Cathy Starkweather, REALTOR - Vacation Home / Investment Specialist

Tuesday, February 17, 2015

What do shoes have to do with selling a Central Florida home?

As it turns out, shoes – and whether or not they should be worn into the house - can have a significant impact.

Some sellers are horrified at the idea of people coming into their home wearing shoes – others are horrified at the idea of "someone's sweaty feet" leaving prints on the hardwood or soiling the carpets. Of course, some don't care one way or the other, but buyers and their agents have no way to know which is which unless the listing agent makes good notes – and the buyer’s agent reads those notes.

Sellers aren't the only ones who have an opinion. Some buyers simply refuse to view a house if they're expected to remove their shoes. For others, removing shoes presents a physical barrier – think of someone who wears orthopedic shoes or braces, or who needs a shoe horn to get their shoes back on.

At the same time, there are buyers who won't consider a home where "people care so little that they let visitors walk around in shoes.”

What's the answer? Booties. Sellers who want to protect their floors should provide a box of booties and a sturdy chair at the entrance door. But since not all do, I carry a few in my car for those occasions.

So have no fear, when you search for a Central Florida home with me, you won't be required to remove your shoes.

Monday, January 26, 2015

Orlando Ranked #4 In Best House Markets For 2015

Forbes.com crowned the following 10 housing markets as 2015's Best Buy Cities:

1. Austin, Texas

Average home price: $261,923
Annual price growth: 12%
Population growth (2010-2013): 8.9%
Annual job growth: 3.6%

2. Provo, Utah

Average home price: $211,273
Annual price growth: 6%
Population growth (2010-2013): 6.2%
Annual job growth: 3%

3. Houston, Texas

Average home price: $214,049
Annual price growth: 12%
Population growth (2010-2013): 6.2%
Annual job growth: 4.1%

4. Orlando, Florida

Average home price: $187,568
Annual price growth: 9%
Population growth (2010-2013): 6%
Annual job growth: 9%

5. Dallas, Texas

Average home price: $197,159
Annual price growth: 10%
Population growth (2010-2013): 5.9%
Annual job growth: 3.8%

6. San Antonio, Texas

Average home price: $189,080
Annual price growth: 8%
Population growth (2010-2013): 5.8%
Annual job growth: 2.5%

7. Denver, Colo.

Average home price: $278,130
Annual price growth: 10%
Population growth (2010-2013): 5.6%
Annual job growth: 2.6%

8. Boise, Idaho

Average home price: $183,649
Annual price growth: 9%
Population growth (2010-2013): 5.3%
Annual job growth: 2.2%

9. Oklahoma City, Oklahoma

Average home price: $166,044
Annual price growth: 4%
Population growth (2010-2013): 4.8%
Annual job growth: 3.3%

10. Fort Worth, Texas

Average home price: $180,312
Annual price growth: 7%
Population growth (2010-2013): 4.8%
Annual job growth: 2.6%

Source: "Best Buy Cities: Where to Invest in Housing in 2015," Forbes.com (Jan. 9, 2015)

There's More To A Central Florida Home Purchase Offer Than The Stated Price

While the stated purchase price of a home in Central Florida is the starting point in an offer to purchase, other details of the offer determine the true costs to the buyer and the true proceeds to the seller. These details, along with the price, become points of negotiation.

The most obvious, common, and costly detail is the request for the seller to pay some of the buyer's closing costs. Depending upon the loan program, this could equal as much as 9% of the purchase price.
On a home valued at $300,000, paying buyer's closing costs would mean a $27,000 reduction in proceeds for the seller - and a $27,000 savings for the buyer.

Then there are the inspections and the repair allowances. Buyers usually pay for the inspections, but they can ask the seller to pay these costs. If you request the seller pay for the inspection, the seller may agree but with terms that they (or their agent) choose the inspector.

Sellers usually request offers be made on the Florida Association of Realtors AS-IS contract. The seller is not responsible for any repairs in the inspection and therefore usually agreeing to their lowest price. As a buyer, expect some repairs. If the repairs are over 1.5% of the contract, the seller may agree to a reduction in price or credit at closing for a portion of the repairs.

But those aren't the only factors that can affect the buyers' or the sellers' finances.

Timing can also play a role. If the buyer is leaving another home or the seller is buying a new home, the closing/possession date can save or cost them dollars. Think of the cost of putting your household furnishings into storage and renting temporary shelter in the interim between closing on one home and moving into another.

Next, look at what's included in the purchase price. Kitchen and/or laundry appliances may already be included per the listing. If not, the buyers can ask for them. Inclusion saves the buyers money, while it may cost the sellers to replace them in their new home. So even though these items are not given monetary value on the purchase offer, they do have value that both parties need to consider.

The same is true for items like a riding lawn mower. The seller may not need one in their next home, but leaving it behind does add value for the buyer.

Whether you're buying or selling a home here in Central Florida, before you focus on the stated purchase price, look at the true price. You'll see it after you make the additions and subtractions.

If you have questions about these costs and how they affect your bottom line, call me at 407.274.8476 or drop me a note at cathy@jerrybarker.com. I'll be happy to speak with you.

And when you're ready to buy or sell a Central Florida home, it would be my pleasure to guide you through a smooth transaction. I cover Orange, Osceola, Polk, Lake and Seminole counties.

Friday, September 5, 2014

I'd like to rent my property short term in Orange County, what restrictions apply for zoning?

A very small section of Orange county is zoned for STR (around Disney and I-Drive/Sea World) and they are typically condo-hotel in nature. There are larger areas zoned for STR in Osceola and Polk county. Be sure to work with an agent who specializes in the STR market. Not all communities which are in the STR zone allow short term rentals. HOA's can have themselves removed from allowing STR's. Long term rentals are 7-12 month leases (and many HOA's require a 12-month lease). Short term does not have a limit on the minimum number of days a guest is allowed. However, most short term rentals prefer a minimum of 3-night stay. If you'd like to know what's available in the STR zone and fits your criteria (size/price/amenities), feel free to reach out to me for assistance.

Wednesday, January 8, 2014

I'm working on my credit score, would like a lease to purchase once I have a pre-approoval in about a year, is this feasible?

Each seller's needs will be unique so it's too vague a question to answer for all sellers. Some owners may be open to a lease purchase, but would most likely require a large deposit with the lease which would be non-refundable if you didn't have your financing in order closer to 2014. You have to take into consideration, if they are taking their home off the market for a buyer that's not qualified, there should be a financially sound reason to do so.

You may be better off renting somewhere for year. While renting, work on your credit score and find out the area you'd like to purchase. Once you have a pre-approval near the end of the year, you could start looking then. If you decide you love the home you are currently renting and would like to purchase it, then you could approach the owner at that time to see if he/she is willing to sell. You may also want to consider speaking to more than one lender. I do work with lenders that helps those with poor credit, please email me if you'd like this contact information.

Cathy Starkweather
Realtor & Investment Home Specialist
La Rosa Realty, LLC - Celebration, FL
cathy@jerrybarker.com / 01.407.274.8476