Hope dims for a turnaround in Orlando-area housing, experts find

A closely watched index of housing values released Thursday showed that the Orlando area's stock of existing homes lost more ground during the first quarter of 2008.

[Zell]

lets hope out taxes drop equally as fast.

[ListenSonny]

Speaking of ==> "speculative bubble" has formed that will deflate at some point, dramatically.

Sounds like he's describing what's happening right now in the FL real estate market !!!!

[Home investment]

Well, so much for the myth that your home is an "excellent investment". Besides the fact that you can live in it I don't see any other economic incentive to "invest" in a house. Maybe in Manhattan, Honolulu or San Francisco but not in Central Florida. If you factor in the real estate taxes, insurance, maintenance and repairs it is doubtful that we even made a 5.63% "rate of appreciation "since 1985.

[allen]

Blame Bush! He's worse than Nixon. Mcain has the exact same agenda, so He'll be just as bad. Even if "Chain-gang Charlie" is on the ticket. Besides Mcain's like 75 or something. Who the heck wants that? He'll just nap all day long and eat dinner at 4:30.

[TFB]

Facts to back up your rentie rant?

We'll wait.

Home investment wrote:

Well, so much for the myth that your home is an "excellent investment". Besides the fact that you can live in it I don't see any other economic incentive to "invest" in a house. Maybe in Manhattan, Honolulu or San Francisco but not in Central Florida. If you factor in the real estate taxes, insurance, maintenance and repairs it is doubtful that we even made a 5.63% "rate of appreciation "since 1985.

[nuskoold]

TFB wrote:

Facts to back up your rentie rant?
We'll wait.
<quoted text>

How about the giant decline in home values over the last year???

[RealEstateOptimi st]

Hope dims for a turnaround. That sounds awfully dire, for a market that has seen price appreciation of 50% over a three year period. This is not the best time to be a seller, if you purchased in the last two years. If you have owned you home for at least four years, you have probably still made money. If you buy a home now with a time frame of four or more years, you will make money. The opportunity for flipping a house and making a quick buck is over. The opportunity to purchase a home at a good price and great interest rate is right now. The lower prices have already lead to increased sales every month this year. www.RealEstateOptimist.com

[Juan]

Did the SLANTinel already forget about the front-page article on the high volume of Orlando metro area defaults and foreclosures from Sunday.

[Rhonda]

If the media would stop with the Doom and Gloom articles about the housing market maybe people would not be so hesitant to get this situation turned around. If you check with NAR statistics you will see that Central Florida has seen an increase in housing sales for the past two months. Top that with FHA guidelines being slightly more lenient than they were and things could possibly start getting better. If only the media would stop making it worse.

[Florida Pre-Paid]

TFB wrote:

Facts to back up your rentie rant?
We'll wait.
<quoted text>

I bought my first and only house in Central Florida in 1989 in a nice, quite, established neighborhood near I-4, malls, hospitals, and entertainment centers for $230,000. It is very doubtful (based on comparables) that I can sell my well-maintained house for $450,000 now.If I could, that would be a 3.53% "return on investment" (compounded daily) for my money. I don't consider my house my smartest investment.

[Upbeat]

RealEstateOptimist wrote:

Hope dims for a turnaround. That sounds awfully dire, for a market that has seen price appreciation of 50% over a three year period. This is not the best time to be a seller, if you purchased in the last two years. If you have owned you home for at least four years, you have probably still made money. If you buy a home now with a time frame of four or more years, you will make money. The opportunity for flipping a house and making a quick buck is over. The opportunity to purchase a home at a good price and great interest rate is right now. The lower prices have already lead to increased sales every month this year. www.RealEstateOptimist.com

Much of the sales activity in the low to medium price ranges is due to short sales. These sales can be tedious and time consuming and realtors are quickly learning how to burn both ends of this candle. Buyer beware!

[clr33]

The media will keep making it worse than it is until the election is over. They do this deliberately to sway the election.

They also don't send investigative reporters in to look at things like how Engle is continuing to build and turn out houses that compete with their own buyers - when they are bankrupt and are screwing over their own vendors - using shell companies to do alot of this. Why is the commission approving permits? Whose in bed with whom? The media doesn't even try to do stories on this stuff -- because it would help citizens and that is a no no while the economy needs to stay down until the election is over.

Rhonda wrote:

If the media would stop with the Doom and Gloom articles about the housing market maybe people would not be so hesitant to get this situation turned around. If you check with NAR statistics you will see that Central Florida has seen an increase in housing sales for the past two months. Top that with FHA guidelines being slightly more lenient than they were and things could possibly start getting better. If only the media would stop making it worse.

[UF ALUM]

allen wrote:

Blame Bush! He's worse than Nixon. Mcain has the exact same agenda, so He'll be just as bad. Even if "Chain-gang Charlie" is on the ticket. Besides Mcain's like 75 or something. Who the heck wants that? He'll just nap all day long and eat dinner at 4:30.

Is this sarcasm or do you really think that housing is Bushs' fault?

Please explain if you do...

[President Camacho]

""This is a wealth-creation opportunity," Anderson told several hundred members of the Central Florida chapter of the National Association of Industrial and Office Properties, meeting at the Marriott Orlando Downtown."

LOL. NO, this is a wealth DESTRUCTION opportunity. Mr. Anderson, your "advice" is probably 3 to 7 years early.

Just wondering, what was Mr. Anderson saying during the height of the real estate bubble?

[Home investment]

TFB wrote:

Facts to back up your rentie rant?
We'll wait.
<quoted text>

Sorry. My response to your comment was posted under "Florida Pre-Paid". Those are my facts to home "investment" in Central Florida. I wish I had put my money on a 6% CD or invest it in an index fund (see below).$230,000 would be worth $1,212,100.00 now. My home is not, that's for sure.

S&P Historical Return
Date Range
Jan 1, 1989 to Dec 31,2007


Average return: 10.37%
True CAGR: 9.14%
Standard Deviation: 16.09%
$1.00 grew to: 5.27$
(These returns are just capital gains, not dividends; if you owned an S&P 500 index fund with low fees you would have made more money than this.)

[UF ALUM]

TFB wrote:

Facts to back up your rentie rant?
We'll wait.
<quoted text>

ALl the reasons were right there in front of you. Your primary residence is never an investment... and savvy investor knows that.

[UF ALUM]

RealEstateOptimist wrote:

Hope dims for a turnaround. That sounds awfully dire, for a market that has seen price appreciation of 50% over a three year period. This is not the best time to be a seller, if you purchased in the last two years. If you have owned you home for at least four years, you have probably still made money. If you buy a home now with a time frame of four or more years, you will make money. The opportunity for flipping a house and making a quick buck is over. The opportunity to purchase a home at a good price and great interest rate is right now. The lower prices have already lead to increased sales every month this year. www.RealEstateOptimist.com

Real estate spin is more like it... 50% in three years is unsustainable. Fact is, no one has any idea when prices will stop falling because we have never seen the factors that led to this mess...

A professional wouldn't advise anyone to buy a home currently unless you are buying at 20% below the current value... or unless you don't mind taking a potentially huge loss, ie, if you will liv ein it for ten years or more...

[Interested Observer]

Are sales so bad at Urbanista that they need to use free advertising here?

Anyways, there is no time left for a turnaround in real estate - prices will continue to drop...because -

The Baby Boomers are starting to retire. There will be increasing demands placed on Social Security and Medicare. The money that Congress borrowed from your Social Security taxes for so many years must finally be paid back. And the amounts needed will start to rise.

We've pretty much maxed out selling Treasuries to foreign entities - and the US credit rating with them is starting to drop.

So what does all this mean - well, there's only one other way to get more money for the government. Like it or not, taxes need to rise. So, in addition to all the other problems - falling house values, credit tightenting, high oil and food prices, high consumer debt, I think we will also see higher income taxes.

There is no money left to fund a turnaround in house prices!!!

[What no Del Friscos]

Florida Pre-Paid wrote:

<quoted text>
I bought my first and only house in Central Florida in 1989 in a nice, quite, established neighborhood near I-4, malls, hospitals, and entertainment centers for $230,000. It is very doubtful (based on comparables) that I can sell my well-maintained house for $450,000 now.If I could, that would be a 3.53% "return on investment" (compounded daily) for my money. I don't consider my house my smartest investment.

you bought in the wrong area my friend

[Wes]

Exactly!! And I've still not figured out how lower housing costs is a bad thing.

Accept defeat wrote:

LOL, I hope the value falls like a rock. The houses in Orlando are worth about half of the peak. Greed will take everything down. First it was speculators in housing. Now, all the speculators in oil. That is the next bubble to burst.