Saturday, March 8, 2008

Mortgage & Foreclosure

Home loans 90 days past due or in foreclosure:

                                       Subprime loans   

Florida 3Q 2007                                   Florida 4Q 2007      

     3.52%                                                                    5.19%
   12.20%                                                                 17.50%

 

  Nation 3Q 2007                                   Nation 4Q 2007
       2.95%                                                                   3.62%
      11.38%                                                                14.44%


NEW MORTGAGE LIMITS

 

The Federal Housing Administration has raised the maximum loan amount it and government-sponsored mortgage giants Freddie Mac and Fannie Mae will guarantee.

In Miami-Dade and Broward counties, the limit was raised from $417,000 to $423,750, which could bring lower interest rates to some borrowers in select high-cost markets.

Previously, loans exceeding $417,000, called jumbo loans, were subject to an interest rate of roughly .25 percentage points higher than loans for less. That gap has grown in recent months almost 1 percentage point.

The new limit means monthly payments on a 30-year, fixed-rate loan for $423,750 will drop from roughly $2,819 to $2,540, for annual savings of roughly $3,343

SOURCE: Mortgage Bankers Association.

For professional advise on all aspects of buying or selling Real Estate, please contact me Richard Recuset at-786-287-9272 -email: RecusetRealEstate@Gmail.com

The Recuset Group

“The purpose of life is a life of purpose”

Sunday, March 2, 2008

Get Your Condo's Check List Before You Buy

Knowing what to look for in the governing documents of condo and homeowners' associations, can save you a lot of grief. Buyers often move into homes in community associations without full awareness of the rules and regulations that govern their use of the property. I've seen closings on units where buyers don't realize that they can't have a dog or that only one vehicle per unit is  allowed. As a result the management company end up being the bad guys more often than not, on behalf of the board of directors when all they do is educate the buyers on what they bought. That's why it's incumbent upon buyers and sellers to get as much information as possible  about life in a community or condo association.

Community Association

A community association is a non-profit corporation established to preserve property values in a development. The term includes homeowners' associations, condominium associations, property owners' associations and cooperative associations.

A community association is governed by a board of directors consisting of homeowners who are elected by their fellow residence and who volunteer their time to set policies. Some associations hire an outside management company to handle the day to day job of running the association (collecting monthly assessments, handling maintenance of common areas, notifying homeowners of rule violations, etc). Smaller associations may rely on volunteers to handle such tasks.

It's a thankless job and because of that there are ample opportunities for opportunist to take advantage of the fact that there are hardly any checks and balances procedures in place to stave off those of poor character and judgement. (Boards of directors- some times self appointed, while shuffling paper around and doing nothing but getting kickbacks from a corrupt management company).

Common Restrictions

Pets - Some prohibit pets outright; others allow pets of a certain size or type.

Rentals - This is a common issue in Florida, as many buyers - particularly those buying into resort areas- want to retain the right to rent out their units.

Vehicles - Some restrict the amount of cars and type. For those who own commercial vehicles, RV, boats and trailers, you might want to get answers to very specific questions regarding this matter.

Home Offices

Most associations have updated their documents to allow residents to maintain home offices in certain situations. Generally, home offices are allowed when permitted under local zoning codes and one that generates no traffic or noise.

Exterior Alterations

Many buyers are unaware that there are strict limitations on their right to alter the exterior of a unit or home in a community association. Must get association approval before any changes are undertaken. This includes painting, additions and even landscaping changes.

Coral Gables has no association but city ordinances takes care of what can and can't be done. And are very strictly enforced.

 

For professional advise on all aspects of buying or selling Real Estate, please contact me Richard Recuset at-786-287-9272 -email: RecusetRealEstate@Gmail.com

 

The Recuset Group

“The purpose of life is a life of purpose”