Foreign investors have been investing in Florida real estate quite heavily these days because there are so many good investment opportunities.  Chinese investors, Canadians and other foreign nationals have been taking advantage of the affordable rental properties and vacation home opportunities Florida has to offer.  Florida real estate is some of the most desirable real estate in the world so it is no surprise that foreigners, retirees, snow birds and tourists want to enjoy Florida’s gorgeous beaches, participate in the numerous water sports, play golf at the world class championship golf courses, enjoy fine dining, do upscale shopping and visit tourists attractions such as Disney World.

Why Invest?

Here are just some of the benefits of owning investment real estate in Florida:

• Investment property gives you a long-term asset that appreciates in value so you can build equity and long term wealth.
• Investing in Florida real estate is a stable investment as opposed to investing in a volatile stock market.
• You receive income from renting out your property.  There are many choices of properties ranging from single-family to multi-family dwellings, apartment buildings and other commercial real estate opportunities.
• Owning rental properties gives you the flexibility of doing whatever you want with the property while enjoying the use of it as well.  If you want to use the property as a vacation home part of the year, you can rent it out for rest of the year or seasonally.  There is a high demand for seasonal rentals especially properties located in golf communities, retirement communities and near the ocean. Seasonal rentals bring a higher amount of money, but for a shorter term.
• Foreign investors have the opportunity to buy more for their money than if they invest in their own country.
• Working with a local Realtor is the best way to locate rental property or vacation homes that meet your criteria.  Your Realtor can help you prepare and negotiate your offer, keep track of contract contingency deadlines, refer you to vendors and co-ordinate your closing.

U.S Income Taxes

Foreign nationals are subject to paying U.S. income taxes on your rental income.  There is a flat rate tax of 30% on all sources of U.S. income. However, if your income is considered “effectively connected income” (income connected to a U.S. business or trade) then after deductions, you only pay a graduated tax the same as resident aliens and U.S. citizens.

Foreign investors are also required to pay capital gains taxes at the time you sell your investment property if you receive a gain.  The U.S. government also requires all closing agents withhold taxes in the amount of 10% of the sale proceeds when the sale is over $300,000, even if there is no gain under the FIRPTA tax laws.  There is an exemption to the withholding taxes if your buyer is purchasing your property as their primary residence.  There are also inheritance taxes due at the time of your death if you own U.S. real estate.  To avoid double taxes, there are double tax treaty exemptions that you should discuss with your tax advisor or attorney.

Right now is definitely a good time for foreign investors to invest in Florida rental properties and luxury vacation homes because prices are so affordable in all areas and there is a wide variety of properties to choose from.  Also, your money buys you more than in your own country.  If you are looking for a safe and long term investment opportunity, purchasing Florida real estate is a smart choice.

Looking to buy or sell your home in Dunedin Florida? Let me help! My name is Lisa Earl Wilson. I am a Realtor with Bremer-Bjurquist Realtors serving Dunedin for over 30 years. Craig Bjurquist, my broker, and I along with the extremely knowledgeable and wonderful associates will work to make your real estate transaction smooth and hassle free. For a free market analysis or to have custom home searches sent directly to you, contact me or visit http://www.LisaEarlWilson.com.

Florida has many short sale opportunities for investors/buyers to consider.  The combination of declining property values and the economy has resulted in financial hardships for many property owners in Florida and throughout the country.  As a result, owners are upside on their mortgages, in default and facing foreclosure.   To avoid foreclosure, the owner and the lender agree to allow the owner to sell the property at or below market value. The lender must approve the sale because the lender has to write off the difference between the sale proceeds and what the owner owes on their mortgage balance.

Many owners, Realtors and buyers have had bad experiences with short sales because they have been taking so long to get approved.  Buyers/investors get tired of waiting and end up walking away from the deals.  Because there is such a high fallout rate, Realtors have avoided showing short sale properties to buyers/investors.  Owners have had to start all over with a new buyer, wasting valuable time and some owners have lost their properties to foreclosure.

Government Pressures Helping to Speed up Short Sale Process

The short sale process is all changing for the better now that the government has put pressure on the lenders and loan servicers to participate in short sales and to speed up the process.  For owner occupied properties, the government’s has designed the HAFA program which gives lenders and owners monetary incentives to participate and close a short sale.  Lenders are required to approve or disapprove the sale within 10 days after receipt and review of the purchase and sale contract.  Most major lenders are participating in the HAFA program.

For investment and second home property owners, lenders have also designed programs to help these owners participate in a short sale.  Lenders have become more flexible in approving short sales because they realize that it’s a better alternative to foreclosure for all parties.  It saves the lender and the owner time and money.  Short sales are great investment opportunities for buyers/investors because you get to purchase a property with built in equity.

What You Should Be Aware of When Purchasing a Short Sale?

There are some things you should be aware of when purchasing a short sale such as:

• Short sales need the seller’s  lender’s approval before the transaction can close
• They can take 3-6 months or longer to get approval, unless the owner and the lender are participating in the government’s HAFA program referred to above.
• Short sales are overall in better condition than properties that have already gone through the foreclosure process because either the owner still resides at the property or there is a tenant.
• Properties are sold in an “as is” condition so you need to do inspections to make sure you are aware of the property condition.
• Most short sales require all cash buyers because the seller and the lender want to make sure that the buyer is going to be able to close quickly.
• There is no guarantee that the lender will approve the transaction.

There are many luxury properties available that are being sold as short sales as well as lower end properties. You can pretty much find any type of property in most neighborhoods at all price ranges.  Your Realtor can help you find a short sale property.  If you have the time and patience, a short sale is one of the best investment opportunities you can make when purchasing Florida real estate.

Looking to buy or sell your home in Dunedin Florida? Let me help! My name is Lisa Earl Wilson. I am a Realtor with Bremer-Bjurquist Realtors serving Dunedin for over 30 years. Craig Bjurquist, my broker, and I along with the extremely knowledgeable and wonderful associates will work to make your real estate transaction smooth and hassle free. For a free market analysis or to have custom home searches sent directly to you, contact me or visit http://www.LisaEarlWilson.com.

Florida real estate is some of the most prime real estate that you will find anywhere in the country.  Many people from other states and other countries purchase Florida real estate as second homes, vacation homes and retirement properties.  Since Florida does not have any state income taxes, and a very mild climate, many people decide to reside and retire here.

What to Be Aware Of

When you buy property in Florida, you should be aware of the following issues:

Transfer Taxes

There are documentary transfer taxes on the deed when you buy property of approximately .70 cents per hundred (.60 per hundred in Miami-Dade).  Custom dictates whether the buyer or the seller pays the documentary transfer taxes.  Buyers pay .35 cents per hundred on written obligations such as mortgages and promissory notes.

Florida Homestead

Florida homestead exemptions for Florida full-time residents exempts your home from the first $50,000 of assessed value. The first $25,000 applies to all property taxes, including school district taxes.  The additional $25,000 exemption applies to the assessed value of your home between $50,000 and $75,000 and to non-school taxes.  Low income seniors 65 or over can take advantage of an additional exemption of up to $50,000 depending on what county they reside in and their income level.  You must apply for your homestead exemption by March 1 of each year and have purchased a property by January 1 of that year.  Otherwise, your exemption will not go into effect until the following year.

Property Taxes

Save our Homes property tax reduction applies to property values only and limits annual increases in assessed value of homestead property to 3% or inflation, whichever is lower. Florida property taxes are complicated so don’t assume that your taxes will be the same as the previous owner’s taxes.  When a Florida home is sold, the new owner is assessed on the current fair market value and that goes into effect approximately a year after the new owner purchases the home at the time they receive their homestead exemption. The ad valorem tax is based on the value of real and tangible personal property each year as January 1. Property tax bills are mailed in November based upon the previous January 1 valuation and are delinquent starting April 1.  There are discounts if you pay early. To determine your taxes, you should call the county tax assessor’s office.

Homeowners Insurance

Homeowners insurance can be expensive because of hurricanes.  You should get a quote from at least three insurance agencies. Homes built after 1994 were constructed under tougher building standard codes and are easier to obtain insurance.  Also, find out from your Realtor or insurance agent if your home is located in a flood zone.  You will need to purchase a separate policy covering losses from flood waters.  Floods from canals and rivers can be an issue so you should drive around the area to find out where the canals and rivers are located in proximity to your home.

Homeowner Associations

Many communities in Florida are governed by homeowner associations. There are country club communities, 55+ retirement communities,  condo and townhouse communities each offering a resort style living with many amenities including golf, tennis, swimming pools, exercise facilities, entertainment and much more.   Country club communities require membership fees and annual dues in addition to association dues, while 55+ property owners generally only pay homeowners dues.   Most associations have rules regarding renting your property, pets and other restrictions. The other information you need to find out is if the association is solvent, and if there are any assessments.  Because there have been so many foreclosures and short sales the past few years, many homeowner associations are nearly broke or have gone broke because delinquent homeowners have not been paying their dues.  As part of your due diligence, you are entitled to receive a copy of the homeowner association rules and other documents, including their financial information.  You don’t want to purchase a home in a community that is broke and constantly raising your dues or assessing you for repairs and maintenance.

Mold

Because of the hot and humid climate in Florida, many properties are candidates for mold from leaky roofs and plumbing problems. Have your home inspected for mold if you suspect that it may have any mold problems.  Your Realtor can recommend a mold inspector.

Chinese Drywall

A shortage of drywall during the years 2004-2006 caused U.S. builders to purchase drywall from China. It has been discovered that the drywall was defective and dangerous because it corrodes air conditioning and electrical components, causes you to cough, irritates your sinuses, eyes and throat.  When it combines with moisture in the air, it creates sulfuric acid. Several of the home builders have sued the company Knauf and Taishan because of the drywall issue and another Chinese drywall maker, Taishan Gypsum, has also been implicated.   Homes affected with Chinese Drywall give off an odor like rotten eggs.  You should have your home tested for Chinese Drywall if it was built between 2004-2006 or if your home inspector advises you the home may have Chinese Drywall.  Chinese Drywall is very expensive to fix, insurance companies do not cover it, and many people have had to move out of their homes because of health issues and because they cannot afford to fix it.

Florida is a Great Place to Live

Owning property in Florida gives you the opportunity to take advantage of the beautiful weather and outdoor living and activities that Florida has to offer.  There are many tourist attractions, great shopping, outstanding restaurants, world class golf and tennis facilities and numerous water sports including boating, fishing, scuba diving and snorkeling.  Florida truly offers something for everyone.

Looking to buy or sell your home in Dunedin Florida? Let me help! My name is Lisa Earl Wilson. I am a Realtor with Bremer-Bjurquist Realtors serving Dunedin for over 30 years. Craig Bjurquist, my broker, and I along with the extremely knowledgeable and wonderful associates will work to make your real estate transaction smooth and hassle free. For a free market analysis or to have custom home searches sent directly to you, contact me or visit http://www.LisaEarlWilson.com.

Summer is here! Summer is here! Well, summer may not have arrived yet in most parts of the country, but it has here in Florida! I have the tan and sunburned nose to prove it. We Floridians are more than ready for the warm weather after our unusually cold winter, that’s for sure.

The hardest part about living in Dunedin, Florida (for me, anyway) is that I have a really hard time staying inside once the warm weather hits. Since the warm weather is here the majority of the year, I guess it’s a good thing that I do what I do! At least being a Realtor allows me a lot of outdoor time. I honestly don’t know how people work regular office jobs here. Although my outdoor time usually consists of showing properties and driving around, occasionally I get to enjoy a different recreational activity, and there’s always something to do in Dunedin.

I had some downtime over the Easter holiday weekend, and I made good use of it. I went kayaking with my youngest son, watched the dolphins play by the seawall, and spent Easter day by the pool with my family. (Hence the tan and sunburned nose! lol ). The wildlife is appreciating the warmer weather too. The osprey are busily building their nests, the egrets are eager to say hello, and the dolphins are playing in the warmer ocean water.

When I get tired of being in the water (ha ha! Like that ever happens), there are always lots of other community activities in Dunedin, Florida. For instance, the month of April starts Friday Night Films in the Park held at Pioneer Park.  The movies are outdoors, free, and start at 8pm every Friday night. Enjoy some old classics such as King Kong, Wuthering Heights, and Breakfast at Tiffany’s while you enjoy the cool evening air. They usually have some light snacks available there to purchase or you can bring your own. I love free movie night. It’s a great place to enjoy some quality time with my husband or some friends.

In May, we celebrate Cinco De Mayo by having a street party. Head downtown for music, free dance lessons, and tons of Mexican cuisine. The best part about the street celebrations in Dunedin, is that just about everyone can walk home. It’s a small enough community that no matter where you live, it shouldn’t be more than a 15-20 minute walk home. Of course, that time is subject to change depending on the amount of celebrating you’ve been doing..lol.

There are many other events held year round here in Dunedin, Florida. I would never be able to list them all. If you’re interested in seeing all the goings on, you can find a complete calendar of events on the city of Dunedin website at www.dunedingov.com. I hope everyone had a wonderful holiday weekend, and I’ll talk to you soon!

Looking to buy or sell your home in Dunedin Florida? Let me help! My name is Lisa Earl Wilson. I am a Realtor with Bremer-Bjurquist Realtors serving Dunedin for over 30 years. Craig Bjurquist, my broker, and I along with the extremely knowledgeable and wonderful associates will work to make your real estate transaction smooth and hassle free. For a free market analysis or to have custom home searches sent directly to you, contact me or visit http://www.LisaEarlWilson.com.

Dunedin (pronounced Du-nee-din), Florida was recently rated by Money Magazine as one of the best places to live in on the water. Known for it’s quaint Scottish charm and small town atmosphere, Dunedin is one of the best little secrets of the Tampa Bay area. Dunedin homes for sale are very much sought after for these reasons and many more.

The best part of Dunedin in my opinion, other than being right on the water, is the historic main street downtown. Lined with shops and restaurants, it’s a great place to spend an afternoon stroll while enjoying our beautiful Florida weather.

Dunedin is centrally located between St. Petersburg and Tampa, Florida. A twenty minute drive to Tampa, it’s close enough to enjoy the big city attractions without living there. Enjoy theme parks like Busch Gardens or catch dinner and a broadway show.

St. Petersburg offers many of it’s own attractions. The numerous museums you can visit include the St. Petersburg Museum of History, Salvador Dali Museum, and the Florida Holocaust Museum. If nature is more your thing, the city also boasts its Sunken Gardens museum, a 100 year old garden in the midst of the city home to some of the oldest tropical plants in the area.  The Pier offers shopping, dining and live music  day and night 365 days a year.

Dunedin homes for sale come in a wide range of choices that will suit anyone’s taste. Alternate 19, which runs right up the coastline, is lined with condos right on the water. Running anywhere from 100k and up, just about anyone can afford to live right on the Gulf of Mexico. Whether you prefer something simple or something more new with all of the modern conveniences, you can find it here in Dunedin.

Also off of Alternate 19 are a few little neighborhoods with single family Dunedin homes for sale ranging from smaller two bedroom bungalows to larger five and six bedroom homes with all of the luxuries you could want, including your own boat docks. These properties are usually right on the Gulf or on intracoastal canals and are properties that are very sought after, especially in today’s market. If you see one of these properties come up for sale, you’d better grab it quick!

Even if you can’t afford to have the home that you want right on the water, Dunedin is full of wonderful neighborhoods that are within a short drive from the Dunedin Causeway and Honeymoon Island.  Whether you’re looking for a 55+ community or a more family oriented neighborhood, with all of the choices in housing in Dunedin, you’ll find something that you’ll love.

Looking to buy or sell your home in Dunedin Florida? Let me help! My name is Lisa Earl Wilson. I am a Realtor with Bremer-Bjurquist Realtors serving Dunedin for over 30 years. Craig Bjurquist, my broker, and I along with the extremely knowledgeable and wonderful associates will work to make your real estate transaction smooth and hassle free. For a free market analysis or to have custom home searches sent directly to you, contact me or visit http://www.LisaEarlWilson.com.