My New Blog

Great news! I have just traveled down the main Boulevard of Fort Myers Beach with no sign of any damage anywhere on the route.  When the storm made land fall below Naples, the tide was low helping make this a tiny event. 

In the course of living on the island for more than 20 years we have seen many coastal storms and looking back, very few have affected our lives.  Since the biggest, Charlie and Wilma came by several years ago,  we have watched the huge numbers of natural disasters all over the rest of our country.  Fires, floods, earthquakes, tornados, droughts and others have been on our television screens. 

As the wise man said, "It's always something."  And now that it passed, we look forward to enjoying the lifestyle we all chose SW Florida for.  On the good side, the beneficial rain Lake Okeechobee received will help our environment.  But, for anyone who might have been harmed by the storm, our community is more prepared to help. 

It is now time to look forward to our great warm sunny Fall weather and the return of our snow bird population.  All is well. 

The State of Florida has a current program called My Safe Florida Home which will pay for a licensed trained inspector to visit your home and check your property for Hurricane resistance! 

The good news is that homeowners can use a good report to show their insurance carrier and possibly receive a deduction on their Windstorm Coverage Policy.  Also you will receive information as to improvements you can make to make your home more hurricane resistant.

Response to this program has been huge.  So much so that the State is about to cut off the program in July due to State Budget constraints and those inspections will cost you money unless you act now.  If you email us we can email you the form to fill in and request your FREE Inspection.  Or you can contact the My Safe Florida Home program with the State of Florida.

The report is prepared on site and also an email report with pictures and notes will be sent to you.  This program comes at a great time for homeowners preparing for Summer storms and owners may give the report to their Realtors to show Buyers if they are marketing their property or their insurance carriers who may reduce your wind rate.

Click on the email address below and ask for the Free Inspection form. I'll send it to you by return e mail jerry@765LIST.com  

Lee County Property Assessments are now being released and will be appearing on the property appraisers web site www.leepa.org and for many areas of the county they will spell some long overdue tax relief.

Ft. Myers Beach assessments dropping more than 11%, Cape Coral roughly 20%, and Ft. Myers about 7% according to sources.  Other areas of the county show reductions with the above ranges.  Caution should be noted because each type and location of property may mean your property falls above or below the average and property owners should monitor the web site above for their own individual assessments.  

Prospective Buyers should be enthused by the probable reduction in taxes for this year.  In Florida taxes are paid in arrears.  The bill that owners will pay in November or later will be for the calendar year 2008 and the assessments coming out now will be the main factor in determining the final bill.   

At last something that will make for lower ownership costs is on the way!

If you are planning on a purchase with financing this year or next you may want to check your current credit report.  Our web site of the month is a real free way to annually check your credit with no obligations. https://www.annualcreditreport.com

PS   For anyone who believes their January 1 2008 assessment is out of line with reality please read m from September 2007 below for details on the process. 

Whether you are planning on driving to or in SW Florida this summer to buy or sell property or are just driving the roads in your area I found that saving fuel can be pretty satisfying these days.  The writer of the tips works for a large California fuel company Kinder Morgan and has permitted us to quote his tips!

Summer can be the best time to visit our area and see the best in property values or just take a beach vacation on uncrowded dependably sunny beaches.  So remember these tips and come on down.  

"I don't know what you guys are paying for gasoline.... but here in California we are also paying higher, up to $3.50 per gallon. But my line of work is in petroleum for about 31 years now, so here are some tricks to get more of your money's worth for every gallon..

 Only buy or fill up your car or truck in the early morning when  the ground temperature is still cold. Remember that all service  stations have their storage tanks buried below ground. The colder the ground the more dense the gasoline, when it gets warmer gasoline expands, so when buying in the afternoon or in the evening....your gallon is not exactly a gallon. In the petroleum  business, the specific gravity and the temperature of the 
gasoline, diesel and jet fuel, ethanol and other petroleum products plays an important role.

A 1-degree rise in temperature is a big deal for this business.  But the service stations do not have temperature compensation at the pumps.

When you're filling up do not squeeze the trigger of the nozzle to a fast mode. If you look you will see that the trigger has three (3)stages: low, middle, and high. In slow mode you should be pumping on low speed, thereby minimizing the vapors that are created while you are pumping. All hoses at the pump have a vapor return. If you are pumping on the fast rate, some other liquid that goes to your tank becomes vapor. Those vapors are being sucked up and back into the underground storage tank so you're getting less worth for your money.

One of the most important tips is to fill up when your gas tank is HALF FULL or HALF EMPTY. The reason for this is, the more gas you have in your tank the less air occupying its empty space. Gasoline evaporates faster than you can imagine. Gasoline storage tanks have an internal floating roof. This roof serves as zero clearance between the gas and the atmosphere, so it minimizes the evaporation. Unlike service stations, here where I work, every 
truck that we load is temperature compensated so that every gallon is actually the exact amount.

 Another reminder, if there is a gasoline truck pumping into the storage tanks when you stop to buy gas, DO NOT fill up--most likely the gasoline is being stirred up as the gas is being delivered, and you might pick up some of the dirt that normally settles on the bottom. Hope this will help you get the most value for your money."

Looking around the marketplace is a little different in March and so far April too.  There seem to be more buyers looking and bidding than last year at this time.  That is great for a market that has had a 67% decrease in buying since 2005! 

This increase has not brought us back to the levels of 2005 nor has it resulted in any price increases at all.  But if it continues for the rest of the year the housing market in SW Florida may be heading into the next phase in a year or two.

The longest phase in our previous down markets here, is the stabilizing phase.  We usually find that market prices are not flexible but properties which receive ingenious and thoughtful marketing and are priced expertly and superbly attract buyers.  Those that do not have the price and the marketing sit there without activity. 

Buyers or Sellers who try to "time the market" for their benefit almost always fail in their efforts.  The wise buyer and seller looks at their use of the property, their long term situation financially and why they want to buy or sell.  Matching up with goals and expectations of use of the property produce a wise and happy outcome. Enlisting a Real Estate Counselor to help make your plans may be the best thing you could do before you run out and put up the for sale sign or start looking at properties!

A Real Estate Counselor like myself, with many years experience working with thousands of buyers and sellers may be most helpful in analyzing your buying or selling needs.  But whoever you choose to work with, be sure they have lots and lots of local real estate sales experience and ask you lots of questions before they provide their counsel.    

There are some important deadlines approaching with regard to provisions of Amendment 1.  Please pass this message on to your neighbors, friends and clients. The "Transfer of Homestead Assessment Difference", Form DR501t can be found on the front page of the member website.

What you should do to receive benefits of Amendment 1 

To receive some of the benefits of the changes enacted January 29th, certain citizens must take action by March 1, 2008. The Constitutional amendment created four new opportunities for taxpayers to obtain tax relief: 

1. Increased homestead exemption
2. Portability of “Save our Homes” benefit
3. $25,000 exemption for tangible personal property
4. 10% annual assessment limitation for non-homestead property 

What taxpayers must do to receive these new benefits: 

1.  Increased homestead exemption – Homeowners that are currently receiving the homestead exemption will automatically receive the increased homestead exemption. No action is necessary. 
2. Portability of “Save our Homes” benefits – If you received the homestead exemption in 2007 on a home that you sold or otherwise abandoned during 2007 and have purchased a new home by January 1, 2008, you are eligible to take some or all of the benefit of “Save our Homes” to your new home. In order to receive this benefit, you must apply by March 1, 2008 to your property appraiser for your new homestead exemption and for the transfer of the “Save Our Homes” benefit to your new homestead for 2008. We would recommend that REALTORS® call their 2007 clients who sold a homestead and bought a new one to make certain they are aware of the filing requirement. 
3.  $25,000 exemption for tangible personal property – Tangible personal property taxes apply only to certain taxpayers in Florida – typically businesses and certain owners of mobile homes. The tax does not apply to homesteaded property. In order to receive the $25,000 exemption for tangible personal property, taxpayers subject to the tax must file a tangible personal property return with their property appraiser by April 1, 2008. 
4. 10% limit on annual assessment increases for non-homestead property – The 10% limitation does not apply until next year. No application is necessary for 2008.

If you have any questions about what action you must take to receive these new benefits, please contact your local property appraiser. For information on how to contact Florida’s property appraisers, go to http://dor.myflorida.com/dor/property/appraisers.html.

Below information from The 1031 Exchange Experts.com  clarifies IRS tax rules

The IRS just released a ruling setting forth the guidelines for doing a 1031 exchange on a vacation home. The ruling is a Revenue Procedure (2008-16), which is what I call a ‘cookbook ruling,’ which essentially means that if you do certain things, you get a guaranteed result. In this case they will NOT challenge the investment nature or exchangeability of your property.

To avoid any possibility of a challenge to your vacation home exchange, you have to meet certain requirements for your vacation property. During the 24 month period preceding the sale of your vacation home, or the 24 months after the purchase of your vacation home, or both if they both are vacation home properties:

1. You must have rented the property, at a fair rental price, for at least 14 days during each 12-month block of the 24-month period, and
2. You did not use the property personally for more than the greater of 14 days, or 10 percent of the days rented, during each 12-month block of the 24-month period.

Since this ruling is a Revenue Procedure, failure to meet the exact requirements of the ruling are not fatal, but could subject you to closer scrutiny of your exchange. In other words, using the property for 15 days does not mean that your exchange is ‘toast’–it merely means that they could audit you if they wish.

The purpose of the ruling is to provide a ‘bright line’ test that gives you concrete assurance that your exchange will not be challenged. This goes into effect for the sale of any vacation homes starting March 10, 2008.

I will be pleased to refer you directly to the 1031 exchange experts for further details.  jerry@765LIST.com 

You may remember that a young woman was recently abducted
from a Target parking lot in Overland Park , a suburb of Kansas City
Her body was discovered many miles away in Missouri . They
were able to locate her by the sequence of cell phone towers that picked
up her cell phone location.

She had not attempted to dial out, but when her family was
trying to call her the towers could sense her phone. Sadly, the
authorities were not able to reach her in time. However, they were able to
locate her body which was in an area where they never would have searched
without the cell phone tower information.

The cell phone 'locator' can be either set on:
1. E911' ... in which case you must dial out to be located;

2. or it can be set to be on all the time ... 'Location on'

There is NO higher battery usage from having it on all of
the time.

With it on all the time you can be located by emergency
services through the police if you fail to respond (sick, injured or worse).
I found that on my phone 'location' was not on.

I turned it on so my phone can be traced.

ALL cell phones have this feature. It's called Location.

It's under the: Settings tool. (on my phone it's under
Settings, System, Location).

Once you turn this on, THEN your phone is traceable
(select 'Location On' instead of 'E911 Only').

If you have trouble call your phone vendor or the manufacturer or walk into the cell carrier office near you and ask for their help.

To stay safe, everyone needs to check their phone and turn
this on- and Moms and Dads should make sure their kids have their phones set too!!!

The voters of Florida spoke and approved the biggest help to owners stuck in their home who want to move within the state but have been afraid to move because they would lose their save our homes advantage.  That is now changed.

Owners can take up to $500,000 of their benefits with them to another property they buy in Florida as their new homestead.  This change could mean freedom to buy in a different location or bigger, smaller, newer, older etc.  without being tax penalized for moving.  It is my understanding that this applies to any 2008 sales.

So, if you have been waiting to make this move or have given up now is the time.  If you call me I will be able to go over your specific options and help you.  Remember interest rates are now in the 5s for fixed rate 30 year primary residential properties and buyers. This opportunity could be limited and the time is right.  Yes prices of what you are selling are down but the property you are moving to is probably also down in a similar ratio.  This means right now You can have your cake and eat it too!©

Call me at 239-765-5478 or email jerry@765LIST.com for further information.   

Finally some good news on the home front!  Due to our friends at the stock markets the Fed has decided to lower rates 3/4 of a point.  This news brings interest rates down back near where they were during the 2005 time frame. This will certainly help you as a buyer making owning property more affordable.

There are 3 reasons, we can see, that have overly depressed our property sale prices locally for the past two years.  One is rising interest rates (now declining), two- extreme rise in property taxes, and three- extreme rise in insurance costs.

  Now the current expectation is that property taxes will be coming down as well.  That is because prices in our County have declined dramatically last year.  This sales data is used by the County to determine assessed value of property for tax bills 1/1-12/31/2008 which will not be sent until November.  But the die is cast.  There is just no way in my mind assessed values for most property owners here will not come down between 12 and 20 percent.   That is highly likely to translate, as long as our taxing authorities are held in check by citizens, into tax relief which is required by the real estate market and our local economy to recover. 

In addition on January 29 the voters in Florida have the chance to vote to allow homesteaders to move much of their Save Our Homes benefit to another homestead in Florida when they sell: and for non homestead property there would finally be a cap on increased assessments of 10 percent per year.  This 10 percent doesn't sound like much but it would have meant much lower taxes for coastal area property owners in 2004-2006. Yes, this new amendment if passed, is not great, but perhaps a first step to help real estate prices and sales in our marketplace.

So far not much has helped item 3-the insurance rates. This item will require our State Government to be alerted and seriously involved. 

We all know costs go up and over time things will cost more, but our real estate market, buyers, and sellers have been depressed beyond reason. Perhaps reduced mortgage rates and, with our vigilance, reduced property taxes will help our Southwest Florida economy slowly recover.

With prices and interest rates down and tax prospects on the horizon, now is the best time in 4 years to find a property you want at a great value price.  Call me to discuss your options 239-765-5478.  If you would like to receive my local price and market activity report for the year just email me with your name and in the headline enter "report please" jerry@765LIST.com