Attention renters, rates are about to drop!

If you are a renter, relief is on it's way. Rental rates have been at an all time high for a few years now. However, if you are a landlord, I see trouble ahead. 

This is my opinion of the buying, selling and renting of real estate for 2015.
Mortgage interest rates are about to climb, according to all the rumors coming from the new Fed Chairwoman, Janet Yellen. They've been near zero for many years to help stimulate our wobbly, but growing economy.

Many home owners were hit hard when the economy tanked. Homes were forfeited to the banks and hedge fund conglomerates were gobbling them up and renting them back to those that were displaced. 

                             It's been 8 years since the peak and 4 years since the bottom. 

Most hurt during the great recession have recovered financially and have been trying to time out re-entering the market to get the lowest rate as they heal their credit and rebuild capital for a downpayment. 

              That time is now as interest rates are wobbling around a once-in-a-lifetime low. 

However, everyone seems to be sitting around and not taking action. This holding back is causing a pressure cooker situation of buyers. 

When the Fed says "let them rise", the pressure cooker full of buyers will surge to the market buying up the inventory. New homes entering the market will sell at top dollar as the rates rise and inventory will be low.

Where did these buyers come from?  
                                  These buyers were all renting!

Rental homes will flood the market as these buyers leave that market. 
Vacant rentals, cost owners a lot of money.
They would rather slash the price, then let it sit empty. 

I expect this to occur now through June and then go crazy through the summer and fall. 
If you are buying, buy now! Rates may never be this low again in our lifetime. 
If you are renting, buy now! Rates may never be this low again in our lifetime. 

Or if you can't buy, be willing to negotiate to stay or find someone willing to accept your price. 
Don't be scared! The landlord would appreciate the reduced rate more than a vacant rental and pray for a new tenant. 

Buying, selling or renting in the Tampa bay market?
I do that!

Curtis Rudolph Realtor®
813.240.6054 cell/text
Realty Direct Tampa
www.CurtisRudolphRealtor.com

In search of a rental home? Look up!

The challenges facing the victims of the great recession go deeper than just trying to find affordable housing. 

During the great recession, millions of homes went into default. It takes a long time to go through the legal process. Some are just now going through the process.  
Many home owners were literally removed from their homes. Caught in the economic meltdown, they don't know where to turn. Credit damaged, they seek a rental home until they can rebuild their lives and credit scores.
Another consequences of the economic melt down, was new construction, all but ceased. 

Therefore creating "The perfect storm".

During the economic meltdown, the population has increased, while building new homes had ceased. This has created an imbalance of people verses residences ratio. 
Add to this, the non-existent and restrictive funding practices to a massive pool of people with damaged credit and you have the perfect storm. 
In nature, vultures fly above the earth looking for the weak and hover waiting for opportunities.
Home owners trying to seek shelter and not finding any. And institutional buyers, knowing the laws of supply and demand have raised rental rates to levels never seen in our lifetimes. You begin to seek desperate measures. 

In your desperation, look up. 

Human vultures read this news and find a way to capitalize on your desperation. There has been a massive increase in fraudulant ads on Zillow®, Trulia®, Realtor.com®, Craigslist®, HotPads® and others to find the weak and desperate. They give an awesome story about how they are looking for just the right person to rent their home and they don't trust using traditional sources to get the home rented. They say they don't list with a Realtor®, to save you money. In your desperation, these all sound good. Their stories are very compelling. They say to send the deposit money and they will mail you the keys. These homes are usually beautiful homes at amazing prices. Being desperate, you take a chance and mail the money. The human vultures swoops in and grabs the cash.   

It is becoming more and more important to use the services of a Realtor® when renting a home.

A good Realtor® will work day and night, 7 days a week, looking for a home for you and your family. They will spend countless hours searching and investigating the property to make sure it is legitimately for rent and if it is in foreclosure, explain what laws protect you when the property forecloses. A good Realtor® will do all this at no cost to you. They just ask that when you find the perfect home, you respect them and their time by using them to secure it for you. 

Curtis Rudolph Realtor®
813.240.6054 cell/text
Realty Direct Tampa
http://www.CurtisRudolphRealtor.com
http://curtisrudolphrealtor.blogspot.com/
http://www.facebook.com/SouthTampaLuxuryProperties
http://twitter.com/Curtis_Realtor

Rental bidding wars? Has Tampa bay rentals gone mad?

Renters beware! Is the Tampa rental market out of control?
I just had a bad experience and thought I would share my experience in hopes that you gain some knowledge of dishonest landlords.
On TV, the Realtor® gets a verbal agreement from the potential buyer or tenant, then walks out of the room to call to negotiate on your behalf. Like on TV, it's verbal first, than written. 
I and a client successfully agreed on a rental home in Tampa. We accepted the listing price and terms as stated on the MLS. The potential landlord accepted our application fee from my client and she left to go home and start making all the moving arrangements. 
The following afternoon, I called the landlord to check the status of our application. The landlord said they accepted another offer. Shocked, I asked if my client was declined, which they said no. They just chose another offer. I asked if the other offer was different, in any way, since we agreed to accept the property with no contingencies on price, condition or terms. They replied no. 
Knowing my client would be upset, I asked the potential landlord if the other agreement was written, which they said no. 
I called my client and advised that she did not get the home and that they are not dealing with us honestly. My client really wanted the home and pushed the rent up another $1800 per year! I strongly discouraged the re-offer since it was above market and the landlord was already dealing dishonestly. However, it is my fiduciary duty to represent my client and so I did as requested. At 9pm I spoke with the landlord asking to reconsider our offer and that my client was willing to raise the rent by $150 per month but only if it were signed the next morning. The potential landlord agreed. 
The following day, I was notified by the potential landlord that the other party matched the price and was willing to sign a two year lease. 
I convinced my client to walk. A crook is a crook. If they agree to something, then disagree without any conscience, what will be the protocol in the night, when there is an emergency?
Had this landlord stated they were entertaining other offers from the beginning, this would have had a different outcome. 
The Tampa bay rental market is tight, but never is dishonesty a solution to adjusting rental rates to meet demand.
Keep it legal and honest. Hire a Realtor®! 
Buying, selling or renting? Give me a call!

Curtis Rudolph Realtor®
813.240.6054 cell/text
Realty Direct Tampa
http://www.CurtisRudolphRealtor.com/
http://www.facebook.com/SouthTampaLuxuryProperties
http://twitter.com/Curtis_Realtor

Congress trying to making the right move, squashes the little guy again!

It looks like congress has decided to let the mortgage deficiency tax benefit expire December 31, 2013. I believe there's a lot of strategic short sales happening out there. 
Unless congress chooses to reenact this tax forgiveness, I expect that many short sales being offered now will get pulled from the market and considerably less will surface in the month's to come. 
Unfortunately, the greatest pain will be felt by the poor and naive. This segment of the market has taken such a beating and this is a kick in the crotch while they are on the ground. This expiration will only benefit the wealthy and not increase tax revenue. 
The only way congress can capitalize on this action would be to enact a law that states that the buyer that is capitalizing on the seller loss, be responsible for the deficiency in taxes of the seller. This way, the seller is out of the obligation and the buyer still got a great deal!
As real estate professionals, we need to get the word out to educate everyone considering short sales or any other method used to get out of debt. Advise them to seek a tax consultant, before signing any contracts. 
For some, I know there are no other options. But for those taking advantage of those by coaching this activity, shame on you! Be a public servant and have mercy on these less fortunate's. Offer every option available to minimize the deficiency.

Thank you!
Curtis Rudolph Realtor®
813.240.6054 cell/text
Realty Direct Tampa
http://www.CurtisRudolphRealtor.com
http://curtisrudolphrealtor.blogspot.com/
http://www.facebook.com/SouthTampaLuxuryProperties
http://twitter.com/Curtis_Realtor

Is Zillow® like The Roadrunner and Wile E. Coyote?

Zillow® is an amazing real estate tool! It is user friendly, it is extremely informational, it is easy on the eyes, and there appears to be an infinite number of listings. But, I've always wondered why Zillow® listings are so jacked up. Zillow® has so many listings that are non-existent, expired, rented or sold. Is it Zillow's® fault?

I believe I may have found the answer. These listings may be The Roadrunner and if you are looking, you are Wile E Coyote!

A couple days ago I received a group of condo's to check out on behalf of my client. We have been working together on finding he, his wife and son the perfect condo for a couple month's, and it's down to decision time. He sent me about 18 addresses he found on Zillow®. Most we had already seen before and I had some in his maybe file, but a couple were new and only on Zillow®.

After going over his list of condo's for rent, I noticed something. About half were on Zillow® only. The other half were on both Zillow® and the MLS®. I also noticed, 8 out of 10 Zillow® only listings, were listed with a Realtor®, yet I couldn't find them on the MLS®. There was 2 listed by the owners of the properties and not with a Realtor®.

I wondered why 8 were on Zillow® with a Realtor® and why they were not on the MLS® too?

I researched the Zillow® only listings first. What I noticed is the 8 condo's that were on Zillow® and not on the MLS® were either expired, rented or sold. The 2 listings by the owners and all the MLS® listings, were truly available for lease. 

So you say, "Whatever, they just didn't get removed yet". Great answer! Seems logical, but some of them were "just listed"! 

Is Zillow's® computers randomly doing this to make Zillow® look like a larger data base?

Which of these 2 causes are most logical? 

1. Computers make up data 

2. People sometimes input data incorrectly.

If you choose #1, please turn off your computer. You don't deserve to own one! 

Let's consider #2. After completing a rental or sale, could someone accidentally input the entire listing over again by accident? If you say yes, please turn off your computer. You don't deserve one! 

So, why would there be so many freshly posted listings put into the Zillow® system that are expired, leased or sold?

                         I'll use a quote from Rush Limbaugh. "Follow the money".

The MLS® system is heavily regulated. The data must be entered correctly and timely. If an error is discovered or a property goes under contract, the MLS® has this very strict protocol. If an error is found or change in status is needed, and it is not corrected extremely fast, the listing agent will receive a fine. If the request is not followed, or it happens several times, the Realtor® could loose access to the MLS®

Zillow® has you check a box that says you agree that the listing is real and does not have such strict adherence requirements.

Consider, if you owned a property and you sold it, wouldn't you want to remove the listing, so that you wouldn't have to keep answering the phone and explaining it's sold? Would a real estate agent feel the same way?

Earlier I mentioned, some of these sold, expired or leased listings were "just listed"! Is it just a coincidence, that these "just listed" listings were at popular condo's and priced below market too?

I'm not pointing any fingers, but I feel that Zillow® might be being used for the classic "bait and switch"! For a real estate agent, this may be considered acceptable. But for a Realtor®, this is forbidden. We are to hold to a set of standards that rise above this deceptive practice and hold to the highest standard of integrity. 

This situation is causing consumer anxiety. Buyers come to me exasperated, saying they just keep missing the greatest deal. The "greatest deal" was the Roadrunner and you are Wile E. Coyote! Wile E. never gets the bird. Quit being Wile E. Coyote! Hire a Realtor®!

If you are in the market to buy, lease or sell a property, seek the help of a Realtor® like me!

Let's get to work!

Curtis Rudolph Realtor®

www.CurtisRudolphRealtor.com

www.Facebook.com/SouthTampaLuxuryProperties

Realty Direct Tampa