Clermont Real Estate Listing – 11303 CYPRESS SHORE CT
You will fall in love with this 3/2.5 home the minute you step inside. Beautiful floor plan that welcomes you home to vaulted ceilings a double sided fire place, plantation shutters, BRAND NEW CARPETING AND SO MUCH MORE. Large kitchen offers 42″ cabinets, island, all appliances and more. Master suite is great size with large closet, double sinks, garden tub and separate shower. Floor plan offers formal living, dining, breakfast area and family room. This home is situated on a corner lot and has room for a pool as well. Come live in the prestigious gated community of Susan’s Landing with Chain Of Lakes Access. This home is available for quick closing and is move-in ready. Come see it today!
Top Predictions For Clermont Real Estate
Although we are already over half a month in to the new year, there is still plenty of time to make new predictions for what 2014 will bring to the real estate market. As 2013 ended in ramped up fashion, it seems that the momentum and shift in the economy is carrying over drastically to the beginning of 2014. What the year will bring is still uncertain, but here are the top 4 predictions for Clermont Real Estate for the upcoming year.
Economic Growth Will Increase Dramatically
Growth over the past few years has been steady at 3.1 percent, but the previous Q3 rate of 4.1 percent shows that we are moving forward in to the upcoming year. Consumers are increasing their spending habits and nearly $1 trillion of real estate debt has been paid off. As real estate interest rates remain low in comparison to years past, debt is now the lowest level in over 30 years. What we are seeing now is a confidence in consumer buying as disposable income becomes more relevant each day that passes by. Of these main economic sectors though, those that will play a huge part in the economy are:
Technology
Energy
Agriculture
Housing
As these four markets start to increase, so will the economic growth rate. Look for higher consumer spending and of course, higher confidence in spending as well.
Interest Rates Will Continue To Rise
Before anything else is said, everyone knows that the whole Clermont real estate interest rates will increase quote has been very dominant in our society for over half a year now. Anyone who can read a paper or an internet article can notice that interest rates are going to keep going up. What they don’t know is that although they are increasing, this is a great sign for our economy. The higher the rates, the higher our economic stability. No one truthfully wants to pay 4.5% on any interest rate, but in comparison to where they were in previous years, this is still quite minimal of a purchase. Rates will more than likely continue to stay around this range until 2015 as the Federal Reserve will slowly taper away their purchasing of bonds. With that being said though, real estate rates are looking to increase once again.
New Construction Will Remain Low (ish)
Even as 2013 came to an end, we did see multiple new real estate properties being built around the metroplex. With that being said though, the amount that we saw is still drastically lower than before the market collapsed. 2013, 2011 and 2012 were all tied for the weakest years for new construction since the late 1970s. What this means for the amount of inventory on the market currently is that the “sellers” market we are experiencing right now may last through out the year. Although this may change drastically around the summer months as it did last year, in the sense that values spiked, we are currently thinking that what we have on the market and pre-built will remain what is available.
Look for another great year in Clermont Real Estate as the market continues to thrive forward. 2013 left us wanting more, and 2014 looks to deliver on those promises!
Real Estate In Clermont Increased Substantially Year Over Year
The amount that the mortgage rates have increased over the past few years are a signal that the market is back on the rise. We are still at relatively low interest rates on properties around the United States, but as the values rise, so do the implications put on to the buyers. Clermont real estate is starting to notice that rising interest rates are starting to push away potential buyers once they are set and ready to sell.
Now if you look back to what mortgage rates were in the 80′s, 90′s, and early 2000′s, these rates of 4.29% are still nothing to even bat an eye at, but the numbers never lie. Take a look at what a new property in Clermont could look like in the figure shown above. Let’s say a Clermont real estate property is set to sell at $244500 with a 4.29% interest rate. In comparison to what it was just a year prior, we are looking at a difference of $207.92 per month. Now this is definitely news that you may want to study as the amount of increase on a monthly basis is going up almost daily as the mortgage rates start to move forward as well.
What we have come to love about real estate in Clermont though is that you can not live in the past. Once you live in the past, the future will take over and the amount that you could have purchased for will always rise. In some cases as we saw in 2007/2008, the price can substantially dip. In the current time frame though, now seems as just a good enough time to purchase or sell as all major real estate sources point to a positive and productive 2014. Look for an increase in interest rates and an increase in prices as well. What can be amazing news for those looking to sell is just another opportunity for those of us looking to purchase right now before the rates and prices rise again.
The Mortgage Debt Relief Act
Sadly, the Mortgage Debt Relief Act, which allowed short-sale sellers to escape tax on forgiven debt, was set to expire on December 31, 2013. This means that property owners selling their homes after January 1st, with a forgiven deficiency, or owners who modify their loans with a principal reduction, may face having to pay income tax on the amount of the forgiven debt, at their ordinary income rate. For example, if a seller’s home has a $300,000 mortgage, and the bank nets only $150,000 at the short sale, the homeowner will receive a 1099 for $150,000, and be expected to pay income tax on that amount as if it were actual income earned! For earners in the 20% effective bracket, that would be $30,000. Obviously, most folks needing short sale relief cannot afford $30,000 in tax debt!!! The expiration of the tax forgiveness is bad for our economy. Faced with that kind of IRS debt, many homeowners will decide to just stay in the home and “ride out” foreclosure, which will cost the banks more, net the banks less, and drive property values in the wrong direction by increasing foreclosure rates. Fortunately, there are still avenues available for short-sale sellers facing this tax. Taxpayers who are considered “insolvent” by the IRS, meaning they owe more than they own (considering all liabilities and assets) REGARDLESS of income, do not have to pay the debt.
Consider the following scenario: John Taxpayer makes $125,000 per year. He owes $24,000 in credit card debt, $29,000 in school loan debt, $34,000 in car loan debt, and $300,000 on his upside-down house. His assets are the upside-down home valued at $150,000, a car valued at $32,000, and an IRA valued at $75,000. In this example John Taxpayer has $387,000 in debt, but only $257,000 in assets, so even though he earns a high wage he will not be required to pay the tax on the forgiven debt.
Of course, bankrupt debtors do not have to pay the tax on the forgiven debt, either, and for some bankrupt debtors a short sale of their property may still be in their best interests.
If you have any questions on this issue, or any other, please do not hesitate to contact us at 352-455-0137. If you need any legal counsel concerning your situation, Merideth Nagel, PA is a great resource with lots of experience. You may call her office as well at 352-394-8158.
(This information was provided by Merideth Nagel, PA)
Mathison-Klein Group 