Re-Finance? Purchase? Time is Now to Lock in Those Historically Low Mortgage Rates

mortgage-rates4.jpgIf you’re thinking about buying a home or planning to refinance, act now so you can lock in a mortgage rate. Mortgage rates have been at historic lows for months. But if lawmakers can’t reach an agreement on raising the debt ceiling, rates could rise higher.

According to experts, a government default would cause US Treasury bond prices to drop. An analyst from Bankrate.com states that the federal government’s borrowing rate is the baseline from which all other borrowing rates are determined. In essence, if the government’s borrowing costs go up then everybody else’s borrowing costs will go up as well.

Even with a short-lived default, rating agencies have indicated that they will downgrade the federal government’s rating. As a result, consumer and business rates would go up because the government would be forced to pay higher rates to bond investors.

On our blog, we’ve talking about how it’s a good time to purchase real estate due to low prices. Well, now it seems that purchasers have another incentive to purchase real estate at this time.

So far, the debt ceiling debate hasn’t affected mortgage rates. However, if the government does default, it’s going to be real hard to lock in a rate.

Basically, if you don’t take action now, you could regret it 6 months from now.

With the ongoing foreclosure crisis, high unemployment rates, and now the debt ceiling issue, we are certainly living in troubled times. While there’s occasional good news related to the South Florida real estate market, it takes particular know-how and experience to safely navigate these troubled waters.

At Alvarez & Barbara, LLP, we represent buyers, sellers, lenders, borrowers, and developers with real estate matters. This experience allows us to understand legal issues from various angles to effectively advocate our clients’ interests. No matter what you or your business’s real estate needs are – think of Alvarez & Barbara, LLP, and contact us for a free consultation.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We are certainly in difficult times. At Alvarez & Barbara, LLP, we understand all of our client’s individual needs and pride ourselves in providing high quality service.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

Foreigners Fuel a Revival of Downtown Miami’s Real Estate Market

bayside.jpgWhile most parts of the country are suffering from the ill-effects of the depressed real estate market, Miami’s condo market seems to be the exception. Amid the housing glut, Downtown Miami sat mostly empty. However, many young professionals and families have begun to fill up the once empty residential towers.

Another major driving factor for the sales boom is the recent surge in international buyers.

One major group of foreign nationals that are buying up a sizable portion of condos in South Florida are Brazilians. Brazilians purchased 9 percent of homes and apartments sold to international buyers. This places them only behind Canadians and Venezuelans. Many Brazilians are coming due to the surge in real estate prices back home and their currency’s 45 percent gain against the US dollar since 2008.

While many Latin Americans are purchasing in South Florida to seek safety from economic and social uncertainty, Brazilians are mostly coming to enjoy themselves and for investment purposes. Accordingly, some are buying vacation homes and other are buying multiple units at a time to capitalize on South Florida’s strong rental market.

The amount of homes being purchased by foreign nationals certainly signals that now is the time to buy in South Florida. Prices have dropped considerably in South Florida, and it doesn’t seem that prices have bottomed out either. If you’re looking to buy a vacation home or purchase real estate for investment purposes, you should take advantage of the low prices.

Although we’re hearing some good news, today’s current real estate market, and ongoing foreclosure crises presents all sorts of issues that must be properly navigated. Often, an attorney is needed to navigate these troubled waters. We currently represent lenders, borrowers, buyers, sellers, and developers. This broad array of experience allows us to effectively take a multi-faceted approach to our clients’ legal issues. No matter what you or your business’s needs may be when it comes to real estate, don’t hesitate to contact Alvarez & Barbara, LLP.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We are certainly in difficult times. At Alvarez & Barbara, LLP, we understand all of our client’s individual needs and pride ourselves in providing high quality service.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

With Real Estate Prices Continuing to Drop, Cash is King

cash-is-king.jpgWith real estate prices continuing to drop, cash is king. Nationwide cash buyers are purchasing homes at a record rate. In May, all-cash buyers accounted for 30% of existing home sales, which is up from 25% in May 2010 and 12% two years ago.

Economists believe that the cash buyers are lured by the low prices and potential rental income. Sure, cash buyers have helped slow the price drops, but price increases have yet to follow. Cash buyers have realized that now is the smartest time to buy. Without the cash buyers, the real estate market would be in a much worse position.

The cash buyers are most prevalent in the areas that have been hardest hit by the recession and with large numbers of foreclosures. In Miami-Dade and Broward County 63% of first quarter buyers paid in cash compared to 39% in 1997’s first quarter. Phoenix and Las Vegas are also seeing these similar figures despite the daunting number of foreclosures they are experiencing.

These numbers are good news because it shows that people are getting back into the market. Cash buyers also often get better deals because sellers know that a deal won’t fall through due to a lack of financing. A 5% discount is the norm.

Buyers, and especially cash buyers, have many wonderful investment opportunities available to them. Indeed, buyers continue to find bargains by purchasing foreclosed homes in record numbers. As a seller, it is all the more reason to make sure your that your property is in the best possible condition.

Given the historically low interest rates, coupled with the low prices for many properties, especially foreclosed properties, the timing may never be better to purchase a new a property. Our firm can certainly assist you in your real estate needs should you be interested in purchasing, or selling, your property.

Often, an attorney is needed to navigate these troubled waters. We currently represent lenders, borrowers, buyers, sellers, and developers.

This broad array of experience allows us to effectively take a multi-faceted approach to our clients’ legal issues. No matter what you or your business’s needs may be when it comes to real estate, don’t hesitate to contact Alvarez & Barbara, LLP today.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We are certainly in difficult times. Not only can a foreclosure be daunting, it can break an individual’s spirit. However, there are solutions, and alternatives, to foreclosures. At Alvarez & Barbara, LLP, we understand all of our client’s individual needs and pride ourselves in providing high quality service. If you’re facing a foreclosure, don’t let it bring you down. Call us today so we can show you that the saying “every problem has a solution” is an undeniable truth.

Call us toll free at 1-866-518-2913 or at 305-263-7700.

About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

Tips for Selling your Home in a Buyer’s Market

home-for-sale-sign.jpgIf you’re currently trying to sell your home, you know this is a tough market. You probably have some neighbors who are facing foreclosure and some other neighbors selling their home at an absurd discount. Apart from our neighbors, we’ve all seen the “For Sale” signs all around South Florida.

Indeed, there is no question that today’s market is a buyer’s market.

Not only is it a buyer’s market, this may be the toughest sellers’ market in years. Some experts say this is the toughest sellers market since the late ’70s and early ’80s.

On the flip side, selling your home in this market means that you get to look for your own bargain.

So, what should you do in this tough sellers’ market? Here are some tips to help sell your home:

1. Price your home aggressively. Holding out for a high price doesn’t work well in this market. In the last two years, the typical home is on the market for 8 to 10 weeks. This statistic doesn’t take into account homes that never sold or were pulled off the market. With this statistic in mind, its recommended that you ask for at least 1% less than competing homes.

2. Stage your home like a pro. It is difficult to compete with the price of homes in foreclosure or with short sales. While you might not be able to outshine your home price-wise, you definitely can outshine others when it comes to the appearance of your home. This process may be pain-staking, but the renovating, painting, and planting of flowers will pay off when your home is the nicest one on the block.

3. Use the internet to your advantage. Today, 90% percent of buyers start their search on online. Use high-resolution photos and place as much info as possible online. Show photos of the main areas of your home – kitchen, bathrooms, backyard. If you don’t, buyers will assume something is wrong.

4. Be flexible with buyers. The toughest part of this market is tighter financing. A requirement of 20% down is becoming the norm these days when all that was needed was 5% in some cases just a few years ago. Because of these factors, be conscious of how hard it is to qualify for a loan.

Buyers have many wonderful investment opportunities available to them. Indeed, buyers continue to find bargains by purchasing foreclosed homes in record numbers. As a seller, it is all the more reason to make sure your that your property is in the best possible condition.

Given the historically low interest rates, coupled with the low prices for many properties, especially foreclosed properties, the timing may never be better to purchase a new a property. Our firm can certainly assist you in your real estate needs should you be interested in purchasing, or selling, your property.

Often, an attorney is needed to navigate these troubled waters. We currently represent lenders, borrowers, buyers, sellers, and developers.

This broad array of experience allows us to effectively take a multi-faceted approach to our clients’ legal issues. No matter what you or your business’s needs may be when it comes to real estate, don’t hesitate to contact Alvarez & Barbara, LLP today.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We are certainly in difficult times. Not only can a foreclosure be daunting, it can break an individual’s spirit. However, there are solutions, and alternatives, to foreclosures. At Alvarez & Barbara, LLP, we understand all of our client’s individual needs and pride ourselves in providing high quality service. If you’re facing a foreclosure, don’t let it bring you down. Call us today so we can show you that the saying “every problem has a solution” is an undeniable truth.

Call us toll free at 1-866-518-2913 or at 305-263-7700.

About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

Bimini Bay Presents Great Real Estate Opportunities for Those Seeking to Purchase Property

BiminiBay_logo.jpgWe are still fairly deep in the housing market crash and it seems that it won’t be ending anytime soon. All the news we hear these days deals with prices dropping lower, foreclosures continuing, homes underwater, and the continued high unemployment rate. It seems like chaos out there, but in chaos lies opportunity.

So where’s the opportunity in all of this? Well, right now is a great time to buy a home or condominium. With sale prices continuing to drop, potential buyers need to take advantage of the current market condition.

This drop in prices seems like its going to continue for some time. This trend is likely to continue because of the amount of homes that are a part of shadow inventory, which are homes that are in the early phases of the foreclosure process or have already been repossessed, but have yet to placed for resale.

If you’re looking into purchasing a home or condo, don’t just look here in South Florida.

A great place to look right now is at the Bimini Bay Resort and Marina. Located in the Bahamas and just a short boat trip from Miami, it was recently recognized by the Miami New Times as the Best Day Trip in Miami for its 2011 Best of Miami issue. Paradise is just a day trip away!

If you are interested in purchasing property in Bimini Bay, please contact our office today as we could assist you in this transaction.

At Alvarez & Barbara LLP, we have extensive experience handling all types of real estate issues. We can handle all aspects of your real estate transaction. A major part of our practice includes real estate litigation as well. So, whatever real estate legal issue you’re facing think of Alvarez & Barbara, LLP.
—–
EXTENDED BODY:
About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

Real Estate Sales Increase in 13 U.S. Cities

icon.JPGFor the first time in eight months, home prices are rising in most major US cities. The boost can be attributed to the annual wave of spring purchases.

Unfortunately, Miami is not included in this list. As a matter of fact, prices in South Florida have reached their lowest level in four years.

Thirteen of the twenty cities tracked by the Standard & Poor’s/Case-Shiller home-price index saw prices rise. Washington, D.C. saw the sharpest increase in prices. Even though the index covers 20 major US cities, it provides a good idea of what is going on nationally because these 20 metro areas compose about 50 percent of American households.

Right now, it’s too early to say if the price increase is due to a market turnaround or simply the warmer weather. Nevertheless, when adjusting the figures to take into account the seasonal factors, prices rose in most markets that experienced decreasing sales.

The best sign of an improving market would be to see prices to continue rising over the next few months. But let’s not get too hopeful. Its expected that about another 2 million foreclosures could hit the market over the next 2 years. As we’ve discussed, many foreclosures have been delayed due to a review of the foreclosure process by banks and state and federal regulators.

Although we’re hearing some good news, today’s current real estate market, and ongoing foreclosure crises presents all sorts of issues that must be properly navigated.

Often, an attorney is needed to navigate these troubled waters. We currently represent lenders, borrowers, buyers, sellers, and developers. This broad array of experience allows us to effectively take a multi-faceted approach to our clients’ legal issues. No matter what you or your business’s needs may be when it comes to real estate, don’t hesitate to contact Alvarez & Barbara, LLP.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

About the AuthorGabriel de las Salas is an attorney with the law firm of Alvarez & Barbara, LLP. His practice is focused on general civil and commercial litigation, including personal injury, insurance claims and real estate disputes. Mr. de las Salas received his B.A., cum laude, from the University of Florida, and his J.D., from Stetson University College of Law.

Foreclosure Slowdown Continues in Miami and South Florida

foreclosure zzz.jpgMiami continues to lead the three counties in South Florida in foreclosures. In May, Miami had 1913 foreclosures, with Fort Lauderdale logging 955 and West Palm Beach reporting 747 new foreclosures.

But if there is some good news in those numbers it is that those numbers are way down when compared to the same period last year. Foreclosure activity has slowed down in the recent months. The slow down is a direct result of allegations of robo signing, fraud, documentation errors, issues with process servers, problems servicing loan modifications, and other similar issues, have prompted many lenders to slow down the foreclosure process which in turn has slowed down the housing recovery.

On the other hand, and in May, South Florida’s three counties combined to produce more than 6600 foreclosures. Miami Dade county had 2768 new foreclosures, a drop of more than 60%, year-over-year, while Broward county had 1872 new foreclosures and Palm Beach county had 2006. Moreover, the inventory of properties in foreclosure has also declined during the past six months.

But foreclosure processing delays continue to mask the true face of the foreclosure situation. Nationally, foreclosure activity declined, with foreclosure filings i.e. default notices, scheduled auctions, and bank repossessions, reported a 2% decrease from April and a 33% decrease from May of 2010.

Reports also show that one in every 605 household nationally received a foreclosure filing during the month of May.

And despite a 62% decrease from May of 2010, a total of 19,192 Florida properties received a foreclosure filing in May, the second-highest a total nationally.
—–
EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Bank Sued for Mortgage Fraud

investment-fraud.jpgThe federal government has sued Deutsche Bank for alleged widespread fraud that resulted in millions of dollars paid to the bank. According to the lawsuit, and as a direct result of the purported fraud, the bank padded its pockets with undeserved income as it repeatedly lied to benefit from a government program that insured mortgages.

The lawsuit is seeking to recover hundreds of millions of dollars the federal government had to pay in insurance proceeds when many borrowers defaulted on their mortgages. The lawsuit alleges that the bank repeatedly and brazenly engaged in a pattern of reckless lending for mortgages that were really ticking time bombs, sometimes failing to even verify that the applicant had a job.

This lawsuit is the direct result of the ongoing investigation of federal regulators and Attorney General’s in all 50 states. They have been investigating lenders accused of cutting corners and using forged documents to foreclose on many homeowners. In some cases, employees of financial institutions engaged in so-called robo signing.

Moreover, allegations of robo signing, fraud, documentation errors, issues with process servers, problems servicing loan modifications, and other similar issues, have prompted many lenders to slow down the foreclosure process which in turn has slowed down the housing recovery. Florida’s Attorney General eventually announced an investigation into these alleged practices.

The lawsuit is specifically seeking to recover more than $386 million at the Department of Housing and Urban Development has paid out in insurance claims and related cost. HUD sets the rules for the FHA mortgage insurance program, including requirements relating to the adequacy of the borrowers income to meet the mortgage payment requirements, the borrower’s credit worthiness and the appropriateness of the valuation of the property being purchased.

In this instance, the federal government is alleging that the bank failed to comply with those requirements. Moreover, the federal government is also alleging that the bank just flat out lied when asked instead requirements were actually being complied with. Indeed, the quality control violations were egregious, and that includes the bank’s failure to review all early payment defaults and failed to implement minimal quality control processes. The lawsuit further alleges that the bank actually hired an outside vendor for purposes of reviewing its loan process, but failed to adherence to any of the recommendations adhered to by the third-party vendor. Indeed, the lawsuit alleges that the bank received the recommendations and never even opened the letter.

Today’s current real estate market, and ongoing foreclosure crises, presents all sorts of issues that must be properly navigated. There are many factors contributing to Florida’s nation leading delinquency rates. They include a weak job market, weak economic recovery, and a major drop in home prices. Consequently, Florida’s housing market remains unsettled in large part due to the continued foreclosure crises.

Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.

Nearly Half of the Mortgages in South Florida are Currently Underwater

underwater.jpgAccording to recent news reports, nearly half of the mortgages in South Florida are currently underwater. Specifically, 46% of all homes in Miami are currently underwater, while 49.4 % of homes in Ft. Lauderdale are underwater.

Nationwide, 22.7% of all residential properties with a mortgage was underwater. However, that figure was down from 23.1% in the fourth quarter of 2010.

Nationally, Florida was 3rd with 46% of all residential properties currently underwater. Florida ranks behind Arizona (50%) and Nevada (63%).

The current real estate market, and ongoing foreclosure, and housing, crises, presents all sorts of issues that must be properly navigated by a struggling homeowner. Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.

While Real Estate Sales Have Increased, Foreclosures are Still Preventing a Full Recovery from Taking Place in South Florida

38286807_7bcf7bb83c.jpgIn April, new home sales rose 7.3% to a seasonally adjusted annual rate of 323,000. Experts opine that a healthy real estate market would produce a pace of about 700,000 new-home sales a month.

These days people have a little incentive to buy new homes because they are relatively expensive. Plus, we are seeing more renters in today’s real estate market as opposed to folks purchasing a new home.

Nonetheless, new-home prices are more than 30% higher than the median price of re-sales. This is twice the normal markup.

Potential home-buyers are favoring older, discounted homes because that is where the deals are. Especially in light of the large inventory of foreclosed properties.

Certainly it’s a positive sign that we are seeing a rise in new home sales. However, the fact remains we are still in a depressed housing market. As proof of this, new home builders are keeping the supply of new homes at artificially lows. The high unemployment rate, tight credit and the fear that home prices will fall even further is also preventing a full-fledged recovery.

If you’re in the market to buy a new home or condo, now is a great time to do so. With sale prices continuing to drop, potential buyers need to take advantage of the current market conditions.

Today’s current real estate market, and ongoing foreclosure crises, presents all sorts of issues that must be properly navigated. There are many factors contributing to Florida’s nation leading delinquency rates. They include a weak job market, weak economic recovery, and a major drop in home prices. Consequently, Florida’s housing market remains unsettled in large part due to the continued foreclosure crises.

Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.