Absolute house insanity (Miami, Tampa, Largo: house insurance, inspections, deed)

[lavender]

Originally Posted by beach43ofus

Its all moving inland where there vast amounts of farmland, & we'll also see some build-overs near the coast and in highly desireable urban areas...like Hyde Park.

I saw these trends play out in SE Florida when I lived in Boca Raton in the late 1970's to early 1980's. Back then, there was almost nothing West of I-95 out by the Turnpike, & today, its a mature suburban area.

Take a look at Parrish, and all the new building going on down there on former farmland. Many of those buyers commute into Brandon & Tamps for work...soe even cross the Skyway into St. Pete.

If anyone wants to DM me, I have a buyer listing their home in Parrish this week.

[lavender]

Originally Posted by louie0406

I purchased a new construction Townhome in June of 2020. Waited 8 months for the build and moved in Feb 2021. With the upgrades that my wife wanted we paid 208k @ 2.7%. Pre housing insanity levels. This year alone at least 6 owners have sold as they’re being offered 125-150k above what they paid just a year ago. Issue is, while yes they’re buying larger 1 family homes, they’re doing so at a much inflated price. Some of our neighbors have yet to even find a home, or are being vastly outbid by Northeasterners who are moving down with lots of cash in hand.

I’m sticking it out. At the price/interest rate we got, I will always be in the black regardless of how the market turns. Especially now with the Fed raising interests rates.

Just had an email from a townhouse builder in st Pete. They have prices listed for new construction but are asking for highest and best offers for those! Am thankful I got my buyers in to a fixed price deal in st Pete last year for a new construction, it is probably already worth $150k more in this current market.

[beach43ofus]

This market is absolute insanity to us long time Floridians, but not to those moving down from high cost-of-living places up North. To them, its relatively inexpensive.

Many are at or near retirement, so they dont want to wait 2+ years for the market to MAYBE slow down.

They've been waiting to retire to Florida for decades, & they will not be denied now.

We need to take a time out from looking at this only from our own perspectives, and look at it through the buyers minds eye.

$400/ppsqft is reasonable to many of them, & they are getting into a lower overall cost-of-living environment for property taxes, auto ownership, entertainment, ect.. They see the overall market as a deal compared to the place they are leaving.

[Ellwood]

A couple of years ago there were several news stories regarding houses and sinkholes in FL. Out of curiosity, is this still a problem or has the construction changed in order to avoid sinkholes.

[sinatras]

Originally Posted by beach43ofus

$400/ppsqft is reasonable to many of them, & they are getting into a lower overall cost-of-living environment for property taxes, auto ownership, entertainment, ect.. They see the overall market as a deal compared to the place they are leaving.

That's because they don't care about the price per square foot.

I have never understood why "price per square foot" is so important in the Tampa Bay area. I lived in Boston, DC, LA, Austin and that was never the yardstick people went by. It was always just sales price comps.

[louie0406]

Originally Posted by beach43ofus

This market is absolute insanity to us long time Floridians, but not to those moving down from high cost-of-living places up North. To them, its relatively inexpensive.

Many are at or near retirement, so they dont want to wait 2+ years for the market to MAYBE slow down.

They've been waiting to retire to Florida for decades, & they will not be denied now.

We need to take a time out from looking at this only from our own perspectives, and look at it through the buyers minds eye.

$400/ppsqft is reasonable to many of them, & they are getting into a lower overall cost-of-living environment for property taxes, auto ownership, entertainment, ect.. They see the overall market as a deal compared to the place they are leaving.

My dad is a prime example. Sold his house in Long Island, NY for $700k and purchased a waterfront Condo almost 2 yrs ago for $235k. He would have been dumb NOT to make that move. Escaped NY’s cost of living, taxes, weather, screwed up politics, etc, and pocketed a few hundred thousand in the process. Win/Win.

[wizrap]

Originally Posted by Ellwood

A couple of years ago there were several news stories regarding houses and sinkholes in FL. Out of curiosity, is this still a problem or has the construction changed in order to avoid sinkholes.

I live in Gainesville which is prone to sinkholes. We rented for nearly 2 years before buying and what we learned from our neighbors was that certain builders had a better reputation than others. There are building and design techniques they use, digging deep and then pouring the foundation, and digging retention ponds.

[beach43ofus]

Originally Posted by sinatras

That's because they don't care about the price per square foot.

I have never understood why "price per square foot" is so important in the Tampa Bay area. I lived in Boston, DC, LA, Austin and that was never the yardstick people went by. It was always just sales price comps.

Each market is different, & each buyer is different, but here its ppsq ft. driven, but comps are also used.

I'm surprised that all the northerners moving down here are able to sell their expensive homes up north. Why? Because some of the places up north are suffering from domestic migration losses, so there are less affluent buyers than before.

I guess the low interest rates, have helped them find buyers for their homes up there, but I think as interest rates increase, the inability to sell up North could slow our markets here.

[beach43ofus]

Originally Posted by louie0406

My dad is a prime example. Sold his house in Long Island, NY for $700k and purchased a waterfront Condo almost 2 yrs ago for $235k. He would have been dumb NOT to make that move. Escaped NY’s cost of living, taxes, weather, screwed up politics, etc, and pocketed a few hundred thousand in the process. Win/Win.

His timing was very good...2 years ago is very different than today. His FLA condo is likely worth $400k+ now.

I bought 3.5 yrs ago for cash...paid $550k for a newly built home that sells now for $1.1M.

I'm glad I moved down when I did. I would not buy my home for $1.1M.

[sinatras]

Originally Posted by beach43ofus

Each market is different, & each buyer is different, but here its ppsq ft. driven, but comps are also used.

I'm surprised that all the northerners moving down here are able to sell their expensive homes up north. Why? Because some of the places up north are suffering from domestic migration losses, so there are less affluent buyers than before.

I guess the low interest rates, have helped them find buyers for their homes up there, but I think as interest rates increase, the inability to sell up North could slow our markets here.

Agreed and we are already seeing that.

https://www.reuters.com/world/us/us-...ar-2022-03-18/