Let’s look at Pre-Hurricane Milton Housing Demand. We are writing this article before Hurricane Milton hits, so we apologize in advance to all those who are affected. We’re praying everyone makes it safe on the other side.

Pre-Hurricane Milton Housing Demand

Before the hurricane hit, housing has been soft with 6,269 single family homes currently on the MLS. We have 1,450 total pending homes which includes both pending and pending contingent. Buyers have been soft citing higher rates, waiting for the election, high insurance costs, etc. This is all indication buyers are less motivated because they have no fear of missing out.

After the Storm

We expect less homes to be on the market next week as some will suffer damage from the storm. If storm surge projections hold true, more home will receive damage than what Helene brought a few weeks ago.

In past hurricanes, a few things happened. First, less homes were on the market because some were damaged. It took people months or years to get their home back to sellable condition. Secondly, many displaced hurricane victims bought another home because their home was damaged. This took inventory down even further.

Damaged Field

There is a field in MLS regarding whether the home is damaged from the storm. I suspect we may be using that field again, so when searching make sure you know how to search on that field. This is something we can setup for you at www.LeeCountyOnline.com. Just e-mail us and ask us as it’s not a standard field available to the public.

New Flood Disclosure

Effective October 1 homeowners must now disclose previous flooding events.  The disclosure requires sellers to provide potential buyers with a form that details (if Applicable) any insurance claims the seller made for flood damage, as well as any federal assistance received for those claims.

Buyers want to know the cost of homeowners insurance, flood insurance, and the history of damages. This new disclosure will answer many questions buyers already have. I have a feeling many sellers will have to update this form if we see significant storm surge in the area.

Work With a Professional

 Who you hire matters. This is true on the selling side, and the buying side. A good agent can make sure you’re asking the right questions and seeking a bigger picture. More information is better if it doesn’t become analysis paralysis. Your agent should be able to help you sort out all the data so you can make a good decision for your family.

 

Let our family help your family! Always Call the Ellis Team at Keller Williams Realty  239-489-4042 You can get your home’s value online at www.SWFLhomevalues.com as well.

 

Be sure to keep up with the SW Florida Real Estate Market at our Blog. Blog.topagent.com Not only will you get today’s market stats and news, but you can also go back in time and see the news and stats from previous years. It’s always fun to see what was happening back when you last bought or sold a property and look it up.

Buckle up, stay safe, and remember to call the Ellis Team with your real estate questions. We’re here to help!

Today we want to provide a creative financing scam update to our May story “Creative Financing Red Flag Alert”.

Since May creative financing offers have increased in frequency, and they’ve become more creative. Additionally, after presenting their offer the callers have become more tenacious and downright combative with the listing agent.

More Creative

Since we wrote about how the “Subject To” can violate your lenders Due on Sale Clause, investors have changed the way they present their offers. One investor is hyping their offer as no risk because it is not “Subject To” at all but rather wrapping the mortgage to give the seller full protection. Whether you wrap a mortgage or not, it still may violate the original terms of the loan.

Furthermore, a seller is still reliant on the investor making the payment. If the investor does not make the payment, the seller may have no recourse to get their home back and be obligated to make the full payment of the loan. In a wrap-around mortgage, it’s possible for recourse to be created, but a seller might have to go through a lengthy legal process all the while mortgage payments need to be made. If the investor placed a tenant, the seller would have to abide by those terms as well.

Legal Advice

We would highly recommend a seller speak with an attorney before accepting any kind of creative financing offer. If they tell you you’re off the hook when you sell to them, look harder. Accepting a creative financing offer may prevent you from purchasing another home because you still have a loan in your name. They don’t tell you that, or they sometimes mislead about this fact.

The Ellis Team is looking into adding language into the listing agreement such that we have authority to reject creative financing offers for our sellers.

Agents Beware

These investor groups are so skilled and convincing that we’re afraid inexperienced agents, and perhaps some experienced agents may fall for some of the claims made over the phone, and in emails.

We have had sellers call their attorney and their lender. In each case, they were told not to engage in the offer before them.

I’ve even had investors point out that it is my duty to present all offers, and question why I wouldn’t want what is best for the seller?

Creative Financing Scam Update

As a service to the community, I will post screenshots of the written correspondence on our Blog. I invite attorneys and lenders to comment on the language. I will take out the address of the property and the names of the sender. It is our hope that you will begin to get a feel for what is happening out there. Please seek your own legal advice. We are not attorneys and are not offering legal advice in any way. We are simply informing you about a topic you might want to investigate before taking action should this happen to you.

Considering Selling?

Please call Brett Ellis or Sande Ellis 239-310-6500 at Keller Williams Realty. We can answer your questions and guide you through the real estate maze. Changes are everywhere, and you need an experienced agent to guide you through the process. Or get your home’s value for Free at www.SWFLhomevalues.com

Good luck, and Happy Selling!

Creative Financing Ehibits to View

The following are actual emails or offers we’ve received for you to view. We have blamked out who sent them and the property to protect privacy.

Creative Financing Exhbit 1

Creative Financing Exhibit 2

Creative Financing Exhibit 3

Creative Financing Exhibit 4

Creative Financing Exhibit 5

If for any reason you cannot open these links, leave a comment and I will find another way to share them. We are using Google Drive to share, but not sure if we can share outside of our organization