Mortgage rates

[URGatorBait]

https://www.cnbc.com/2024/05/01/florida-real-estate-struggles-as-motivated-sellers-flood-market.html

Can't be, Crete says this isn't true

 

[FireFoley]

Can't be, Crete says this isn't true

I did not write it I just posted it FWIW. My opinion is that most of the single family homes they talk about are in SW FL in towns where lets be honest, no one wants to live. Now in my area which I am acutely aware of, condos are a nightmare. I looked at one yesterday, asking 340K. Original ask was 475K. Math says that is a 28% price drop from original and that is going on all over the place. This place would have gone for 500K late 2021 thru mid 2022 when people were doing stoopid shyt due to the Kung Flu. The problem is that sellers haxe decided that the HOA increases are for REAL, the special assessments are for REAL and the need to build reserves are for REAL. Problem is they want to get the prices that their neighbor got 3 years ago. "Hey it has been 3 years should my place not have appreciated?" No dypshyt it appreciated 100%+ already in 3 years, mortgage rates have tripled and HOA fees have doubled. I know math is a difficult subject, but common sense is not.

 

[LagoonGator68]

Can't be, Crete says this isn't true

Time for you to buy your forever home…check it out…Report back.

 

[Concrete Helmet]

Time for you to buy your forever home…check it out…Report back.

Yeah....He's been price shopping for 5 years now.....

 

[Concrete Helmet]

I did not write it I just posted it FWIW. My opinion is that most of the single family homes they talk about are in SW FL in towns where lets be honest, no one wants to live. Now in my area which I am acutely aware of, condos are a nightmare. I looked at one yesterday, asking 340K. Original ask was 475K. Math says that is a 28% price drop from original and that is going on all over the place. This place would have gone for 500K late 2021 thru mid 2022 when people were doing stoopid shyt due to the Kung Flu. The problem is that sellers haxe decided that the HOA increases are for REAL, the special assessments are for REAL and the need to build reserves are for REAL. Problem is they want to get the prices that their neighbor got 3 years ago. "Hey it has been 3 years should my place not have appreciated?" No dypshyt it appreciated 100%+ already in 3 years, mortgage rates have tripled and HOA fees have doubled. I know math is a difficult subject, but common sense is not.

Are these condo's investment or owner occupied?....YUGE REAL difference...yes, some investors (stupid ones who overpaid 2-3 years ago and are using leverage) are probably looking to sell....owner occupied ones are probably either paid off or the resident owners are "locked in" with their 2.5-4.0% interest rate and can't afford to go anywhere else(upsize/downsize)

I think the FED needs to get mortgage rates actually LOWER than they were 2.5 years ago for a short period of time, like say 6-8 months, and then let the market auto correct itself after that...

 

[FireFoley]

Are these condo's investment or owner occupied?....YUGE REAL difference...yes, some investors (stupid ones who overpaid 2-3 years ago and are using leverage) are probably looking to sell....owner occupied ones are probably either paid off or the resident owners are "locked in" with their 2.5-4.0% interest rate and can't afford to go anywhere else(upsize/downsize)

I think the FED needs to get mortgage rates actually LOWER than they were 2.5 years ago for a short period of time, like say 6-8 months, and then let the market auto correct itself after that...

Most of the ones I look at are owner occupied. I am looking at them as investments only b/c most have a hold period of 1-3 years before you can rent them out, so that also affects price. These are not waterfront but some are decent areas and these people cannot afford more than double HOA's and 4 and 5 figure special assessments. And at these prices, still, it does not make much difference b/c even if and when they could be rented being cash flow positive is a stretch. Some are even paid off but what I think you are missing still Crete is a lot of people live on a fixed budget young or old, and these increases have crushed them.

 

[Concrete Helmet]

And at these prices, still, it does not make much difference b/c even if and when they could be rented being cash flow positive is a stretch.

That's why I would never buy a condo especially for investment purposes....you can't control assessment cost. And you are limiting your market audience(renters) since people with kids(80% of all renters) like a yard and no joined walls/restrictions and such.

 

[URGatorBait]

Yeah....He's been price shopping for 5 years now.....

No, I've been patiently waiting while not making enough money

 

[URGatorBait]

Time for you to buy your forever home…check it out…Report back.

The burial plots are already paid for

 

[FireFoley]

The burial plots are already paid for

Are those eligible for a reverse mortgage?

 

[BMF]

I did not write it I just posted it FWIW. My opinion is that most of the single family homes they talk about are in SW FL in towns where lets be honest, no one wants to live. Now in my area which I am acutely aware of, condos are a nightmare. I looked at one yesterday, asking 340K. Original ask was 475K. Math says that is a 28% price drop from original and that is going on all over the place. This place would have gone for 500K late 2021 thru mid 2022 when people were doing stoopid shyt due to the Kung Flu. The problem is that sellers haxe decided that the HOA increases are for REAL, the special assessments are for REAL and the need to build reserves are for REAL. Problem is they want to get the prices that their neighbor got 3 years ago. "Hey it has been 3 years should my place not have appreciated?" No dypshyt it appreciated 100%+ already in 3 years, mortgage rates have tripled and HOA fees have doubled. I know math is a difficult subject, but common sense is not.

I've seen condo prices drop around here (Pinellas County) over the last year - and the HOA's have all gone up. I sold my Ponte Vedra condo in 2018 - I owned it for 18+ years and made just over $100k profit, if I had held onto it until 2022 I would have made another $100k (makes me sick). Condo fees were always reasonable (started at $150/month and were $250/month when I sold).

I think I told you all - I bought my parents house about 2.5 years ago due to my step-father's failing health (dementia). My mother was worried they'd lose the equity if he had to be put into a care-facility. I think it was a bad idea, but in his dementia he ran up a sh*t-ton of consumer/credit card debt (behind my mom's back), like $60k+. So she was able to pay off all their debt and she rents from me. We didn't consider the property tax implications (I already have a homesteaded house in Florida), so their property taxes went from $1800 to nearly $7k (this is in Jacksonville). Well, step-father passed away last Thursday - my sister is in town helping mom, I'm driving up tomorrow to relieve her. Mom turns 80 next month, but in great shape for her age. Anyhow - what to do with mom and the house? That's next. I may end up moving back, but right now sister and I live in SW Florida (Pinellas & Sarasota). I'd like her to be in a townhouse/condo, but these HOA issues and decreasing values are scaring me. She's not ready to move in with either of us (she has a ton of church friends in Jax, so she wants to stay there for now). Step-dad is retired CSX, so she gets his pension and is okay financially.

 

[LagoonGator68]

I've seen condo prices drop around here (Pinellas County) over the last year - and the HOA's have all gone up. I sold my Ponte Vedra condo in 2018 - I owned it for 18+ years and made just over $100k profit, if I had held onto it until 2022 I would have made another $100k (makes me sick). Condo fees were always reasonable (started at $150/month and were $250/month when I sold).

I think I told you all - I bought my parents house about 2.5 years ago due to my step-father's failing health (dementia). My mother was worried they'd lose the equity if he had to be put into a care-facility. I think it was a bad idea, but in his dementia he ran up a sh*t-ton of consumer/credit card debt (behind my mom's back), like $60k+. So she was able to pay off all their debt and she rents from me. We didn't consider the property tax implications (I already have a homesteaded house in Florida), so their property taxes went from $1800 to nearly $7k (this is in Jacksonville). Well, step-father passed away last Thursday - my sister is in town helping mom, I'm driving up tomorrow to relieve her. Mom turns 80 next month, but in great shape for her age. Anyhow - what to do with mom and the house? That's next. I may end up moving back, but right now sister and I live in SW Florida (Pinellas & Sarasota). I'd like her to be in a townhouse/condo, but these HOA issues and decreasing values are scaring me. She's not ready to move in with either of us (she has a ton of church friends in Jax, so she wants to stay there for now). Step-dad is retired CSX, so she gets his pension and is okay financially.

Put her back on the deed for $10 with you as sole survivor and file homestead exemption. Crazy to take her off in first place. She can still pay rent if she can afford it.

 

[Detroitgator]

https://www.cnbc.com/2024/05/01/florida-real-estate-struggles-as-motivated-sellers-flood-market.html

Closing on Wednesday afternoon...

 

[LagoonGator68]

Condos are dangerous investments due to hurricanes and the collapse in Miami…Insurance is out of control and engineers surveys are endless and both are mismanaged by idiot HOAs boards.

 

[BMF]

Put her back on the deed for $10 with you as sole survivor and file homestead exemption. Crazy to take her off in first place. She can still pay rent if she can afford it.

Thanks - I'll look into this asap!

 

[URGatorBait]

Thanks - I'll look into this asap!

That insurance was probably going to go up from that $1800 anyway, even if nothing had changed. Though, maybe not as much as it did.

 

[LagoonGator68]

That insurance was probably going to go up from that $1800 anyway, even if nothing had changed. Though, maybe not as much as it did.

so their property taxes went from $1800 to nearly $7k (this is in Jacksonville). Well, step-father passed away.

Don’t be a dummy, urg

 

[URGatorBait]

so their property taxes went from $1800 to nearly $7k (this is in Jacksonville). Well, step-father passed away.

Don’t be a dummy, urg

whoops.

I read it as insurance at first...I don't know why

 

[LagoonGator68]

go on

I know you can read better than that.

 

[URGatorBait]

I know you can read better than that.

responded again