Gulf Coast Associates' Blog: All Categories

Now that a little time went by since the Florida Legislature passed its real estate tax reform bill (June 2007), and proposed their idea for the constitutional amendment for residents, the battle lines are being drawn for getting the amendment approved in January, 2008. A recent press release shows the Florida Association of Realtors pledged $1M in advocating for the constitutional amendment and that sent a ripple effect between the Realtor® community and the general public - who is as confused as ever. You might expect that ANY tax reform causes everyone to immediately jump on the bandwagon.  However, upon further reflection, opinions are rapidly changing. Depending on who's side you're on with this issue, there is limited time to effect an impact with…

For families facing some challenging housing arrangements - we announce the offering of the Family Opportunity Mortgage. Now, if you need to buy a home for a disabled (unable to work) family member, provide housing for a college bound child - "Kiddie Condos", or provide a home for your elderly parents - you will no longer have to pay the higher interest rates associated with the home being considered as an investment property.

For elderly parents or disabled family members, you will need to provide a letter stating their intent to occupy the property as their primary residence and if applicable, an explanation regarding the disability. There are no distance requirements and you will qualify as the primary purchaser on the property.

For "Kiddie Condos",…

It's real easy to confuse a buyer who is pre-qualified vs. a buyer who is pre-approved. But, think of what the words actually mean - you may be qualified to buy a property because of how much money you make. However, if you don't pay your bills on time and you have poor credit, you could still be declined for a home loan. If you are approved to do something - then that means someone else is permitting you to do what you say you can. You can home shop with confidence if you have a loan approval letter in hand.

Agents, buyers, and sellers may equate pre-qualification with pre-approval when in fact these two terms are apples and oranges. A pre-qualified buyer is someone who calls a lender on the phone and speaks about their financial situation. The lender,…

Having been in the mortgage lending business for 20 years or so, we've seen a lot of things both good and bad. However, in the last couple of years the industry, as a whole, seems to have lost its way when it comes to handing out loans to under qualified borrowers. All you have to do is read a newspaper - or watch a cable business show - to be aware of the problems with predatory lending practices and skyrocketing foreclosure rates. Unfortunately, none of these issues stemmed the tide of lenders originating option ARMs and "No Doc" loans with reckless abandon.

We know you might be thinking this is no big deal and that these types of programs help get borderline buyers into the house they want. The problem is that outlook is a short sighted way of looking…

If you're contemplating going through a divorce, you'll want to look closely at issues involving your credit. Understanding the different kinds of credit accounts and mortgage loan liabilities should help illuminate how to keep yourself from getting into credit difficulties.

Simply trying to rely on the wording of a divorce decree as to who is responsible for existing debts is a surefire way to get yourself into credit trouble. Lenders and other creditors are not parties to such documents and in most states are not bound to abide by them. So if your spouse stops making payments, they are surely to come after you for payment. Knowing how best to proceed ahead of time can save you lots of headaches down the line.

• Individual Account: Your income,…

According to a recent study by bizjournals.com, Florida is a great place for small business. The report listed the top ten markets and Florida held four of those top five spots.

Top Florida metropolitan areas for small business growth:

• Orlando
• Sarasota-Bradenton
• Miami-Fort Lauderdale
• Jacksonville

The study used a 12-part formula for looking at 75 of the nation's largest metropolitan areas. The four Florida markets all shared similar qualities; rapid growth in population, employment and the number of small businesses. The lone exception to Florida's dominance was in Las Vegas, which came in ranked at number four.

While the report noted that new construction has been scaled back throughout the state, other new business…

A Florida study conducted by the National and Florida Associations of Realtors showed that home sales to international buyers dropped by 65% from 2005 to 2006. The report indicates there were four major reasons for the decline:

• The excessive increase in property insurance.
• The equally substantial rise in real estate taxes.
• More stringent border security laws that make it tougher for anyone who wishes to spend an entire season in Florida very difficult.
• The increase in mortgage interest rates during the height of the winter season.

In 2006, nealy two thirds of Florida's 12,900 active Realtors® conducted no real estate transactions involving a foreign buyer. Of those who did have a transaction with a foreign buyer, 34% were from…

In the last few weeks, all of the seller funded down payment assistance programs have ceased operations in order to comply with the IRS Revenue Ruling 2006-27 that ruled that providing seller funded down payment assistance was not a chartable activity. The IRS is now making full efforts to revoke the 501c3 status of these non-profit organizations.

In order to fill the void created by this action for low to moderate income buyers needing help, an alternative is the Grant America Program which works the same way but does not give a gift from a non-profit organization but from a Government Entity.

The Grant America Program is available nationwide and defines a low to moderate-income homebuyer as anyone that qualifies for an FHA loan under HUD guidelines or…