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The seemingly endless run of bad housing news is discouraging some potential homebuyers from considering a purchase. But the truth is that the advantages of homeownership have very little to do with investment gains, and a lot to do with personal comfort and satisfaction.

Here are five of them:

• Be your own landlord. The bank can only kick you out if you don’t pay; a landlord can be much less dependable – deciding to sell the property or choosing to live there themselves.

• Paying the principal is forced savings. Yes, it’s possible that home prices will fall further. It is also possible that your 401(k) will lose value. But over the long haul, both are likely to enjoy modest gains in value.

• Fixed-rate mortgages never rise – and eventually you pay them off. With mortgage rates at record lows, people who buy now are locking in real bargains.

• Good schools. Family-sized rentals are harder to come by in areas with excellent public schools.

• Spacious properties in pleasant neighborhoods. Sizable homes in attractive communities are almost always owned – not rented.

TALLAHASSEE, Fla. – Aug. 5, 2010 – The Florida Department of Financial Services (DFS) and the Office of Insurance Regulation (OIR) issued a warning about unauthorized health insurance plans. The plans are sold under different names but backed by Association of Independent Managers (AIM), according to Florida officials.

OIR has issued a Cease and Desist Order to AIM, and preliminary OIR estimates indicate as many as 1,800 Florida consumers have already purchased these bogus health plans.

“Bogus health insurance scams rob consumers of their hard-earned money and also leave them uncovered in the event that medical care is needed,” said CFO Alex Sink, who oversees DFS.”

DFS has received complaints from about 100 consumers. Most notably, AIM recently marketed “AIM Health Plans.” Insurance Resource Group (IRG) is another name associated with AIM Health Plans. Some of the individuals involved with the sale of AIM plans have also participated in the unauthorized sale of health insurance products with other companies including Serve America Assurance and Real Benefits Association.

Other unauthorized plans marketed by AIM are known to include—but are not limited to:

• AIM Health Solutions

• AIM Guaranteed Health Insurance

• “CEO Club Benefits”

• “CEO Health Club Benefits”

• “Chief Executive Officers Club”

• “CEO Health Select”

 AIM is also known to associate with the names of:

• National Association of Business Leaders (NABL)

• Worldwide Family Benefit Association

• Insurance Resource Group (IRG)

• Integrated Insurance Marketing (IIM)

• Phoenix Insurance/Star, U.K./Star Group, U.K.

• Viking Administrators

• Commerce Benefits Group Agency

No entity with these names is currently authorized by the OIR to transact health insurance business in Florida.

Consumers who believe they bought coverage from an unlicensed insurance operation should:

• Call the CFO’s Consumer Helpline at 1-877-MY-FL-CFO (1-877-693-5236) or log on to Consumer Help Online at www.MyFloridaCFO.com.

• Consider closing the bank account or canceling the credit card from which premiums are paid so no unauthorized transactions can occur.

• Replace the unlicensed coverage with coverage from an authorized insurer.

To verify the authorization of an insurance company visit http://www.floir.com. To check on an agent’s license, go to www.MyFloridaCFO.com or call the CFO’s Consumer Helpline at 1-877-MY-FL-CFO (1-877-693-5236).

© 2010 Florida Realtors®

PONTE VEDRA BEACH, Fla. – July 19, 2010 – Under a new Florida law, homeowner association boards can go after renters for association fees when the homeowners fail to pay up.

The law has been attracting attention in Ponte Vedra Beach and elsewhere in the Beaches area because so many housing developments have homeowner associations.

“Associations are hemorrhaging,” said real estate attorney Barry Ansbacher, who represents the Marsh Landing homeowner association in Ponte Vedra Beach. “It’s not an isolated case anymore; there’s nobody that hasn’t been touched by this.”

Property owners are traditionally responsible for paying the fees, usually collected monthly or quarterly, to the associations. The fees are typically used to pay for common area maintenance in a residential development, legal and safety issues and enforcement of the covenants, conditions and restrictions set by the developer.

The law, which took effect July 1, says homeowner associations must notify renters that their payments should be paid directly to the association, not to a landlord who has failed to pay the organization.

Homeowners associations govern a subdivision, condominium or planned community. Some associations have lost thousands of dollars because of non-payment. That negatively impacts the upkeep of the community and future home values, said Anna Marks, president of May Management Services, a property management company in Ponte Vedra Beach.

“Their [associations’] job is to protect the asset of the community; if they can’t do this, then property values go down,” she said. “The associations need to be prepared for when the economy turns.”

Joe Ankiewicz, a senior client accounting manager for May Management, said the issue has been ongoing for about two years.

“There are some communities struggling to pay their bills on a week-to-week basis,” he said. “It’s gotten to the point where the Legislature had to come up with a statute.”

If the tenant is ordered to make a payment to the association, it counts as rent credit. The tenant pays the remaining balance to the landlord. For example, if a lease agreement calls for the renter to pay $600 a month including $100 association fees, traditionally they would have paid the whole amount to the landlord. Now, under the law, the tenant would pay the landlord $500 and the association $100.

When a renter is required to pay the association directly, they should keep a copy of the notice from the association seeking payment, as well as cancelled checks and/or receipts. If the landlord demands the entire $600, the tenant should send them copies of the documents and receipts showing their payments to the association.

“If the landlord files an eviction, it’s very important that the tenant doesn’t sit back and assume the payment to the association will protect them; they need to answer the eviction lawsuit,” Ansbacher said.

Typically, landlords who are not paying their mortgage are also not paying their association dues, officials said. Before people rent from a homeowner, they should seek documents showing that they are up to date on their mortgage payments and association dues.

“A prudent tenant raises the question whether the mortgage and association dues are current before signing the lease,” Ansbacher said.

Janice O’Connell, president of Amelia Mortgage in Nassau County, said delinquent owners can also affect bank financing for future owners looking to buy into the community.

“If the delinquency is more than 15 percent in [association] dues, then you can’t get a loan on the project no matter how great your credit score is,” she said. “This just happened to one of my clients two days ago.”

How much people pay monthly or quarterly depends on the community’s size and amenities, Marks said.

“It’s all over the board,” she said. “It could be low to extremely high.”

Also under the law, a tenant is not required to pay the association more than what they pay in rent. The law helps the tenant if they are doing what they’re supposed to do while the landlord isn’t, officials said.

“This cuts both ways, to avoid the association from having to foreclose the unit if the tenant is in place they can pay,” Ansbacher said.

Ponte Vedra Beaches Coalition member Clara Cowan said it’s about time the Legislature helped struggling associations by giving them some tools to work with. The coalition is a group of homeowner associations.

“Everybody’s struggling right now and that includes [associations],” she said. “Associations have bills to pay. When people don’t pay their bills, they are left in a lurch.”

Many questions about the bill remain unanswered, including whether associations can charge for the notice they issue to tenants and what their rights are if the owner files for bankruptcy, Ansbacher said.

“Any time you have a new law, you have people getting a feel for it,” he said.

If an association isn’t paid, they can file a lien on the house and foreclose on the property.

The bill doesn’t address mortgages, which means that a tenant can still be evicted if the homeowner fails to pay the mortgage holder.

Copyright © 2010 The Florida Times-Union, Jacksonville, Shakaya Andres. Distributed by McClatchy-Tribune Information Services.

House and Senate have approved an extension to the tax credit deadline that was to have expired June 30. This is for contracts that were in place April 30. They now have until Sept 30, to close and receive the $8,000 tax credit.

Government-sponsored mortgage purchaser Fannie Mae is trying to encourage distressed homeowners to find alternatives to foreclosure by banning those who walk away from getting new loans for seven years.

Troubled borrowers who do not try in good faith to work out a deal, but have the capacity to pay, are targeted by the policy announced Wednesday.

“Walking away from a mortgage is bad for borrowers and bad for communities and our approach is meant to deter the disturbing trend toward strategic defaulting,” said Terence Edwards, executive vice president for credit portfolio management.

A strategic default occurs when a homeowner stops making payments on a mortgage despite being able to do so. It has become increasingly common in communities where housing values fell sharply and homeowners are “underwater,” or owe more than their houses are worth.

Fannie Mae said that in locations where the law allows, it also plans to take legal action to recoup outstanding mortgage debt from borrowers who strategically default. The company plans to instruct its servicers to monitor delinquent loans facing foreclosure and recommend cases to pursue for such judgments.

A spokesman for fellow government-backed mortgage buyer Freddie Mac said its current policy requires at least a five-year wait. Freddie Mac will “take a close look” at the new Fannie policy, said spokesman Brad German. “We’ll consider it in light of current market conditions in order to manage our risk as effectively as possible.”

Fannie and Freddie were created by Congress to buy mortgages from lenders and package them into bonds that are resold to investors. Together, they own or guarantee almost 31 million home loans worth about $5.5 trillion. That’s about half of all mortgages.

The wave of foreclosures affecting Fannie and Freddie loans has caused a major problem for the U.S. government, which effectively guarantees the loans.

The government seized control of Freddie and Fannie in September 2008, a rescue that has cost taxpayers $145 billion so far. The two companies show no signs of becoming self-sufficient.

In announcing the new policy, Fannie Mae said homeowners who make a good faith effort to resolve their situation with their mortgage companies, and those who have extenuating circumstances, will be eligible for new loans in a shorter time period. The company did not detail how long the wait might be.

Fannie Mae shares fell 1 cent to close at 41 cents. Fannie Mae shares finished unchanged at 48 cents. Both companies plan to delist their shares from the New York Stock Exchange because they don’t meet listing requirements that they remain above $1 per share

LAUDERDALE, Fla. – June 24, 2010 – Gov. Charlie Crist traveled to South Florida today to ceremonially sign this year’s massive condo bill, SB 1196. The bill, among other things, exempts some elevators from code requirements, revises voting laws for condo associations, and makes changes to loss assessment coverage.

Crist officially signed the bill into law June 1.

About SB 1196

At the beginning of this year’s session of the Florida Legislature, at least 50 bills addressed condo issues – everything from fire sprinkler retrofits to enticing investors in an effort to move excess condo inventory. At the end, a single 103-page bill encompassed many of the reforms: SB 1196 by Sen. Mike Fasano (R- New Port Richey).

The new law includes Florida Realtors-supported “bulk buyer” language that seeks to reduce inventory levels by encouraging investors to purchase blocks of condo units. It’s accomplished, in part, by protecting bulk buyers from some of the liabilities faced by condo developers.

Other provisions in SB 1196

• Lowers the cost of condo-ownership by repealing a requirement that owners purchase individual unit owner insurance coverage.

• Removes the requirement for mandatory retrofits of sprinkler systems in condos over 75 feet high.

• Requires lenders to pay more in past-due assessments on foreclosed properties.

• Allows associations to deny owners or occupants the use of common areas and recreational amenities when the owner is more than 90 days delinquent in paying financial obligations due to the association.

• Allows associations to divert rent paid by a tenant and use it to pay delinquent assessments owed by that unit’s owner.

Mortgage giants Fannie Mae and Freddie Mac have directed servicers to reduce or suspend mortgage payments to those with bad drywall.

Fannie Mae’s policy goes into affect July 1 and give homeowners up to six months of forbearance. Freddie Mac’s new rules take effect immediately and allow homeowners with the bad drywall to take a hiatus from paying or to pay a lower amount for up to a year..

These policies are only for loans owned by Fannie Mae and Freddie Mac. Homeowners can find out if they qualify by contacting their loan servicer.

NEWS FLASH – On June 22, Sun City Center will have an 8th developer in 47 years of operation. Minto Communities, LLC an Ottawa company will close the purchase with WCI Communities on June 22, 2010. It is expected that they will begin model construction in August, 2010 with a formal grand opening planned for November, 2010.

Currently there are approximately 1,400 building lots in SCC half in Kings Point and the balance in the Renaissance community. Minto estimates that they will build 1,000 units total in the already platted areas of Sun City Center and not the 1,400 WCI planned because the density is greater than the company plans to use.

The single family dwellings are expected to range in sq footage between 1,400 and 2,200 and be priced between $180,000 and $300,000. The Kings Point Villas are anticipated to run from $150,000 to $200,000 for homes ranging in size from high 1,300 to 1,700 sq ft.

In Florida Minto is currently building in and around Lakewood Ranch, FishHawk Ranch and Tampa’s Grand Hampton.

Minto estimates build out to be between 2015 and 2018.

We look forward to working alongside Minto Communities to make your home purchase either new or resale a happy and stress free experience.

As Minto Communities makes information available to us we will make it available to you

WASHINGTON – June 15, 2010 – The size of new single-family homes declined again in 2009, dropping to a nationwide average of 2,438 square feet, according to information about new home characteristics released recently by the U.S. Census Bureau (http://www.census.gov/const/www/charindex.html).

For nearly 30 years, the average size of new U.S. homes increased, peaking at 2,521 square feet in 2007. It was essentially flat in 2008 and then dropped, so that new single-family homes were almost 100 square feet smaller in 2009 than in 2007.

“We also saw a decline in the size of new homes when the economy lapsed into recession in the early 1980s,” says National Association of Home Builders (NAHB) Chief Economist David Crowe. “The decline of the early 1980s turned out to be temporary, but this time the decline is related to phenomena such as an increased share of first-time home buyers, a desire to keep energy costs down, smaller amounts of equity in existing homes to roll into the next home, tighter credit standards and less focus on the investment component of buying a home. Many of these tendencies are likely to persist and continue affecting the new home market for an extended period.”

In keeping with their slightly smaller size, new single-family homes completed in 2009 had fewer bedrooms than previously. After increasing for almost 20 years, the proportion of single-family homes with four bedrooms or more topped out at 39 percent in 2005; it was 34 percent last year. The proportion of single-family homes with three bedrooms increased from 49 percent to 53 percent between 2005 and 2009.

New single-family homes completed last year also had fewer bathrooms. The proportion of homes with three or more bathrooms was 24 percent last year, a decline from the peak of 28 percent in both 2007 and 2008. The percentage of single-family homes with two bathrooms increased from 35 to 37 percent last year, and the percentage with 2 or 2 ½ bathrooms was at 31 percent for the third consecutive year. The proportion of single-family homes with 1 or 1½ bathrooms has been below 10 percent for more than a decade.

In 1973, the first year for which the Census Bureau reports characteristics of single-family homes completed, most new single-family homes – 67 percent – had only one story. Twenty-three percent had two or more stories, and 10 percent were split-levels.

The proportion of one-story homes declined steadily for more than three decades, dropping to a low of 43 percent in 2006 and 2007. At the same time, the proportion of single-family homes with two or more stories increased, rising from 23 percent in 1973 to a high of 57 percent in 2006 (split level homes currently account for less than one percent of all single-family homes). Since 2006 the trends have been reversed, as the share of single-family homes with one-story increased to 47 percent last year, while the share with two or more stories dropped to 53 percent.

Regional differences in completed single-family homes

• In 1973, less than half of all new single-family homes completed had air conditioning; in 2009, 88 percent were air conditioned nationwide. Regionally, the proportion ranged from a low of 69 percent in the West to a high of 99 percent in the South. The Northeast and Midwest were at 75 percent and 90 percent, respectively.

• Nationwide, 62 percent of new single-family homes completed in 2009 had two-car garages, and 17 percent had garages for three or more cars. However, there were clear regional differences. Three-car garages were found in only about 11 percent of homes in the Northeast and the South. In the Midwest, 30 percent of all homes had three-car garages, and in the West, 26 percent.

• Regional differences were especially pronounced in the selection of exterior wall material. Nationwide, 34 percent of all single-family homes completed in 2009 homes had vinyl siding, 23 percent were brick, 19 percent were stucco, and 13 percent had fiber cement siding.

• Vinyl siding predominates in the Northeast, where it accounted for 74 percent of the market; wood was a distant second with a 12 percent market share. In the Midwest, vinyl siding accounted for 62 percent of the market while wood and brick were at 15 percent and 11 percent, respectively.

• Brick was the leader in the South, where it was found in 40 percent of new single-family homes. Twenty-eight percent of new homes in the South had vinyl siding and 13 percent had stucco.

• The Census Bureau began reporting statistics on fiber cement siding, which is relatively new to the market, in 2005. It already accounts for 24 percent of the market in the West. Stucco and wood account for 52 percent and 15 percent of the market, respectively, in that region.