Understanding Property Tax Portability

On January 29, 2008 Floridians voted yes on Amendment 1 (www.YesOn1Florida.com). Amendment 1 gives the people of Florida a tax cut- guaranteed by law, and will help reignite Florida’s economy. With the passage of Amendment 1, families across Florida will see an immediate decrease and even greater savings when they move. This part of the amendment is also known as the property tax portability part. It is a huge benefit that most people aren't aware of or are confused about. Instead of giving you a somewhat confusing example of how different homeowners in different situations are affected, it is a lot easier to click on the link below and see how YOU would be affected. The link shows you what your situation would have been prior to the approval of Amendment 1 and also shows you the savings you will get now.

Miami Dade County Tax Estimator

Broward County Tax Estimator


Just in case you did want an explanation of how tax portability works, please click on the link below.

How Tax Portability Works


Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Hurricane Season 2008

The hurricane season starts June 1st every year and ends on November 30th. Since it lasts half of the calendar year, it is very important to be prepared and have a reference guide with critical updated storm information, important phone numbers, as well as everything else associated with hurricanes. Please click on the link below to get the best hurricane information I could find on the internet. You can also download and print out the reference guide in case there is a power outage in the future.

Hurricane Season Reference Guide

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Easy Way to Save Some Cash

The average price of a gallon of regular gas in January of 2007 in the US was roughly $2.13. As you all are very aware of, the price of gas has gone up like crazy recently. Now the average price of a gallon of regular gas in the US is around $3.93. That's a little bit less than double in ONLY 16 months. This post on my blog isn't about the reasons why gasoline has gone up. If you are interested in those reasons, you can click on the following link, Reasons for Gas Price Increases.
The purpose of this post is to show you a way to save a little bit of cash.

If you visit my website, www.DadeCountyMLS.com, I have a tool there where you can put in any zip code in the US, and it will tell you the cheapest price of gas (regular, midgrade, or premium) in that area. The prices are updated every 48 hours or sooner. It's amazing how sometimes the price of gas in Miami can fluctuate almost forty to fifty cents a gallon. I have been using this tool for the last few weeks and have been able to save ten to fifteen dollars a week. That might not sound like a lot, but it works out to about $700 a year. Here are some common sense tips that I am almost embarrassed to tell you, but just in case . . . .

1. Don't drive ten miles out of the way to save money on the price of gas. Obviously if you do
   this, you won't be saving any money.
2. Don't wait until you are almost empty to fill up. If you do this, you will be limiting your choices and may have to pay more than you have to.
3. If you are going to be running errands, this would be the best time to check for the cheapest gas station that is close to where you are going.
4. Last but not least. If you are waiting in a long line for gas, DO NOT LEAVE YOUR CAR RUNNING and burning gas. Instead just roll down your windows, turn your car off, and wait.

Hopefully the price of gas will start to go down again one day soon. But until then, please go to my website at www.DadeCountyMLS.com and use my "cheapest gas" saving tool. Better yet, use the tool from now on even if prices do go down.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Memorial Day

Did you know that Memorial Day was originally known as Decoration Day because it was a time set aside to honor the nation's Civil War dead by decorating their graves? It was first widely observed on May 30, 1868, to commemorate the sacrifices of Civil War soldiers, by proclamation of General John A. Logan of the Grand Army of the Republic, an organization of former sailors and soldiers.

I have extreme respect for those who serve or have served in our military and for those who have fallen in order to keep our country the great country it is today. Have a safe and happy Memorial Day, and let's never forget those that have given us the ultimate gift - their lives.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

National Missing Children's Day

On Sunday, May 25th, it is National Missing Children's Day. I urge you to please make the effort to sit down with your kids for at least 25 minutes today and go over different ways they can be safer. The website www.Take25.org has many great tips, discussion guidelines, and activity ideas to help prevent the unthinkable. Thank you so much and enjoy the holiday weekend.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Miami Home Buyer Assistance Programs

Many people have heard that there are programs available today that assist people in Miami interested in purchasing a home. Some of these programs include closing cost assistance, down payment assistance, reduced rate mortgages, and relaxed qualification mortgages. Every year (or quarter) there is a budget for these programs. Even though there are millions of dollars given away each year, once the money is used, that program is no longer available for that time period.

Until recently, it was very hard to find an easy to use website that would show what someone could potentially qualify for. The website below is extremely easy to use. Once you get to the homepage, click on "Search Assistance Programs." From there, just follow the menu and within twenty seconds you will know what programs you qualify for.

Miami Home Buyer Assistance Programs

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Six South Florida Schools Among Nation's Top 100

Newsweek magazine named six South Florida schools among it's list of the nation's top one hundred schools. Three were from Dade County and three were from Palm Beach County. Interestingly enough, Broward County, which has received numerous national awards in recent weeks, did not have any schools that ranked among the top 100. Please click on the link below to read all the details.

Newsweek Magazine's Top 100 Schools

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Fannie Mae Does Away with Higher Downpayment Requirements

Today it became a little bit easier for home buyers in many parts of the country to qualify for a home loan. In December, Fannie Mae (the government-sponsored mortgage finance company) made a policy that required higher downpayments for buyers applying for a loan in a zip code with declining real estate prices. Today that policy was changed to no longer require buyers in declining real estate markets to put a greater down payment than buyers in stabilized real estate markets. To get more details on this big benefit for our South Florida real estate market, please click on the link below.

Lower Down Payment Requirements Story

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

What to Do After a Car Accident

This post on my blog has nothing to do with real estate, but I thought it would be beneficial for all of us. A friend of mine sent me this story on what to do after a car accident. Even though most of us have a good deal of common sense, when an accident occurs, sometimes we are shaken and don't think the same way. Please read the story below, and I would strongly suggest printing it and keeping it in your car's glove box just in case.

What to Do After a Car Accident

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

How to Save Drastically on Your Homeowner's Insurance for Free

Every few days or so I post some information relating to our real estate market. I always hope that the stuff I’m posting has some sort of value to you. However, there are times that I am not really sure. On this post, I’m 100% sure that the information I am telling you will be very valuable to you. The main reason is that it can potentially save you thousands on your home owner’s insurance.

If you have a single family home and have a homeowner’s insurance policy with wind storm protection, you should qualify. Before I get into telling you what you need to do, I’ll give you some real world examples of the savings you may get. My friend’s insurance policy went from approximately $4000 to $800. Another one of my friends, who also had an insurance policy that
cost close to $4000, got reduced to $2000. One other person that I know had has insurance policy go from $2100 to just a little bit over $1000. Unfortunately another person that I know wasn’t able to save anything.

So how do you get these savings? There is a little known government program called, My Safe Florida Home. The website, www.MySafeFloridaHome.com, has all the information. Once you go to the website, click on I WANT TO APPLY FOR A WIND INSPECTION. The wind inspection is free. Just fill out the form. Once your home is inspected, you will receive an inspection report that you will show to your insurance company. The report will have recommendations on work you can do to your house that will make it more hurricane proof. You can do nothing and show the report to your insurance company or do the work and get a bigger discount from the insurance company. The friend I mentioned about earlier whose insurance went down to $800 DIDN’T make any improvements. He just showed the form to his insurance company.

If you feel more comfortable speaking to someone on the phone rather than using the internet, you can call 1-866-513-MSFH (6734) and wait for the part that mentions about the free wind inspection.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

The Changing Home Equity Loan

Only a year ago, it was incredibly easy for anyone with half decent credit to get a home equity loan on 100% or more of the equity that they had in their home. Today things have changed tremendously. Banks aren't loaning anything close to the 100% equity in the past, the loans are a lot harder to qualify for, and the default rates on these home equity loans have gone up over 700%. For more details on today's changing home equity loan, please click on the link below to view an article from the Miami Herald.

The Changing Home Equity Loan

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Fighting Back Against Identity Theft

Nearly nine million Americans have their identities stolen per year. The crime takes many forms. Identity thieves may rent an apartment, obtain a credit card, or establish a telephone account in your name. You may not find out about the theft until you review your credit report or a credit card statement and notice charges you didn’t make—or until you’re contacted by a debt collector.

Unfortunately, I am all too familiar with identity theft. In my case, I was pretty lucky compared to most others whose identity was stolen. In three separate cases within eight years, someone charged thousands of dollars on my debit card and once on my credit card. Once the person was purchasing something in Europe, once in New York, and once in Orlando. So it's really hard to figure out where the thief gets the information.

The Federal Trade Commission (FTC) has a website that shows you how to avoid identity theft and also what to do in case your identity was stolen. Click on the link below to enter their site.

FTC Identity Theft Website

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

More Information on Short Sales

Below is some more information on short sales. The story is from MSN and gives you a real good idea about short sales through out the country.

More Information on Short Sales

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Another Way to Sell Your Home Quickly

It is no secret that the real estate market is a lot slower now than it was a couple of years ago. Homes are taking much longer to sell, if they sell at all. I often get asked by home seller's if I know of any other ways, besides the standard ones, to help sell a home quickly. There definitely is one that I have used many times in the past that has been very successful.

Attracting buyers is always the name of the game in any market. That’s why using a special financing program works so well. Basically it’s an interest-rate buy-down program with built-in marketing support that is designed to attract more buyers by making seller's properties more affordable. So what does that mean? The seller is offering a special low interest rate for potential buyers. Because the home is advertised that way, it opens more doors for the seller's Realtor to establish relationships with buyers seeking a bargain.

In short, using a special financing program is a great way for home sellers to sell their homes quickly. It attracts more buyers because it reduces the buyer's monthly mortgage payment and differentiates the seller's property from other homes on the market. There are some complexities to it, so I would only recommend using someone experienced in this type of marketing.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com

Top 10 Seller Short Sale Questions and Answers

Short sales are becoming more and more prevalent in our real estate market. For those of you that aren't sure what a short sale is, a short sale is the sale of a house in which the proceeds fall short of what the owner still owes on the mortgage. Many lenders will agree to accept the proceeds of a short sale and forgive the rest of what is owed on the mortgage when the owner cannot make the mortgage payments. By accepting a short sale, the lender can avoid a lengthy and costly foreclosure, and the owner is able to pay off the loan for less than what he owes. Each short sale case is different and determined on a case by case basis by the seller's lender.

Below is an article by Tim and Julie Harris, founders of Harris Real Estate University, on the top ten seller short sale questions and answers.

Number 10
I can't make my house payments, but I do have an ability to pay back all or part of the negative equity. Also, I want to preserve my credit score...is a short sale right for me?

Probably, not. In cases where the seller can pay back all or part of the negative equity (usually to the 2nd lien holder), it makes sense for them to work out a repayment plan. The lender will then release the lien and allow the home to close.

Number 9
If I pay mortgage insurance and default on my loan, why wouldn't that cover the deficiency amount?

The mortgage insurance is not there for your protection, just the mortgage lender's.

Number 8
Do I have to have my home "Approved" by the lender prior to offering it for sale as a short sale?

No. Technically speaking there is no such thing as being "Short Sale Approved." The actual approval only happens with an accepted offer.

Number 7
I just missed a payment and I know I will miss more...how long does the foreclosure process take and is there time to do a short sale?

The foreclosure process takes differing times depending on your state. In the Midwest a foreclosure can take over a year. In California it's taking six plus months. Generally speaking a well priced short sale being processed by an educated short sale listing agent will sell and close in less than 120 days.

Number 6
Will I still have to pay property taxes if I do a short sale?

Property taxes will always have to be paid as part of any accepted short sale. Whether it's you or the lender, it depends on their policies and the specific agreement you reach while negotiating the short sale.

Number 5
I owe more than my home is worth and I can't make the payment. Do I have to somehow qualify for a short sale?

The simple answer is NO. If someone can't make their payment and they are otherwise insolvent, they qualify for a short sale. Note: insolvent simply means their total debts are great than their assets.

Number 4
Do I have to pay income taxes...I have heard that I will get a 1099. Will the loss the bank takes be treated as a taxable gain to me...the seller...is this true?

It WAS true, now it's not. Consult your Tax Attorney or Qualified CPA. Very recently the tax law was modified and now most people who do a short sale will have no taxes due.

Number 3
How does the Realtors commission get paid?

The bank will pay the commission along with all the other usual closing costs.

Number 2
Do I have to miss a payment to do a Short Sale?

No. Late last year most major lenders started accepting short sale offers from sellers who have never missed a payment.

Number 1
I want to do a short sale and have a 2nd mortgage, does this make me ineligible?

No. Both of your lenders will need to be satisfied in some way to complete the short sale. If your first lender will be paid off by the sale, then you just negotiate the terms with the second lender. Most short sales do involve 1st and 2nd lien holders.

Amit Bhuta
Real Estate Helper
Kendall Village Homes
(305) 439-3031
www.DadeCountyMLS.com