The Bosshardt Blog

Finally Renters/Tenants Get Much Needed Protection From Foreclosures!

  

Long overdue in Florida and unfortunately with no help from the state legislature, both tentants and property managers can now find relief in the new Federal Bill enacted last week:

President Obama signed S. 896, P.L. 111-22, on May 20, 2009. This bill includes a nationwide 90 day pre-eviction notice requirement for tenants in foreclosed properties. The provisions of the bill are effective on enactment, May 20, 2009.

Specifically, the new law will require that the immediate successor in interest at foreclosure

1. provide bona fide tenants with 90 days notice prior to eviction and
2. allow bona fide tenants with leases to occupy the property until the end of the lease term except the lease can be terminated on 90 days notice if the unit is sold to a purchaser who will occupy the property.

With the length of time that foreclosures take, this should generally ensure that tenants will be able to occupy their properties until the end of their lease term.

Unfortunately there is no additonal protection for renters who lease from private owners with respect to their security deposit. Renters are entitled to a refund based on the relative condition of the property on move out to its move in condition. However, private landlords in foreclosure have been known to liquidate this money, with little to no effective recourse for the tenant.

If you are renting from a Professional property manager, you should make sure you notify them of a foreclosure notice immediately.

 

Home prices see biggest drop in 21 year history of Case-Shiller; Gainesville properties fare better

Posted by Aaron Bosshardt, COO, Bosshardt Realty, 05/26/09

According to the Case-Shiller Index, national home prices in the first quarter of 2009 fell 19.1% from the same period one year earlier. Nationally, home prices have fallen to 2002 levels, according to the Wall Street Journal.

Locally, statistics tracked by our Gainesville-Alachua County MLS show that area Single Familly Residential Home prices declined 11.8 percent. Local prices for Attached units (Condos) fared much worse, falling almost 17 percent. Overall volume for local home sales was down 23.9 percent, and attached volume crashed 67.8 percent. Average days on the market also went from 105 days to 149. For condos, the average days on the market went from 128 to 165 in the first quarter of this year.

Separately ,Zillow is reporting that area prices are down 10 percent according to their own in-house statistics. They say that 80 percent of homeowners now acknowledge that their property has lost value in the last year.

Pricing numbers for the 2nd quarter may not look much better, as it seems as though some banks have taken back some properties and priced them below wholesale in some instances, which makes one wonder why they bothered to take them back in the first place.

There is a silver lining in all these numbers. Inventory is falling steadily, and the rate of new listings to new sales has fallen from 4.4 to 3.8. What will also help is that we are heading into the height of our selling season, so for the intelligent seller who is willing to accept honest, realistic pricing advice, things are looking up these days.

Interactive Open House Blitz Map Goes Live

BLITZ UPDATE: The Interactive Blitz Map is now available online.  Click here to check it out!

Open House Blitz Coming May 14th