Brazil‘s thriving economy has positioned Brazilian buyers as global players. Brazilians are no longer just seasonal tourists, they are leading the current wave of new buying and investing opportunities in many market sectors, retail, technology and real estate, throughout Palm Beach, Broward and Dade counties.

Sources: NAR 2011 Profile of International Home Buying Activity; Greater Miami and Ft. Lauderdale Conventions and Visitors Bureau, WorldCity Analysis, and The Miami Herald.

THE BRAZILIAN INVASION

• 1 Brazilian real = 0.6010 US dollars

•  Estimated number of Brazilian visitors to Miami-Dade and Broward counties in 2010: More than 800,000.

•  Estimated amount that Brazilian visitors spent in Miami-Dade, 2010: More than $1 billion.

•  Estimated Brazilian residents of Florida: 250,000 to 300,000.

•  Number of American Airlines flights to Brazil weekly: 52.

Sources: Greater Miami Convention and Visitors Bureau, Greater Fort Lauderdale Convention & Visitors Bureau, Brazilian Consulate in Miami, American Airlines.

Read more: http://www.miamiherald.com/2011/02/21/2074311_p2/brazilian-buyers-put-the-luxe.html#ixzz1EiFWrJKC

Brazilians favorite condos: Icon Brickell – Jade Beach / Jade Ocean and their “Miami Beach Riviera” South Of Fifth.

Luxury Inventory is Down – Increase in User Buyers

Incremental Down Payments which could
total 80% by Closing time –

Market Impacts:

Unemployment – 12.4% Nationally but 14.6% Miami-Dade
Foreclosures – 12% of all residents plus 13% in Default = 25% in trouble -
½ of All Owners owe more than what property is worth –
Government programs have not worked, 50% of those assisted foreclosed anyway (there
was a representative from HUD at a seminar who agreed) -

Statistics: Condominiums

12/02 (last “normal” year) to 12/10 = at 12/10 we are almost exactly in the middle
between the Lowest Inventory and Highest Inventory of All Prices –

$300,000. to $1,000,000. represent 26% of Total Inventory, 13% of Total Sales (1/2 Sales
to Inventory) – 26 Month Supply –
$1,000,000 to $3,000,000 represent 8% of Total Inventory, 3% of Total Sales – 31 Month
Supply -
Sellers need to understand if they really want to sell! Now is the time for Buyers to buy!

REO – 9% of Total Inventory / 46% of Total Sales -
Short Sales – 32% of Total Inventory / 22% of Total Sales –
Totals of Distressed – 41% of Total Inventory / 68% of Total Sales

Good News – Annual Sales – 2003 to 2010 – 16.4% Increase in 2010
(Decreases went as low as 35.9%/2007 and Increases as high as 59.5%/2009).

Four years into the housing crisis, myths about foreclosure still litter the minds of even the smartest of real estate consumers. When it comes to matters as high stakes as your home, confusion can cost you thousands – or even your home. Whether you’re a buyer looking at foreclosures, a homeowner struggling to keep your home or a seller concerned making sure your home can compete with the foreclosed homes on your block, these foreclosure myths are prime for the busting, with no further ado.

Myth #1:  Foreclosure happens fast. With unemployment and underemployment still affecting nearly 1 in every 4 Americans, no one is immune from fears that a pink slip might quickly turn into a foreclosure notice.  According to NeighborWorks America, nearly 60 percent of families seeking foreclosure counseling cited a lost job or cut wages as the reason they were facing foreclosure.

While the Obama Administration’s Home Affordable Programs haven’t been nearly as effective as predicted in actually preventing foreclosures, they have had the effect of extending the foreclosure process for many families.   Even though the legal process of foreclosure can happen in as few as 6 months in most states, it is currently taking much longer for the average foreclosure to get to completion.  Recently, JP Morgan Chase revealed that their average borrower who loses a home to foreclosure has not made any payments in 14 months nationwide; 22 months in FLorida and 26 months in New York.

To be sure, some see this as a good, others view it as unnecessarily dragging out the overall market’s recovery. Many insiders will point out that these delays in foreclosure may be calculated to save the banks the costs of owning and maintaining foreclosed homes, not to help homeowners.  In any event, the fact that foreclosure does not happen nearly as fast, in many cases, as expected does give families who are temporarily down on their luck some extra time to try to get back on their feet and save their homes.

Myth #2:  Buyers can’t get clear title or title insurance on foreclosed homes. When the foreclosure robo-signing scandal first hit, there was widespread concern that buyers would not be able to get clear title on foreclosed homes, because the former foreclosed owners might be able to come get their homes back when the improprieties in the bank’s foreclosure documentation processes came fully to light.  At the same time, several of the country’s largest title insurance companies publicly balked at issuing policies on bank-owned homes until the issue was resolved.  At this point, the banks claim they have revamped their processes, and all banks have stated that they have found not a single borrower whose home was repossessed without them having missed the requisite number of mortgage payments.  Nevertheless, a number of governmental investigations are still in progress.

The fact is, buyers of bank-owned properties in nearly every jurisdiction are protected from later title attacks by foreclosed homeowners by the bona fide purchaser rule, under which courts would prefer to simply award cash damages to be paid by the culpable bank to a wrongfully foreclosed-on homeowner, rather than reversing the sale or ownership to the new, innocent buyer.  Additionally, the title insurers have now changed their tune and restarted issuing insurance policies on bank-owned homes which protect buyers’ interests, after working with the banks for them to take responsibility in the event a former homeowner prevails in a wrongful foreclosure suit.

While there are still many intricacies of title to be resolved for foreclosure buyers who purchase homes at trustee sales and auctions, or for cash buyers who often went without title insurance in the past, on the average, Trulia-listed, bank-owned property purchased with an average mortgage and title insurance, the chances a buyer’s title will later be successfully challenged by the foreclosed homeowner on the basis of robo-signing?  Exceedingly slim.

Myth #3:  Buyers should wait for the shadow inventory to be released. Many a buyer, discouraged with the homes they see on the the form in their price range, has decided to sit still and wait for the banks to release for sale what is called their “shadow inventory” – rumored to be anywhere from 4 to nearly 6 million homes that have already been foreclosed, but not listed for sale, or will be foreclosed in the near future. The fact is, to the extent that the banks have acknowledged the existence of a pool of homes they own but are not selling, they have expressed that their reasoning for holding the homes off the market is to avoid flooding the market and driving home values down any further.  For that reason, buyers should not expect to see a massive influx of these shadow homes onto the market anytime soon – if ever.

The banks’ current modus operandi is that as they sell a home, the replace it with another home in that market – if they sell 50 homes in a town that month, they’ll put another 50 on the next.  So, don’t hold your breath waiting for a fabulous new flood of homes.  Instead, set up a Trulia alert to notify you when homes that fit your search criteria come on the market, and be ready to call your agent and go visit any and every one that looks like it might be a good fit.

Myth #4:  If you’re looking for a deal, you’re looking for a foreclosure. Despite what they may say, no buyer’s heart’s fondest desire is to buy a foreclosure.  But almost every buyer dreams of buying a great home – and getting a great deal on it.  Many people think that to get a great value on their home on today’s market, it means they must buy a foreclosure.  As a result, the value and other advantages of buying an individually-owned home on today’s market are frequently overlooked.  Individual sellers with homes on the market right now are generally quite motivated, and understand that their homes are competing with discounted short sales and foreclosed homes.  Many of these sellers are slashing prices in an effort to get them sold – the most recent Trulia Price Reduction Report revealed that 27 percent of homes on the market across the country have had at least one price reduction.  Now that’s what I call a sale!

Further, individual owners are often much more negotiable on a wide range of contract terms than a bank which owns a foreclosed home.  You can work with non-bank owners on things like repairs, closing dates, choice of escrow provider, closing costs and even included personal property much more flexibly than you can when the bank is on the other side of the bargaining table.  On top of that, many individually-owned homes are in pristine, move-in condition; that is much rarer with foreclosures.  So, don’t underestimate the value of the deal you might be able to get on a non-foreclosed home.  Just get clear on what you can afford and look at all the homes that are available in that price range, without discriminating against non-foreclosures.

Myth #5: Having a foreclosure on your credit history means it’ll take years and years before you can buy again. One of the most Frequently Asked Questions in the Trulia Voices Community by homeowners who are facing or have just lost a home through foreclosure is how long it will take before they’ll be able to buy again.  Until recently, the standard wisdom was that 5 years, minimum, would have to have elapsed between the foreclosure and the new home purchase.  Now, though, borrowers can obtain an FHA loan with the low, 3.5 minimum down payment requirement as soon as 3 years following a foreclosure.  To do so, though, all your other ducks must be in a row.

Post-foreclosure buyers need a credit score of 620-640 to qualify for an FHA loan; higher for a non-FHA loan – given that the foreclosure itself usually dings anywhere from 100-150 points off the credit score (not necessarily counting a full year or more of pre-foreclosure missed payments), former homeowners who want to buy again need to ensure they have no other late payments or credit dings after they lose thier home.  You must have clean credit with no derogatory marks like late credit card payments following the foreclosure,  and you may also be required to document 12 to 24 months straight of on-time rent payments after the foreclosure.

Further, the bank may impose a lower debt-to-income ratio on post-foreclosure borrowers than on borrowers who have not had a foreclosure, in an effort to keep your mortgage payments low, keep you from overextending yourself and boost the chances you’ll be a successful homeowner over the long-term this time around.  The bank will also need to see 2 years of continuous employment history in the same field, and documentation that you meet other loan qualification requirements.

Source. Trulia.com

As we mentioned in one of our recent blog http://www.celekt.com/articles/lebron-james-moves-to-miami, Basketball and Real Estate are definitely forming a new “dream team”.

On September 27th 2010, Christopher Bosh became the proud owner of 6396 North Bay Road and proved that Ultra Luxury Single Family Real Estate could still find buyers and will always find a buyer no matter the listed price.

Listed for $14,970,000, this 12,000 sq ft Magnificent work of art built in 2009 by Touzet Studio closed for $12,333,000.

Carlos Prio-Touzet and Jacqueline Gonzalez (Touzet Studio) both involved with projects such as the Setai on Miami Beach or the Delano Hotel Room renovation, gave this newly constructed estate the Miami touch, Governed by the three main elements geometry, water and light.

As far as Dwyane Wade, the buzz around says that he signed a Lease in one of the Penthouses of the 900 Biscayne Condo

A global pattern helping cool down the tropics has eased — and storms are almost certainly on the way, experts say.

It sure hasn’t felt like it on the melting asphalt of Miami and Fort Lauderdale, but some parts of the tropics have seen an unusual cool snap over the last several weeks.

Unfortunately, that cool, dry air was confined to layers several hundred feet aloft over both the Pacific and Atlantic oceans, but it still offered South Florida some relief: It put a chill on hurricane development.

Hope you enjoyed the calm before the storms. Because hurricane experts say they are almost certainly on the way — possibly in bunches. The brief reprieve offered by an unexpectedly stable global pattern has expired, right in time for what, starting Friday, has historically been the hottest stretch of hurricane season.

“Aug. 20 is that one day when we say the bell tolls,” said Todd Kimberlain, a hurricane specialist with the National Hurricane Center. `It’s right around the time when we see this huge ramp-up.”

How huge, no one can say for sure. Early in August, the National Oceanic and Atmospheric Administration slightly reduced its seasonal forecast but still stressed that all the atmospheric conditions were there to brew an above-average season: 18 to 20 named storms and 10 to 12 hurricanes, five to six of those Category Three or stronger.

Joe Bastardi, a hurricane expert for AccuWeather.com, believes 2010 can still live up to its billing, with potential for “an upcoming frenzy of storms, days with two or three storms on the chart.”

Bastardi, in his preseason forecast, predicted as many as eight storms making U.S. landfall. So far, Hurricane Alex hit Mexico and brushed Texas and Tropical Storm Bonnie blew mildly across South Florida before dissipating in the Gulf of Mexico.

BY CURTIS MORGAN

CMORGAN@MIAMIHERALD.COM

Too noisy !!!

The real-estate magnate turned tv-tycoon is suing the airport and the county of Palm Beach in a decades-old disagreement over noise control at the Florida flight hub, which is near his ritzy Mar-a-Lago home.

The lawsuit also names the airport’s director, Bruce Pelly.

The suit seeks to block the planned expansion of the airport, and to prevent flights over Trump’s home.

Trump was part of a group that founded the Good Neighbor Council of Aircraft Noise Control, which has fought to keep noisy planes away from the area.

Bethesda-based Marriott has purchased the former Seville Beach Hotel in Miami Beach, FL for $57.5 M.

HFF executive managing director Manny de Zárraga, senior managing directors Dan Carlo and Daniel Peek, and director Jaret Turkell represented the 2901 Beach Ventures, LLLP ownership group, on an exclusive basis. The venture is a partnership between affiliates of Fortune International and Lionstone Group. An affiliate of Marriott International purchased the site for $57.5 million in cash. Both Fortune and Lionstone have been retained by Marriott on a consulting basis for the new project.

Located along Collins Avenue between 29th and 30th Streets in Miami Beach, the hotel and development sites encompassed nearly 4.5 acres on both the east and west sides of Collins Avenue. The property included 350 feet of frontage along the Atlantic Ocean and 100 feet of frontage along Indian Creek Drive. The east lot is improved with the former Seville Beach Hotel, a 12-story structure that was gutted in anticipation of a redevelopment program. The site has the ability of being developed as a residential or hotel project or any combination thereof.

“The sale of the Seville is among the most significant hotel sale transactions of 2010 in the southeast United States,” Said Peek. “This sale highlights the exceptional confidence held by institutional investors in the Miami Beach hospitality investment sector.”

“Originally built in 1955, the Seville Beach Hotel was for many years a global playground for the rich and famous, and was considered one of the most prestigious hotels in Miami Beach,” said de Zárraga.

“Real estate along South Beach rarely changes hands, with most of the properties considered to be generational assets,” added Carlo. “Miami Beach is woefully underrepresented within the major hotel brands.”

May 2010 had a total of 149 sold units (Totaling $60,523,070) in the Miami Beach and South Beach areas. 13 of them closed over 1 million dollars. We count only 1 short sale in this price range which was the unit #2303 at Icon South Beach.

In comparison:

• January had 130 closed units

• February had 138 closed units

• March had 212 closed units

• April had 175 closed units with a total of $89,449,892 worth of sold Real Estate, the highest amount since the beginning of 2010, averaging $511,000 per closed transaction.

Miami-Dade Pending Single-Family Home Sales Increase 7.5 Percent in One Month

Miami, FL – Total pending home sales – including single-family and condominiums – in Miami-Dade

County increased 6.4 percent in March, from 9,164 to 9,751, compared to the previous month and 71.7

percent compared to March 2009. In addition to international buyers taking advantage of favorable

exchange rates and local market opportunities, first-time and existing buyers are benefiting from recordsetting

affordability conditions, the expanded and extended home buyer tax credit, and a wide selection of

properties to choose from according to the Realtor Association of Greater Miami and the Beaches (RAMB)

and the Southeast Florida Multiple Listing Service. The increase of pending sales coupled with rising closed

sales each of the last 19 months is indicative of a strengthening market.

Pending sales of single-family homes in Miami-Dade County performed better than that of condominiums in

March, up 7.5 percent from the previous month, from 4,042 to 4,345. Pending condominium sales in March

rose 5.5 percent from 5,122 to 5,406. In the last year, Miami-Dade pending sales of condominiums

increased 81.5 percent, while pending sales of single-family homes rose 47.7 percent.

“We continue to see a surge in pending home sales in South Florida,” said Terri Bersach, RAMB Chairman

of the Board. “This is good news for the South Florida market as it points to increased future sales and

necessary inventory absorption and emphasizes the fact that the local market has recovered. As a result

prices have clearly stabilized, so we now have the missing piece of the puzzle for a strengthening market.”

Broward County Pending Sales

In Broward County pending home sales increased 4.9 percent, from 7,791 to 8,173 in March. Pending sales

of condominiums in rose 4.1 percent from 4,343 to 4,522. Pending sales of single-family homes rose 5.9

percent in March compared to the previous month, from 3,448 to 3,651.

In the last year, Broward pending sales of single-family homes rose 44.4 percent, while pending sales of

condominiums increased 97.1 percent. The total number of pending sales increased 69.5 percent.

Price Stabilization as April 30th Tax Credit Deadline Nears

As real estate prices stabilize, the types of discounts buyers had grown accustomed to during the market

recovery may soon be a thing of the past.

“Buyers interested in taking advantage of favorable market conditions need to act now,” said Oliver Ruiz,

RAMB Residential President. “There are now less than 25 days left for buyers to enter into contracts and

take advantage of the current tax credit. The market is a lot more competitive now and is resulting in bidding

wars reminiscent of the recent real estate boom. Buyers who may be thinking about buying should not waste

time because they will be competing with more buyers bidding on the same listings.”

The deadline for buyers to enter into contracts and still qualify for the tax credit is April 30, 2010. Buyers

who enter into contracts by the deadline will have an additional 60 days to close.

A sale is listed as pending when the contract has been signed but the transaction has not closed, though the

sale usually is finalized within one or two months of signing. Increased pending sales are an indication of

increased future sales.

“Copyright RAMB, Reprinted with permission.”

Miami Existing Condominium Sales Spike 35 Percent

Prices Continue to Stabilize

Miami, FL – In the Miami metropolitan statistical area (MSA), there was a 35 percent

increase of condominium sales in February 2010 compared to the same month the

previous year and a 130 percent increase compared to two years ago, according to the

Realtor Association of Greater Miami and the Beaches and the Southeast Florida

Multiple Listing Service (SEFMLS). The sales of existing single-family homes in the

Miami MSA increased 9 percent in February 2010 compared to February 2009 and

increased 80 percent compared to February 2008. The Miami real estate market has

experienced a surge in sales since August 2008, posting increases each of the last 19

months

Nationally, sales of existing single-family homes, townhomes, condominiums, and coops

dropped 0.6 percent from the previous month but increased 7.0 percent from

February 2009.

The median sales price for single-family homes reported in Miami-Dade in February

2010 was $191,900, down only 2 percent from the previous year. The median sales price

for condominiums was $126,100, down only 14 percent from the previous year.

Average Home Sales Price Increases

According to the SEFMLS, the average sales price for residential properties that sold in

Miami-Dade County in February actually increased 12.9 percent to $282,136 for single family

homes and decreased 10.9 percent to $212,038 for condominiums.

“The fact that the drops in home prices are now negligible is excellent news for the South

Florida real estate market,” said Terri Bersach, 2010 Chairman of the Realtor Association

of Greater Miami and the Beaches. “We knew that it would take some time for prices to

catch up with increasing sales, but now that appears to have happened and should result

in further strengthening of the market.”

Tax Credit Deadline – April 30th

To qualify for the current  home buyer tax credit, consumers must enter into a contract by

April 30, 2010. First-time buyers are eligible for up to an $8,000 tax credit, while some

current homeowners are eligible for up to $6,500. Visit www.irs.gov and click on Form

5405 for more information.

“The tax credits and other market fundamentals have helped the market recover,” said

Oliver Ruiz, RAMB 2010 Residential President. “But those interested in purchasing

need to make sure they are in a contract by April 30th to avoid missing out on the tax

credits for first-time buyers and some existing homeowners.”

Days on the Market and Inventory Levels

Inventory levels continue to decrease substantially, another indicator that supports the

local market’s strengthening. The inventory of listings in Miami-Dade County

according to the Southeast Florida Multiple Listing Service has dropped 42.5 percent in

the last 19 months – from 43,095 to 24,792 – and February 2010 brought a .51 percent

decrease in just one month. Nationally, total housing inventory at the end of February

rose 9.5 percent from the previous month.

“Copyright RAMB, Reprinted with permission.”

SOME POSITIVE ARTICLES ABOUT THE MIAMI REAL ESTATE FROM MAJOR LOCAL NEWSPAPERS:

S. Fla. Real Estate Showing Signs Of Stabilization   http://cbs4.com/CBS4yourmoney/real.estate.improvement.2.1615203.html

Buyers hustling to close on homes before tax credit expires    http://www.miamitodaynews.com/news/100408/story7.shtml

Pending home sales in Broward, Miami-Dade show market on the mend     http://www.miamiherald.com/2010/04/06/1564851/pending-home-sales-in-broward.html

Home buyers credit nets $936 million for Florida residents    http://www.miamiherald.com/2010/04/07/1568072/home-buyers-credit-nets-936-million.html