Phone: 954.707.6252 & 954.363.1115
Email: info@billyandalix.com

Category : US Real Estate Market

Sotheby’s International Realty Recognized as 2017 America’s Most Trusted Residential Real Estate Brokerage

Sothebys Most Trusted

Sotheby’s International Realty ranks number ONE, the highest in trust among residential real estate brokerage brands in United States according to Lifestory Research, America’s Most Trusted® 2017 Residential Real Estate Brokerage Brand Study released today. Sotheby’s International Realty is the best luxury real estate brand founded in 1976 by the Sotheby’s Auction House.

The study, based on 6,299 consumer surveys, tracks how trust impacts the evaluations of residential real estate brokerage brands by home shoppers. Lifestory Research tracks the largest residential real estate brokerage brands in this ongoing study. The brands included in the ranking list are based upon those brands most recognized by consumers.

Trust is measured through the Lifestory Research Net Trust Quotient Score in which each brand is evaluated in regards to trust by those shopping for a new home. An index score of 100 is average for all brands included in the study.

As the 2017 Lifestory Research America’s Most Trusted® Residential Real Estate Brokerage Brand, Sotheby’s International Realty produced the highest Net Trust Quotient Score being number ONE, followed in order by (2) Berkshire Hathaway Home Services, (3) Better Homes and Gardens Real Estate, (4) ReMax, (5) Keller Williams Realty, (6) Prudential Real Estate, (7) Century 21, (8) Realty One Group, (9) Coldwell Banker, and (10) ERA.

America’s Most Trusted®, in its fifth year, is a designation awarded to brands that garner the trust among those they serve. Awards are based upon the collection and evaluation of thousands of consumer opinions. Product categories included in the 2017 research program include: home builders, active adult resort home builders, faucets, HVAC systems, kitchen appliance brands, laundry appliance brands, paint, and residential real estate brokerages. Trust is measured through a Net Trust Quotient Score in which brands are divided into three categories: “advocates,” customers who feel a significant trust toward the brand; “neutrals,” those who trust a specific brand, but do not see a specific brand as standing on the shoulders of other brands; and “antagonists,” who are skeptics with little, if any, trust in a specific brand.

Source: Visit www.lifestoryresearch.com for index scores and study details.

Forbes Magazine named Fort Lauderdale one of the Best buy cities in 2016

Ft Lauderdale Best Buy

 

If you are looking to buy a home in 2016, Fort Lauderdale might be the right place to buy.

Forbes Magazine released its 2016 list of Best Buy Cities and Fort Lauderdale came as number seven (7) of the top twenty.

Real Estate reporter with Forbes wrote: “Each of our Best Buy Cities boasts healthy job growth, strong population growth, and anticipated home price appreciation.”

With a 20 percent home price growth forecast over the next three years, 3.2 percent annual jobs growth (contributing to Fort Lauderdale also being named one of the best cities to find a job in 2016), and 4.5 percent three-year population growth rate, buying a home in Fort Lauderdale known as the Venice of America could be a good idea.

With twenty cities on the list, Florida, proved to be providing buyers good value. The six other cities were Orlando (No. 2), Cape Coral (No. 10), North Port (No. 12), Tampa (No. 14), Jacksonville (No. 18) and West Palm Beach (No. 19).

With an economy that has stabilized and in the process of growing, Fort Lauderdale becomes one of the favorite places for vacation, retirees and a desirable place to live.

Florida still Top Destination for International Buyers!

Flarida Still Top for Buyers NAR

According to the National Association of Realtors and their 2015 Profile of Home Buying Activity of International Clients, in 2014, U.S. foreign homebuyers purchased fewer properties year-to-year, but they spent 13 percent more money on the transactions they chose.

“In 2014, sales transaction to buyers outside of the U.S. dropped 10 percent, possibly due to the strengthening of the U.S. dollar in relation to international currencies and weakening foreign economies,” says NAR Chief Economist Lawrence Yun. “However, the amount of money spent has increased. This means international purchasers in the U.S. have become an upscale group of buyers, spending more money on fewer homes.”

Florida continues to lead the U.S. in total unit sales to foreign buyers, but its numbers dropped a bit in 2014, according to NAR. One in five foreign buyers (21 percent) bought a home in Florida, compared to 23 percent one year earlier. The number is down from a 2011 peak of 31 percent.

The change, in part, results from a change in the makeup of foreign buyers. While Canadians tend to favor the Sunshine State, the weak Canadian dollar has made Florida purchases relatively more expensive for them. In addition, Chinese demand has skyrocketed, though the Chinese tend to pick locations along the Pacific Coast.

In 2014, five countries accounted for 51 percent of all purchases by international buyers: China, Canada, Mexico, India and the United Kingdom.

For the first time, buyers from China exceeded all other countries in terms of units purchased and dollar volume, buying an estimated $28.6 billion worth of property. Buyers from Canada followed with $11.2 billion in purchases, followed by India with $7.9 billion, Mexico with $4.9 billion and the U.K. with $3.8 billion

For the period of April 2014 through March 2015, total international sales were estimated at $104 billion, compared to the previous year’s estimate of $92.2 billion – 8 percent of the total U.S. existing-home sales dollar volume.

International buyers tend to purchase more expensive properties with the average purchase price being $499,600, compared to the overall U.S. average house price of $255,600. Chinese buyers typically purchased the most expensive properties, at an average price of $831,800.

Thirty-five percent of Realtors reported working with an international client in 2014, up from 28 percent in 2013.

About 46 percent of reported international transactions were intended for primary residences, 20 percent for residential rentals, and 26 percent for investment rentals, vacation homes or both. Global buyers also purchased properties for commercial rentals and as residences for children studying in U.S. educational institutions. Indian buyers were the most likely to purchase a primary residence (79 percent), while Canadian buyers were most likely to purchase property as a vacation home (47 percent).

While Florida remains the top destination for international buyers, California comes in second with a 16 percent share, Texas with 8 percent and Arizona with 5 percent.

The majority of international purchases (55 percent) were made with all-cash, compared to about 25 percent of all purchases made by domestic buyers. Mortgage financing tends to be an issue for non-resident international clients because of a lack of a U.S. based credit history or Social Security number, difficulties in documenting mortgage requirements, and financial profiles that can be different from those normally submitted to financial institutions by domestic residents.

“Realtors who have completed NAR’s Certified International Property Specialist designation have obtained specialized training and are best prepared to help clients with the unique challenges of being an international property buyer,” says NAR President Chris Polychron.

NAR has posted the free 2015 Profile of Home Buying Activity of International Clients on its website.

Article provided by the National Association of Realtors

The Global Luxury Residential Real Estate Report 2015

The Global Wealth 2015

Nearly US$3 trillion of the world’s private wealth is held in owner-occupied residential properties, a value greater than the GDP of India, a new report by Wealth-X and the Sotheby’s International Realty® brand released last week.

There are 211,275 ultra high net worth (UHNW) individuals – defined as those with US$30 million and above in net assets – in the world and 79% of them own two or more residences.

Some of the main hubs for luxury residential real estate are New York City, London and Hong Kong, but niche locations – such as Lugano, the Hamptons outside New York City, and rural areas around the world – are gaining in popularity.

The Wealth-X and Sotheby’s International Realty Global Luxury Residential Real Estate Report forecasts that the ongoing shift in the wealth creation cycle from the West to the East, and the growing significance of intergenerational wealth transfers will have significant consequences on the luxury residential real estate market – with a noted emphasis on new developments and a change in investment grade cities.

Below are other key findings from the inaugural report:

·       The value of UHNW-owned residential real estate assets increased by 8% globally in 2014.

·       On average, UHNW individuals own 2.7 owner-occupied residences.

·       As of 2014, over 7% of the world’s UHNW population made their wealth through real estate, up from 5% in 2013.

·       Ultra affluent women value real estate assets more than their male counterparts, holding 16% of the net worth in such assets, on average, compared to less than 10% for men.

·       Luxury residential real estate is an asset class typically favored by UHNW individuals with inherited wealth: these individuals hold 17% of their net worth in such assets, compared to just under 9% for self-made UHNW individuals.

·       UHNW individuals with net worth between US$30 million and US$50 million typically keep their primary residences for over 15 years and their secondary residences for over 10 years.

·       Billionaires change one of their four properties, on average, once every three years.

·       Secondary residences are typically 45% more valuable than primary residences; twice the square footage and have 10 acres of land.

·       At 83%, Monaco has the highest density of foreign-owned UHNW residences.

·       Over 6% of the world’s UHNW population have relocated their primary residence to a different country from which they were born – these individuals often keep a secondary residence in their home countries, and India is the leading country in this respect.

To read and download the full report click on Global Luxury Residential Real Estate Report 2015

Chinese a buying investment culture in the US

In recent studies Realtors® reported purchases from 68 countries, 5 of them outstanding historically; Canada (23 percent), China (12 percent), Mexico (8 percent), India (5 percent) and the United Kingdom (5 percent). These five countries had approximately 53 percent of transactions, with Canada and China the fastest growing sources over the years.

Canadian buyers were reported to purchase properties with a median price of $183,000, with the majority purchased in Florida, Arizona and California. Chinese buyers tended to purchase property in the upper price ranges with a median price of $425,000 and typically in California making their culture to be the one buying the highest average home in between international buyers in the US. Sixty-two percent of Mexican buyers purchased property in California and Texas, with a median price of $156,250.

International buyers tend to decide on a location based on the proximity to the home country. presence of relatives and friends, availability of job and education opportunities, and the climate,”

Foreign buyers continue to have a substantial interest in U.S. properties. Over a five year time frame more than 70 percent of Realtors® reported a constant or increasing level in the number of international clients contacting them.

Florida a Top Estate recognized internationally

Five states made up 61 percent of reported purchases; with Florida being recognized as the number one (23 percent),  and then followed by California (17 percent), Arizona (9 percent), Texas (9 percent) and New York (3 percent) by international buyers.

Florida continues to benefit from the strong presence of international buyers. Florida’s drop in market share on a national level does not mean international activity is declining in the state, particularly in areas like Miami and South Florida, where international activity surged in 2012 despite a similar national decrease.

About half of foreign buyers preferred to purchase in a suburban area, while a quarter preferred a more central city/urban area. A majority purchased a detached single-family home and 63 percent used all-cash. Based on the reported international transactions, the mean and median prices of purchases were higher when compared to purchase prices of domestic buyers. For the 12 months ending March 2013 the median international home price was $275,862 and for domestic buyers it was $179,867. The types of homes purchased by international buyers frequently tended to be different from the types of homes purchased by domestic U.S. buyers. International buyers are more likely to be substantially wealthier and looking for a property in a specialized niche.

Vacation Rental Performance Stays Strong

HomeAway Inc., an online marketplace for vacation rentals, says it saw strong performance for its vacation rental owners during the summer season.

The company’s summer report finds the average occupancy rate for vacation rentals at 77 percent for vacation rental owners who consider summer their peak season. These owners reported an average weekly rental rate of $1,778 ($254 per night) – a 19 percent increase over the same time period in 2012.

For the second consecutive year, nearly nine in 10 vacation rental owners (86 percent) report their summer business was about the same or better than last summer. And 95 percent of vacation rental owners said they did not lower their rental rates from last summer – 23 percent increased their rental rates.

One of the top concerns of vacation homeowners prior to opening their homes to travelers includes concern of losing money on the endeavor (23 percent). But the survey found that more than half (51 percent) of the owners who have a mortgage on their vacation rental home were able to cover at least three quarters of their mortgage payment – an increase of six percent year-over-year. Additionally, nearly three-quarters (70 percent) cover at least half of their mortgage payment – an increase of six percent over last year.

Prior to renting, vacation rental owners (35 percent) also worry about managing the home as a rental along with a full-time job or family obligations. The survey found that vacation rental owners spend an average of 8.4 hours per week marketing and managing their vacation rental properties.

“If the owner optimizes the time and effort put into managing their vacation rental, the return on investment is substantial,” says Brian Sharples, co-founder and chief executive officer of HomeAway.

Thirty-nine percent of owners originally purchased their vacation home for personal use. Nearly two-thirds of owners (66 percent) spent up to 28 days in their vacation rental in the past twelve months, and 76 percent cite personal or work reasons for not being able to spend more time in their vacation rental – not guest bookings.

Another 15 percent of owners classify their vacation rental as a future retirement home. The average age in which owners purchased their vacation homes was 48 years old – six years younger than owners in 2012 – and the average age in which owners began renting their vacation homes was 50 years old – also six years less than owners in 2012.

Source: http://www.floridarealtors.org

Vacation Rentals performance stay strong!

HomeAway Inc., an online marketplace for vacation rentals, says it saw strong performance for its vacation rental owners during the summer season.

The company’s summer report finds the average occupancy rate for vacation rentals at 77 percent for vacation rental owners who consider summer their peak season. These owners reported an average weekly rental rate of $1,778 ($254 per night) – a 19 percent increase over the same time period in 2012.

For the second consecutive year, nearly nine in 10 vacation rental owners (86 percent) report their summer business was about the same or better than last summer. And 95 percent of vacation rental owners said they did not lower their rental rates from last summer – 23 percent increased their rental rates.

One of the top concerns of vacation homeowners prior to opening their homes to travelers includes concern of losing money on the endeavor (23 percent). But the survey found that more than half (51 percent) of the owners who have a mortgage on their vacation rental home were able to cover at least three quarters of their mortgage payment – an increase of six percent year-over-year. Additionally, nearly three-quarters (70 percent) cover at least half of their mortgage payment – an increase of six percent over last year.

Prior to renting, vacation rental owners (35 percent) also worry about managing the home as a rental along with a full-time job or family obligations. The survey found that vacation rental owners spend an average of 8.4 hours per week marketing and managing their vacation rental properties.

“If the owner optimizes the time and effort put into managing their vacation rental, the return on investment is substantial,” says Brian Sharples, co-founder and chief executive officer of HomeAway.

Thirty-nine percent of owners originally purchased their vacation home for personal use. Nearly two-thirds of owners (66 percent) spent up to 28 days in their vacation rental in the past twelve months, and 76 percent cite personal or work reasons for not being able to spend more time in their vacation rental – not guest bookings.

Another 15 percent of owners classify their vacation rental as a future retirement home. The average age in which owners purchased their vacation homes was 48 years old – six years younger than owners in 2012 – and the average age in which owners began renting their vacation homes was 50 years old – also six years less than owners in 2012.

Florida’s Housing Market Shows Momentum in 1Q 2013

Florida’s housing market gained strength in first quarter 2013 with increased closed sales, more pending sales, higher median prices and a reduced supply of homes for sale compared to the same quarter in 2012, according to the latest housing data released by Florida Realtors®.

“The first three months of 2013 demonstrate that Florida’s housing market is gaining momentum and continuing to bolster the state’s economy,” said 2013 Florida Realtors President Dean Asher. “There are more jobs created in Florida during the first trimester of 2013, and our population is also growing –which provide a solid foundation for growth in the housing market. It’s taking less time to sell a home there is tight inventory, which shows buyers are eager to lock in historically low mortgage interest rates and take advantage of favorable, but rising prices.”

In Q1 2013, the midpoint of the number of days it took for a property to sell that month was 60 days for both single-family homes and for townhouse-condo properties.

Statewide closed sales of existing single-family homes totaled 48,976 in 1Q 2013, up 10.2 percent compared to Q1 in 2012, according to data from Florida Realtors Industry Data and Analysis department in partnership with local Realtor boards/associations.

A total of 24,655 townhouse-condos units sold statewide in the first quarter of 2012, up 3.2 percent from the first three months of 2012.

According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 3.50 percent for 1Q 2013 down from the previous year’s average of 3.92 percent, according to Freddie Mac.

Information provided by Florida Realtor’s Org.

Home Prices Surge by Double-Digit Rates

According to the latest data from CoreLogic’s housing report; Home values are in the rise, increasing by the largest year-over-year amount since March 2006,. Home prices, including distressed sales, rose 10.5 percent in March year-over-year. It marked the 13th consecutive month for home-price increases, CoreLogic reported.

When excluding distressed sales, home prices rose 10.7 percent in March year-over-year in CoreLogic’s index.  By comparison, the National Association of REALTORS®’ median price for all housing types in its March existing-home sales index was 11.8 percent higher than it was March 2012.

“Home prices continue to rise at a double-digit rate in March” says Anand Nallathambi, president and CEO of CoreLogic. “Much of the price increases we are seeing are the result of rising demand among investors and home buyers for a still-limited supply of homes for sale.”