion, high HOA's.... for what??? And overall will have a hard time trying to get rid of it, even years and years from now. I think.