The nation's economic disaster has lasted long enough that a portion of those who lost their homes are asking "how long must I wait before buying again?".
As supply diminished by the demand placed on the rental market the cost to rent has increased significantly. The high prices have left many who are now economically stable asking how long do we have to rent?
There is no easy answer to the question. It will depend on the individual circumstances of what caused the default and the end result. Was your resolution short sale, foreclosure or bankruptcy?
If a short sale was caused by job lost or illness the waiting period to purchase a home again is about 2 years. However, if your past includes a foreclosure the wait is longer. Especially if you do not have an illness or job loss as a reason for the default.
If you find yourself currently going through the process do everything in your power to resolve the situation with a short sale instead of a foreclosure.
6/19/2011
Retirement And The Economy
Whether you are approaching retirement age or find yourself anywhere else within the spectrum of your adult life the economic realities of today are a topic to be conern about.
The economic conditions during the past four years have left the majority of Americans wondering how to survive once we reach retirement. The first step in being able to retire is planning. It is important to include as an everyday item budgeting for retirement. It is equally important to enlist the help of a professional. Everyone's situation and goals are different so you need a plan tailored to maximize your income. The worse the overall economy is, the more planning will be required. Reality is showing us that we may not have social security and medicare as a parachute in our golden years to fall back on. It is important to take personal responsability and not count on the government.
According to most investment firms you will need 75% of your pre-retirement income to live comfortably when you retire. While setting your goals the following are items to be consider:
1. Life expectancy
The state of your health and arranging sufficient insurance will play a key role with this item.
2. Future income needs
If your dwelling is paid off a large portion of expenses will be reduced.
3. Retirement date
How long you plan on working will decide the acceleration of your plan.
4. Inflation rate
Our economy has cycles. How steep we forsee those cycle to be will account for adjustments needed in our planning.
5. Investment rate
This item is greatly influence by the economy. Periodical adjustments will be needed.
6. Withdrawal rate
Calculating our future expenses and setting a realistic vision of our retirement lifestyle will dictate the degree of this item.
It does not matter whether you are beginning or close to retire. Start your planning as soon as possible and you will have a true golden age.
The economic conditions during the past four years have left the majority of Americans wondering how to survive once we reach retirement. The first step in being able to retire is planning. It is important to include as an everyday item budgeting for retirement. It is equally important to enlist the help of a professional. Everyone's situation and goals are different so you need a plan tailored to maximize your income. The worse the overall economy is, the more planning will be required. Reality is showing us that we may not have social security and medicare as a parachute in our golden years to fall back on. It is important to take personal responsability and not count on the government.
According to most investment firms you will need 75% of your pre-retirement income to live comfortably when you retire. While setting your goals the following are items to be consider:
1. Life expectancy
The state of your health and arranging sufficient insurance will play a key role with this item.
2. Future income needs
If your dwelling is paid off a large portion of expenses will be reduced.
3. Retirement date
How long you plan on working will decide the acceleration of your plan.
4. Inflation rate
Our economy has cycles. How steep we forsee those cycle to be will account for adjustments needed in our planning.
5. Investment rate
This item is greatly influence by the economy. Periodical adjustments will be needed.
6. Withdrawal rate
Calculating our future expenses and setting a realistic vision of our retirement lifestyle will dictate the degree of this item.
It does not matter whether you are beginning or close to retire. Start your planning as soon as possible and you will have a true golden age.
6/06/2011
The Housing Market and Property Taxes
The metropolitan areas nationwide with the highest rates of mortgage foreclosures continues to be heavily found in California, Florida, Arizona and Nevada.
The Appraiser's office has been busy tracking sales value while developing this year's property tax assessments.
Prices for the tricounty areas of Palm Beach, Broward and Miami-Dade are down 51 percent from their peak in December 2006 but only an average of 6 percent from the previous year, according to the Standard & Poor"s/Case-Shiller price index just recently release. In both Broward and Miami-Dade Counties, most municipalities are showing decreases in property values. However, the majority are posting single digit instead of the staggering double digit losses. This seems to be signaling a slowdown of the economic down turn.
Whether the economic down turn continues will depend in large part on the outcome of the job growth/job loss and the foreclosure crisis that still exists and is looming in the horizon. More than 91,000 foreclosure cases and growing are currently pending in South Florida courts and 14.4 percent of mortgages are delinquent. The highest impediment to homeowners resolving their financial crisis is the fact that thousands are upside down in their home values making it extremely difficult to resolve their problem. This situation projects that many properties are set to enter the foreclosure process. Until the market has absorved these foreclosures, property values will not stabilize.
This brings us to our future housing demand. The rental market is strong and will continue in that trajectory as people displaced from their homes by the economic crisis find the rental option to be the only one available to them. The increases in fuel prices is also adding to the change in housing demand. More people are looking for smaller housing in urban communities as they choose to rent and live in closer proximity to their jobs.
Our economy has a long way to go before stabilizing. So keep budgeting and capitalize with the good buys that can still be found in the market place. Those with cash available find that great investments are waiting to be made whether on homes or income properties. Let me know how I may assist you with your investments.
The Appraiser's office has been busy tracking sales value while developing this year's property tax assessments.
Prices for the tricounty areas of Palm Beach, Broward and Miami-Dade are down 51 percent from their peak in December 2006 but only an average of 6 percent from the previous year, according to the Standard & Poor"s/Case-Shiller price index just recently release. In both Broward and Miami-Dade Counties, most municipalities are showing decreases in property values. However, the majority are posting single digit instead of the staggering double digit losses. This seems to be signaling a slowdown of the economic down turn.
Whether the economic down turn continues will depend in large part on the outcome of the job growth/job loss and the foreclosure crisis that still exists and is looming in the horizon. More than 91,000 foreclosure cases and growing are currently pending in South Florida courts and 14.4 percent of mortgages are delinquent. The highest impediment to homeowners resolving their financial crisis is the fact that thousands are upside down in their home values making it extremely difficult to resolve their problem. This situation projects that many properties are set to enter the foreclosure process. Until the market has absorved these foreclosures, property values will not stabilize.
This brings us to our future housing demand. The rental market is strong and will continue in that trajectory as people displaced from their homes by the economic crisis find the rental option to be the only one available to them. The increases in fuel prices is also adding to the change in housing demand. More people are looking for smaller housing in urban communities as they choose to rent and live in closer proximity to their jobs.
Our economy has a long way to go before stabilizing. So keep budgeting and capitalize with the good buys that can still be found in the market place. Those with cash available find that great investments are waiting to be made whether on homes or income properties. Let me know how I may assist you with your investments.
11/21/2010
Controling Holidays Spending
This week the holidays will officially begin and so has spending.
The holidays have become a season of over indulgence from food to sharing materialistic items. The abundant economic prosperity our country has experienced came to a halt as Americans struggle to stay afloat. It is in time of adversity that we find the true meaning of Thanksgiving, Christmas and New Year.
How to control the holidays and make them the best ever yet:
1. Make gathering with family and friends the focal point of the holidays and give thanks for what you have "each other". Appreciate every minute you share together for this is what makes memories that will last for eternity.
2. Start a tradition of each member of your thanksgiving gathering expressing what they are thankfull for. Have them write it, turn it into a display and after the holidays make a scrapbook to share with them every year. Take pictures to incorporate into the scrapbook.
3. Instead of buying everyone a gift why not exchange names. Decide on a spending minimum and maximum. Have everyone write their name and 3 items they would enjoy receiving whose value are within the agreed amounts.
4. Buy what you can afford today.
5. Put away the plastic whenever possible.
6. Before you go to the stores have a list of names and what you are buying. Do your homework and check the sales.
Remember that material things we give do not last and are often discarded. What matters and last is the love and spiritual meaning we give each other. Those memories last forever.
Enjoy your HOLIDAYS AND GOD BLESS YOU!
The holidays have become a season of over indulgence from food to sharing materialistic items. The abundant economic prosperity our country has experienced came to a halt as Americans struggle to stay afloat. It is in time of adversity that we find the true meaning of Thanksgiving, Christmas and New Year.
How to control the holidays and make them the best ever yet:
1. Make gathering with family and friends the focal point of the holidays and give thanks for what you have "each other". Appreciate every minute you share together for this is what makes memories that will last for eternity.
2. Start a tradition of each member of your thanksgiving gathering expressing what they are thankfull for. Have them write it, turn it into a display and after the holidays make a scrapbook to share with them every year. Take pictures to incorporate into the scrapbook.
3. Instead of buying everyone a gift why not exchange names. Decide on a spending minimum and maximum. Have everyone write their name and 3 items they would enjoy receiving whose value are within the agreed amounts.
4. Buy what you can afford today.
5. Put away the plastic whenever possible.
6. Before you go to the stores have a list of names and what you are buying. Do your homework and check the sales.
Remember that material things we give do not last and are often discarded. What matters and last is the love and spiritual meaning we give each other. Those memories last forever.
Enjoy your HOLIDAYS AND GOD BLESS YOU!
11/18/2010
What Affects The Economy The Most
The economy is affected by a series of inter-related complex factors that has made the recovery very sluggish. In fact the delicate balance of these factors have created a domino effect.
Some of the these factors are:
1. Unsuccessfull governmental programs affecting business community.
2. Job Creation
3. Credit criteria
4. Housing Market still remaining critical
5. Consumer spending
Each one of these factors builds on each other and has created a downward spiral that is still out of control. Although it seems to have slow down the question is how do we revert the situation from a negative to a positive.
Some of the these factors are:
1. Unsuccessfull governmental programs affecting business community.
2. Job Creation
3. Credit criteria
4. Housing Market still remaining critical
5. Consumer spending
Each one of these factors builds on each other and has created a downward spiral that is still out of control. Although it seems to have slow down the question is how do we revert the situation from a negative to a positive.
11/16/2010
What Do You Cut In Tough Economic Times?
Financial advisors recommend cutting back on small things to save lots of money.
As the hard economic times linger a pattern of savings by cutting back expenses seemed to have developed through out the country. Some of the things Americans are cutting back on are:
1. Bringing lunch to work vs eating out
2. Stopped purchasing coffee in the morning
3. Choosing generic brand items vs name brands
4. Cooking vs eating out
5. Refillable water bottles vs buying water bottles
6. Less frequent visits to hairstylist, nail salons, and barber shops.
7. Cancel magazines and newspaper subscription
8. Cut down use of dry cleaning services
9. Driving vs Carpooling or using mass transit services
10. Renting movies vs. going to the movies
11. Cut backs or cancel cable television
12. Using cell phones only and cancelling land lines.
Are you among the ones developing a new life style?
As the hard economic times linger a pattern of savings by cutting back expenses seemed to have developed through out the country. Some of the things Americans are cutting back on are:
1. Bringing lunch to work vs eating out
2. Stopped purchasing coffee in the morning
3. Choosing generic brand items vs name brands
4. Cooking vs eating out
5. Refillable water bottles vs buying water bottles
6. Less frequent visits to hairstylist, nail salons, and barber shops.
7. Cancel magazines and newspaper subscription
8. Cut down use of dry cleaning services
9. Driving vs Carpooling or using mass transit services
10. Renting movies vs. going to the movies
11. Cut backs or cancel cable television
12. Using cell phones only and cancelling land lines.
Are you among the ones developing a new life style?
11/15/2010
What Average Buyers Are Looking For
The home market fluctuate depending on the latest fad and economic condition of the nation.The longer the economic downturn last the bigger the changes people are force to make.
Today's reality has forced people to downsize and choose practical designs when choosing their home.
1. Size: The average buyer is looking for a home with less than 2,000 square feet.
2. Functionality: Flexible spaces that can serve as home offices, guest rooms or dens are in high demand.
3. Energy Efficiency: Homes with energy efficient windows, doors, insulation, and appliances are also in high demand.
Prepare your home and call attention to the assets buyers are looking for.
Today's reality has forced people to downsize and choose practical designs when choosing their home.
1. Size: The average buyer is looking for a home with less than 2,000 square feet.
2. Functionality: Flexible spaces that can serve as home offices, guest rooms or dens are in high demand.
3. Energy Efficiency: Homes with energy efficient windows, doors, insulation, and appliances are also in high demand.
Prepare your home and call attention to the assets buyers are looking for.
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