Weekend Spotlight on Bern's Steakhouse in Tampa

Living on the Beaches of Tampa Bay, we are continually amazed at the diversity of what we have available to us. Perhaps it is the tri-city combination of Tampa, Clearwater and St, Petersburg... all unique within their own right... that gives us such an advantage.

We have written about many special venues such at our world famous beaches of Ft Desoto and Caledesi Island to the Pinellas Trail to Tarpon Springs Greek Community to the St Petersburg Saturday Market to Gaming... to name a few. So now it is the weekend and time to consider a fine dining experience.

If you are a lover of a fine steak, the award-winning Bern's Steakhouse is always at the top of the list. Currently owned and operated by David Laxer, son of founders Bern and Gert Laxer, Bern's takes their culinary skills and massive wine list to new heights. Located in the SoHo District near Hyde Park in Tampa, Florida, the restaurant was opened in 1956 as Tampa' premier dining experience.

What makes Bern's Steakhouse unique? First, steaks are dry aged five to eight weeks in special aging room (I learned the steaks bought at market are normally wet aged).

Next, the wine cellar is, perhaps, the largest in the world (in 1996, the Wine Spectator rated Bern's in a tie for the best steak house in the United States.)

Or perhaps because all the vegetables are cooked to order from its own 11-acre organic farm. The Cave du Frommage at the restaurant is literally a Cheese Cave "that houses a discriminating selection of artisan cheeses from around the world." They actually have two cheese caves and I would definitely recommend the cheese sampler!

And, of course, the upstairs Harry Waugh Dessert Room, opened in 1978, which features a 65-page menu, to extend guests' experiences and offer sumptuous cheese and pastry pairings with the finest wines, port and liquors.

It all adds up to a remarkable dining experience... and don't forget to take the complimentary tour of the kitchen, wine cellar and cheese cave! WOW!!! There is even a Bern's Steakhouse Cookbook to learn some of Bern's famous recipes at home.

As you explore Tampa Bay and all it has to offer, The PURTEE Team is pleased to help you get to know our surrounding area and why we chose to make it home!

Redington Shores Yacht Club On The Move!

We continue to talk about how quickly the market can change. A few months ago, there were distressed sales available in Harborview Grande in Clearwater Beach. Savvy Buyers who had sat on the fence for months realized the opportunity was NOW. The result? There is nothing available for sale in the complex and there is a waiting list of hungry buyers wishing they had moved quicker.

The other community we watch closely is Redington Shores Yacht & Tennis Club. As a matter of fact, we have a dedicated website for this community because of its uniqueness along the beaches of Tampa Bay. Built in 2007, this gated community combines beautiful waterfront condominiums with private homes. A clubhouse, lighted tennis courts, fitness center, private boat slips and waterfront pool & spa for each of the four condo buildings. Plus, right across the street is a beautiful stretch of white sandy beach!

Redington Shores Yacht & Tennis Club got caught right as the market turned downward. As the owners who had anxiously awaited the grand opening were closing on their condos, appraisals were coming in 15-20% higher than the price they had secured pre-construction. The delight felt by these new owners was short lived and over the past two and a half years they have watched their property slide in value by up to 50%! Of the 126 condos, 6 have fallen into the mid-$300K range as short sales of foreclosures. Lots have been foreclosed on while other homes were still under construction.

So is the value still there? We believe it. As a result of the market downturn, builders and developers abandoned new construction projects quickly. For that reason, there is a major shortage of new construction and because of that projects finished in 2006 and 2007 ARE the new construction. In the last three weeks, we have seen the last of those distressed sales go under contract. The deal that we particularly liked was a penthouse unit listed at $495,000... a full $100,000 more than those distressed sales. It went under contract Monday.

What does this mean to current owners and buyers wanting to get into the community??? The $300's and $400's are gone. At this time, there are 7 of the 2000 sq ft condos and 2 of the 3000 sq ft condos available for sale. The lowest prices? In Building 3, #206 for $529,000 and #304 for $535,000. WHY would a buyer go after those two knowing others had sold for less? Because after those two, the next least expensive is #401 in Building 1 for $599,000! Of the other six on the market, prices range from $600,000 to $829,000.

In advising a Buyer right now who loves the community, I would remind them that these $500's are a full $300,000 less that what they were appraised for in 2007. In each of those situations, the sellers are losing money. The community is still the most unique on the beaches and the construction is new with the high ceilings and stricter building codes. What do you think?

Mortgage Rates At 2010 Low

With mortgage rates near their record low, many experts are advising Buyers to get their mortgage locked in now because these rates are likely to rise.

Based on a Bankrate.com survey of large lenders, the 30-year fixed-rate mortgage fell 4 basis points this week, to 5.11 percent. "The mortgages in this week's survey had an average total of 0.45 discount and origination points. One year ago, the mortgage index was 5.34 percent; four weeks ago, it was 5.15 percent." The 15-year fixed-rate mortgage fell 1 basis point, to 4.51 percent. The 5 Year ARM mortgage fell 5 basis points, to 4.51 percent.

"Mortgage professionals believe rates are poised to jump sharply within a few weeks." The rates are expected to rise because Federal Reserve plans to stop buying mortgage-backed securities by the end of March and many believe the result can be a rise of a full percentage increase in rates within the year!

Over the past year, the Fed has been purchasing up to 4/5th of new mortgage bonds keeping them at these low rates. Once they pull out and private financing has to back these bonds, many believe the rates will have to increase to get the private financing sector to accept the risk. Because of that, some are saying we will see 6% by year's end.

To compare rates and apply for a mortgage online, click here.

Breaking Down The Closing Costs!

As we see the market here along the beaches of Tampa Bay stabilize and begin the slow road to recovery, one thing many Buyers and Sellers are looking at is what to expect at CLOSING. Here are a few things to look for:

In Florida, unlike some other states, we normally use a Title Agency to close the sale of a property. There job is to ensure proper transfer of title and provide Title Insurance for the Buyer. The Seller normally pays for this Title Insurance and it averages around a half a percent of the sales price. For example, a property that sells for $350,000 would see a charge for approximately $1750 for Title Insurance. The Title Agency will charge a nominal fee for handling this process.

The actual date of the closing impacts payments of such things as Property Taxes and Association Dues or Maintenance Fees by way of pro-rating. The property taxes are estimated for the year by the county Property Appraisor. The Seller is responsible for his portion up to the day of closing and the Buyer is responsible for the portion from the closing date to the end of the year. Fees that are paid monthly are similarly pro-rated as of the closing date for that month. In some cases, the closing agent will collect the next month's fee from the Buyer for simple transition.

If the Buyer is financing the purchase, his lender should provide a Good Faith Estimate of any fees or up front money required depending on the rate approved. The Buyer should be totally aware of what to expect prior to closing.
Use our Mortgage Calculator to view current rates.

Documentary stamp taxes and intangible taxes are collected on the Deed and the Note. The Seller normally pays for stamps on the deed, and the Buyer pays for stamps on the note. A quick way to estimate what these numbers will be is this: On the Deed Tax, paid by the Seller, take the sales price divided by 100, then multiplied by $.70 In the example above, $350,000/100 = 3500 x $.70 = $2450. On the Note Stamps on the Mortgage Amount, paid by the Buyer, take the mortgage amount divided by 100, then multiplied by $.35 In the same example, if the Buyer is financing 80% of the purchase, the mortgage amount would be $280,000. $280,000/100 = 2800 x $.35 = $980.

This should help when estimating your costs, but know that in doing a transaction with The Purtee Team that we are looking carefully at each piece of the Closing State to protect your best interest!

Spotlight On St Petersburg Saturday Morning Market!

Why do you suppose we never tire of talking about what all there is to do here in Tampa Bay??? It's easy to think of the mild climate, sandy white beaches and breathtaking sunsets... but there is so much more!

Since it is Saturday, this seems a good time to discover the extremely popular Saturday Morning Market that occurs weekly from 9am to 2pm right in the Al Lang Stadium parking lot in downtown St. Petersburg. From October 3rd to May 29th, people gather at this market to enjoy a farmer's market that includes fresh produce, gourmet baked goods, prepared foods, colorful orchids and other fresh flowers and plants... plus a wide variety of artists and handicrafts.

Just take a look at some of the Food Vendors that you can find each week. Simply makes the mouth water thinking about it! Be sure to try one of Millie Taylor's homemade pies. Martin Fisher's smoked fish spread is a must have and he will filet his fish straight from the docks right there on the spot!

Another addition to its upbeat atmosphere is the live music that accompanies the market. This week, the Saturday Market is pleased to have Jazz and Blues musician Theo Valentine.

I'm off to market...

ALL CASH? Welcome To The Investor Squeeze

The real estate down turn has leveled off and investors like R. Donahue Peebles, who sold properties as the slide began, are bringing their cash back to the real estate market. Between the exceptional prices and tax breaks, this buyer's market finds great opportunities for the savvy investor who happens to be flush with cash.

So, what does this do to the average house-hunter needing a financing contingency? When you work with The PURTEE Team, you will hear a phrase we say often, "Price or Terms". This basically means the stronger the terms, the lower the acceptance price will be. In the current market, both average buyers and investors are out in the market searching for the deeply discounted deals. However, when they come head to head in an offer for the same property, most often cash will prevail.

According to National Association of Realtors researcher Jed Smith, “Even though a first-time buyer may be offering the same price as an investor, or a higher price, the investor has the edge. The investor may actually pay less, but it’s cash, right now.” We are seeing it with our own buyers and sellers. A cash transaction can eliminate things like a lender requiring approval of a condo building or an appraisal coming in too low. This makes it very tempting for the seller.

The cash sale trend continued in January when 52% of all closed transactions in Pinellas County were paid for in cash rather than through other financing means. This investor squeeze has our attention as we continue to research financing options that can make a difference when presenting a buyer's offer. It is more important than ever for a potential buyer to meet with a lender prior to starting his/her real estate search. A pre-approval letter from a lender can go a long way toward balancing the playing field.

Short Sales - Buyer Strategy To Getting The Best Deals

If you are considering a purchase in the Tampa Bay, Florida area, you are no doubt expecting to take great advantage of this market and the opportunity to save BIG $$$ on your purchase! You may have heard about all the foreclosures, but how knowledgeable are you on
SHORT SALES?
In a Short Sale, the seller is in a pre-foreclosure situation. He is not able to continue supporting the property (both its mortgage and expenses). Because of the fall in market value, both sellers and lenders are discovering that the current value of a property simply won't cover the balance of the mortgage.

So... consider the following example:
A couple purchased the beach front condo pictured above in 2005 for $679,000. They put 20% in cash down and took out a mortgage for $543,000. Along the way, with prices still climbing, they took out an additional line of credit for $60,000. You see where this is heading, right? The total debt against this condo is around $600,000. BUT the market value has slid up to 20-25% in this case... bring the current market value to between $509,000 and $540,000. To get aggressive in selling the condo quickly, we as realtors advised them to price it at $499,000... 26.5% less than what the seller paid.

In a short sale, the lender (in some cases both first and second mortgage lenders) is faced with making the decision whether to accept an offer on a property that is less than what is owed. Many factors come into this situation such as 1) The stacks of files with similar situations and the workload it represents to the lender; 2) The impact of the negative assets on the lender's balance sheet; and 3) The ability to recoup any of the loss from the original seller.

For that reason, the process can take a while. Buyers looking for an exceptional value and willing to be patient can wind up with an incredible deal! Really good short sale deals are usually under contract within the first two weeks of coming onto the market. Though our Buyer Program, we can enter the exact criteria of what a buyer is looking for with one of those criteria being a short sale. When a new property comes on the market that fits that criteria, an email notification automatically goes out to the buyer within minutes of it coming on the market! This is absolutely one of the best ways for a buyer to take advantage of the current market and save $$$!

Enjoying Florida Outdoors - Spotlight on Pinellas Trail

It has long been a goal to provide a safe place to enjoy outdoor living here in Florida and Pinellas County has been able to accomplish it well through its 34-mile long Pinellas Trail. At the same time, the county had a separate problem... what to do with a 34-mile corridor of CSX railroad right of way. The Seaboard Air Line and the Atlantic Coast Line Railroads both served St. Petersburg and Clearwater. When they merged into CSX Transportation, they kept the best routes and abandoned the remainder.

Now named the Fred Marquis Pinellas Trail, it now is composed of interlinking old railroad sections which travel from Tarpon Springs in the north to St. Petersburg in the south. The trail provides a unique, protected greenspace for walking, jogging, skating, and biking. The County's Parks & Recreation Department is responsible for the Trail's maintenance and operating costs.

Still underway, there is an additional section going east into downtown St. Petersburg that will make the entire corridor will be 47 miles. Just one more reason to enjoy the Florida lifestyle and find out why we always say, "Come for a visit, stay for a lifetime!"

Making Sense Of Property Appraisals In Today's Market

Here in Pinellas County, our Property Appraiser is Pam Dubov CFA, CAE. It is the duty of the Property Appraisers Office to establish a value of a residence in order to determine the property tax assessment for each year. This can be a daunting process with the impact of distressed sales and exemptions such as Homestead, Save-Our-Home, Senior and Veterans affecting two similar homes and resulting in a possible substantial tax difference!

How a property is valued is critically governed by the Florida Statutes and the Rules and Regulations of the Florida Department of Revenue. How is Residential Property Valued? This brochure is available onlin from the property appraiser's website. To put it in simpler terms, "before assessing the value of any parcel of property, the appraiser estimates the market value. Market value is how much a property would sell for, in an open market, under normal conditions." This should knock out properties that have sold under distressed circumstance.

There are 3 approaches that are used to determine Market Value:

• Sales Comparison Approach - Similar properties' sales prices are compared, using only sales where the buyer and seller both acted without undue pressure. Usually given the greatest weight in the process.
• Cost Approach - By calculating what it would cost, using today's labor and material prices, to replace the structure with a similar one. If the structure is not new, the appraiser estimates how much it has depreciated since it was built.
• Income Approach - On rental income producing properties, by analyzing market rental occupancy rates, vacancy and collection allowances, and operating expenses to estimate what an income-producing property should earn.

It is often misunderstood that the assessed value that is used to determine the taxes represents 100% of the market value as determined by the above three approaches. In actuality, all property must be assessed as of January 1st each year at 100% of market value less the cost of the sale. The cost of the sale would include any closing costs, including doc stamps, intangible tax, title insurance, fees and commissions.

When a property changes owners during a sales transaction, the tax amount can also change depending on whether certain exemptions are given up or added. The Title Agency doing the title search normally contacts the property appraiser's office to determine the appropriate tax assessment in order to prorate the taxes on the closing statement. You can reach the Property Appraiser's office directly at http://www.pcpao.org/

Market Trend - January 2010 Statistics Just In!

As we continue to discuss where the market is heading, the best amunition we have is through the statistical data that supports the trends we are experiencing. The shift to an upturn in the market comes with a combination of 1) Decreasing Inventory; 2) Increase In Sales Activity; and 3) Increase in Units Sold. As soon as they are available, we post the Monthly Statistics on our website with links from our Home Page.

The new January Market Activity Report just came out today. It is provided by the Pinellas Realtor Organization and features information about new and active listings, units sold, average and median price levels, housing affordability and other data. You can use the link to review the entire report, but I am focusing on the 3-year comparison of the three things we are following above. Here is where January 2010 stands:

Active Listings: '08-21,223 '09-18,193 '10-14,263 (down 21.6% from 2009!)

*Pending Contracts: '08-735 '09-900 '10-1,478 (up 64.22% from 2009!)

Units Sold: '08-577 '09-608 '10-742 (up 22% from 2009!)

The extreme jump in the percentage increase in *Pending Contracts is due to the amount of Short Sales which are requiring longer time to close. In a normal market, most of those would have closed. Many of these sales are cash offers as financing is still difficult. As seasoned Realtors®, each one of us with The PURTEE Team work diligently to keep abreast of the market, its trends and financing options. Never hesitate to call on us for advice!

Focus - Island Way Grill Sunday Brunch!

Most of us have a favorite "Special Occasion" restaurant that we think of first. When it comes to Sunday Brunch, Island Way Grill does it for me! Every Sunday from 10am to 3pm, the restaurant opens its doors to a culinary feast of breakfast favorites, seafood, raw bar, sushi, carving station and delectable desserts!

From Clearwater Beach, at the roundabout, take 60 (the causeway that goes off the island). About mid-way across the causeway is stoplight and to the left is the neighborhood of Island Estates. Take a left and Island Way Grill is immediately on the left. And from Clearwater, take the route in reverse, heading over the causeway and Island Estates will be on the right.

Frank Chivas and Mark Resop partnered with NFL professionals Mike Alstott and Dave Moore to create this innovative restaurant. The addition of long time veteran chef Tom Pritchard raised the food and wine pairing to extraordinary.

As we approach Valentine's Day... which just happens to be on a Sunday... Hummmm, take a look at their feature Brunch celebrating this special day!

But be sure to make reservations - it books up quickly.

Florida A Top Destination For Overseas Buying!

The new issue of "A Place In The Sun" magazine features on its cover The 10 Best Places To Buy Abroad. Florida moved from its #8 position in 2009 to #2 in 2010!

According to the article, "The combination of theme parks, golden beaches and a fun-packed lifestyle becomes even more attractive when property prices in much of the Sunshine State are back down to 2005 levels. Plus, the year-round sunshine means a holiday home here can make you a tidy sum in rentals too."

The PURTEE Team takes our international buyers seriously! You will find our advertisement within the Florida section of both this issue as well as their upcoming Exhibition Show Issue. Our new listing at Seamark (St Pete Beach) was an editor's choice for a great buy in Florida! Produced in the UK, A Place In The Sun began as a TV Show about buying property overseas. It expanded into its Exhibition Shows located throughout the UK and then its monthly magazine.

According to their currency expert, Robin Haynes from Currency Index, "Florida has been one market which has remained reasonably robust throughout the financial turmoil of 2009. The two main reasons have been a large drop in property values (foreclosures, repossessions and distressed sales have typified the market), and the weak dollar. Although the pound has been extremely weak against most currencies in 2009, against the dollar we have seen a relatively stable exchange rate, with trading levels above $1.60 for most of the year."

On the homepage of our website, www.floridagulfproperty.com we offer a direct link to real time currency conversion in order to help overseas buyers. As preferred realtors, we can help an overseas buyer find their dream home and help guide the process through to closing.

What Does The Realtors® Code Of Ethics Really Mean?

When working with a professional, is it with a sceptical mind that you will find them honest and ethical in their dealings with you as a consumer? A Realtor® might help with one of your largest financial transactions. How do you decide if using a Realtor® makes sense for you and then how to select which one.

First of all, Realtors® must be licensed with the state in which they practice. In order to maintain the active status of that license, they are each subject to passing the state test of knowledge and a full background check. The continuing education requirements are enforced to keep the agent knowledgeable about any changes in the law or current practices regarding a real estate transaction. Handling a transaction without the aid of a professional Realtor® can leave you quite vulnerable to missing key legal ingredients or having an unbiased third party counsel.

We are often asked how a Realtors® can represent both a Seller and a Buyer in a transaction. The National Association of Realtors has strict guidelines for that exact occurance. The agent becomes a third party Transaction Broker for which there are 7 key things you have a right to expect in this representation. They include the following duties:

1. Dealing honestly and fairly.
2. Accounting for all funds.
3. Using skill, care, and diligence in the transaction.
4. Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the Buyer.
5. Presenting all offers and counteroffers in a timely manner, unless a party has previously directing the licensee otherwise in writing.
6. Limited confidentiality, unless waived in writing by a party. This limited confidentiality will prevent disclosure that the Seller will accept a price less than the asking or listing price, that the Buyer will pay a price greater than the price submitted in a written offer, of the motivation of any party for selling or buying property, that a seller or buyer will agree to finacing terms other than those offered, or of any other information requested by a party to remain confidential.
7. Any additional duties that are entered into by this or by separate written agreement.

In this case of limited representation, the Realtor® is able to facilitate a real estate transaction by assisting both the Buyer and the Seller, but not to the detriment of one or the other party.

In addition, the National Association of Realtors® issues its annual Code of Ethics and Standards of Practice. This is available in a PDF form and you will be able to see how serious the standards truly are. What I like in the Preamble is "Under all is the land." What an amazing acknowledgement to help facilitate its highest and best use and change of ownership.
As in any profession, look for those professionals who have the highest standards and credibility... and who will represent your best interest in a real estate transaction. It would be our honor to show you how The PURTEE Team can help in the Tampa Bay area!

St Pete Beach - Focus On Don Cesar Beach Resort & Spa

The Don Cesar represents an historic landmark right on the beach at the south end of St Pete Beach... it was named to the National Register of Historic Places in 1975 and became a founding member of the National Trust Historic Hotels of America in 1989.

Its history began in 1924 when Thomas Rowe purchased 80 acres of land in St. Petersburg, Florida for $100,000 to begin his dream of building a "pink castle". The architecture combines both Mediterranean and Moorish styles modeled after different hotels and developments in Palm Beach, Coral Gables and Boca Raton. Arched openings, red clay tile multiple roofs, balconies, stucco over hollow tile and tower like upper stories were some of the elements that they borrowed. The original six-story hotel with 110 rooms and baths was later expanded to 220 rooms and 220 baths and cost over $1.25 million (300% over budget).

Rowe's "Pink Lady" opened on January 16, 1928, with an extravagant party attended by the elite of Tampa and St. Petersburg, and soon became a favorite destination of the "Great Gatsby Era". Although the Don Cesar made it through the Great Depression, things changed when Thomas Rowe died suddenly without a will. The "Don" was left to his estranged wife and began to fall into despair until the United States entered into World War II. Bought out by the Army for $450,000, it was converted into a military hospital in 1942 and then a convalescent center. At the end of the war, the Don Cesar was ordered closed and was converted into a Veterans Administration Regional Office by the end of 1945.

In 1967, the VA began to move out and by spring 1969, the once grand hotel was vacant. Plans to tear down the graffiti covered hotel was met with fierce opposition from local residents! Fortunately, in March 1972 the Don Ce-Sar was sold to C.L.Pyatt and William Bowman Jr., a Holiday Inn franchise owner, and was renovated and reopened in November 1973.

From that time, after receiving its historic recognition, the Don Cesar has undergone a variety of renovations. Managed by Loews Hotels, the addition of a 4000 sq ft spa and full Beach Club resulted in a name change to The Don CeSar Beach Resort and Spa. Definitely worth a visit to enjoy The Maritana Grille (the Don CeSar's signature Four Diamond restaurant) and simply breathe in a sense of lingering history in this beautiful hotel that has undergone so much history within its walls!

** Facts thanks to Wikipedia