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Double dip
Double dip
I am really curious about everyone's take on this.
We were just in Branson shopping for our second home. We have been looking for a few months. My take on Branson was that tourism is steady and maybe even good but that real estate is even more dire. There have been a couple of abandoned developments and it seems that people are losing confidence. Is anyone seeing this anywhere else?
It has made me a little trigger shy. We are looking for upper end gated communities, with a pool and boat slip, and no maintenance. If the developer bails our beautiful house will lose value and our amenities may not be maintained. Am I thinking clearly on this?
By the way, our agent didn't tell us this, we just talked to home owners in the communities that we were interested in. Our agent only said that he was nervous that the developer moved to Florida. I asked for clarity a couple of times and didn't get it. That Is why I am asking here if I understand correctly.
xoxo
We were just in Branson shopping for our second home. We have been looking for a few months. My take on Branson was that tourism is steady and maybe even good but that real estate is even more dire. There have been a couple of abandoned developments and it seems that people are losing confidence. Is anyone seeing this anywhere else?
It has made me a little trigger shy. We are looking for upper end gated communities, with a pool and boat slip, and no maintenance. If the developer bails our beautiful house will lose value and our amenities may not be maintained. Am I thinking clearly on this?
By the way, our agent didn't tell us this, we just talked to home owners in the communities that we were interested in. Our agent only said that he was nervous that the developer moved to Florida. I asked for clarity a couple of times and didn't get it. That Is why I am asking here if I understand correctly.
xoxo
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GraysonDave
- Posts: 479
- Joined: Thu Feb 11, 2010 7:41 am
- Location: Georgia
If you're looking at communities that are still under development - particularly if all or some of the major amenities only presently exist on a drawing, I'd be wary.
My brother bought into a great looking new development only to have the developer fail and bail, and now he's in a neighborhood with a lot of houses left in various stages of completeness and a nice sandy lot where the community center and pool are supposed to be.
My brother bought into a great looking new development only to have the developer fail and bail, and now he's in a neighborhood with a lot of houses left in various stages of completeness and a nice sandy lot where the community center and pool are supposed to be.
Come see us!
I read this article once in the Atlanta Journal Constitution about a guy who bought early in a new development.
Then the housing bust happened.
The reason there was an article in the AJC about this man is because his house was the only one finished. Not only did he never see a pool and clubhouse, but there wasn't even anyone to mow all the empty lots around him. So, he pretty much lived in an overrun jungle.
I know they say it's a buyer's market right now, but it's still risky. With a vacation home, it's not like you NEED to buy it to have a place to live. And I can imagine that the market for second homes is moving even slower than the market for homes intended to be full-time residences.
I'd wait it out. There are great deals on rentals for right now so you can still hit your favorite vacation spots. Yes, the price is good, but the market just isn't stable right now and a second home is more of an investment than a primary home is because even if a primary home never makes money, you have a place to live, so it maintains value. An investment property HAS to make money.
Then the housing bust happened.
The reason there was an article in the AJC about this man is because his house was the only one finished. Not only did he never see a pool and clubhouse, but there wasn't even anyone to mow all the empty lots around him. So, he pretty much lived in an overrun jungle.
I know they say it's a buyer's market right now, but it's still risky. With a vacation home, it's not like you NEED to buy it to have a place to live. And I can imagine that the market for second homes is moving even slower than the market for homes intended to be full-time residences.
I'd wait it out. There are great deals on rentals for right now so you can still hit your favorite vacation spots. Yes, the price is good, but the market just isn't stable right now and a second home is more of an investment than a primary home is because even if a primary home never makes money, you have a place to live, so it maintains value. An investment property HAS to make money.
Our Realtor called and told us that we needed to make a good offer because the MLS is 92% of asking. I don't buy it. So, we aren't making an offer. We don't need it (agree with you LuLu) and I really don't think he is giving us the full story. He is suppose to be a buyer's realtor--that isn't the vibe I am getting from him. So, were out. As you can see, I am planning a few trips in the states, and I am holding off on looking for a 2nd home. I am looking forward to seeing these places!
xoxo
xoxo
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toes in the sand
- Posts: 994
- Joined: Mon Oct 08, 2007 2:21 pm
There is no such thing as a buyers realtor. The realtor is working forXOXO wrote: He is suppose to be a buyer's realtor--that isn't the vibe I am getting from him.
xoxo
A)him/herself
B)His/her realty agency
C)The seller
D)The buyer
In that order because that is who signs the checks.
"got a drink in my hand and my toes in the sand"
I think the housing market (especially upper end) is going to continue to struggle for some time. We've spent the past year shopping for a second home in the Florida Panhandle area, and after sifting through county records, I was amazed at the amount of real estate tycoons that are out there trying to unload their real estate and are in financial trouble.
Try to do some research, dig into the county records (in Florida all the info is easily found online at the clerk of courts office), look at the lis pendens, foreclosures, and the insane real estate mortgages that people have on their homes and you might get a better feel for the area (and be more informed than your agent most likely.)
Try to do some research, dig into the county records (in Florida all the info is easily found online at the clerk of courts office), look at the lis pendens, foreclosures, and the insane real estate mortgages that people have on their homes and you might get a better feel for the area (and be more informed than your agent most likely.)
Re: Double dip
You are thinking clearly. It is happening all over Florida. The developer goes under or the bank cuts financing and then the promised golf course, club house, 24 hour security, etc. never happens.XOXO wrote:I am really curious about everyone's take on this.
We were just in Branson shopping for our second home. We have been looking for a few months. My take on Branson was that tourism is steady and maybe even good but that real estate is even more dire. There have been a couple of abandoned developments and it seems that people are losing confidence. Is anyone seeing this anywhere else?
It has made me a little trigger shy. We are looking for upper end gated communities, with a pool and boat slip, and no maintenance. If the developer bails our beautiful house will lose value and our amenities may not be maintained. Am I thinking clearly on this?
By the way, our agent didn't tell us this, we just talked to home owners in the communities that we were interested in. Our agent only said that he was nervous that the developer moved to Florida. I asked for clarity a couple of times and didn't get it. That Is why I am asking here if I understand correctly.
xoxo
Further, if enough homeowner's walk away from the properties, it creates a problem for the HOA/condo board when they can't meet the budget requirements for keeping the place running - roads maintained, landscaping, etc. We are seeing that in places in NE PA. People are walking away from their vacation propeties and the association has no one to go after for the fees.
Re: Double dip
PA Girl wrote: You are thinking clearly. It is happening all over Florida. The developer goes under or the bank cuts financing and then the promised golf course, club house, 24 hour security, etc. never happens.
Further, if enough homeowner's walk away from the properties, it creates a problem for the HOA/condo board when they can't meet the budget requirements for keeping the place running - roads maintained, landscaping, etc. We are seeing that in places in NE PA. People are walking away from their vacation propeties and the association has no one to go after for the fees.
Thank you so much. We have stopped looking and we are going to just vacation. We are in our early 40's so there isn't a rush. I feel so sorry for the homeowners. I can't imagine having to walk away. Just so sad. I hope this economy turns around quickly.
xoxo
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GraysonDave
- Posts: 479
- Joined: Thu Feb 11, 2010 7:41 am
- Location: Georgia
Baltic Dry Index still falling
The Baltic Dry Index, a measure of commodity shipping costs, has fallen for the longest period in nine years, due to lower volumes of iron ore being shipped to China.
Surplus steel means manufacturers are relying on stockpiles, rather than shipping in iron ore from abroad.
The index of freight rates on international trade routes fell 38 points, or 2pc, to 1,902 points on Friday in its 31st straight decline.
Charter rates for all types of ships fell.
This is typically not a good sign. It means that world-wide economic activity is soft. Generally this index has been a good leading indicator. Makes me nervous about a double dip.
The Baltic Dry Index, a measure of commodity shipping costs, has fallen for the longest period in nine years, due to lower volumes of iron ore being shipped to China.
Surplus steel means manufacturers are relying on stockpiles, rather than shipping in iron ore from abroad.
The index of freight rates on international trade routes fell 38 points, or 2pc, to 1,902 points on Friday in its 31st straight decline.
Charter rates for all types of ships fell.
This is typically not a good sign. It means that world-wide economic activity is soft. Generally this index has been a good leading indicator. Makes me nervous about a double dip.
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GraysonDave
- Posts: 479
- Joined: Thu Feb 11, 2010 7:41 am
- Location: Georgia
Leading economic indicators not looking good.
http://www.zerohedge.com/article/leadin ... they-right
http://www.zerohedge.com/article/leadin ... they-right