The U.S. Economy Is In Better Shape Than is Being Reported

Although the U.S. economy is still soft and consumer confidence remains low, new data from several sources including the National Association of REALTORS® (NAR), the Bureau of Economic Research (BER) and others exhibit positive signs for the future of Americans, in general, and Tampa Bay Florida home buyers in particular.

Some of the biggest names in business have said recently that they see a bright future for the U.S. economy. Famed investor Warren Buffett declared recently that the country and the world clearly will not fall back into another recessionary dip. "I am a huge bull on this country. We are not going to have a double-dip recession at all," said Buffett, chairman of Berkshire Hathaway Inc. "I see our businesses coming back across the board."

Others agree. Steve Ballmer of Microsoft says, "I am very enthusiastic about what the future holds for our industry and what our industry will mean for growth in other industries."

Jeffrey Immelt, General Electric CEO says business at GE, one of the world's largest companies, is improving. "General Electric," he said, "is now finding it more profitable to build manufacturing and service centers in the United States rather than overseas, because it is more competitive."

U.S.-based CEOs have begun to notice that shipping costs, inefficiencies, and the longer lead times associated with building products overseas are eating up the higher profitability that was forecast a few years ago. U.S. corporations are beginning to favor manufacturing here creating American jobs. An example may be the start-up of brand new lithium-ion battery manufacturing plants in Michigan focused on taking America's participation in worldwide battery production used for hybrid and electric vehicles from its current level of 2% to 40% over the next 5 years.

Some of the key economic facts published by NAR, BER and other economic analysis sources include the following:

• The U.S. economy is growing, though slowly. The private sector is finally creating jobs, 700,000 so far this year.
  
• While consumer confidence remains low, it is clearly up from its lowest point.
  
• 30-year mortgage rates are at their lowest point in decades. 30-year mortgages are available at close to 4%.
  
• Personal income increased in July, 2010 by $30.0 billion, or 0.2%. Disposable personal income increased by $17.6 billion, or 0.2% according to the Bureau of Economic Analysis.
  
• Although bad mortgage loans during overly-loose lending practice periods are still causing foreclosures and short sales, recent home price-to-income ratios indicate that people are now buying homes they can actually afford to own.
  
• Consumers in all income brackets are paying down their credit card balances and starting to save more.
  
• Median home prices across the U.S. are stabilizing and economists expect modest home price increases in the 2011-2014 period.
  
• Real estate speculators have been driven out of the market removing a huge source of instability.
  

So why does the American public still express so little confidence in the economic recovery? To a large extent, the 7 day/24 hour cable TV news networks and Internet bloggers focus far too much attention, in my judgement, on the latest outrageous or pessimistic statement or action by someone with an agenda, rather than someone with positive news or a constructive opinion. They have painted an economic picture that is much less positive than current underlying economic indicators and the CEOs of major U.S. corporations suggest is the case.

What does all this mean for you as a potential buyer of a home on condo. particularly here in Tampa Bay? It means that the U.S. economy is finding its footing and slowly but surely beginning to rebound - not as quickly as anyone would hope but, in fact, at a faster pace than occurred in either of the past two recessions.

So if you have been delaying a decision on when to buy that Tampa Florida area home, now is the time to come to Tampa / St Petersburg, work with a professional Buyer's Agent Realtor like Cheryl Stimac, and buy that permanent, retirement or seasonal get-away dream home you've been wanting before home and condo prices start climbing again.

If you would like to know more about Tampa Bay communities, schools, and cultural amenities, request my free Tampa Bay Florida Information Package or call me directly at 813.263.6806.

Intro to the Live Oak Preserve community in Tampa Bay

The Live Oaks Preserve community was designed and constructed by the developer, Transeastern, to complement the 100-year-old oak trees in the area. Located in the New Tampa area on 1,300-acres northeast of I-75 Exit 270, bounded by Bruce B. Downs Boulevard and County Line Road, the community features several village-themed developments including Cedarwood, Cypresswood, Laurel Oak, Brentwood, Maplewood, Oakwood and Weatherwood. Over time, eighteen unique villages are planned to lie within the boundaries of Live Oak Preserve.

This spectacular private, gated community offers quiet and tranquil neighborhoods with 362 acres set aside for wetlands and picturesque wildlife, ponds, and conservation area vistas. Located just outside the community gates there is an abundance of restaurants, parks, professional offices, and retail shopping. University of South Florida and Busch Gardens Amusement Park are less than a 15 minute drive away. You also have convenient access to downtown Tampa via I-75 and I-275 with all of its cultural and recreational attractions including the Florida Aquarium, historic Ybor City and the Tampa International Airport just a 30 minute drive away. Disney World and Universal & MGM Studios are about an hour's drive to the East. And, the beaches of the Gulf of Mexico are less than 30 miles to the west.


The community is highlighted with multiple single family home villages and a town home village with traditional Florida charm and natural splendor in varying price ranges. There is a multi-million dollar clubhouse at the center of the community which includes a 10,000 square foot, resort-style pool, fully equipped fitness center, children’s playground, as well as tennis and basketball courts. All of Live Oak Preserver's villages, parks and schools are connected by private roads and wide winding sidewalks perfect for either active exercising or just a leisurely stroll.

You deserve the best possible representation on the largest investment you may ever make, your new home in Tampa Bay Florida. I would be happy to introduce you to the many amenities of Live Oak Preserve and other communities and homes for sale throughout Tampa and Tampa Bay.

I invite you to request my free Tampa Information Package including information on Live Oak Preserve and other communities or E-Mail Me. For more immediate assistance call me at any time at 813-263-6806.

The Federal Home Buyer Tax Credit is About to Expire

It's Time to Get Moving before It's Too Late

The first-time home buyer tax credit program which was extended and expanded to include existing homeowners expires on April 30th.

So, if you've been delaying a decision on buying a home or condo in the Tampa Bay Florida real estate market, it's time to contact a competent Realtor® TODAY and get a home purchase contract signed right away or you're going to miss out on the opportunity to gain up to a $8,000 income tax credit if you're a first-time buyer or up to $6,500 if you're currently a homeowner.

And don't forget that, in addition to the requirement to have a home purchase under contract (that means signed by both the buyer and the seller) by April 30, you must also close on the sale on or before June 30, 2010.

Who qualifies as a "first-time buyer" for up to an $8,000 credit?
The law defines a “first-time home buyer” as one who has not owned a principal residence during the 3-year period prior to the purchase. For married taxpayers, the law tests the home ownership history of both the home buyer and his/her spouse.

If, for example, you have not owned a home in the past 3 years but your spouse has owned a principal residence, neither you nor your spouse qualifies for the tax credit. However, there are exceptions. As an example, there is a possibility for unmarried joint purchasers to allocate the credit amount to any buyer who qualifies as a first-time buyer, such as if a parent jointly purchases a home with child. There are also rules about ownership of vacation or rental properties not used as a principal residence.

How is the amount of the first-time buyer tax credit determined?
The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000 but there are income limits.

So, you need to speak with a competent Tampa Bay Realtor to see if you do qualify.

Who qualifies as a existing homeowner buyer for up to the $6,500 credit?
The law defines a tax credit-qualified existing or "move-up" home buyer as a person who has owned and resided in the same home for at least five consecutive years of the eight years prior to the purchase date of the new home. For married taxpayers, the law tests the home ownership history of both the home buyer and his or her spouse. That is, both spouses must qualify as long-time residents, with at least five years of principal residency for each. They do not, however, have to purchase a home that is more expensive than their previous home to qualify for the tax credit.

How is the amount of the existing homeowner tax credit determined?
The tax credit is equal to 10% of the home’s purchase price up to a maximum of $6,500. Purchases of homes priced above $800,000 are not eligible for the tax credit. And, yes, there are income limitations. If your income is above the limit, you may still qualify for a partial credit.

It is very easy to become confused with the provisions of this law. Don't miss out on an opportunity that may not come again for a long. So, speak with a competent Tampa Bay real estate expert like Cheryl Stimac right now to see if you do qualify.

Aa a Realtor experienced in dealing with these types of situations, Cheryl Stimac can tell you after just a brief conversation whether or not you may qualify. But time is short so its definitely "Time to Get Moving."

January, 2010 Home Sales Volume Increase

In January, 2010, 1,830 homes were sold in the Tampa Bay area which includes Hillsborough, Pasco and Pinellas Counties. This compares with the 1,628 homes sold during January of 2009. The average price of homes sold was about $161,500 while the median price (the point at which half the homes sold above and half sold below that level) declined slightly to $123,000.

This positive news is at least in part due to the extension of the Federal Home Buyer Tax Credit Program which offers up to $8,000.00 to first time buyers (or buyers who haven't owned a home in the last 3 years) and up to $6,500.00 to those who already own a home. Owners who currently own a home must have lived in their current home for 5 consecutive years over the past 8 years. Certain income limits do apply so you may want to contact me at (813) 263-6806 for those details.

Most real estate professionals believe we are either at the bottom of the market or close enough to it that this is the right time to take advantage of both the low prices and the tax-credit program. Buyers seem anxious to snatch up good deals now since all deals under this program must be under contract by April 30th and closed by June 30th, 2010.

The inventory of unsold homes on the market has been reduced to it's lowest level in several years with a 24% decrease in the number of homes for sale from January 2009 to January 2010.

Whether your interest is in a home or a condo, a newly-built home or an existing home or a bank-owned or short sale property, I can help you find exactly the right property for you and your family. E-Mail Me or call me at (813) 263-6806 today. I would be pleased to answer your questions and show you the many great bargains available right now here in Tampa Bay.

Fannie Mae Boosting Tampa Bay Condo Sales

Fannie Mae just announced that it will start a thorough review of hundreds of Florida and Tampa Bay condominium projects with the prospect of providing them with a new "special approval" label. Fannie Mae wants to restructure mortgage approvals for certain projects that currently do not fit into Fannie Mae guidelines, which has made them difficult to sell.

To this point Fannie Mae, acting under guidelines enacted in March, 2009, has refused to approve and guarantee mortgages on condominium developments where more than 15 percent of owners are delinquent on their association dues.

Under the new program Fannie Mae will also consider the building's occupancy, association dues and the financial stability and physical condition of the development. The program will still be somewhat restrictive in that it will only accept new or newly-converted developments where at least 70 percent of the units are sold or under contract. Nonetheless, this program is expected to provide a huge boost to condominium sales over the next 9 to 18 months across Florida and particularly here in Tampa Bay.

Florida Realtors have been asking Fannie Mae to revise its overly restrictive condo lending guidelines for some time. Summer Greene, vice president and regional manager with Prudential Florida 1st Realty, said "This is good news for Florida and a step in the right direction for the state's condominium market." He believes this review will help put a more positive spin on the Florida condo market that has been decimated by the housing slump. It will begin to reduce reduce the enormous inventory of unsold condo units as more prospective condo buyers are approved by lenders for loans on these properties.

More than half of all mortgages in the U.S. are backed by Fannie Mae and the similar organization Freddie Mac. It is hoped that once the Fannie Mae program starts to show success, Freddie Mac will similarly restructure its approval process.

If you have been considering buying a condo in Tampa Bay but been reluctant because it has been difficult to find attractive mortgage terms, this program may very well be just what you've been waiting for.

E-Mail Me or call me at 813-263-6806 for assistance in learning which Tampa Bay condo developments qualify and offer the best value for your money. Then let me help you pick out the condo unit that fits exactly the dream you've had of a Tampa Bay condo of your own.

You may also want to visit my Tampa Bay real estate website to learn more about the attractive lifestyle offerred here in Tampa Bay, Florida.

You Don't Have to be a First-Timer to Take Advantage of the New Home Buyer Tax Credit

The first-time home buyer tax credit, that Realtors have reported jump-started home sales this Summer and Fall, but due to expire at the end of this month, has been extended through April 30, 2010 by Congress and is on its way to President Obama for his promised signature.

The extension expands eligibility for the home buyer tax credit to people with higher incomes as well as to people who have already owned a home for at least the past five years. In either case, the buyer must sign a purchase contract on or before April 30, 2010 and close on the purchase by June 30, 2010. The $8,000 maximum first-time buyer tax credit will continue but will now be available to individuals with incomes up to $125,000 and joint filers with annual incomes up to $225,000. Home buyers with incomes up to $145,000 and couples with incomes up to $245,000 will be eligible for somewhat reduced tax credits.

Under similar income limits, a $6,500 maximum tax credit will be available to people who already own a home and want to move up to a larger home.

Under the new income limits, two-thirds of all American families owning a home today may be eligible to buy a new home. While buyers will not be required to sell their current home to qualify, the tax credit must be used to buy a new "primary residence", not a vacation home or investment property.

To keep speculators out of the program, people who claim the credit but then sell the home or no longer use it as their primary residence within three years will be required to repay the credit. The intent is to exclude from the program speculators who might purchase a home intending to flip it for a fast profit, according to Max Baucus, chairman of the Senate Finance Committee.

Here's a "heads-up" to those who may have considered buying a first home under the prior program but didn't quite get around to it.

"Contact a Realtor and get started now. You only have until April 30, 2010."

Congressional legislators in both houses have indicated that this costly part of the stimulus program will not be extended a second time. Critics point out that only about one-fourth of the homes purchased under the prior program would not have been bought anyway without the costly tax-credit program. There are also concerns that the previous tax credit program encompassed high numbers of fraudulent transactions. In this version of the program, the Internal Revenue Service has been given much wider authority to oversee the process to root out fraud.

If you are considering buying a first home or moving up to a larger home in the Tampa Bay Florida area I invite you visit my Tampa Real Estate website or for more immediate service, contact me by phone at 813-263-6806. I would be delighted to answer any questions you have.

Tampa September Home Sales Statistics Are Encouraging

The following update on Tampa area real estate sales was recently issued as a news release by the Greater Tampa Association of REALTORS® (GTAR)

"With negative news emanating from virtually every area of the economy, September real estate statistics in Hillsborough County offer encouragement for the local market.

"In statistics released by the Greater Tampa Association of REALTORS® (GTAR) and the Mid-Florida Regional Multiple Listing Service, two important figures, total home sales and inventory of homes on the market, improved in September over the previous month. Sales rose to 1,345 last month, up slightly from the 1,327 sold in August. The number represents the highest monthly sales in the county since June, when 1,394 homes sold.

"The inventory of homes on the market in Hillsborough County dipped to 14.21 months, down from 14.68 months in August, the lowest inventory figure since June of this
year, but more significantly, the second lowest figure since December, 2006, when the
figure stood at 9.04 months.

“Most economists believe our recovery will be slow and steady,” says Carol Austin, CEO of GTAR, “and these latest figures, while not dramatic, reflect that forecast.” Deborah Farmer, President of the REALTOR® association, believes the latest statistics offer more hope for the real estate market in the future. “The fact that inventory levels are down significantly since the beginning of 2008 is a number that should not be overlooked,” she noted. “The January 2008 inventory stood at nearly 26 months. To see that figure at its current level is more than encouraging,” Farmer said."

My belief is in line with these thoughts. The Tampa and Tampa Bay real estate market is beginning to show real signs of life again. The $8,000 first-time home buyer tax credit has helped drive this upturn and it seems likely to me that Congress will extend, and may even expand, that program in 2010.

As it starts getting colder up North, it's time to start looking for that primary or seasonal home you've been wanting here in warm, sunny and inviting Tampa Bay Florida. Don't miss out on the current very attrative price levels. Prices will inevitably start moving up again as the economy improves and the inventory of unsold homes on the market contiues to fall.

A Magical Hidden Property For Sale in Tampa Bay

MAGICAL is the word that describes this hidden property.

Calling old-time Florida lovers, this 7 acre tract in Hudson Florida, is a hidden time machine. The words tranquil, lush, wondrous describe this land.

Once you step on this property you will experience a transition to old Florida. Grand majestic oaks and enormous pines cover this private park. Own a magical piece of Florida, as this property has 3 fresh water springs. The property is mostly fenced.

Located close to the Hudson Marina, Hudson Beach, Hudson Elementary school, grocery stores and Bayonet Point Hospital. Owner financing is a possibility. Call to walk this property today. And, it is yours today for just $139,900. Call Cheryl Stimac, Broker at Red Shoe Realty, Inc. today at 813-263-6806 or cheryl@cherylstimac.com

Extend the Home Buyer Tax Credit - Yes or No?

Capitol Hill may be vacant right now as Senators and Congressmen are home listening to their constituents, but real estate and home builder lobbying group[s are actively working on a full-bore campaign to extend the $8,000 first-time home buyer tax credit currently scheduled to expire on November 30, 2009.

As you may know, the American Recovery and Reinvestment Act of 2009 (the stimulus package) authorized a tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence between January 1, 2009 and November 30, 2009. The program has been quite successful in reducing the inventory of unsold homes while helping many afford to buy a first home.

The National Association of Home Builders (NAHB) and the National Association of Realtors (NAR) are both hoping to persuade Congress to pass legislation to extend the tax credit as soon as possible after Congress returns to Washington next week. The two associations are contacting members of Congress even while they are in their home districts during their congressional recess. One of the things they are pushing for, in addition to an extension of the first-time home buyer credit, is to expand the program to cover all home buyers through the end of 2010.

Senate Majority Leader Harry Reid recently indicated that he believes “it's something we can get done.” Senate Banking Committee Chairman Democrat Chris Dodd and Republican Johnny Isakson are sponsoring a bill that would extend the credit through 2010 and expand it to a $15,000 maximum. In the House, two bills have been introduced to extend and expand the credit for either 6 or 12 months. Both the NAR and the NAHB organizations are strongly supporting these initiatives.

With this impetus, it seems likely that in one form or another, the tax credit will be extended into next year, but...

As we've come to understand, there is no such thing as a "sure thing" in Washington. NAR spokesman Walter Molony recently justified his organization’s support for the tax credit saying that it is reducing the inventory of unsold homes and stabilizing pricing, benefiting the economy since in his judgment house prices “overshot to the downside.” But, the NAR also estimates that 1.8 million to 2.0 million first-time buyers will take advantage of the $8,000 first-time home buyer tax credit before the current version expires. the program, as it now exists is expected to cost about $15.20 billion.

Viewed another way, NAR's own estimate is that only 350,000 of the homes sold under the program would not have been sold without the tax credit. If you now divide the $15.2 billion the program cost by only those 350,000 homes that would not have been sold without it and you get a whopping $43,000 per additional home sold. And, critics say, the numbers will only get worse if the program is extended and expanded to cover all home buyers.

These opposing views of the program could lead fiscal conservatives in both the Democratic and Republican parties to complain that any extension will only add to the ballooning national debt. Legislation that looks, at any given moment, as if it will clearly be enacted can be delayed, watered down, or frustrated in the House and filibustered in the Senate.

So, if you are in the market for a home, and particularly if you haven't owned a home in the past three years, so you qualify for the current $8,000 tax credit, you should be working with a Realtor like Cheryl Stimac, a competent and honest Tampa Florida real estate expert right now to buy the home you've been wanting so you can close on it before the November 30th expiration of the current program.

If you aren't already involved in buying a Tampa Bay home of your own, E-Mail Cheryl or call her at Red Shoe Realty, Inc at 813-263-6806 right away and get started toward owning your piece of the Tampa Bay, Florida paradise.

$1.8 Billion in Education Stimulus Money Coming to Florida

The U.S. government recently released $1.8 billion in stimulus money for education to Florida, shortly after the state applied for a waiver required because the state has underfunded education in previous years.

"The $1.8 billion Florida is receiving is part of the single largest boost in education funding in recent history," Secretary of Education Arne Duncan said in a statement. 'Florida can now utilize these funds to save jobs and lay the groundwork for a generation for education reform."

Although the money is expected to plug holes in school-district budgets to save jobs, some of South Florida's school districts may still see some layoffs. School districts won't get the funds directly from Washington. Florida law makers, confident the state would get the money, allocated these funds to shore up the education portion of the 2009-10 budget the Legislature approved last month. That allowed legislators to tout a small increase in per-student spending in Florida.

In addition to the $1.8 billion in stabilization funds, Florida has received almost $600 million more in education stimulus dollars -- including about half the money the federal government designated for low-income schools, programs for disadvantaged students and other grants.

Another $891 million in stabilization money will also become available later this fall.

To receive the funds, the state had to assure the federal government that it would closely track education statistics, including annual student improvements, the effectiveness of state standards and assessments, and interventions in turning around under performing schools. The state will also be required to report how many jobs are being saved with the stimulus money, how the funds are used, and what state and local tax increases were avoided because of the federal dollars.

While all this spending may seem to be a mixed bag of benefits and downsides, there is little doubt that this infusion of money will help improve the schools around the state and here in Hillsborough and Pasco counties.

If you would like more information on any aspect of life here in Tampa Bay, feel free to E-Mail me with your questions or visit my Tampa Bay Florida real Estate website.

Planning to Sell - Focus on Your Kitchen

When it's time to put your home on the market, many real estate experts recommend that you focus on updating the kitchen first. For many potential buyers, especially the wives, the kitchen may be the most important room in the home. The condition and appearance of the kitchen has the power to make or break a sale.

So, if you want your home to sell quickly at a good price, do everything you can to enhance it before you start showing the home to buyers. Remember however as you appraoch this task that the money you spend is a cost of selling. Don't do a complete remodelling unless the kitchen really needs it. A good Realtor, like Cheryl Stimac, a Tampa Bay Florida real estate expert can give you advice on the extent of remodeling that you should invest in.


Start by creating space. You want you kitchen to look large, light and roomy. Clear the counters of all clutter. Take everything you can out of drawers and shelves and move it into storage. Remove all those magnets from the refrigerator and if the refrig looks scratched, give it a fresh coat of porcelain paint. What you want them to see is a warm, open and inviting space, not your old pots, pans and toaster.

Consider fresh paint. Paint is the most profitable improvement. A fresh coat of light, neutral colored paint on your kitchen walls will make them look spotless and new. Exactly the look you want.

Pay particular attention to the sink. If your faucet looks old and dated, replace it with a new one. It will go a long way towards improving the look of the whole kitchen, for very little money.

If your counter tops look old and tired, you should consider new ones. Today you can buy corian or even granite countertops at reasonable prices. Talk to your local Home Depot or Lowe's hardware satore. Remember to stick with neutral colors, nothing too flashy.

Check the stove and oven. The oven should be spotless. If the stove is a glass-top mmodel, scrub it until there is no residue at all on it. A sparkling range looks great. A dirty one laeves the prospect wondering if the rest of the house is any better maintained. Don't let them even "go there".

Freshen up the cabinets. Replacing cabinets is expensive and seldom makes a good investment. But you can paint them, or put new, modern looking pulls on them for very little money. A fresh rub-down with a good cleaner-polish will give them a fresh look.

Check the windows. You'd be amazed how many people forget to wash the window over the sink or the sliding glass doors next to the dining area. if the trim looks dull, a fresh coat of paint there will also add sizzle.

Finally, a trick that works amazingly well. Just before prospective buyers come, bake a fresh batch of cookies in your oven. And, yes, leave the cookies out for them to sample.

In short, buyers will quickly notice any shortcomings in your kitchen, so do everything you can to freshen it up and give it a modern, open, airy and spacious and "inviting" look.

Are Home Mortgages Really Available Right Now ?

The simple answer to that question is is "yes" but the mortgage you might get today will be way different from the one you might have gotten away with as recently as a year or two ago. There are at least four mortgage sources you might want to consider if you are hoping to buy a home in the Sarasota area while prices are still low.

Before the big "mortgage meltdown," people were able to qualify for a mortgage without even having to prove their actual income, among other things. Today, you'll not only have to be able to document your famly income, but you'll also have to provide information on other assets and liabilities that you have. Mortgage lenders also now want to accurately measure your "debt-to-income ratio", that is, what percentage of you total and take-home pay will be consumed by this mortgage if it is approved. And, there are now few, if any, no-down payment or ridiculously-low down payment loans.

If you meet these qualifications, there is mortgage money available. Mortgage approvals are now based on the more reasonable bases on which mortgages were granted before all the foolishness began a few years ago and the mortgage business eventually crashed and burned when the housing bubble burst. Mortgages being provided today "have to make-sense" in terms of the borrower's ability to repay the loan over time. No longer can you and/or the mortgage provider bet on housing prices going up and up forever so regardless of how silly the situation was at mortgage origination, there would be endless increases in the value of the home
to "bail both the buyer and the mortgage company out the ridiculous mortgage granted." Nonetheless, there are mortgages available today to those who can qualify for them.

FHA-insured mortgages

Federal Housing Administration (FHA) -insured mortgages have been available for decades, focused predominantly on low-to moderate-income families who may not meet
requirements for a conventional loan with a 20% down-payment required. FHA-insured mortgages can require as little as 3.5% down payment with no pre-payment penalty. Credit scores and debt-to-income ratios have been relaxed somewhat to allow more families to buy one of the many homes on the market right now.

Of course, there is always, "good news" and "not so good news" in situations like this. First the "not so good news." With the lower down-payment on an FHA mortgage comes an upfront "mortgage insurance fee" that must be paid at closing plus a monthly mortgage insurance premium (MIP) that essentially adds a half-percentage point to your interest rate.

But the "good news" is that your Realtor, working with the seller and mortgage provider, can structure your loan so that the home seller pays all or nearly all of your closing costs, other than the 3.5% down payment. In the current market environment, many home sellers are willing to participate in this type of arrangement to get their home sold.

FHA-insured mortgages with the lowest interest rates will go only to buyers with a debt-to-income ratio of less 33% or less where your "debt" is the total monthly cost of the home, including principal, interest, property taxes and insurance (PITI) plus any other monthly debt you owe like auto payments, credit card debt, student loans, etc.

Under the stimulus package signed by President Barack Obama last month, more American families will now be eligible to purchase or refinance their homes using affordable FHA-insured mortgages. This act allows increases for the year 2009, in the maximum loan limits for FHA, Freddie Mac, and Fannie Mae loans. These
limits are equal to the greater of 125% of the 2008 local area median home price or $271,050 for FHA, and $417,000 for Fannie and Freddie, with an overall maximum cap of $729,750.

Credit Union Loans
While they tend to issue mortgages only to their own members, the credit union you may participate in at work or in your community may also be a source of an attractive mortgage. Most credit unions avoided the mortgage melt-down because they stuck to solidly-based mortgage underwriting principles. As not-for-profit firms, credit unions had no incentive to get involved in the "make a quick buck on closing fees and sell it off the same day" sub-prime mortgage schemes and scams.

Credit union fixed and adjustable rate mortgages (ARMs) are often written at lower interest rates than are available at conventional banks.

"Hope for Homeowners" Mortgages
The "Housing and Economic Recovery Act of 2008" created "Hope For Homeowners" (H4H) program which allows troubled mortgage holders to avoid facing foreclosure by refinancing their existing mortgage into a more affordable, FHA Secure mortgage, provided the federal government participates in any increase in the value of the home over time and the holder of the existing mortgage agrees to go along with the re-financing. This program increases the allowable loan to value ratio (LTV) to 96.5% for some H4H loans and allows lenders to extend mortgage terms from 30 to 40 years further reducing the monthly payment. More information on H4H loan programs is available on the HUD Hope for Homeowners website.

The American Recovery and Reinvestment Act of 2009 (ARRA)
The ARRA offers assistance to first-time home buyers by providing an $8,000 tax credit for the purchase of a principal residence between January 1, 2009 and December 1, 2009. The tax credit is claimed on your tax return reducing the purchaser's income tax. Two bonus features of this program are:

• The tax credit does not have to be paid back


• If any credit amount is unused, that amount will be refunded as a check to the purchaser.
  

Local and State Programs in Your Own Area
If you are a first-time homebuyer or a low-to-moderate income family, you should investigate whether ther are local or state housing assistance programs that can be helpful. Some programs offer very low-interest loans or even grants to families these agencies want to attract into their communities.  These programs are also sometimes aimed at municipal employees, police officers, firefighters and other first-responders the local area has difficulty recruiting.

So...are mortgages available right now? The answer is definitely "yes. Mortgages are definitely available" and you should contact your Realtor today to see if you can qualify for one of these programs.

I would be delighted to help you find both the right home and the right mortgage for your circumstances. Vist my Tampa Bay Florida real estate website or call me at 813-263-6806.

The Seller Can Help You Buy Their Home

If you and your family are ready now to buy your first home, but you're not sure you have enough cash stashed away, there are ways in which a home seller can assist you in buying his home. A competent Tampa Bay Realtor can review all of your options but here are a few examples.

FHA MORTGAGE WITH SELLER FINANCED CLOSING COSTS
An FHA mortgage requires as little as 3.5% of the purchase price as a down payment. These mortgages have been available for years. Your Realtor, working with the home seller and an FHA-approved mortgage provider, can structure a mortgage loan so that the seller pays all or nearly all of your closing costs. The seller cannot assist you with the 3.5% down payment, but can pay just about everything else at your closing. In the current market environment, many home sellers are willing to participate in this type of arrangement to get their home sold.

SELLER-PAID BUY DOWNS
There are many variations of "Buy Downs," Some are permanent, where the interest rate is reduced over the full life of the loan. Other buy downs are temporary, reducing your interest rate, and therefore your monthly payment, for the first 1 - 3 years. The most popular is what's known as a "3-2-1 Buy Down." Here's how it works. For the first year your rate is 3% below the market interest rate; the second year 2% below, and for the third year the interest rate you pay is 1% below the agreed-upon interest rate. This allows you to grow into your loan payments over 3 years. If you expect your family income to grow over that period by enough to cover the eventual cost, this may be an attractive option for you. "Buying down" your first 3 years of loan payments in this manner will cost the seller about 4.5% of the loan amount. Here is an example on the purchase of a home with a $225,000 mortgage with a fixed rate of 6.5%. The full monthly rate on this mortgage would be $1,422.15/month. Using a 3-2-1- buy down, the first year's payments would be $1,010.35, the second year's is $1,140.04, the third year's - $1,277.53, and then for the remaining 27 years, $1,422.15. The "buy down" of the first 3 years payments saved you, the buyer, over $10,000 in mortgage payments in addition to making your payments more affordable for those first 3 years.

There are other buy-down processes your Realtor can discuss with you. Another popular one is a 2-1 buy-down which works like the 3-2-1 program but reduces the interest rate for only the first two years.

SELLER FINANCING
Less frequently, but occasionally, there are sellers who own their home outright (no mortgage on the property) who will agree to assist you by holding your mortgage. In this case, you do not have to qualify through the normal bank financing route. In effect the seller, instead of a bank or other mortgage company, becomes your mortgage provider. Such a mortgage can be written with essentially any terms and conditions that you and the seller agree upon ranging from financing 100% of the purchase price to requiring a minimal or larger down payment, with or without a "balloon payment" at some point in the future, and for a term of 10, 15, 25 or 30 years.

Such private lenders frequently charge a higher interest rate and may try to use this approach to get the highest possible price for their property. So protect yourself by working with a competent Realtor who can make certain that you are not over-paying for the home you want.

The point of this discussion is this. if you'd like to buy a home now, one of these seller-assisted approaches may work for you. Don't be scared off because you don't think you have enough saved up yet. The price of homes and the interest rates are as low right now as they have been in a long time. Meet and discuss your options with a competent Realtor like Cheryl Stimac, a Tampa Florida Real Estate professional. Got questions about all this? Call Cheryl Stimac today at 813-263-6808 or email her at cheryl@cherylstimac.com

You may be closer to your dream of home ownership than you have dared to hope.

Getting Involved with "Green' Building in your Home

    As we end the arguably "troubled" year of 2008, it might be uplifting to consider something we could all get involved with in 2009 to begin moving our ourselves, our planet and, in particular, our homes toward a more eco-friendly an sustainable lifestyle.

    Yes, owning a home of your own is clearly the ultimate "American Dream", but some of us now want to go further and move our homes is the direction that has become to be known as "green".

    Some may want to build their own green home from scratch. For those, the trend to "building green" calls for using materials that are environmentally friendly, designing spaces to utilize energy more efficiently, furnishing the home with Energy Star-rated appliances, and avoiding waste and using natural resources as much as possible.   For others, becoming more green, may involve just remodeling or updating your home.  In either case, there are many resources on the Internet to help you find your way.

    As the author of the greenhomebuilding.com website says, "The reason for building greener homes is really quite important.  We need to live more lightly on the earth, because the degradation of our environment is ompromising not only our survival, but the survival of most other living beings on the planet.  We can no longer ignore the impact we have on the earth's ecosystems. nbsp;The way we live, the choices we make in providing for our needs, will have an enormous influence on the quality of life of those who will follow us."

    If you’re looking for tips, plans and pointers to consider as you contemplate perhaps building that "green home," or just employing an environmentally-friendly approach in your remodelling, there are many Internet-based website resources that offer information and assistance:

• GreenHomeBuilding.com This website offers a wide range of information about sustainable architecture and natural building including plans,
  designs and other resources that help get you started with ideas for your own green home.  In addition to eco-friendly (sustainable) designs, you also have find options that focus on local architecture and use of indigenous materials.  You can also seek expert opinions or buy building codes and other resources.



• GreenHomeGuide.org is a guide maintained by the United States Green Building Council.  This website offers comprehensive information on green-home programs, green remodeling guidelines for remodeling kitchens, baths, flooring and more... even landscaping as well as many other resources.  You will learn how to get your home Leadership in Energy and Environmental Design (LEED) certified and other interesting facts and figures.



• GreenBuilding.com: The author of this site, green building expert David Johnston, is a leading thinker behind the green building movement, transforming the way we think about the American home.  His approach to green building has been embraced by municipalities, homeowners, building professionals and sustainability advocates nation-wide.  Johnston’s current book, "Green Remodeling: Changing the World One Room at a Time," co-authored with fellow green building consultant Kim Master, and available on Amazon.com has been hailed as the definitive guide to green remodeling techniques.  This website explains how a green home should be constructed and offers links to professionals in the field.  The website also contains many "fast facts" about the waste that goes on in a typical home.  You can also learn how to go about a green remodeling project or talk to experts on energy to learn how your home can benefit from such investments.



• BuildingGreen.com offers a live feed of news items related to green building from around the world.  Other links offer access to green projects, products and informative articles.



• GreenIsUniversal.com While this site offers some of the same resources to help build sustainable, eco-friendly homes offered by other websites, this site also offers a Virtual Reality Game where you can play at building your own green home online.

    If you'd like more information about this topic, I would be pleased if you would contact me by E-Mail or by phone at 813-263-6806. You may also want to visit my Tampa Bay Florida real estate website.

Tampa Bay Real Estate Market Poised for Recovery

I read a very intriguing article this morning which was written by James A. Crumbaugh III, CEO of Allison James Estates & Homes. I am copying the content of that article here because I believe Mr Crumbaugh is absolutely right in his understanding of WHY the Tampa Bay real estate market is poised to have a much better year in 2009 than 2008 has been.
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RISMEDIA, Dec. 10, 2008- I’m always accused of being overly optimistic about the real estate market. You have to understand that after 35 + years in the business, everything is just a cycle to me and when we go through a cycle like we’ve been going through, then my thoughts become “How long will the cycle last?”

You may have read my previous article titled The Perfect Storm, where I discussed the reasons that I thought this real estate market was poised to turn around. We are seeing the market improve almost on a daily basis recently. Is it the facts that I stated in my article that is causing the turn around? Absolutely that’s part of the turnaround.

However, there is another dynamic at work here. I’ll call it the "Obama Effect." I voted for John McCain, but I’m sensing an optimism starting to build in this country. I will give President Elect Obama credit where credit is due, and I will be the first to admit that at this point he is being very proactive at turning around the financial crisis in this country.

As the optimism improves, and I think it will, from here to the inauguration, and for the honeymoon period following the inauguration, we will continue to see an improvement in the optimism in this country.

With the automotive bailout, real estate is bound to improve in the Michigan area and probably the entire rust belt, therefore improving Florida real estate. The retirees will be able to sell their homes in Michigan and retire to Florida or other states popular among retirees.

The public works project will put hundreds of thousands of workers back to work and at good wages. I still believe we have a pent up demand for the last three years of buyers wanting to buy. Once these buyers are employed again and flush with income, the market will start to improve.

Then you have very low fuel prices that allow the consumer more discretionary income to spend.

Then we have the potential for mortgage rates as low as 4½% .

When you start to take a hard look at where we are poised as an industry, no matter how pessimistic you are, you have got to believe we are in for a return of a good real estate market in Florida, if not an excellent real estate market.

The stars are lining up:

- An improved automotive market
- Low fuel prices
- Workers going back to work
- Good wages
- Low real estate prices
- Low mortgage rates

I’m becoming more optimistic just writing this article. I don’t believe you can argue the facts as I just them pointed out. Things are looking up for the Florida real estate industry..........

James A. Crumbaugh III is CEO of Allison James Estates & Homes.
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If you are a retiree, a real estate investor, or a broker or realtor, better times are coming in 2009 because the bear market in housing is about to turn around and it will turn around soon.

If you are ready to learn why, if you are going to invest in Florida real estate, Tampa Bay Florida is the right place to do it, contact me by E-Mail or complete my Tampa Florida Information Request Form. In a hurry ? Then call me directly at 813-263-6806.

Go "Green" for the Holidays

With our economy faltering and the new awareness of a more eco-friendly approach to living, we're all more focused on being "green" these days - with respect to both our wallets and the environment. The holiday season can be a challenge for both of these interests with gifts to buy and wrap, decorating to do, holiday parties to throw and on and on.

It has been estimated that during every week between Thanksgiving and the New Year, an extra one million tons of waste will be generated in the U.S. alone. It's been estimated that 38,000 miles of Christmas ribbon are tossed away each year - enough to ribbon more than once around the Earth!

Rather than waiting for New Year's Resolution time to bcome more "green," try a few of these eco-conscious tips to help you and your family live, give and save green this holiday season.

Go with the Glow
The holidays just wouldn't be the same without the twinkly glow of strings of lights along rooftops, eaves and in trees and shrubs. But those holiday lights are a real drain on your energy bill. LED lights use less than 10% of the electricity consumed by traditional filament bulbs and can save you close to 95% on your electricity bill.

Stay Home for the Holidays
Save time, money and stress. Stay home for the holidays this year saving money for gas and reducing pollution. use-less-stuff.com reports that if every American family reduced holiday gas consumption by just one gallon, that would mean driving just about 20 miles less, we would reduce greenhouse gas emissions by one million tons. So think about enjoying the holidays this year at home.

Get Creative with Wrapping
Mass-produced wrapping paper generally is not recyclable and ends up in landfills. Instead, get creative. Wrap presents in old maps, the comics section of a newspaper, or in your children's artwork. The Sierra Club estimatges that if every family wrapped just three gifts this way, it would save enough wrapping paper to cover 45,000 football fields. And, does that pre-formed bow actually make the present all that much more attractive? Think about leaving those off your presents this year.

Give the Gift of Giving
Upgrading your electronic toys and computers this year? Do you have electronics, toys, appliances or clothes that your family no longer needs or uses? Donate those items to a local charity or shelter. You'll get rid of clutter, and, you'll keep all that stuff you donate from ending up in a landfill. Are you a neat-nik with nothing extra lying around the house? Think about making modest cash donations to local charities or food items to a local food bank and telling the folks you'd normally give some silly (and probably unwanted) gift to, that you've made a donation instead. If you know your friends' favorite charities, your donations may be even more appreciated. You'll be helping to reduce waste and at the same time, you'll be making someone's holiday a little brighter than it might have been.

Save A Shoppng Bag and a Tree
Instead of coming home with 15 shopping bags, all of which will end up in the trash, bring your own eco-friendly bags to the store. If you're afraid of being stopped for shoplifting, Danny Seo, author of "Simply Green Giving," fastens receipts to the outside of his bags with a binder clip he brings with him, clearly indicating that what is indisde was ought and paid for.

For your Christmas tree, go "real." Fake trees are petroleum-based and they are not biodegradable." One answer, depending on where you live, is to buy a live tree and plant it in your yard next Spring. Or get a fresh-cut tree and, after the holidays, take it to a recycling facility, where it can be turned into mulch.

Give Green, Live Green and Save Green
Make this your holiday slogan. These simple steps make it easy to bring a little more "green" to the Earth and save a little "green" in your wallet this holiday season. Have ideas of your own ? Write us a comment with your suggestions.

Happy Holidays to You and Yours

Home Selling - Target Your Buyer Audience

Have you noticed how political campaigns target specific groups of voters? The needs of each group are identified and addressed separately, because politicians recognize that the voting public is not a single, generic person, but a collection of millions of different personalities.

When selling your home, targeting your home properly could be your most important strategy because buyers have different needs and desires, just as voters do. When listing your home, ask your Realtor for details about the marketing plan he or she intends to use to attract different segments of the home buying population.

"Targeted" marketing, as pointed out in Cheryl Stimac's most recent newsletter, is an extremely effective method of attracting home buyers. No one understands that process more than an experienced real estate professional like Cheryl Stimac. You can visit her Tampa Florida real estate website or call her directly at 813-263-6806. You will be glad you did. If you'd like to subscribe to Cheryl's newsletter, you can sign up at her Newsletter Request Form.

Should You Buy Now in Tampa Bay or Wait

5 GOOD REASONS TO BUY NOW

1. Prices in the neighborhoods you prefer are currently relatively stable -- either holding steady or increasing slightly, or, -- the pace of price declines has slowed dramatically meaning the major decline is over. If you are ready to move, the small penalty you might pay by missing the absolute bottom of the market may not mean much.

2. You plan to stay in the home for five years or more. If you plan to stay that long before selling, leading economists say you will probably have gotten beyond this price downturn and you'll come out ahead on price when you sell the home.

3. Your rent is relatively close to what your mortgage payment would be. If you qualify for a mortgage, you will be building equity in your new home and you will be able to deduct the mortgage-interest and property taxes on your federal income taxes.

4. You've found the perfect home in the right area. The schools are great. You know it will be hard to find another home as nice as the one you have your eye on. In a better housing market, you might have much more competition for that home and end up paying more for it if its even available at that point.

5. You've built equity in your current home and are moving to a place where homes prices are lower in a market where your money will go a lot further.

5 REASONS TO WAIT BEFORE BUYING

1. If you have lived in your current home for less than 2 years, there is a good chance that you haven't accumulated any real equity in your home. In fact, you may have negative equity, (you owe more on your mortage than the home is now worth) if you live in certain areas of the country.

2. Your job isn't secure. If you may get laid off or lose your job altogether, it's better to stay where you are until things improve. If you lose your job and have to move some distance, it'll be much harder to come out ahead selling a home you just bought.

3. You don't plan to stay in your next house for at least 5 years. While it's not important to buy at the exact bottom of a home price curve, it is important that you stay long enough to ride out the cycle. Prices will certainly recover but it may take a few years.

4. You don't have good credit or a sufficient down payment. Because of the sub-prime mortgage mess, lenders are more careful today about who they'll give a mortgage to. Speak with a number of lenders about different programs they offer, but don't be surprised if you are turned down completely.

5. You have an existing home to sell in an area where prices are still falling or where many homes are in foreclosure or already bank-owned. In such a "distress sale" neighborhood, your buyer prospects may be just "bottom-feeders" looking to buy a home well below its real market value if the market were in a normal situation.

For more information on Tampa Bay real estate opportunities, I invite you to visit my full Tampa Bay Florida Real Estate website and then call me at (813) 263-6806 or email me at cheryl@cherylstimac.com
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What Is a Buyer's Agent, Why Would You Want One

First, let's define the roles a real estate agent can choose to play. Licensed Realtors®, by law, can act in a number of roles. A real estate professional acting in the role of a Listing or Sellers Agent represents the Seller and is obligated by law to help the Seller get the best price and terms.

A Realtor acting in the role of a Buyers Agent works for the Buyer and must
legally and ethically look out for the Buyer's best interest, not the Seller's.

Some Realtors act as either Sellers Agents or Buyers Agents exclusively. Other Realtors have the knowledge and experience to provide service to both Buyers or Sellers, but with few exceptions, on any given transaction, they can act only in one of the roles. Either they represent the Seller or they represent the Buyer, not both
at the same time for that would present a conflict-of-interest.

In some states, including Florida, real estate agents can act in a special role called various things but most commonly, as a "Transaction Broker". When acting in this role, the Realtor must declare to you that he or she is acting in that role and is, in fact, representing neither the Buyer nor the Seller but simply acting as a "facilitator of a transaction."

In general, you, as a buyer, are best served by a Realtor acting specifically as your Buyers Agent.

The details of buying a home can be overwhelming. A professional Tampa Bay real estate Buyers Agent can guide you through the entire process and make the experience much easier, less frustratiing and more enjoyable. And buying a home should be just that -- an enjoyable experience.

- A Buyer's Agent can advise you on many important considerations about a neighborhood you may be considering...the schools, children in the area, traffic volumes, etc.

- He will help you determine the price home you can afford and search the Tampa Florida Multiple Listing Service for homes that fit your needs and affordability. Ther are few things more frustrating than viewing homes you cannot afford.

- With access to homes as soon as they’re on the market, your Buyers Agent schedule a tour of every home that comes on the market tha fits your situation saving you time wasted driving around looking at homes from the outside that don't fit your situation anyway.

- He or she can screen homes on the market to assure they're reasonably priced and in good condition before taking you to see only those in your price range with the amenities you want.

- Your Tampa Florida realtor will point out ways to structure the deal to save you money, explain the advantages of different types of mortgages, guide you through the paperwork, protect your interests during inspections, and answer any questions as you make an offer, negotiate the final price and sign the closing papers.

In most instances, you don’t pay your Buyer's Agent anything at all for all these services. Payment for all the work a Tampa buyers agent does for you comes from the home seller under the terms of the listing contract.

Remember, if you see a home in a Tampa newspaper, real estate book or on the Internet, and you contact the Realtor in that ad, you're calling the Listing Agent,
who is looking out for the Seller, not you. If you want someone looking out for your interests, not the Seller's, you want the services of a Tampa Florida Realtor acting as your Buyers Agent.

So, how do you find a Buyers Agent in the Tampa real estate market? It's easy! Just ask a licensed Tampa area Realtor if he or she is willing to act as your "Buyer's Agent. He or she will most likely be happy to provde that service.

And why use a Buyers Agent A Buyers Agent Realtor looks out for your interests and desires, in most cases, at no cost to you. A better question might be, "Why not use a Buyers Agent since it generally costs you nothing.".

Florida Set to Restore Everglades with Massive Project

An area of Florida with 300 square miles land may be returned to its natural state over the next decade.

U.S. Sugar, currently the largest producer of cane sugar in the U.S. is negotiating with the State of Florida to go out of business and for $1.7 billion, sell its 187,000 acres of land plus its refinery and other assets to the State of Florida as part of the state's plan to restore the Everglades. This plan was announced jointly by Florida Gov. Charles Crist and U.S. Sugar CEO, Robert Buker.

While negotiations are on-going and subject to approval by both the State government and the board of privately-held U.S. Sugar, officials hope to have a final agreement in place by September, 2008. Under that agreement, U.S. Sugar would be allowed to farm the land for 6 more years and then shut down operations. At that point, a very important 187,000 acres of land south of Lake Okeechobee, currently in use by U.S. Sugar, will be used to help restore the wetlands that support the Everglades.

That land is the virtual heart of the ecosystem which supports the Everglades and can be used to restore a more natural flow to the wetlands that has been restricted and diverted for years by agricultural and other development.

Jeff Danter, The Nature Conservancy’s state director, called the potential deal “an unprecedented opportunity to completely rewrite the course of Everglades restoration.” Frank Jackalone, of the Sierra Club, applauded the move saying, "If they can restore the flows, it can correct what's happened over the past 60 years."

The restoration effort will be the largest of its kind in the world. Returning the land to its natural state, including rerouting water from flood control projects, will help cleanse water flowing south from Lake Okeechobee into the Everglades filtering out fertilizers plus other industrial and automotive pollutants.

The plan calls for the state of Florida and the U.S. Government to be equal 50-50 partners. Florida so far has committed over $2 billion, while the Federal government has spent only several hundred million dollars. Congress authorized $1.8 billion for Everglades projects in 2007, but the money has yet to be allocated.

U.S. Sugar employs 1,700 people all of whom who will lose their jobs. But, U.S. Sugar has been under financial pressure for some time from lower-cost sugar imports. The State of Florida plans to offer job-retraining to the displaced employees. Closing down U.S. Sugar will not, however, completely end sugar production in the Everglades ecosysem. About 300,000 acres used by other sugar growers will remain in production.