NEW YORK – Feb. 26, 2013 – The Conference Board Consumer Confidence Index declined in January, but it rebounded in February rising 11.2 points in one month.
The Index now stands at 69.6, up from 58.4 in January. The Present Situation Index increased to 63.3 from 56.2. The Expectations Index, which gauges consumers’ outlooks six months from now, rose to 73.8 from 59.9 last month.
“Consumer confidence rebounded in February as the shock effect caused by the fiscal cliff uncertainty and payroll tax cuts appears to have abated,” says Lynn Franco, director of economic indicators at The Conference Board. “Consumers’ assessment of current business and labor market conditions is more positive than last month. Looking ahead, consumers are cautiously optimistic about the outlook for business and labor market conditions. Income expectations, which had turned rather negative last month, have improved modestly.”
Consumers claiming business conditions are “good” right now rose to 18.1 percent from 16.1 percent, while those stating business conditions are “bad” decreased to 27.8 percent from 28.4 percent. Consumers’ appraisal of the labor market was mixed. Those saying jobs are “plentiful” increased to 10.5 percent from 8.5 percent, while those claiming jobs are “hard to get” edged up to 37.0 percent from 36.6 percent.
Consumers expecting business conditions to improve over the next six months increased to 18.9 percent from 15.6 percent, while those expecting business conditions to worsen declined to 16.5 percent from 20.4 percent.
Consumers anticipating more jobs in the months ahead improved to 16.7 percent from 14.4 percent, while those expecting fewer jobs decreased to 21.5 percent from 26.7 percent. The proportion of consumers expecting their incomes to increase rose to 15.7 percent from 13.5 percent, while those anticipating a decrease fell to 19.6 percent from 23.3 percent.
Nielsen, a global provider of information and analytics, conducts the monthly Consumer Confidence Survey based on a probability-design random sample for The Conference Board. The cutoff date for the preliminary results was Feb. 14.
Source: http://www.floridarealtors.org/NewsAndEvents/article.cfm?p=2&id=287993
Thursday, February 28, 2013
Monday, February 11, 2013
Shopping the Short Sales - Sarasota
Shopping the short sales
The home was a short sale in good condition — a three-bedroom, two-bath house in North Port. The buyer submitted an offer, which within two weeks was accepted by the bank. The parties closed soon after. Now, five months after the closing, the home is valued at 15 percent more than what the buyer paid.
Two 10th-floor units in Rivo at Ringling condominium, 1771 Ringling Blvd., Sarasota, are listed as short sales on the local MLS, priced at $ 500,000 for a two-bedroom corner unit and $ 600,000 for a three-bedroom corner unit. Staff photo / Harold Bubil; 2-5-2013.
"I would call that a pretty good deal," said Ron Suponcic, an agent with RE/MAX Alliance Group in Sarasota who specializes in short sales.
The transaction represents a new sector in the short-sale market: properties for which banks have offered financial incentives and low- or no-document requirements for homeowners to undergo the short-sale process. It's a win-win-win prospect. The bank earns credit toward court-levied settlement amounts; the seller receives a financial incentive of thousands of dollars; and the buyer gets a property for below market value-and gets it quickly.
The number of short sales and foreclosures has dropped in recent months in Sarasota and Manatee counties — distressed properties currently comprise about 12 percent of active listings — but bargains remain to be had. According to Roger Piro, president of the Sarasota Association of Realtors, the odds that a given transaction will prove successful have increased, particularly for short sales, which accounted for about a third of all sales statewide last summer.
"A couple of years ago, 'short sale' was a dirty word because of how long they took. The success rate used to be terrible," said Piro. "But it's gotten a lot easier. We've seen banks become much more receptive."
In his own realty work, Piro recently had a short-sale contract accepted by Wells Fargo in less than two weeks, and another by Financial Freedom in three weeks, both of which included appraisals before lender acceptance of the offer.
The market for distressed properties now exceeds the inventory, Piro said. "There's plenty of people out there wanting to buy these homes."
Suponcic, whose said about half his sales are distressed properties, said the competition for foreclosures is so keen that bank-owned, also known as real estate-owned (REO), properties routinely receive more than a dozen bids. He agrees with Piro that buyers are generally better off pursuing short sales than bank-owned properties.
This house at 3731 Indian Beach Place in Sarasota was the highest-priced sale of a bank-owned residence in Sarasota County in 2012. Kim Ogilvie of Michael Saunders & Co. was the listing agent and Steven Bark, of Bark & Co. of Holmes Beach, represented the buyer, who paid $ 3.2 million. The 6,073-square-foot house was developed by Peter Laughlin in 2006 and eventually marketed at $ 10,850,000, but was foreclosed upon in November 2011. It was listed at $ 4.1 million before selling for an additional 25 percent off. Ogilvie said the most ever paid for a bank-owned (REO) house was $ 3.5 million for a Casey Key house in 2010. Courtesy photo.
"There's a lot of competition from investors on REOs," Suponcic said. "Buyers are outbidding each other. Sometimes nobody winds up with a deal. With a short sale, the main difference is that the bank is dealing with only one contract at a time. The lender isn't sitting there with 50 offers."
On the other hand, some buyers prefer bank-owned properties because they're uncomfortable dealing with distressed homeowners. And, according to Suponcic, another sector of short sales is actually proving more difficult to successfully transact — one in which the banks are resorting to the practice because foreclosure is not possible because of entanglements. Negotiations for these properties can take months.
Whether the property being sought is bank-owned or a short sale, be patient.
"There's definitely not as much to choose from as there was," Suponcic said.
"Don't get discouraged if you don't get your first two or three. Eventually your work will pay off," said Piro, recalling a 2010 transaction of his that took 14 months from contract to closing. "Things are typically moving much more quickly now."
And don't anticipate reselling in a hurry, said credit and loan expert Todd Hills. He said that years ago, buyers of distressed properties "could expect to quickly flip the homes for a profit," but added that today's buyer should plan on waiting for a slower appreciation as the market continues to gain momentum. If you will not be living in the home, make sure that it can be rented.
This house at 204 Bird Key Drive is the most-expensive bank-owned, or REO, residence currently listed for sale in Sarasota. Built in 2008, it has five bedrooms and five and a half baths in 7,991 square feet of air-conditioned area. It is listed at $ 3,899,000 by Kim Ogilvie of Michael Saunders & Co. Staff photo / Harold Bubil; 2-6-2013.
In addition to patience, Hills, Suponcic and Piro offer these tips to help buyers make a decision:
-Educate yourself about the process. Rules for buying distressed properties differ from those for standard real estate transactions, so it's important to know the playing field — and to understand how quickly the parameters can shift. For example, HomePath, which lists Fannie Mae REO properties and assists home buyers with financing (see homepath.com), recently disallowed short-sale negotiation fees on the HUD settlement statement.
To be safe, said Piro, a buyer should choose an agent with broad experience in transactions involving distressed properties.
-Understand the property. Get a thorough home inspection so there are no unpleasant surprises in terms of repairs. Buying a house for $30,000 below market value doesn't mean much if you have to spend $40,000 for essential repairs. Use the home inspection to calculate how much the repairs will cost, and make certain you have the financial wherewithal to address those items, especially fixes that can't wait, such as a leaking roof or termite damage.
Your offer can be made contingent on the inspection so that if there are major defects, you can back out of the contract and get your deposit back.
-Check for liens on the property. In addition to the outstanding mortgage balance, buyers need to be aware of other liens, which can drive up the purchase price. Examples include outstanding property taxes, municipal bills or unpaid repairs and remodeling bills due to a contractor.
-Get ready to bid. Many distressed properties, especially foreclosures, involve a bidding war of some sort, so be prepared to stake your claim. Avoid buying more home than you can afford by determining the maximum price you will pay and stopping at that point as the bidding rises. Remember, too, that cash is king. If you don't have cash, make sure you have a letter from a lender that qualifies you as a buyer for that price range.
Make your offer based on the context for that particular property. On HomePath, for example, the properties are listed at their appraised value (which is why there's no appraisal requirement for HomePath mortgages). Hence, the homes often sell for more than what they list. HomePath may counter your offer, and if it's a multiple-bid situation they will ask for your final and best offer. Know what that will be.
-Enjoy the search. It's like weddings — the more you attend, the more you know what you don't want for your own. There's a house out there for you.
Source: http://realestate.heraldtribune.com/2013/02/09/buying-at-short-sale-takes-prep-work-and-patience/
/ Saturday, February 9, 2013
By CYNTHIA ANDERSON
Saturday, February 9, 2013
Reimagining the Kitchen: Trends for 2013
If you’re looking to remodel your kitchen, we’ve got good news and bad news.
First, the good stuff. According to trend experts Lita Dirks and Dominick Tringali, you don’t have to shell out major cash to add space. Instead, look to expand what you already have. Vault your ceiling, add windows, squeeze in clever storage ideas. Make the space work harder, not bigger.
Plus, relax. Casual kitchens are trending, with doo-dads and gee-gaws (think elaborate trim and vent hoods that look like medieval castles) going away, and simpler, sleeker designs coming on strong.
First, the good stuff. According to trend experts Lita Dirks and Dominick Tringali, you don’t have to shell out major cash to add space. Instead, look to expand what you already have. Vault your ceiling, add windows, squeeze in clever storage ideas. Make the space work harder, not bigger.
Plus, relax. Casual kitchens are trending, with doo-dads and gee-gaws (think elaborate trim and vent hoods that look like medieval castles) going away, and simpler, sleeker designs coming on strong.
Speaking on kitchen trends at the 2013 International Builder’s Show in Las Vegas, interior designer Dirks and architect Tringali teamed up to describe the new American kitchen as one piece of a larger, open floor plan.
It’s all part of a new kitchen gestalt that Dirks describes as the “prep-eat-play” triangle, with flexibility and casual living as key ingredients. The notion tosses the kitchen into a design blender along with living, dining, and family rooms, and frappes everything into communal happiness.
Example: You can eat at a comfy banquette, or in front of the TV (don’t tell your child-development counselor), or in the breakfast nook, or you can belly up to the island. No rules!
The bad news (OK, it’s not that bad) is that we’ve heard some of this before. Open floor plans have been around since the moon landing and yes, we like them. A lot. What we really have here is affirmation — and freedom to create kitchens that are less ornate and yet have more personality.
Just like you.
Of course, Dirks and Trengali definitely have the pulse of today’s home owner and offer some great takeaways. We’ve combined their goodies with our own kitchen trendspotting for 2013. If you’re planning a kitchen redo, here’s what you need to know:
Contemporary kitchens are In. Specifically, they’re getting simpler and more modern, with less elaborate detail and trim. In fact, the National Kitchen and Bath Association reports that in its annual survey of kitchen designers, “transitional” design — meaning a simple, more modern aesthetic — has surpassed “traditional” as the preferred design for the first time in the association’s history.
Kitchen cabinets are dark, or white. Darker, furniture-like finishes are popular, but so is pure white. The middle ground — think natural oak — is going away. Dark finishes help the kitchen integrate into the overall scheme; pure white is the ultimate accent color that readily complements the rest of the living area.
Islands rule. Kitchen islands are becoming more multi-dimensional, serving as food-prep areas, snack stations, wine storage, and display cabinets for objets d’art. Also, they’re essential for directing traffic flow within an open floor plan, channeling guests toward comfy seating areas, for example. Small kitchen? Go with a rolling cart that’s there when you need it.
Countertop revolution. Say hi to porcelain and ceramic slabs that look like stone, wood, and fabric, says Jamie Gold, a California designer. The product is made from clay, quartz, and feldspar that’s subjected to high heat — just like regular tile. Unlike other engineered countertops, this product doesn’t use cements or resin binders. It’s not readily available in the U.S. yet.
Appliances are disappearing. In the past, we loved our commercial-style kitchen appliances that made us look like we really knew how to cook. Now, appliances are hiding behind wood panels and faux veneers so they integrate better with the overall living space. New finishes, such as GE’s slate and Whirlpool’s Ice White, are bucking the stainless steel trend, but don’t bet on stainless going away anytime soon — it’s still hot.
Espresso yourself. An eye-catching extra gives a kitchen a blast of personality. Cool sinks and high-tech faucets are au courant. Other possibilities include:
It’s all part of a new kitchen gestalt that Dirks describes as the “prep-eat-play” triangle, with flexibility and casual living as key ingredients. The notion tosses the kitchen into a design blender along with living, dining, and family rooms, and frappes everything into communal happiness.
Example: You can eat at a comfy banquette, or in front of the TV (don’t tell your child-development counselor), or in the breakfast nook, or you can belly up to the island. No rules!
The bad news (OK, it’s not that bad) is that we’ve heard some of this before. Open floor plans have been around since the moon landing and yes, we like them. A lot. What we really have here is affirmation — and freedom to create kitchens that are less ornate and yet have more personality.
Just like you.
Of course, Dirks and Trengali definitely have the pulse of today’s home owner and offer some great takeaways. We’ve combined their goodies with our own kitchen trendspotting for 2013. If you’re planning a kitchen redo, here’s what you need to know:
Contemporary kitchens are In. Specifically, they’re getting simpler and more modern, with less elaborate detail and trim. In fact, the National Kitchen and Bath Association reports that in its annual survey of kitchen designers, “transitional” design — meaning a simple, more modern aesthetic — has surpassed “traditional” as the preferred design for the first time in the association’s history.
Kitchen cabinets are dark, or white. Darker, furniture-like finishes are popular, but so is pure white. The middle ground — think natural oak — is going away. Dark finishes help the kitchen integrate into the overall scheme; pure white is the ultimate accent color that readily complements the rest of the living area.
Islands rule. Kitchen islands are becoming more multi-dimensional, serving as food-prep areas, snack stations, wine storage, and display cabinets for objets d’art. Also, they’re essential for directing traffic flow within an open floor plan, channeling guests toward comfy seating areas, for example. Small kitchen? Go with a rolling cart that’s there when you need it.
Countertop revolution. Say hi to porcelain and ceramic slabs that look like stone, wood, and fabric, says Jamie Gold, a California designer. The product is made from clay, quartz, and feldspar that’s subjected to high heat — just like regular tile. Unlike other engineered countertops, this product doesn’t use cements or resin binders. It’s not readily available in the U.S. yet.
Appliances are disappearing. In the past, we loved our commercial-style kitchen appliances that made us look like we really knew how to cook. Now, appliances are hiding behind wood panels and faux veneers so they integrate better with the overall living space. New finishes, such as GE’s slate and Whirlpool’s Ice White, are bucking the stainless steel trend, but don’t bet on stainless going away anytime soon — it’s still hot.
Espresso yourself. An eye-catching extra gives a kitchen a blast of personality. Cool sinks and high-tech faucets are au courant. Other possibilities include:
- Stylish vent hood.
- Espresso machine.
- One-of-a-kind tiles as accents on kitchen backsplashes and countertops.
Glass finishes. Glistening glass is popping up everywhere in the kitchen, especially glass tiles installed as backsplashes. Applying clear glass panels over walls painted soft colors gives a deep sheen that harmonizes with today’s contemporary looks. Bonus: It’s easy to clean.
Grab some fresh air. Outdoor kitchens and entertaining areas are hot. Your indoor kitchen should have an outdoor doppelganger close by, available through wide glass doors.
Grab some fresh air. Outdoor kitchens and entertaining areas are hot. Your indoor kitchen should have an outdoor doppelganger close by, available through wide glass doors.
Source: http://www.houselogic.com/blog/kitchens/kitchen-trends-2013/
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