DT Orlando rent is CRAZY right now - few questions (Winter Garden: apartment, foreclosure)

[Arcenal813]

Originally Posted by Pete C

I like the vision for downtown having everything in close proximity. My only real concern with Orlando is the lack of high paying jobs. We need more high paying jobs so that young professionals who want to live downtown can afford to do so.

As long as Central FL remains a popular destination for retirees, this will be a tough task to manage.

[annerk]

Originally Posted by WithDisp

Newer buildings downtown teeter on 50%. Skyhouse, Steelhouse, Cityview are sparce.
55W has more than it's ample share of vacancies too.


When the market is saturated with apartments, not condos- some people have no choice but to rent.
The reoccurring theme on a lot of the threads about housing in Orlando is that it's much more expensive than the pay for the area tends to dictate.

Owning is a LOT cheaper than renting around here... but the gateways into owning are a challenge because of efforts of investment groups.

People need to live somewhere however so there is always going to be a market for housing.
I'm sure the building operators would like to have 90%+ occupancy rates, however they aren't going to lower the rents to do such.

Again, if the owners of those units wanted to rent them at below market value, they would discount them. They obviously feel that the rent is appropriate. I know someone who wants to rent a home in my neighborhood. She approached the owner of one which is vacant and offered $1000 a month for it. The owner was pretty flabbergasted, it's a $3000-3500/month property and she'd rather it sits empty for a few months than rent it at below market.

Owning is not a challenge because of investment groups. Most who can't buy have challenges that go far beyond that--they don't have the income, savings, or credit--or a combination of the above. Blaming it on investors is a joke. They need to look in the mirror.

[WithDisp]

Originally Posted by annerk

Again, if the owners of those units wanted to rent them at below market value, they would discount them. They obviously feel that the rent is appropriate. I know someone who wants to rent a home in my neighborhood. She approached the owner of one which is vacant and offered $1000 a month for it. The owner was pretty flabbergasted, it's a $3000-3500/month property and she'd rather it sits empty for a few months than rent it at below market.

Owning is not a challenge because of investment groups. Most who can't buy have challenges that go far beyond that--they don't have the income, savings, or credit--or a combination of the above. Blaming it on investors is a joke. They need to look in the mirror.

Again, you're out of touch with the market today.
You anecdotal story makes sense for a privately owned SFH... but could she afford to let it sit vacant for 5 years the way many apartment's downtown will? That requires significant capital, one which adversely effects filling downtown.

I had the income, savings, and credit to buy a $325,000 house, but I couldn't finance a $95,000 condo.
Condo financing is incredibly tough nation-wide.

You need to read up on Invitation Homes.

How Wall Street Has Turned Housing Into a Dangerous Get-Rich-Quick Scheme -- Again | Laura Gottesdiener

"This inundation has some concerned that the private equity giant, perhaps in conjunction with other institutional investors, will exercise undue influence over regional markets, pushing up rental prices because of a lack of competition. "

and on the 4 year Freeze on Condo Loans-

FHA facing political pressure to bring back ‘spot’ condo loans | Inman News

"The ban hits moderate income, first-time and minority buyers hard, given the agency’s unique role in assisting them attain homeownership."

[tinytrump]

I recently posted something similar to this post Is Miami's Latest Real Estate Boom Fueled by Criminals and Money Laundering? | Miami New Times

What kind of people are investors? Does any one really think these heavy investors care a "rats---" about anyone? It's about paper,,, money, greed and more paper, and as the circle goes round and round- anyone who is anti people and their rights to own and make a home for their families are only a human looking mechanical robots. They will one day rust in a corner all alone when it is all said and done.
I spoke to my sister- big realtor meet today in Orlando- she is a realtor broker, and she is not happy of the trend, sees many investors as financial bullies, and said the normal person trying to just find an affordable home is getting harder and harder. First look with Fannie Mae is best bet to derail the real-estate tycoons.

[annerk]

Originally Posted by WithDisp

Again, you're out of touch with the market today.
You anecdotal story makes sense for a privately owned SFH... but could she afford to let it sit vacant for 5 years the way many apartment's downtown will? That requires significant capital, one which adversely effects filling downtown.

I had the income, savings, and credit to buy a $325,000 house, but I couldn't finance a $95,000 condo.
Condo financing is incredibly tough nation-wide.

You need to read up on Invitation Homes.

How Wall Street Has Turned Housing Into a Dangerous Get-Rich-Quick Scheme -- Again | Laura Gottesdiener

"This inundation has some concerned that the private equity giant, perhaps in conjunction with other institutional investors, will exercise undue influence over regional markets, pushing up rental prices because of a lack of competition. "

and on the 4 year Freeze on Condo Loans-

FHA facing political pressure to bring back ‘spot’ condo loans | Inman News

"The ban hits moderate income, first-time and minority buyers hard, given the agency’s unique role in assisting them attain homeownership."

It's been four years, so yes, she is willing to let it sit. before you say another word, she only decided to rent it a month ago.

[WithDisp]

Originally Posted by annerk

It's been four years, so yes, she is willing to let it sit. before you say another word, she only decided to rent it a month ago.

So the moral of the story is your friend doesn't feel the need to lower her rent prices, but can afford to sit on it for 4 years- whether with the intent to rent or not.

That's her prerogative, and a luxury many cannot afford.

[annerk]

Originally Posted by WithDisp

So the moral of the story is your friend doesn't feel the need to lower her rent prices, but can afford to sit on it for 4 years- whether with the intent to rent or not.

That's her prerogative, and a luxury many cannot afford.

Homes in my neighborhood rent for $2500-3000/month and are seldom empty for more than 6-8 weeks between tenants--most of whom sign two year leases. She'd be stupid to let it go for $1000 a month. Some can't afford, obviously many can. Homeownership is not a right, nor should it be.

The people claiming they are getting shut out of the market are typical. Beer budget with Champagne taste. We wanted a SFH for our first home, guess what? Couldn't afford it, bought a condo. There are plenty of SFH's in good neighborhoods in people's price ranges, but noooo, they want to be in the middle of it all in a posh high rise and are upset because they can't afford it. Pity party, anyone?

[WithDisp]

Originally Posted by annerk

Homes in my neighborhood rent for $2500-3000/month and are seldom empty for more than 6-8 weeks between tenants--most of whom sign two year leases. She'd be stupid to let it go for $1000 a month. Some can't afford, obviously many can. Homeownership is not a right, nor should it be.

The people claiming they are getting shut out of the market are typical. Beer budget with Champagne taste. We wanted a SFH for our first home, guess what? Couldn't afford it, bought a condo. There are plenty of SFH's in good neighborhoods in people's price ranges, but noooo, they want to be in the middle of it all in a posh high rise and are upset because they can't afford it. Pity party, anyone?

The point I'm trying to make is they can afford it but can't receive financing.
Again, I could get financing for a 300K SFH, but not a 100K condo.

Has nothing to do with my income, credit, debt, HOA etc.
Condos are all underwritten by FHA, and they will NOT loan if the condos are owned predominantly (51%) by investors. Not even if you can plop 40% down. Banks wont touch condos without the FHA underwriting.

I've said it a half dozen times though, you're out of touch. You really don't understand the market for first time buyers right now, and you're either reluctant to read or dim to comprehend.
I'm glad you have your anecdotal evidence, except it doesn't really have any relation to the pricing downtown or the situation at hand.

[annerk]

Originally Posted by WithDisp

The point I'm trying to make is they can afford it but can't receive financing.
Again, I could get financing for a 300K SFH, but not a 100K condo.

Has nothing to do with my income, credit, debt, HOA etc.
Condos are all underwritten by FHA, and they will NOT loan if the condos are owned predominantly (51%) by investors. Not even if you can plop 40% down. Banks wont touch condos without the FHA underwriting.

I've said it a half dozen times though, you're out of touch. You really don't understand the market for first time buyers right now, and you're either reluctant to read or dim to comprehend.
I'm glad you have your anecdotal evidence, except it doesn't really have any relation to the pricing downtown or the situation at hand.

Actually FNMA and FHLMC both make condo loans as well. There are also bank portfolio products available if you have a banking relationship that your financial institute values.

So you can't buy a condo downtown--there are plenty available in the suburbs. You just want it all and aren't willing to compromise. Typical Millennial.

[WithDisp]

Originally Posted by annerk

Actually FNMA and FHLMC both make condo loans as well. There are also bank portfolio products available if you have a banking relationship that your financial institute values.

So you can't buy a condo downtown--there are plenty available in the suburbs. You just want it all and aren't willing to comproise. Typical Millennial.

HomePath and Homesteps are indeed the only pathways for first time buyers, aside from SFH. Incredibly minimal inventory but great and fair incentives to buy for non cash buyers.

I had looked at condos downtown and in the outskirts ... doesen't matter where they are, financing is nil.

You're out of touch... and backpedaling on what buyers have available to them.
I'm positive we'll see more regulations federally in the pipeline, and i'll be glad to meet with Dyer and HUD
regarding articles in the sentinel on this matter.

clearly some people have no idea what is going on today.