Naples Real Estate Update

Like any commodity, a home's value will follow supply and demand trends.

Our current MLS inventory in Naples for active residential listings has hovered at 12,000 for several months. Competition is abundant and many buyers are waiting for prices to fall even more. Investors, for the most part, are out of the market, thereby making ours a user-driven market with price being the # 1 consideration when offers are being negotiated. Even if Naples stays on track with approximately the same number of sales this year as 2007, we have a 3 year absorption rate.

Last year MLS reported a total of 3,903 closed residential sales, down from 4,516 in 2006. There were a total of 8,859 closings in 2005 following a record of 8,995 in 2004. (I can track this back further if you are interested)...

Probably the best barometer for determining what is happening NOW in any real estate market is pending sales (actual written business). Year to date in Naples, per the MLS, we have had 1572 listings pended as compared to 1539 in 2007. Up slightly. Each neighborhood should be focused on individually, as statistics vary in certain price points and communities...even absorption rates can vary widely from neighborhood to neighborhood. Please call or email us today for details on any specific property, we are happy to be of assistance and look forward to earning your business and referrals!

239-370-0574 (direct) or harris-peppe@naplesrealestate.com

Excellence is a Habit

"We are what we repeatedly do.

Excellence, then, is not an act, but a habit."

Aristotle

Chip Harris & Michele Peppe are proud to announce that recently at their annual awards banquet, they were awarded the distinction of being named the top listing and selling agents at the prestigious Coldwell Banker Previews office on Fifth Avenue South in Naples for 2008. They were also named as one of the top 10 agents for Coldwell Banker in the region, as well as in the top 100 of all agents statewide!

"Chip and I believe our success can be credited to a number of factors; but mostly it is our commitment to hard work, integrity and customer service. Our market knowledge is stems from our 40+ years of experience selling the Naples' lifestyle...and we want to put this experience to work for you! Please call us today."

While past results may not be the only measure of success, for The Harris-Peppe Team, excellence has become a habit!

Spring Cleaning!

Whether your house is listed or not, these following tips are recommmended for your annual Spring Cleaning!

• Clean sliding doors and tracks & lubricate tracks if needed
• Pull out and wash behind appliances
• Thoroughly clean stove, oven and refrigerator
• Wash blinds, shutters, dry clean drapes if needed
• Clean all cabinet doors, interior & exterior
• Wash and reorganize all drawer interiors
• Wash inside and out of all windows
• Pull out and vacuum under all furniture and beds
• Clean all interior room access doors, closet doors and louvre doors
• Organize linen closets
• Empty and sanitize under bathroom vanities
• Determine if any painting or corrective maintenence is needed such as screens repaired or replaced, decks pressure cleaned, regrouting and sealing, etc.
• Porch furniture cleaned
• Plant spring flowers

Remember, this is not your normal routine cleaning...this is the getting down to the "nitty-gritty' cleaning! So, roll up your sleves, open your windows wide to let the fresh air in, play your favorite tunes and have a Happy Spring!

Portability and Homestead information

For those of you interested in information concerning portability, the additional homestead exemption or other benefits of Amendment 1, please check out the Department of Revenue's website: http://dor.myflorida.com/dor/property/sb4d.html The portability application and other pertinent forms can be found at the DOR site!

Pulling out all the stops!

The stock market is up...interest rates are down...The Feds want you to start spending money! They significantly cut rates for the sixth time since September yesterday! They're pulling out all the stops to boost consumer and Wall Street confidence. While rate cuts sound good, people looking at buying real estate need to prepare for what may happen. Fed cuts directly effect the falling dollar...Fed cuts are inflationary. Oil prices are up, gold prices are up. As a result, mortgage rates inevitably go up because mortgage rates are based on fixed income investments, long term bonds and mortgage backed securities. If you are looking to buy a home and get financing, please consider this: Home prices have to fall over 10% on average to make back what you lose in monthly payments if the mortgage rate increases just 1%. There are some great housing buys out there right now! Real Estate is a LOCAL market, and it always has been! Written business in Naples was up in February. According to The Naples Area Board of Realtors statistics, pending contracts rose 10.6% last month, breaking a 28 month downward trend! The best barometer for determining the current temperature in any housing market is pending sales! Stop reading national publications that report real estate with a broad stroke. Instead, let's take a good hard look at what is for sale in Naples and take advantage of the amazing opportunities out there!

Foreign National Loans

We have had a lot of inquiries from foreigners regarding financing options, so I thought it would make a good blog topic today. Depending on the borrower; if they have the equity on their primary home (in Canada, South America, Europe, etc.) many may choose to get the monies out of that residence then pay cash for their U.S. purchase. However, if they are seeking "local" financing the following is a recap provided to me by our in-house lender, Sunbelt Lending Services:

• Down payments starting at 25%
• Loan amounts from $50,000 to $2 million
• No American credit necessary
• Full Income documentation AND Stated Income documentation programs available
• Fixed and adjustable rate programs available
• Interest only payments available as well

Other pertinent information which I believe to be helpful:

• Most loans have a pre-payment penalty~usually 3 years
• Loan Limits and Loan to Value limits based on: Property type, Program type, Purchase versus refinance and Loan amount
• All borrowers must supply proper identification: Visa, passport & drivers license
• Most loans require 6 months of reserves deposited into a U.S. bank account prior to closing and authorization for withdrawal

*Obviously all programs are subject to change without prior notice. This is being provided for informational purposes only. For additional information please contact Kelly Rebimbas at 239-273-5239 (direct).

With the strength of our foreign buyer's dollar and the wonderful selection of properties in Naples currently on the market, there has NEVER been a better time to buy real estate than NOW! Log onto our website today to view our fabulous listings http://www.naplesrealestate.com/

Brand new ~ Dock Included

For nearly 27 years now, at this time of year, I have spent most of my Sunday afternoons sitting at open houses. I've met a lot of really wonderful people, sat at a lot of really beautiful properties, and sold a lot of real estate...Today is no different. I am at a condo called The Azzurro in an area of Naples called Oyster Bay. Just about a mile from downtown Naples and within walking distance to all the new Naples Bay Resort amenities...this is an area that is undergoing some positive changes. Many of the older homes and condos are coming down, making way for the newer, safer, more eye appealing residences that take their place. Unlike Olde Naples, the Royal Harbor area "tear downs" aren't quaint and charming...they are mostly 70's vintage ranches without a lot of personality. So, for the most part, I think all the neighbors are pretty happy when a newer building is put in the place of an older dwelling.



The developer of The Azzurro did a nice job getting 6 spacious condos on this southern exposure lot. The pool and deck area is huge, the landscaping is lovely. Each residence includes a 2 car garage and a 26' boat dock...and you are just minutes from Naples Bay! You have direct access to The Gulf of Mexico (no bridges) and a straight shot down the bay to the intercoastal waterway which, within just a few minutes, takes you to the 10,000 islands and some of the most pristine fishing waters in the world.



This is a special condo with fabulous appointments just waiting for 4 more buyers (2 of the 6 condos are already sold) to call The Azzurro home! I believe this to be one of the very best new construction waterfront values in Naples this season! Please call me today for a private showing: 239-250-4370. Thank you and have a happy Sunday!

The World according to Trump

With so many buyers out there reluctant to make decisions...and so many of our foreign friends listening to the negative media hype even tho' their "dollar" is the strongest it has been, when measured against American currency, in years...I came across an ad in the March 2008 Florida Realtor magazine that I felt was worth sharing:

"The World according to Trump:

With so many variables in the marketplace making it impossible to predict, the right time to buy premium real estate is always now.

Never put your life on hold- not for anything.

The worst decision you can make is not making one at all."

The Best Time to Buy is ALWAYS Now!

It has been a very interesting (tongue in cheek) week in the world of real estate. First, I had a couple looking at attached villas and carriage homes in gated communities in the north end of town. They were very specific in outlining to me their "wish list". I planned on it taking at least 3 trips out looking at condos before they would be clear on where they would end up mainly because I qualified that they didn't want to look at more than 5 to 6 condos in any one day. I had arranged a lovely rental for them through a past customer (normally I do not handle rentals). They were referred to me by an out of town agent who was familiar with our (The Harris-Peppe Team) success and work ethic -- After our 2nd outing I was pleasantly surprised to get a call from them informing me that they were ready to make an offer on one of the properties they saw the day before. The offer was approximately 20% below the already reduced price and considerably less than the last closed sale. Well, as it happened the seller accepted their offer! Probably a prudent decision based on the number of listings on the market in that area, the price point plus the fact that it is nearing the end of February and I'm sure the seller thought it best to sell at a discount as opossed to holding the property until next "season". I bet you can't imagine what happens next? Right! The BUYER has a change of heart. It seems after sleeping on it, he (the wife still wants the place) doesn't want to go home and confess to friends and family that he bought a place in Florida anticipating the responses from all that he should have waited until prices come down some more! Now, mind you, he's not planning on selling the place any time soon, so even another 5 or 10 percent decrease would not effect his purchase other then the fact that now he's on his way home (I hear the wife took another flight) to the bitter cold, and like his friends, he also doesn't own a winter retreat in paradise! Just a few days later I received an offer on a listing that had just been reduced signifigantly to encourage offers. The seller's initial response to the offer was to counter. I strongly urged them to consider the offer because the terms (cash, no contingencies, quick closing) were excellent and currently there were about a dozen homes for sale in their neighborhood and only one under contract. I spoke with the other agent who informed me it was a firm offer as they had two other properties they were considering, but they would give the seller overnight to decide. By the time I called the seller back they had decided to accept the offer (which again, by the way, was approximately 20% off the already reduced asking price)! By the time I called the other agent back, the BUYER changed their mind and recinded their offer! Ahhh! No kidding, in 27 years of selling real estate in Naples I've never had 2 different buyers back out of contracts in such a short period of time. It's a bit epidemic. In truth, the smart buyers ARE making decisions (and sticking with them). The smart buyers don't care what their friends back home will say (afterall, they know it's those very same friends who will be the first to arrive on their doorstep next season), The smart buyers are out today lounging around the pool at their new condo (it's about 88 degrees outside right now--a nice breeze--perfect)..or they're at the Art Show in Cambier Park...or they're having lunch at a sidewalk cafe' downtown, or maybe even out picking out furniture and paint colors. All I can say is they're a much happier bunch then the buyers going home afraid they'll overpay! Guess they never hear the old adage, "The Best Time to Buy is ALWAYS Now!"

Front row seats!

Imagine yourself in these front row seats...Stunning bay views of magnificent sunsets, dolphins jumping, yachts cruising by, pelicans and eagles soaring over pristine waters...

This is where your dreams will come true! Call The Harris-Peppe Team to preview this rarely available and one-of-a kind bayfront residence. Beautifully redone; this multi-level 3 bedroom 3 bath townhouse is tastefully furnished and INCLUDES a 30' deeded dock with direct access to the Gulf of Mexico, a 2 car garage and private bayside deck! The top floor romantic master suite has a private balcony with wet bar, microwave and refrigerator. Video Tour Call today, you won't be disappointed! The "best seats in the house" are waiting just for you!

239-370-0574

Florida Homestead Information

Florida Homestead

Every person who owns a dwelling in the state of Florida and who resides in that dwelling and in good faith makes it their permanent residence is eligible for homestead exemption. Once exemption is granted, a reduction of $50,000. is deducted from the assessed value of the dwelling. To qualify you must be a permanent resident of Florida as of January 1st in the year you apply. You must have legal and equitable title to the property and reside in the property as your primary residence as of January 1st. The law does not allow new homestead applications to be filed prior to January 1st of the year the exemption is effected. However, property owners who are not eligible for the current year, but who will be eligible for the following year, may pre-file for the exemption any time after March 1st. New applications for the current year must be made in person prior to March 1st. This is done at the Property Appraiser's office or at any office designated by the Property Appraiser. Only one Homestead Exemption is allowed per "family unit". If you are applying for this exemption you would not be entitled to receive it if you or your spouse are receiving residency-based exemptions in another state. The following items are required as proof of legal residence:

1. Evidence of ownership (deed, tax receipt, etc.)
2. Social security numbers of all owners
3. Voter Registration (if you vote) dated prior to January 1st
4. Florida Driver's license dated prior to January 1st
5. Florida Vehicle Registration dated prior to January 1st
6. If not a U.S. citizen, a resident alien "green" card
7. If your property is held in a trust, a complete copy of the trust agreement
8. If your property is a mobile home, the real property decal number and copy of the registration or title to the mobile home.

For more information about homestead log onto the Collier County Appraiser's website at: http://www.collierappraiser.com/MainHomestead.asp

or call a member of The Harris-Peppe Team today at 239-370-0574

Thank you, and make it a great day,

The Naples Real Estate Blogger

From "Good To Great" in 2008

Our company had their "season" kick off breakfast this morning and unveiled some very exciting new marketing campaigns (Good to Great in '08), enhanced eMarketing strategies, presentations by our lending and title partners, plus state and local statistics from 2007 that I wanted to share on the blog!

U.S. Real Estate Statistics

• 1 out of every 16 households bought a home in 2007.
• 2007 was the 6th highest # of sales in U.S. history.

Florida Statistics and other Interesting Information

• Market share for Coldwell Banker increased 21.5% state-wide.
• 1 out of 3 of the homes listed by Coldwell Banker sold in the first 30 days of the listing. After 30 days, those with reductions were twice as likely to sell.
• Over 50% of the Coldwell Banker agents had an increase in business in 2007 over 2006.
• 47% of Coldwell Banker agents worked with an international home buyer in the last 6 months of 2007. 36% of Foreign Buyer's in 2007 came from Germany, 28% from the UK, 13% from Canada and 8% from South America.
• The median sold price for single-family homes increased by 52.5% over the past 5 years.

Naples Statistics

• Median sold prices from January 2005 to January 2006 decreased 4%.
• Median sold prices from January 2006 to January 2007 decreased 5%.
• Median sold prices from January 2007 to December 2007 decreased 15%
• Coldwell Banker closed unit sales was up 21% 2006 vs. 2007.

For additional information about closed sales in specific neighborhoods, call a member of The Harris-Peppe Team today. We are happy to assist you in making informed decisions...Let's all go from "good to great" in 2008!!

New Valet Service Downtown Naples!

Great news! Starting January 18th you can experience Fifth Avenue South like never before! Enjoy gourmet restaurants, world class shopping, galleries and live theater all without the hassle of finding a parking spot! On Friday and Saturday nights from 5:00 PM - midnight there will be two valet stations; one located on Fifth Street South just north of Fifth Avenue South and one on 8th Street South just north of Fifth Avenue South. The cost to valet will be $5.00. There will also be a free trolley service with six stops along Fifth Avenue South from 3:00 PM - 11:00 PM on Fridays and Saturdays! Don't forget while you are downtown enjoying the sights and sounds to stop by The Coldwell Banker Previews office at 550 Fifth Avenue South to say hi to The Harris-Peppe Team! Hope to see you soon!

Vote 'Yes' on 1

Real Tax Cuts for Real People. Click on this link to see a video: http://yeson1florida.com/video_gallery.php Please call me if you have any questions or comments about this very important amendment. Thanks! Michele Peppe 239-262-7131 ext. 139

Florida School Rankings!

An article in the National Association of Realtors News & Events today announced that Florida public schools ranked 14th nationally with an overall grade of C+ on a report card issued by Education Weekly magazine. Much of the credit for Florida's finish, which was up from 31st last year, goes to high marks for its teaching profession and system of standards, assessment and accountability. The "B" that Florida received for its teaching profession gave the state a 4th place nationally in that category!

If you are interested in finding out how the schools here in Naples (Collier County) rank, please visit our website, NaplesRealEstate.com and find "School Information" on the menu bar!

Remember, you may be a retiree looking to buy a second home in Naples and wonder why a school ranking would effect your decision...Good schools are important to ensure the quality of life in a community!

For additional information about schools in Collier County and homes in different school zones, contact a member of The Harris Peppe Team Today!

Thank you and make it a great day,

The Naples Real Estate Blogger

More Good News!

Are we going to let the negative media hype control our destiny? I prefer to concentrate on the strengths that exist in today's market when speaking to my sellers and buyers? Below are some recent, positive quotes about the real estate market: In his 2008 outlook, Laurence Yun, chief economist for the National Association of Realtors points out that this year will be a year of opportunity...One of the biggest mistakes that reporters make is talking about national trends. Nationally 2007 was the Fifth Best year ever on record! "2008 represents the best window that buyers will have to find excellent deals along with excellent financing." Walter Updegrave, CNN Money said last month, "Buyers: Don't try to time the market...Assuming you can figure out the ideal time to buy- that is, when prices have not only hit a trough, but are on the verge of rebounding...the best time may have already passed. An article in "Spotting Market Bottoms in 2008, Strategies for Home Sellers" reads, "with the value of the U.S. dollar low and real estate prices dropping, it isn't hard to imagine foreigners taking bigger positions in properties here as part of their overall portfolios." Rates Fall on the first economic report of 2008 according to Holden Lewis of BankRate.com on January 3rd, 2008. The benchmark 30 year fixed rate mortgage fell to 6.14 % according to BankRate.com, a national survey of large lenders. The 15 year fixed rate fell to 5.76% , the 1 year adjustable fell to 6.1% and the 30 year jumbo, for mortgages over $417,000 fell to 7.2% Now really is a good time to buy!

Florida's Property Tax-Reform Plan

I've been getting a lot of calls from my customers and past clients asking me to explain to them the upcoming Tax-Reform bill which will be on the ballot later this month...Briefly, here's my understanding of the benefits:

• The Homestead Exemption will be doubled from $25,000. to $50,000. But, the 2nd $25,000. exemption will not reduce local school tax collections.
• The Save Our Homes (SOH) Cap of 3% will be preserved and will provide for portability. This will allow a homesteader to "move up" to a higher priced home (higher than their current home based on the tax appraiser's "Just Value assessment") and take their SOH savings on with them for a maximum of $500,000. For homesteaders moving to a less expensive home, the plan will allow them to take a portion of their SOH savings. (There are formulas for these examples which I would be happy to provide). The portability provision will be retroactive to January 1st, 2007.
• The plan also approves a proposal that provides an assessment cap similar to the SOH cap to second home owners of non-homesteaded properties and commercial properties. The cap is set at 10% and represents a huge precedent for a state to provide tax assessment caps on second homes, investment properties and commercial property owners!
• Lastly, the plan includes a $25,000 exemption for taxes businesses pay on equipment and other personal property.

I hope this helps...I will be attending a seminar on January 17th which is being sponsored by the Naples Chamber of Commerce and the Naples Area Board of Realtors. If I learn anything new, I promise to share it! In the meantime, it would be my recommendation for you to vote YES!

More Good News

I'm back in the office today for my first real, full day "on the job" in the new year...I like being here...working from home, prospecting, previewing listings...all productive use of time, but being here at the office today has been great. Everyone seems to be so optimistic. There's a good vibe in the air at Coldwell Banker Fifth Avenue South! That's one of the nice things about the new year...a clean slate...a promise of tomorrow! There are some positive signs indicating that Florida, specifically Southwest Florida, is moving in the right direction with regard to property values and projected sales. We can thank, in part, demographics and economic trends. Current prices have either stabilized or are continuing to decrease, but I believe we will see an upturn in the real estate market here in Naples in the 2nd half of 2008...Look, it's my job to be optimistic, but let me share a few findings I noted recently that help back up my optimism... First of all, for the third year in a row Florida metro areas dominated the Milken Institute-Greenstreet Partners "2007 Best Performing Cities Index". They reportedly look at 1-5 year job growth as well as other factors. Ocala led the list, the Naples-Marco Island area was # 6. This index includes the top 200 largest metro areas in the U.S. Also, job growth in health care, education and government; the driving force of Florida Gulf Coast University, all must be considered. These all point to long term demographics which will have a positive impact on our area in spite of the recent downward trend in construction. Florida has been one of the country's 10 fastest growing states for each of the past seven decades! Lastly, Naples will continue to lure retirees who are looking for warm weather and the best health care...playing golf in February, a healthy lifestyle. Combine all of this with the strong Euro and Canadian dollar, historically low interest rates and our excellent inventory, and I am certain we are in for a great "season"! It's cold up north right now, I'm betting on the pent up demand and the palm trees blowing in the breeze just outside my window being in my favor when the day is done...More Good News coming soon!

Deal or No Deal!

How many times have you watched that crazy game show only to witness a contestant turn down a couple of hundred thousand dollars with the hope of the million, only to end up with less than half? ...or less? ...much less... Welcome to the world of real estate Howie! Okay, let me put it to you this way, if I handed you a $20 dollar bill today, would you take it? Or...would you hold out for the possibility of getting 30 bucks a year from now? That may sound too simple, but real estate negotiations don't have to be complicated...All offers are good offers! Work it! Let's get the job done and start putting buyers and sellers together. There are a lot of really good deals to be made out there! I've never seen such an awesome inventory in all my 26+ years of selling the Naples' lifestyle. Call or email us today and let us show you some of these spectacular opportunities!

It's a great time to buy real estate!

2008 is really going to be a great time to buy real estate. There are several indisputable factors that support this opinion. First of all, I can't remember the last time there's been the kind of selection that today's buyers have. Regardless what a buyer's price range, there are so many wonderful homes and condos from which to choose. Write a "wish list", chances are there won't be much compromising! You also don't have to wonder if you'll be getting into a "bidding war"...rarely is there any competitive bidding going on...it's you and the seller. Another nice thing about today's real estate market, you can take your time...no one is going to make a buyer feel rushed today...The sellers are patient, the real estate agents are patient, aaahhhh... Did you notice when we were all in a selling frenzy, sellers didn't have to "fix" anything? Well, today's sellers are more open to offers with inspection requests. Financing is going through its own metamorphysis...the day of "zero" down, no documentation loans that will adjust in a couple of years based on the sub-prime are gone. But, back are the good old-fashioned, hard to argue with, fixed rate mortgages! Finally, what I think is very relevant in our area; there are very few, if any, investors! We are back to being a "user-driven" market. So come on buyers...you're not afraid to make decisions when you're chasing the market up...trust me, these prices won't stay down forever.

New Year's Resolution 2008

Okay, so I've already blown my one and only new year's resolution...On New Year's Eve I vowed to write in my real estate blog every day, not once every 90 days, AH! beginning January 1st...Anyway, it's the 2nd...so, I'll just start today, right? Making resolutions is relatively easy...Join a gym, go on a diet, manage money better, etc etc etc, but actually following through, now that's when it gets tricky! I have a folder 3 inches thick filled with "blog-intentions": newspaper articles, magazine clippings and lengthy hand written blog entries which just never got from the folder to blogspot...Most of these daily-bloggers must have nothing better to do, yes? With a full time job, a husband, 7 kids, 7 grandkids, a mom living nearby (no mom, you do not make me feel guilty), volunteering, babysitting, etc etc etc...I am just not sure when to actually pencil in "Blog time"...So, here goes, I am publicly making the commitment to blog. I am a little nervous, I must admit. The perfectionist in me must let go of trying to make each entry a masterpiece...Who cares really? I can only hope that enough people will actually read it...add to it...comment on it...help me to see things from a different perspective...agree with me...disagree with me...connect with me...want to do business with me... Sooooo, Happy New Year everyone. Here's to a wonderful year in the real estate business in beautiful Naples Florida. Amen

Time waits for no man

I just got a wonderful email from a past customer who bought and closed on their vacation home from The HARRIS-PEPPE Team here in Naples Florida about six (6) months ago. In addition to referring another buyer to us, she added "...We are very happy with our home away from home and even with the still falling real estate values we have no regrets of not waiting. We have had so much fun and already have made so many memories that no amount of money can buy...tell your clients, TIME WAITS FOR NO MAN! DO IT TODAY! TOMORROW MAY BE TOO LATE! NOW IS THE TIME TO BUY!" Buyers need to heed her unsolicited advice...NOW really is an amazing time to buy. There are so many amazing opportunities out there just waiting for the right buyer to come along! The long term strengths of our market far outweigh the negative...