Real estate recovery slow but baby boomers to buy up second homes

Although  30-year mortgage rates are under 4 percent and home prices have remained low, many people can’t to take advantage of increased housing affordability in the real estate market.

Recovery will be slow according to experts, with many homeowners struggling not to lose their homes. Also, many homeowners are improving their existing residences instead of relocating. According to the National Association of the Remodeling Industry, $113.6 billion is projected to be spent on remodeling through the third quarter of this year (2012).

Some experts predict a growing number of baby boomers will snap up vacation and rental properties in the coming years, with many planning to retire in these homes.

Fla. consumer confidence surges upward in January

 Consumer confidence among Floridians surged up in January, up seven points to 77 from a revised December reading of 70, marking a steady rise in optimism, according to the University of Florida’s monthly survey. Employment gains, especially in trade, transportation and utilities, may help explain the boost in confidence.

Four of the five categories measured by the survey showed an increased optimism. One category that asks survey takers if they’re better off financially than they were a year ago rose four points to 60, its highest level since March 2008 when the U.S. economy began to decline. Expectations that their personal finances will improve by this time next year rose eight points to 86.

And, although gas prices have gone up nearly 20 cents a gallon over the past month, inflation overall remains low. Also, interest rates are still at near record lows and the Federal Reserve has presented plans to keep them low for the next two years.

Only one category dropped – whether or not it’s a good time to buy big-ticket items like cars or  refrigerators, which fell four points to 81.

Source:Florida Realtors

Short sale sellers need to close in 2012 for debt forgiveness

Did you know that if a bank writes off debt in a short sale, it’s a taxable event?  It is true. The lender tells the Internal Revenue Service about the transaction by submitting a “Form 1099-C, Cancellation of Debt” at the end of the year. This means that home sellers must acknowledge the amount when they fill out their federal taxes.  But, through Dec. 31, 2012, the federal government forgives any tax liability associated with forgiveness of a mortgage loan.

Will the debt forgiveness continue after the deadline is over?
The government generally considers forgiven debt to be income. If a seller has signed legal loan papers to take out a $200,000 mortgage and the lender accepts $100,000 in a short sale, for example, the seller received the equivalent of $100,000 in free money by government estimates. As a result, the IRS taxes it. For tax year 2012, however, the government still forgives the debt; in 2013, it might not.

The tax amount can be significant. On a debt of $100,000, a short-sale seller in the 25 percent tax bracket could end up owing $25,000 in income taxes.

Since short sales can take months and even fall through, homeowners considering a short sale may want to start the process sooner rather than later.

Note: Always talk to your tax advisor or CPA about tax consequences of real estate
Sourece: Florida Realtors®

Stoneybrook East- Orlando-Recent Home Sales (32828)

What recently sold in Stoneybrook-Orlando?

The past 90 days (November through February 4, 2012), there were 10 real estate transactions in this Orlando Neighborhood.  

 List Price Address  beds/baths-- SqFt -Sale Price- Sold Date

LIST PRICE: $106,220 2435 SIWARD AVE 4 2/0 1,259 sq/ft -  SOLD: $114,230 12/30/11

LIST PRICE: $158,000 2730 DOVER GLEN CIR 4 2/0 1,755 sq/ft -  SOLD:  $160,200 11/18/11

LIST PRICE: $160,000 2579 DOVER GLEN CIR 4 3/0 2,408 sq/ft -  SOLD:  $159,000 12/08/11

LIST PRICE: $161,500 2275 HILLSHIRE DR 4 2/0 1,920 sq/ft -  SOLD:  $162,500 11/28/11

LIST PRICE: $224,900 2430 STONE CROSS CIR 4 2/0 2,407 sq/ft -  SOLD:  $215,000 01/24/12

LIST PRICE: $249,990 14883 HARTFORD RUN DR 4 3/0 2,824 sq/ft -  SOLD:  $239,000 2/16/11

LIST PRICE: $255,000 2621 WINDSORGATE LN 4 3 2,841 sq/ft -  SOLD:  $255,000 01/25/12

LIST PRICE: $260,000 2513 CORBYTON CT 4 2/1  3,833 sq/ft -  SOLD:  $260,000 11/18/11

LIST PRICE: $310,000 2414 TETON STONE RUN 4 3/0  sq/ft -  SOLD: 4,004 $310,000 01/25/12

LIST PRICE: $539,900 2616 NORTHAMPTON AVE 4 4 3,888 sq/ft -  SOLD:  $494,000 12/01/11

What Homes are for sale today in Stoneybrook-Orlando? If you are wondering what is currently for sale in Orlando's Stoneybrook neighborhood, just head over to my Orlando real estate site. You can take a look at *all* the current Stoneybrook listings with multiple pictures on the Mid Florida MLS and you won't have to register.

While you are over there you can also look at other Orlando listings by neighborhood like Avalon Park, Baldwin Park, Dr. Phillips, Bay Hill, Thornton Park, College Park and more.

Map of Stoneybrook East Orlando 32828-Click to enlarge

Home repairs before selling your home

Home remodeling fixes before selling a home can  pay off, but which repairs bring the biggest return?

Every year, REALTOR® Magazine teams up with Remodeling magazine to provide the Cost vs. Value Report–an annual report that reveals which remodeling projects that can offer the biggest returns at resale.

Here are the top  ten remodeling fixes as reported by REALTOR® Magazine.
1. Entry Door Replacement (Steel) – 102.1% return


2. Garage Door Replacement – 83.9% return


3. Deck Addition (Wood) – 72.8% return


4. Minor Kitchen Remodel – 72.8% return


5. Siding Replacement (Vinyl) – 72.4% return


6. Window Replacement (Wood) – 72.4% return


7. Attic Bedroom – 72.2% return


8. Window Replacement (Vinyl) – 71.6% return


9. Major Kitchen Remodel – 68.7% return


10. Deck Addition (Composite) – 66.2% return

Get other home selling tips at my Orlando Real Estate Site/Home Selling.

Source for data: National Association of Realtors Cost Vs. Value
Remodeling 2010–11 Cost vs. Value Report from Remodeling Magazine (Mid-Range Projects for the Southern Atlantic Region)

Avalon Park -Orlando 32828 Home Sales for January 2012

Click to see Avalon Park on Google Map

Avalon Park is an east Orlando Neighborhood, popular with families for its good schools, community and ease access to convenient roads. The 408 makes the commute to downtown Orlando fast and easy. This is a list of Avalon Park homes and townhomes that recently sold last month. You can head of over to my Orlando real estatesite to see what homes are currently for sale now in Avalon Park and other Orlando Neighborhoods.

Original List Price- address - bed/bath - square footage- sold price- date sold

LISTING PRICE: $150,000 4218 CUMMINGS ST 3 2/0 1,746-sq/ft   SOLD for: $150,000 01/13/12

LISTING PRICE: $174,900 13425 PHOENIX DR 4 3/0 2,514-sq/ft   SOLD for:  $174,900 01/06/12

LISTING PRICE: $177,000 13613 PODOCARPUS LN 4 2/0 2,347-sq/ft   SOLD for:  $177,000 01/13/12

LISTING PRICE: $181,000 14630 TANJA KING BLVD 4 3/1 2,678-sq/ft   SOLD for:  $200,000 01/06/12

LISTING PRICE: $198,770 14661 MICHENER TRL 4 2/1 2,876-sq/ft   SOLD for:  $188,900 01/12/12

LISTING PRICE: $200,000 2924 ARA DR 4 2/1 2,476-sq/ft   SOLD for:  $188,000 01/03/12

LISTING PRICE: $205,000 2716 FANNING SPRINGS LN 3 2/0 2,265-sq/ft   SOLD for:  $205,000 01/09/12

LISTING PRICE: $205,000 14723 CAPOTE LN 4 3/0 2,779-sq/ft   SOLD for:  $206,000 01/20/12

LISTING PRICE: $210,000 14551 TANJA KING BLVD 4 3/0 2,834-sq/ft   SOLD for:   $207,500 01/27/12

LISTING PRICE: $230,000 14231 SOUTHERN RED MAPLE DR 6 3/0 2,875-sq/ft SOLD for:$215,000 01/25/12

LISTING PRICE: $309,000 14739 CATLIN RD 4 3/2 3,214-sq/ft   SOLD for:   $285,000 01/13/12

LISTING PRICE: $350,000 4614 ATWOOD DR 4 3/1 3,389-sq/ft   SOLD for:   $336,000 01/20/12

HUD: Sexual identity a protected class

HUD (U.S. Housing and Urban Development ) had announced new regulations to ensure that HUD’s core housing programs are open to all eligible persons, regardless of sexual orientation or gender identity.

The new regulations, to be published as final in the Federal Register next week, will go into effect 30 days after publication. The final rule, published as “Equal Access to Housing in HUD Programs – Regardless of Sexual Orientation or Gender Identity,” makes the following provisions:

• Requires owners and operators of HUD-assisted housing, or housing whose financing is insured by HUD, to make housing available without regard to the sexual orientation or gender identity of an applicant for a dwelling, whether renter- or owner-occupied. HUD will institute this policy in its rental assistance and homeownership programs, which include the Federal Housing Administration (FHA) mortgage insurance programs, community development programs, and public and assisted housing programs.

• Prohibits lenders from using sexual orientation or gender identity as a basis to determine a borrower’s eligibility for FHA-insured mortgage financing.

• Clarifies that all otherwise eligible families, regardless of marital status, sexual orientation or gender identity, will have the opportunity to participate in HUD programs. In the majority of HUD’s rental and homeownership programs the term “family” already has a broad scope, and includes a single person and families with or without children. HUD’s rule clarifies that otherwise eligible families may not be excluded because one or more members of the family may be an LGBT individual, have an LGBT relationship, or be perceived to be so.

• Prohibits owners and operators of HUD-assisted housing or housing insured by HUD from asking about an applicant’s sexual orientation and gender identity. In response to comments, however, HUD says this provision doesn’t prohibit voluntary and anonymous reporting of sexual orientation or gender identity pursuant to state, local or federal data requirements.

I think it makes sense to expand this to the fair housing statement. Hopefully it will follow.