Buyer negotiations. Mortgage rates. Condo crisis

Episode Transcript

Speaker 1 (00:14):
Navigating today's real estate market can be tricky. Wanta buyer,
soela house finance, or insure a house, or stuck with
a house.

Speaker 2 (00:21):
And don't know what to do.

Speaker 1 (00:23):
Florida Talk real Estate has been your local one stop
real estate shop since twenty twelve. Get the advice you
need from your local real estate pros.

Speaker 2 (00:31):
Here are your.

Speaker 1 (00:32):
Hosts, Jim Depola and Johnny c. You live on real radio.

Speaker 2 (00:36):
Good Saturday morning, Welcome to another edition it's Florida Talk
real Estate. We got you for two hours of infotainment
and it's great to have you on board. Thanks for
being there. Ninety two one one o one seven. Thanks
for tuning in on the old terrestrial radio. Maybe you're
on your free download your iHeartRadio app. Oh yes, that's right.
That makes us worldwide. If you're doing that, thanks very
much for being with us on a Saturday morning, and

(00:59):
of course live streams occur as well. On a Saturday.
You can find us on Florida Talk real Estate Facebook page,
Florida Talk real Estate LLC on YouTube, home of a
ton of informational chunk videos, plus our live stream on
a Saturday. If you're out there right away, thank you
very much, for being there. If not, remember you can
join us at any time. Florida Talk real Estate. I'm

(01:19):
both live streaming. I'm your boy Johnny C. Of course,
you got a toll free number eight seven seven nine
two seven six nine six nine. You had questions, comments,
concerns in the world of real estate. You want to
be involved in the conversation at hand. Dial it up.
The first voice you hear, the melodious tones of our
producer extraordinary. There's Jamithy, my brother from another mother. What's up, dude? Hello, Hello,
and good morning gentlemen. How we doing on a Saturday? Awesome?

(01:42):
Good to see you, my man. Good to see you
as well. It throws me off to see you without
facial hair. I have to tell you, dude, it just
when did I shave that? About three months ago? Every time,
every because I see him once a week. Wow. But
it's yeah, and for years, years now, I know what

(02:04):
it feels like to, you know, be that kid when
your dad shaves their facial hair off and you're like,
you're not my dad.

Speaker 3 (02:11):
Has Karla gotten used to it yet?

Speaker 2 (02:13):
I think so, because she doesn't even really mention it anymore.

Speaker 4 (02:16):
And again, I don't even really notice it because I
don't look in the mirror, so.

Speaker 2 (02:19):
I don't see it every day. Yeah, but you have
you shave like I.

Speaker 3 (02:22):
Haven't seen myself, haven't seen her for weeks.

Speaker 2 (02:24):
Yeah, Carl who hitting a razor to parts of your
face though? That just never got hit with it for
a long time. That's true.

Speaker 4 (02:32):
Well never, because I've only ever shaved my mustache once. Wow,
in my in my entire life when I was young,
you know, twenty four or something like that. And when
I first started to, of course, it was my skin
was a lot more sensitive because it never saw a razor.

Speaker 2 (02:48):
Ever.

Speaker 3 (02:50):
Have you now that you're shaving regularly, have you upgraded
your shaving equipment or what are you using?

Speaker 2 (02:56):
No saying?

Speaker 4 (02:57):
Okay, am I just you know, now instead of stopping
and trying to shape around my.

Speaker 2 (03:01):
Mustache, I just just wipe it out. I will get
used to it and at that point he'll grow it back. Yeah. Sure,
good to see it. Has always been good to see you, Johnny,
I hope, but you and the family are well. Yeah,
so good man, Thank you very much, Johnny. See that's me.
There's Mike Row. He's the mortgage guy from the mortgage
from If you ever shaved too. That would probably throw
me off big time. I don't know. I don't know

(03:23):
if I could picture you any other way besides the
full beard.

Speaker 3 (03:26):
I can show you pictures, but yeah, pretty sure I've
had it since we've known each other.

Speaker 2 (03:30):
Yeah, yeah, for sure.

Speaker 3 (03:32):
I probably. Yeah, I've had this beard for it's nine years.

Speaker 2 (03:37):
That's how I pictured you. It's like, yeah for Jim with
yet I looked at that face for six days a
week for many years, and it always had the face
at least started growing the bars. Yeah, a little later
on that wasn't I didn't always have no, but the
stash was there. You were they I remember Josh Cohen
from back in the day. I tried to call you

(03:59):
bandit because you had that like well you had that
bandit look.

Speaker 3 (04:03):
Yeah, like motorcycle bandit smoking.

Speaker 2 (04:05):
Smoking, the band of Burt Reynolds. That was that stash
was it was banded. Yeah, it wasn't great back then
either or or white.

Speaker 3 (04:14):
Now really back then, that's what the that's what the
chicks were into. Yeah, yeah, it's just Tom Selle Burt Reynolds.

Speaker 2 (04:21):
I know, I know you guys don't have the visual
but you can close your eyes there it is you
see it? Yeah? Yeah, be your hand. Do you ever
know your other hand? That's not.

Speaker 4 (04:33):
Do you ever shave? I mean every now and then
you'll just get into mode mic.

Speaker 3 (04:37):
That wear my face?

Speaker 2 (04:38):
Yeah? Good, good point, thank you.

Speaker 3 (04:43):
No, I haven't shaved my beard off. Tiffany does. She
won't allow it. Oh yeah, yeah, it's an ultimatum, and
I do what I'm told.

Speaker 2 (04:50):
Generally, I want to see I want to see our
Feela's leader throw out a full beard. Told you for
a thirteen plus year now he runs a top producing
Kellow Wings team flor to home pros at the Kellow
those innovations. There's Jim Depol, how you be you grow
a beard for us? He's got one going no full? Like,
can you grow in a good one? I am so patchy.
I can't do it.

Speaker 5 (05:09):
I think I can finally grow beard. But the idea
of maintaining it all the time versus just scraping your
face and taking it all off way easier.

Speaker 2 (05:19):
Yeah.

Speaker 5 (05:20):
I don't like the whole get the do you have
razors and special razors and stuff?

Speaker 3 (05:25):
I mean, for years and years it was just mock
three and then recently I got caught up by one
of those ads and I got.

Speaker 6 (05:31):
Like a manscape thing.

Speaker 3 (05:32):
No, you know, the the machined aluminum. Yeah, yeah, Lifetime
supplies that one.

Speaker 2 (05:43):
Hey, you got to invest in yourself.

Speaker 3 (05:44):
It worked, their advertising works.

Speaker 5 (05:46):
Tell you it's funny. You were talking about not imagining
Jimmy without his mustache. I was thinking the same thing
yesterday about somebody completely different. I was watching John Bolton
and he he's got that big, thick white mustache and
it goes right across the creases of his cheeks or
his coowls. I guess everyone to call it, and it

(06:09):
fits perfectly in there. It doesn't go outside it right.
I was looking at it was like, what would he
look like if that was off? That looks like a
big lip.

Speaker 6 (06:15):
There anyway, And then you're talking about to me today.
I was like, oh, it's a little John Boltany today and.

Speaker 2 (06:21):
Got like four fingers of lip, but I know he does.
Yeah that's thick, yeah, and a.

Speaker 3 (06:28):
Big thing hanging over his mouth. Yeah a little bit right.

Speaker 2 (06:33):
Yeah, it was funny.

Speaker 5 (06:35):
So we have a lot to talk about today. You
got a bunch of creepy critter stories because I love those.
Some of them are just they're just I don't want
to do him so much of the week, but they're so.

Speaker 6 (06:46):
Good that I feel like I want to talk about
got to do it right.

Speaker 5 (06:50):
But also we're going to talk a little bit there's
some some maybe help on the way to condo owners
that are having condo christ for financing on their condos.
We're also going to be talking about mortgage rates. What
really happened in the last week. I mean, it was
pretty crazy in the news, and the rates kind of

(07:12):
did bounce around a lot. But when the smoke cleared,
at least for right now, what really happened. We're going
to talk about that, okay with Mike. Also, let me see,
we're going to talk about people's economists and prognosticators why
they keep changing their opinion of what's going to happen

(07:33):
in the real estate market in the coming year, Like
you know in twenty twenty five. They keep changing there
from day to day, from day to day. So we're
going to talk a little bit about that. And but
before we talk about that, it was funny you guys
were talking about music before and concerts and everything with
Jimmy before we were on the show. Because one of
the articles I saved to talk about today because I thought, Johnny,

(07:57):
you would have good insight on this. They're not doing
SunFest this year.

Speaker 6 (08:03):
It's been yeah, and I.

Speaker 2 (08:04):
Didn't realize SunFest although they kind of were like, we
might bring it back, but no, SunFest is done dead.

Speaker 5 (08:11):
Yeah, I know, I remember that. We kind of talked
about a little bit. Last year was a little bit
on the download because they sold the building, right, they
sold the building that they organized SunFest in, and everybody said,
that's the writing on the wall.

Speaker 2 (08:24):
The writing was on the on the wall was when
they started getting rid of the art. I was like, oh,
I was just going to turn it a suck.

Speaker 3 (08:29):
Did you read the Palm Beach posts that they were lining.

Speaker 2 (08:33):
Up the artwork art?

Speaker 5 (08:37):
See that's an instant perspective because Mike probably doesn't remember.
So I remember when SunFest was created and what happened
before SunFest to get SunFest created, because there was a
party it Basically, in my my opinion, SunFest kind of
started through when they were trying to regentrify Clemata Street,

(08:58):
which was pretty pretty nap in the late eighties early nineties.

Speaker 6 (09:02):
It was really nasty over there at night.

Speaker 5 (09:05):
So during the business day it would be a business
place and you see all business people working there and everything,
and then at night it would be a ghost town.
It was just like prostitutes of crack addicts and bad
people that you didn't want to hang out with unless
you were a bad persons.

Speaker 3 (09:22):
Yeah, exactly right, are they doing any open house?

Speaker 5 (09:24):
So so what happened is a bunch of young people
that I knew they started a thing called they started
to think like a Halloween kind of fest. And they
hooked up with that guy that owned that. He's super
famous over there, the developer, and he was a young
guy too at the time, but he owned that respectable

(09:45):
street cafe. And then he went down to Miami and
opened a whole bunch of night clubs there, and he
opened a bunch of night clubs up here.

Speaker 6 (09:52):
Lost Weekend he owned.

Speaker 2 (09:53):
Well has turned into nightclub Hub.

Speaker 5 (09:56):
Well that's he started that. I can't remember the guy's name,
and he started.

Speaker 6 (09:59):
He was young guy.

Speaker 5 (10:00):
He would take these beat up, abandoned like places and
he would just move in and do low rent renovations
of it and made it cheap place to go drinking
and have fun for young people. So the young people,
they were bringing young people. Then they came up with
the festival that was supposed to be like an antifest
I think they called it ice or something. It was

(10:21):
supposed to be the opposite of how Florida was and everything,
and they try to flip their head on it. And
then that guy got more heavily involved in the events,
and then it slowly morphed into hey, let's do something
during the summer when businesses are really hurting, really bad.
And the whole thing was geared towards bringing people downtown.

(10:44):
There just wasn't enough people downtown at night, sure, and
they were trying to fund the businesses.

Speaker 2 (10:49):
It's funny because the events like the boat show and
it brings a lot of people, but the businesses get.

Speaker 6 (10:56):
Just crushed, a lot of them.

Speaker 2 (10:58):
In the name of bringing people in for businesses, you're
destroying business. It's it's always a funny give and take.
SunFest was the same way. They None of the of
those businesses were super benefit. It was great. There's flip
traffick everywhere, but they're not here for you. They had
a they can park that wants to come see yeah exactly.

Speaker 5 (11:16):
They had a quote in the Post article from one
of the managers for the bars. I think it was
Bradley's and they were saying that. They were like going
to say, what do you think that SunFest is shutting down?
He's like, yeah, it wasn't that good for us, right,
It created a lot of problems and tough. He also
said that the way you changed when you said it
changed from art to music, that was a big thing.

Speaker 2 (11:37):
So before well, not that the music was bad, but
when it was both, it was great. And once they
started dwindling down the art, that's when SunFest was starting
declining in my opinion.

Speaker 5 (11:48):
Right, So the article and I'm not saying because I
don't think I've been to SunFest more than three times
out of the forty years it was there.

Speaker 2 (11:55):
So.

Speaker 5 (11:57):
Yeah, I can just go every day that's time and
bring it up. But the thing is is when it
first started out, it wasn't so music oriented. It was
really community oriented. And they would have like it was
like an art festival. You go down and the artists
would be there, just like you see on the weekends everywhere.
But they were one of the first people to do
it in the area, right for that thing on a
pretty regular event. Then it turned into more music and

(12:19):
more music, and then they realized in early two thousands.
I think it was is that they could bring in
a lot bigger bands if they raised the rates, and
they thought they could draw the crowds. And they were
for a while, but I guess the last two years
were horrible. Right after COVID, I think they they basically
the year before COVID, I think they lost two million dollars,

(12:41):
and the year two years before COVID they had lost
one million dollars. It's a nonprofit group. So then COVID
saved their butt because they got some PPP money or
Small Business Administration money, and then they try to do
it in twenty twenty one and twenty twenty two.

Speaker 3 (12:57):
Maybe they misunderstood nonprofit.

Speaker 6 (13:00):
Yeah. Yeah, it's like we don't want at all. Fact,
we want to take a loss loss.

Speaker 2 (13:06):
Yeah, this is a heavy loss business.

Speaker 6 (13:07):
Anyway.

Speaker 5 (13:08):
I feel like that's a loss. But I also feel
like it's gonna revive in some way. Will it be
SunFest the way that people think of SunFest is this big,
gigantic music event. Nah, but I maybe it'll morph into
that again eventually.

Speaker 2 (13:21):
I know what they're trying to and it's funny because
all the local rags are trying to frame this as
the replacement for SunFest. There used to be this event,
and I wish I could give it its due. It
has a name. I think they've done it six or
nine years something like that. It's it's a local band focus,
and I guess the place they used to do it,
they used to get like nine hundred people. So now

(13:44):
they're going to do it at the Meyer. It's going
to be a free event, right, and they're kind of
bringing in a little bit of vendors action, but free
event freeze the good part. But they're hoping to kind
of turn this into the replacement for son at least
from what's being delivered in the low. Like I said,
I don't I don't see it as gonna be anywhere

(14:04):
near We're talking about nine hundred people to you know,
maybe maybe you get fifteen hundred this year if they're
just kind of walking through. But local bands, your friends
and family won I love that it's free. I think
anytime you get live music is great, but to dub
it as a replacement for SunFest is kind of silly.

Speaker 5 (14:21):
Well, yeah, and people are just jones and to have
a replacement, right, so they're going to try to hold somebody.

Speaker 6 (14:28):
That's how SunFest started.

Speaker 5 (14:30):
Though SunFest started a few hundred people downtown, you know,
just getting together. It was a core group of people.
They were usually young. The other thing that was very
interesting is that people forget this, but a large part
of how SunFest was created was during bad economic times,
when times got tougher, right, That's when the businesses needed

(14:50):
more things, and then the local people, young people started saying, hey,
we need stuff to do too, Let's support each other
and try to do something.

Speaker 6 (14:57):
It was really community based.

Speaker 5 (15:00):
My friends, Yeah, my friends were involved in it, and
I watched them do this whole thing.

Speaker 6 (15:04):
I was not involved in at all.

Speaker 2 (15:06):
I just watched, sure, watched it grow.

Speaker 5 (15:08):
Yeah, and it was really amazing. But it did start
out like little little tiny thing and it took.

Speaker 2 (15:12):
It did grow. You ended up with the party barges
and you ended up with I mean, there was just it.

Speaker 5 (15:17):
There was a piece, hundred dollars a ticket, you know,
and it used to be started out of five dollars
a ticket, right, so I mean, you know so and
maybe it'll morph into that. I think economics cycles really
relate to it, and I didn't. This is the other
thing I found out, and this is why I was
thinking about you when I was reading the article, I
was like, we should talk about this. How many other
music festivals are dying. It isn't just SunFest, like they

(15:39):
shut down the Okachobee Music Festival locally and apparently the
there's a lot of a lot of music, music oriented
events that are just not not drawing the crowds anymore,
and they're they're not doing well. And that's what you
were saying to Jimmy outside before we started the show.

Speaker 2 (15:55):
Yeah, So, I mean it's it is. There's pockets of it,
and there's you know, there are events that destroy. How
does Ultra do Ultra just phenomenally? Yah? Yeah, So I
don't know that the I don't think it's a great
blanket statement by any stretch. Like I got a festival
coming up in a few weeks in Daytona and it's

(16:17):
it's ginormous.

Speaker 3 (16:18):
There was a bunch of talk about Kotella for some reason.

Speaker 6 (16:21):
Well that's like.

Speaker 2 (16:22):
Two weekends of ginormous, And I mean that's those are
that's some deep pocketed tickets right there too. Yeah, yeah,
that's you use you're spending And there's a lot of
folks I just look at a lot of these events,
and I'm like, people are just you know, what's interesting.
The trend for festivals is a tend before you pay.
So this year in particular, they've offered this. They always

(16:46):
gave the ten dollars down make payments, like they give
you the payment option interest free, which is great, right,
but you paid off by the time they're sending you
their tickets, right, Okay, a layaway plan. Yeah, we do
it for Rockville instead of forking over whatever we got
to fork over, and it's substantial. We give them a
little bit and then we just make our monthly payments.

(17:08):
Our last payment was done, like I don't know, a
couple of weeks ago. Our passes will be showing up
here any day now. It's a beautiful thing. This year
they started instituting, and I mean festivals across the nation,
you actually pay after you attend.

Speaker 6 (17:23):
I don't understand. What do they do. They hold you hostage.

Speaker 2 (17:31):
You're gonna have to hire collecting agencies now.

Speaker 5 (17:34):
Because you're just gonna watch the concert and leave and
then they're gonna come back and go, hey, you owe
me money for.

Speaker 2 (17:41):
Seeing that after the fact.

Speaker 6 (17:43):
Yeah, that's gonna work out well.

Speaker 2 (17:45):
Well, It's just like anything you buy on a credit card,
you get the thing before you pay for it.

Speaker 6 (17:49):
Right, Yeah, but you have a credit card.

Speaker 2 (17:52):
That's well, you can default on a credit card. You
can default on these tickets, right. I mean it's the same.

Speaker 5 (17:58):
You're putting something down, right, You're not just walking in
say I'll pay you. You're give them a credit.

Speaker 2 (18:03):
I think it's a minimal So I haven't pressed the
button to do it, right. I'm like, but but you're tempted.
When you start seeing that, you start going, well, that's
a sign of the times.

Speaker 3 (18:13):
It could be that maybe they realized that people like Johnny,
you're in advance, so you have enough time to do
your like the layaway type option. But there might be
people who are like, oh my god, what's happening this weekend?
I want to go. I can't afford it. Let me
fin answer.

Speaker 6 (18:28):
I think people say, okay, come on it. They lock
you in and I'll pay you later.

Speaker 3 (18:33):
They lock you in, but they didn't they mortgage it
against your home.

Speaker 2 (18:37):
They didn't. They didn't offer it the whole way. This
isn't going to be one hundred thousand people that owe
money after the fact they offered it like two months
ago on the last stretch for the fill in. But again,
it's a sign of the time. I've never seen I've
been going to concerts religiously for a long time. I've
never seen any promoter be like, hey, you can pay
after the show.

Speaker 3 (18:56):
They had figured out what the phone companies figured out
a long time ago. They you will spend, you will
wait or spend as long as you can pay it
off in increments.

Speaker 2 (19:05):
Way overspend. Welcome to America, I mean that is so American.
The house, the business I'm in. Yeah, like any anything
that you're buying above your monthly budget, you know.

Speaker 3 (19:15):
I pulled up the local one Johnny does five six
one music festival?

Speaker 2 (19:19):
Sound right? Does sound right? Yeah? Yeah?

Speaker 3 (19:22):
So five six one music festival, twenty local bands. What
does it happen in the Meyer? Yeah, myer the theater
and it's May May third, so as they dubbed the
replacement first last, May the third be with you.

Speaker 2 (19:37):
With you as well.

Speaker 5 (19:38):
Hey, I wanted to talk about something that we talked
about last year. The blob is back. The gas some plants,
you know, the seaweed is back, and I have some
good news and is bigger than last year.

Speaker 3 (19:55):
What's going on this past weekend. I was actually in
a conversation and so in the real world, some of
the mentioned sargasm, and I was like, hey, I know.

Speaker 2 (20:02):
What that is.

Speaker 3 (20:02):
I know what that I know what that is. Wait
a second sargasm.

Speaker 5 (20:05):
Sarcasm that's where you say something you mean it in
a different way.

Speaker 3 (20:09):
Yeah, don't be so sargast.

Speaker 6 (20:11):
Yeah exactly.

Speaker 2 (20:13):
I thought it was just somebody really chatty about but
it did.

Speaker 3 (20:15):
It came up to use sargasm, and I was like,
oh really, and I was able to identify and you know,
have a legit conversation.

Speaker 2 (20:22):
I thought it was just a sarcastic remark. Release Really
we talked.

Speaker 3 (20:26):
We were talking about sargasm somewhere other than this radio show.

Speaker 2 (20:29):
Yeah, yeah, that's eazy.

Speaker 5 (20:31):
Surely we were breaking records last year with this, right,
and every month since then it's been breaking records. According
to the article I read, and bottom line is, uh,
there is thirteen million metric tons of seaweed between Africa
and the Caribbean right now, eight thirteen million. Last year

(20:53):
there was twelve million metric tons, right so now we're
up to thirteen and a couple of years agoing only
at like nine million.

Speaker 2 (21:00):
But the seaweed's supposed to be there.

Speaker 6 (21:02):
Well, it's interesting.

Speaker 5 (21:03):
They don't know how, they don't know why it. They're
not pop one hundred percent sure why the blooms happen
and everything. But now the theory is, or what they're
saying is it has something to do. This is what
I think is interesting. The Amazon River and when the
Amazon River, when it's in a drought, less of this.

Speaker 6 (21:20):
Stuff is growing.

Speaker 5 (21:23):
And then when it starts filling up again, that's when
this stuff starts blooming again, and it comes all the
way from the Amazon. They think, isn't that coal? When
you think about it, Amazon, everything's tight end so important?

Speaker 6 (21:36):
How everything's tight end true.

Speaker 5 (21:39):
But there's a photo, there's a photo in this article
where people are actually using those little what do you
call those little foam to be things that you hang
out in the pool with noodles. Right, a couple people
with noodles in the water and you can't see any water.

(22:00):
Looks like they're just laying the top of grass, right,
they're just it's just a no pun intended to see
a sarcasm, but anyway, I just thought it was funny.

Speaker 6 (22:10):
So it's back.

Speaker 3 (22:11):
It's gonna see it on the beaches.

Speaker 5 (22:13):
Yeah, we're gonna be seeing it here. Remember last year
was so bad. It was a big tourism thing. We
found out how much money that the I don't know
if it's a tourist agencies or the cities or whoever
it is, is going out there and scooping all this
stuff up to make it more on that.

Speaker 3 (22:31):
We can blame the tours, blame the sargasm for low tourism.

Speaker 5 (22:34):
Right, yeah, exactly. But what I didn't find No, we
didn't find out. You know, we didn't find out last year.
It's like, what did they do with it when they
picked it up? Do you think they just brought it
to the dump.

Speaker 2 (22:45):
So I think we wondered this, is there some use
that we can have for I don't know.

Speaker 5 (22:52):
I'm sure we're gonna find we'll be reading more about
this as the summer coast.

Speaker 3 (22:56):
Maybe we'll learn maybe what do you call the things?
A cheerleader use, pomp pomps.

Speaker 2 (23:03):
Natural lessen the plastic use.

Speaker 3 (23:06):
Of course you have to preserve it with some petroleum
based product. But of course it's of course you can't
have them falling apart.

Speaker 2 (23:13):
Yeah, guas is coming down there it will.

Speaker 5 (23:17):
It's definitely in this area because the normal nomad surf
shop and pointon that does surfing lessons and everything. They
were saying they see a lot a lot more seaweed,
and it seems like it's earlier this year, so it's
already here in Florida.

Speaker 6 (23:30):
And I did notice.

Speaker 5 (23:31):
I was out with Jared Perry Perry's CPA group doing
my taxes on Thursday. And one of the benefits of
working with Jarrett maybe I shouldn't put this out out,
but I'm gonna go ahead and say it. You get
to go on a boat right afterwards to go fish
it right. So we did our taxes.

Speaker 2 (23:48):
Then everybody that's not a part of that was.

Speaker 5 (23:54):
Really nice and we went out with the sun and
we caught a couple of mangrove snappers and we were
we had a really nice time. So that's a really
nice benefit. So the tax thing is in the stinging.
With Jared here soon, I want him on soon.

Speaker 3 (24:09):
So did you get your credit done?

Speaker 5 (24:11):
I got my taxes done, and I have to talk
to you about that, Mike, and we were talking about
you very involved because I'm self employed and I'm going
to be buying a home this year. So I have
to make sure that my taxes are set up correctly
so that Mike can get me the loan I need.

Speaker 2 (24:26):
Yeah, I want to focus in on a big, big
part of what you just said right there. You're going
to be buying a home this year.

Speaker 6 (24:32):
I know it's pretty bad.

Speaker 2 (24:33):
Well I don't know whether it's bad, but it's a
highlighting note. So many people think, oh, it's such how
could you buy a house right now?

Speaker 6 (24:40):
What you do?

Speaker 2 (24:43):
It's Jim's trying to position yourself to buy a house
this year. Like to give you an understanding of the marketplace.
It's not a bad time. It's a good time when
you It's a good time for you and your family.

Speaker 4 (24:55):
It's actually perfect for your type of situation where you're
not trying to sell and buy.

Speaker 5 (25:00):
Right Yeah, perfect time. It's really it really is good.
We're going to get into a little bit about this later,
and but just to so the people. You know, people
sometimes wonder why I don't own a house that I've
been running, and part of it was that I had
a really serious health issue several years ago, and part
of me my decision was because it was very serious,

(25:22):
I made a decision I was going to go to
the beach for as for as long as I had.
I didn't know what was going to happen, and I
really wanted to heal, and I felt like that was
really going to help me out. I couldn't afford to
live at the beach, like, you know, buying a single
family home. And I could afford condos at that time,
but I didn't want to buy a beachfront condo because

(25:42):
all the problems with the condo stuff that's happening right now.
I couldn't afford new construction on the water. I probably
could have afforded, you know, an ocean front you know,
an ocean front community somewhere, but it probably would have
been a fifty sixty year old building. I don't really
want to go through that, and I'm so glad I
didn't because the place I'm running right now, my landlord

(26:04):
is paying seventy thousand dollars for concrete restoration. That's in
one building. There's one hundred and fifty units, so they're
all paying that, yep. And there's four buildings each have
one hundred and fifty people. So can you imagine how
much money is being spent? And it's a fifty year
old building in it's probably going to have more stuff

(26:25):
in the future for sure.

Speaker 2 (26:26):
Yeah.

Speaker 5 (26:27):
So it still has cast iron pipes for its draint,
you know, for its sewage and stuff, and that's breaking
all the time.

Speaker 3 (26:34):
So you would have been one of those people because
you're you're I think you're coming to the like realizing
you don't necessarily want to live on the on the
beach anymore, right, Like you want to think about moving
somewhere else. So you'd be selling a condo in a
very difficult time to sell a condo.

Speaker 6 (26:51):
Yeah.

Speaker 5 (26:52):
So I'm really glad I stayed there. I really felt
like it helped me get through the journey I went through.

Speaker 2 (26:57):
Well, it's not like it's anybody's business, but you, uh,
you've owned property with them.

Speaker 6 (27:02):
I've phoned, Yeah, I've found a bunch of property.

Speaker 2 (27:05):
But this is primary resident within the last decade. Yeah.

Speaker 5 (27:08):
So the thing was is that it was a personal choice.
It felt weird. It still feels weird not owning a property,
but this year I really is like, you know what,
I'm healthy, I'm strong. I miss having a dog. I
want a dog. I don't want a little, tiny dog,
I want a bigger dog. So I can't do that
in a condo. I'm like, I gotta go get a place.

Speaker 2 (27:27):
So the taxes are getting prepped accordingly. Yep.

Speaker 3 (27:30):
So you know, Jim, you get a house, you get
a dog, then you're gonna get a lady.

Speaker 6 (27:35):
I don't mind the lady, but not the W word.

Speaker 3 (27:38):
Oh yeah, never, I can't.

Speaker 2 (27:41):
Remember. I'll take a lady, but I like it.

Speaker 5 (27:51):
But yeah, so yeah, so I'm doing exactly what I
tell people on the air, right, Uh, self employed, you
got to talk to your mortgage persons say hey, this
is what I think I want to do.

Speaker 6 (28:03):
You know, can I do it? What do I need
to show?

Speaker 3 (28:05):
And we started talking about that last year, right, So
I actually just had a closing this week. Jim a lawyer,
self employed, who I've probably been talking to for three
years about, you know, just kind of prepping like they
weren't ready then, but this was their time. They were ready.
But we had been talking about it and saying, hey, listen,

(28:26):
really it's really important you need to file your tax returns,
you know, not in a way that's you know, usually
for self employed borrowers, it's about kind of minimizing taxable income. Right,
So that you're not pay the least they pay the
least amount of taxes that the IRS allows. Essentially you
take advantage of whatever deductions they allow the maximize it. Yeah,

(28:46):
very very common, but when you're trying to qualify for mortgage,
you kind of want the opposite. You want you want
like maximum taxable income right within reason and certainly enough
to get you into the price point that you feel
like you need to land in, because.

Speaker 2 (29:00):
If you're getting a loan in particular, well.

Speaker 3 (29:02):
Certain yeah, trying to apply and listen, these days, that's
not the only way. It's not always about tax returns.
Like there's alternative income docs like the old stated income.
It's kind of not quite that severe, although that's an option.
There's bank statement analysis and profit loss, but those are
higher risk loans and with higher risk means elevated down

(29:22):
payment requirements and elevated interest rates and fees essentially, so
still the traditional kind of conventional f h a VA.
You know, you got to look at tax returns or
self employed and so.

Speaker 2 (29:33):
Even even if you make good money, they can they
can qualify with a higher risk and then essentially without
mortgage insurance, you're paying for mortgage insurance because you just
said you're gonna have more skin in the game, You're
gonna have a higher interest rate. Sure, so, and that's
that's what mortgage insurance is is for a higher qualifier.

Speaker 3 (29:51):
Yeah, that's exactly. So mortgage insurance offers coverage for a
higher risk loan. So those load down payment fha uh
conventional load down payment has m I. So that's it's
very good way of thinking about it. But that twenty
percent down threshold is a very difficult one to achieve
for most people. Right, So, if you're buying, you know,
a five hundred thousand dollars home, that's one hundred thousand
dollars on the down payment, right, right, then.

Speaker 5 (30:13):
Let's let's plow through the break at the nine thirty break.
Let's just plow through. We'll do the ten o'clock break.
Let's just keep talking about this because this is good
stuff right now. To me, this is like Grade A
info for people that are just thinking, like, I'm so frustrated.
I want to buy something, but I don't know how
to get there. I don't know what's happening in the economy,
so I don't feel confident, you know, about what my

(30:34):
plan should be because it seems like it's changing every moment, So.

Speaker 2 (30:38):
If you want to be involved eight seven seven nine
two seven six nine six nine, that's toll free. You
can get involved in the conversation if you have a
question common concern. Of course, if you're not comfortable on
the radio, always remember Florida talkre Estate dot Com. You're
once stop real estate shop access to the entire team
pros pros experts in their field at Florida Talkreestate dot
com Florida Talk real Estate dot com.

Speaker 5 (30:59):
So one of the reasons why I decided this summer
to go ahead and buy like this year, because I
was pretty close last year. I was thinking about it
last year, but then staring at that ocean every day
and like, yeah, maybe I'll squeeze it out just a
little bit longer. But now it's like now, I definitely
got to do something. But there's also like economic things

(31:22):
that I'm doing for this right Why I'm doing it
number one, besides the need that I want to buy
a house and I feel like it's my best interest
for the long run, but also like right now specifically,
I've gone through the period where now I am a
first time home buyer again. So under the pro you know,
under the guidelines, I haven't owned a house of primary

(31:43):
residence for three years or longer, right, so now I
qualify to get the state down payment assistance program if
I want, as long as my income is okay and everything.

Speaker 2 (31:52):
Why would you not want?

Speaker 1 (31:54):
Right?

Speaker 5 (31:54):
Why wouldn't you want to take advantage of that? So
I know that, like in what I'm looking at right now,
that I could get somewhere between ten thousand from the
state of Florida up to about twenty two thousand from
the State of Florida on the on the price range
I want to be with my down payment, and I
probably am only going to need about thirty thousand to

(32:15):
come to the table roughly. So if I got the
twenty two thousand, it's like paying first last security almost right.
And even if I only got ten thousand, that's two
one third of the money that I need of the
thirty thousand.

Speaker 6 (32:27):
Are you am I.

Speaker 3 (32:28):
Wrong about second?

Speaker 2 (32:29):
First?

Speaker 3 (32:29):
First last security? Is like, where are you living?

Speaker 2 (32:31):
That's uh cheap? Well, I'm living on a month.

Speaker 6 (32:34):
No.

Speaker 3 (32:35):
No, if it was you said eight grand, I'm like
you said, twenty two was pulling out of.

Speaker 6 (32:42):
My pocket eight grand? It's like first last security.

Speaker 5 (32:45):
Yeah, yeah, so but anyway, so those are some of
the reasons why I want to use the down payment
assistance programs. The other thing is, and this is going
to get people freaked out. Okay, well not freaked out,
but they're going to be surprised the interest rates aren't
that bad.

Speaker 6 (33:00):
And what do I mean by that. I've been looking
at these interest.

Speaker 5 (33:03):
Rates now with you know, with everybody on the show,
and what we found out is for the last like
eighteen months or so, this is where we've been.

Speaker 6 (33:10):
Where we are right now is kind of much where
we've been.

Speaker 2 (33:12):
Now.

Speaker 5 (33:13):
Has it gone up a quarter point or down a
quarter point from where we are right now? Absolutely a
quarter point is important when you're trying to save money,
but it shouldn't be the difference of better whether you
buy a house or not. A quarter point interest rate,
how much do you think Let's say, if you're I'm
making up a number here, guys, and I'm really making
up numbers. But let's say you're buying a five hundred
thousand dollars house, mic right, okay, and let's just say

(33:35):
you're putting ten percent down and you can get it
for just to make easy numbers, seven or seven and
a quarter. What would what would the difference be on
that twenty that point twenty five difference? You're probably on
the mortgage.

Speaker 3 (33:53):
I could plug it in and but my gut is
just it it's like one hundred and twenty bucks.

Speaker 5 (33:58):
Maybe, oh it would be that much. A quarter point
would be that much. I thought you were going to say,
like twenty five dollars or something. No, well, yeah, yeah,
and I picked a number just out of my butt.

Speaker 2 (34:10):
Yeah, sent down for fifty financed. Yeah, you're looking at
you know again, ball parking.

Speaker 3 (34:16):
Yeah, hold on, So maybe maybe I should have a
better feel for that than.

Speaker 6 (34:20):
Okay, I'm throwing it out there blind here.

Speaker 5 (34:23):
So So the thing is, though, is that we're at
an interest rate that isn't crazy high, and it's not
crazy low. We're at an interest rate that we've seen
many many times over the last forty years, and we're
not even at the higher end.

Speaker 3 (34:36):
Is that goldie locks? We're at the Goldilocks zone for
interest right?

Speaker 5 (34:39):
Well, I wouldn't say that because the prices are really
high right now.

Speaker 2 (34:43):
And that is that? What does that mean? Exactly?

Speaker 6 (34:45):
Oh? Goldilocks? Not too hot, not too cold, just right,
not too high.

Speaker 2 (34:49):
Not too low. Perfect Yeah yeahcha.

Speaker 5 (34:51):
So but so the interest rates are not stopping me
from looking to find something that I want, this affordable
and I want buy because waiting for the interest rates
to get lower, I know what's going to happen. When
that happens, I'm going to be fighting with everybody in
order to get my deal.

Speaker 6 (35:09):
But now I could walk around.

Speaker 5 (35:11):
Really slow like a tortoise, go to house to house,
peek in and see if I like it or not,
come back three times. I'm not doing any of this,
but come back three times and the property will still
be there most probably, And you're not.

Speaker 6 (35:25):
Turning infulasking price. Let's be real. When you're the buyer's side,
you're not turning in ful asking price.

Speaker 3 (35:30):
Or you could, you know, get that eight grand that
you need, get that from the seller.

Speaker 5 (35:33):
Potentially that's that that was going to be my next part, Mike.
So not only no, that's okay, No, that's okay. So
interest rates are not crazy high, crazy low. I know
that if I buy now and the interest rates drop,
I'll just REFI when it makes sense, and then I'll
even have a better station. But I'm not even worried
about the interest rates you know why seller's going to
give me money for that?

Speaker 2 (35:53):
Yeah?

Speaker 5 (35:54):
Right, So not only I'm going to get the down
payment is this is this is my plan. Not only
we're going to get the down payment assistance right to
help me pay for down payment and closing costs. You
can also use that to buy down the mortgage rate,
but I'm not going to do that. I'm going to
ask the seller to give me money to buy down
the interest rate.

Speaker 6 (36:10):
You could do that, now, I know all the sellers
out there. Give me the finger.

Speaker 3 (36:13):
What, Jim, don't you represent us?

Speaker 2 (36:15):
Jim? I do, like, yeah, when I'm your.

Speaker 5 (36:17):
Selling agent, negotiated hard this week for my customers.

Speaker 3 (36:23):
Let me answer your math questions. Okay, So it's a
four hundred and fifty thousand dollars loan amount. We're talking
about the dif between seven and seven and a quarter.
It's about ninety dollars sorry, eighty dollars a month.

Speaker 5 (36:33):
Eighty dollars a month. That to me is not I can't.
I don't want to buy a house now because it's
eighty dollars a month more.

Speaker 6 (36:40):
That's not a.

Speaker 5 (36:41):
Number that I think if you're realistically about trying to
buy a house that you're going to say I don't
want to do it because it's a quarter.

Speaker 2 (36:47):
It it affects you if you are stretching your limits.

Speaker 5 (36:49):
It can when you're at the upper limits. But you know,
instead of not buying a house, unless it's really a
deal breaker, you could always change what you want from
your house to get into. If the eighty dollars is
really important, you could find a house that will save
you that eighty dollars a month. And sometimes the sellers
will do it. I was just reading an article yesterday
where they're talking about how there are more seller concessions

(37:13):
going on. Seller concessions are when the seller offers something
other than a price drop to the buyer to incentivize
the buyer to buy their particular house right or this
buyer needs stuff, so they go to the seller and go, hey, Johnny,
I want to buy your house, but I need this
from you in order for me to pull out the deal.

Speaker 3 (37:33):
I can only buy it if I get eight thousand
dollars credit.

Speaker 5 (37:36):
A lot of sellers are saying yes to that now,
and they're actually doing this. I just read one where somebody,
in order to make the deal work, paid for the
hay upfront.

Speaker 6 (37:46):
For seven months.

Speaker 2 (37:47):
Now.

Speaker 5 (37:47):
I don't know why that helped them in the long run,
because it doesn't really affect the debt to income race
or anything. It's still the same amount every month. But
it made a deal. It made a difference of the
seller selling the house.

Speaker 3 (38:01):
The one scenario that would pop to mind likes you
have limits on how much money you can get from
what's called interested parties. So like seller, your real estate agent,
the lender, like contributing towards your closing costs. Number one,
it can't exceed your total closing costs. Right, we're not
talking about money. That money can't go towards your down payment, right,
It's going to go towards other costs. So if you
happen to negotiate a credit that exceeds either the total

(38:24):
of all of your closing costs, or that's higher than
what's allowed, Like maybe Fanny has a three percent limit
on seller concessions. So if that's the case, but you
got some extra money you don't want to leave on
the table, you're like, well, would I do that? You
have to increase your costs somehow. Well, instead of increasing
your costs, they're basically saying, okay, we'll pay for my
HOA for six months.

Speaker 2 (38:44):
Put it over.

Speaker 3 (38:45):
It's not a cost. It's just like it's not an
inducement to purchase. It's just you know, a way of us,
you know, not leaving money on the table. Another way,
Jim would say, Okay, well that's too much money. I
need to increase my closing costs. Let's throw that money
at an interest rate. So I've negotiated whatever, call it,
fifteen thousand from a seller, but I only got twelve
k and total costs. Okay, let me take three thousand dollars,

(39:07):
buy down my interest rate and not leave that that
negotiated seller credit on the table.

Speaker 2 (39:12):
So you just you said, Jim that the concession isn't
necessarily and actually the numbers are starting to show that
it's not lowering the price. There's other concessions. Price drops
are happening. Of course, all you have to do is
pay attend to the market that is happening. But there's
from just listening over thirteen years, there's more. Excuse me,

(39:36):
there's more of a benefit to the buyer with those
concessions because of the closing costs aspect, right, than lowering
the payment, because they if you just lower the cost.
The seller still has to come up with all that
money for downpayt well for closing and other fees. And
if they if they give, if the seller gives those

(39:56):
concessions to the buyer for that, that's less money they
have to them up with. So there's almost more of
a benefit to do it that way versus the price
shop for the buyer.

Speaker 3 (40:06):
It depends on the scenario. So I think most people
think when you're negotiating, like let's say typical scenario, you
get into contract, you go, you do home inspections, and
you got whatever four thousand dollars of things that you
want to ask you want to ask for money, right,
four thousand dollars of repairs or anticipated costs or whatever.
And so hey, seller, we've done our inspections. We found

(40:26):
this dollar amount of issues. Most people say, okay, let's
reduce the price, right, So you go from four to
fifty to you know, for forty six, right, something like.

Speaker 5 (40:36):
Five thousand, because we have a step for that, so
say five thousand dollars.

Speaker 3 (40:40):
Yeah, five five thousand dollars, right, So you have a
price from four to fifty to four to forty five
for that five thousand. So if you're financing, that five
thousand dollars price reduction doesn't benefit you. It's not like
it's leaving five k in your pocket, right because you're
financing ninety five percent of the price, So your cash

(41:01):
requirements only get reduced by five percent of the five
thousand dollars reduction, right, So you would like you basically
still bring in the same amount of cash. Now, if
you contrast that with Okay, instead of doing a price
reduction from four to fifty to four forty five, let's
leave the price at four fifty. But I want a
five thousand dollars credit towards my closing costs. Right, that

(41:23):
basically leaves five grand in your pocket. Five grand, and
it's five grand that you can use to effectuate the
repairs that you that you spotted, right, So you can
use that upfront. So that's like an example of inspection
seller seller credit, but you can also use it like
you go into the negotiation, Johnny, like I need five
grand because I don't have it, right, I can't close

(41:44):
on this home, this home, this particular home. I got
my app I know my numbers. I need five grand
more than what I have. Where am I going to
get it okay, So mister missus seller, I'd like to
offer you four to fifty, which you want, but I
want a five thousand dollars seller credit just towards my closing.

Speaker 2 (42:00):
From the seller perspective, what's the difference besides framing it
in your head between dropping the price five grand and
giving them five grand concession.

Speaker 5 (42:08):
Some sellers are very nervous that when you start messing
even talking about that kind of stuff, a person can't
afford the loan, They can't qualify. Why am I Why
am I going into a deal with this person? They're
not going to close. They can't even afford to buy
the house without me, right, So they get very hyped
out about that, right.

Speaker 3 (42:27):
Or if the maybe appraisal comes in low, then what.

Speaker 5 (42:32):
That isn't there? They don't even think that first. The
first thing the seller thinks is they Mike can't afford
this loan. He's asking me for five thousand, or he
can't buy the house.

Speaker 2 (42:41):
So that's all part of framing it in your head.

Speaker 5 (42:43):
Yeah, so in their attitude, And I'm not saying that
they're right or wrong. I'm just saying that's their feeling, right,
and some people have to right or wrong.

Speaker 2 (42:51):
It's wrong, Well it is, that's wrong. He shook some people.

Speaker 6 (42:57):
Some people just don't.

Speaker 5 (42:58):
I had a customer out in the acreage reach recently.
She did not just did not believe in that right.
She just if you can't just buy the house out right,
you know, then you should be buying this house.

Speaker 6 (43:10):
Well, well she has.

Speaker 3 (43:11):
She flushed herself. Yeah after selling.

Speaker 6 (43:15):
What do you mean?

Speaker 2 (43:15):
I mean?

Speaker 3 (43:16):
Was she financially Oh yeah, yeah, stable.

Speaker 5 (43:19):
Yes, she And this wasn't like a desperation sale or anything.
But but her attitude was, I don't want to go
into business befeople that can't afford it outright. And it
was a line in the sand and I wasn't going
to cross it because that's the way she felt she
had to her house right now. Could she had more
opportunities if she was more open minded about that and
cast a bigger net where you find qualified people because

(43:43):
I understand what people were afraid about when people are
asking for concessions. But Mike, how many times do you
see not everybody? Because I can give you horror stories
on as the listing agent where we took deals and
they needed the concessions and the.

Speaker 6 (44:01):
Deal fell apart. Anyway.

Speaker 5 (44:03):
But that doesn't normally happen when I work with buyers
and need concessions, and I'm working with Mike because Mike
does his research to make sure that everything's okay. They're
going to close, right, Right, Let's all about closing, right,
But is it really that unusual for people that are
asking for the concessions not to be able to close?

Speaker 6 (44:19):
Do you think? Industry wise?

Speaker 3 (44:22):
I mean, I definitely would say that. Uh, the amount
of cash required is oftentimes the biggest hurdle with buying
your first home, right, usually your your first home, because
if you're selling a home, you've you've developed some equity
and stuff. So uh, and that's where the down payment
assistance programs have always been really really helpful because it

(44:43):
allows you to kind of overcome that hurdle. But seller
credits has also been one of the tools that we
have in the tool bag to say, hey, listen, you're
a little bit short of what you're going to need.
Where are we getting this money? Right, So, you're probably
gonna need whatever twenty two thousand dollars, you only got
fifteen in the bank. We're going to need some help.
Where's it coming from? Oh, your family? Maybe they kick

(45:04):
in a few thousand, great, let's count on that. Talk
to them about that. Maybe you can get a seller
credit to just kind of your real estate agent has
to know what they're doing, and they just work it
into the deal. Like you make your offer. You need
five grand, that's what that's the offer you're going to make.
If they have objections to it, talk to them about it,
like it should be able to Johnny's point, like at

(45:25):
the end of the day, for the seller, it's kind
of like, are you willing to walk away with this
amount of money? And if you're okay with that scenario,
you shouldn't mind so much how we together to get
you with that walk away number.

Speaker 5 (45:38):
And that's always my attitude, yes, Like what's the like
when I'm selling something, my attitude is what's the bottom
line of getting And if we have to work things
around and make it work for all sides, that's okay.

Speaker 6 (45:48):
As long as I'm satisfied as long as you get
into number.

Speaker 2 (45:51):
Yeah.

Speaker 3 (45:51):
And the other thing, like some sellers, like they really
really shrewd seller is going to say, well, I'll take
the fifteen thousand dollars price reduction because my commissions are
a percentage of my sales price. If I reduce my
sales price, then I get to pay less commissions. And
then you say, yeah, but you're talking about you know,
five percent of fifteen thousand, you know, so you can

(46:12):
kind of get into that. But at the end of
the day, it should be for the seller generally six
of one, half a dozen and the other. So your
proceeds are going to be the same either scenario.

Speaker 6 (46:22):
And here's another reason why. So we have.

Speaker 5 (46:26):
Interest rates are not horrible, okay, we have down payment
assistance programs. We've got sellers that are offering more concessions
than we've seen since two thousand and nine, of course
the nation, right, and then we have another thing, growing inventory.

Speaker 6 (46:46):
Right. The market SATs came out this week.

Speaker 2 (46:48):
And you mentioned No. Nine. I read the other day,
or at least the headline that said, our home sales
are the slowest they've been since.

Speaker 6 (46:55):
Over and so nine.

Speaker 2 (46:56):
That's interact. And you said we're giving more concessions than
we have.

Speaker 3 (46:59):
Some nine that it's kind of like inventory increasing days
on market, you know, increasing.

Speaker 5 (47:07):
And and the other thing is it's just like the
last crash we had. I'm not saying we're in a
crash guys. I don't want anybody to make it sound
like we're we're going through a change.

Speaker 6 (47:16):
I don't know if it's a crash, right, what do you.

Speaker 3 (47:18):
Call it when your teenager has a fender bender in
the shopping mall parking lot fender that's not a crash,
that's just you know, paying attention to slow down to
the park.

Speaker 2 (47:30):
I bumped them.

Speaker 5 (47:33):
But what what happened was is what's happening now is
this inventory has grown tremendously. Ports Saint Lucy, Saint Lucy
County has more monthly inventory than any of the other
five counties surrounding it. How crazy is that Saint Lucy
was always the lowest inventory because it was the inexpensive
homes that everybody wanted to buy if you were on

(47:54):
a budget. Now Port Saint Lucy has more homes for
sale percentage wise than Broward or Palm or Dade or
Indian River County or Martin County.

Speaker 6 (48:05):
How crazy is that? Right?

Speaker 5 (48:07):
So we're going through changes right now. So now you
have all these houses to choose from. So this is
another great reason why it's to be a buyer. You
have all these houses to choose from. You have houses
that are in great condition, and yeah, they're gonna chart,
they're going to be asking for more money. But if
you want that turn key property where you don't have
to do anything with the newer roof, and the kitchen's
been done and bathroom's been done, and you're willing to

(48:29):
pay fair what's fair market value, not crazy market value,
but fair market value and maybe even a little tiny
bit less, you can find those out here. And if
you want the fixer upper, where you want to get
the extra equity in the house because you want the
house that isn't fixed up, I'll put the kitchen into
way I want and I want to put in my bathrooms,
or I'll put on the roof, I'll deal with it

(48:51):
later or whatever, and you can get the house much
much lower in today's market because the inventory is so low.

Speaker 6 (48:57):
All of those homes. There's really good opportunity out there.

Speaker 2 (49:00):
Now.

Speaker 6 (49:00):
Well, all the sellers just came in and give you
what you asked for.

Speaker 5 (49:04):
Absolutely not. But you're only looking for one, right, You're
only looking for that one sellar that wants to work
with you in the house that you like. Yeah, and
let me tell you I've worked with some great of course,
it has to be a house you.

Speaker 2 (49:15):
Like, I would fight a second.

Speaker 6 (49:23):
Hey, why'd you buy your house? Bob? Yeah, Bob, he
was an amazing seller.

Speaker 5 (49:30):
I had a couple that I should do a shout out,
and I'm sorry I'm late on this, but James and
Rachel they sold the Brady Bunch House.

Speaker 6 (49:37):
We closed on the Brady Bunch House.

Speaker 5 (49:38):
Right, cool, that's the sixth bedroom, the six bedroom tune
out in pomp Each Gardens.

Speaker 2 (49:44):
Yeah.

Speaker 6 (49:44):
We went through heck.

Speaker 5 (49:45):
With that house, right they were selling it and I
was selling it. And then we went into contract with
somebody who went through heck and back because they said
they were doing cash but it was really hard money,
which is whole thing we'll talk about on some other show.
And then they decided to do conventional financing instead, and

(50:06):
the whole thing turned into a mess, and then the
deal died. Then we had to put it back on
market and sell it again. And let me tell you,
these sellers were highly motivated to get this deal done.
They gave a great deal to that buyer, and I
almost felt it was almost too great of a deal.

Speaker 6 (50:24):
But the house had been sitting on the.

Speaker 5 (50:26):
Market for a while, and they were just put a
fork in and I'm done.

Speaker 6 (50:30):
And they were happy. They were.

Speaker 5 (50:31):
They sent me the nicest email yesterday saying how happy
they were and what a great job you know, me
and Nancy and the team did and everything, and we
did great. But they went through theirs was not a
smooth transaction. They went through some very severe bumps in
the road. Had the chipper chippy when you say somebody's chipper.

(50:51):
They had a very chipper attitude about the whole thing.
I wouldn't say they were happy about it, but they
had a really okay.

Speaker 6 (50:56):
Attitude about it. Yeah, And they were very.

Speaker 5 (50:59):
Positive, and they really wanted and this has happened a
lot of times with myself, they really wanted to like
the buyers that they were selling with. It seemed like
in like COVID time, it was very more transactional. But
it seems like lately the sellers and buyers are communicating.

Speaker 3 (51:17):
That sentimental connection a little bit.

Speaker 6 (51:19):
Yeah, and that it makes.

Speaker 5 (51:20):
Them feel good. Both sides make field. Oh that seller
is awesome, I can't wait to move into this house.
Oh those buyers, I really want them to buy my house.

Speaker 2 (51:28):
They're gonna be great.

Speaker 6 (51:28):
And that's nice.

Speaker 5 (51:29):
It's really nice when you go through those kind of
phases as opposed to the tough you know, we got
a deal or no deal kind of thing, and it's
all transactional.

Speaker 2 (51:36):
Right.

Speaker 5 (51:37):
But that's another reason why it's great to be a
buyer in today's market is because of all the inventory
out there. So there's just so much going on.

Speaker 3 (51:44):
So you end up selling to a different, different buyer.

Speaker 5 (51:47):
Uh huh, we sound to a different buyer and they
got an excellent, excellent deal on it.

Speaker 3 (51:51):
No, really, I'd say there's a there's a cautionary tale there,
Like you start out you're making a cash offer because
you're basically doing cash equivalent type financing, and then you're
switching it up to conventional mid term and that seems
like a very big change, right, Like, wait a second,
how did you get to that?

Speaker 2 (52:07):
Now?

Speaker 3 (52:07):
It just so happens. I have one loan right now
where I'm kind of massaging the loan program based on
certain factors. So it's not you always you know, do
you start off with plan A and then sometimes you
have to pivot plan B.

Speaker 2 (52:19):
Maybe you have a body, your lower body, what are
you rubbing on right now?

Speaker 3 (52:24):
Massaging? Mean, yeah, we're down towards the legs. Actually it's
like yeah, but but yeah, to go from Martin, nobody's
gonna pick me your life. To go from her preventional
that's a pretty big that's a pretty big change.

Speaker 5 (52:42):
Yeah, it really is. And they had problems with the insurance.
That house was nineteen sixty four, but it had a
newer roof, like twenty nineteen or twenty twenty one. But
it had cloth wiring, right, so that that is pretty
scary for people to have cloth wiring in the house.
So Ross was able to give us the guidance that

(53:02):
we needed for that and everything, which I want to
do the roundup before we were gonna after this, We'll
go ahead and take the break. But I wanted to
say uh to everybody that responded to the weekly email
I put out. I put out the weekly email. I
was actually late this week. I usually put out on Mondays.

(53:23):
I put it on Wednesday this week because I actually
write them. I don't My coach told me to have
a I have a I do my weekly newsletter. Yeah,
I'm like, nah, I don't want AI telling our audience
what's going on.

Speaker 6 (53:38):
I don't trust AI.

Speaker 5 (53:39):
But anyway, I put out last week. I think the
headline was here's how Ross might be able to save
you some money. I think was the email and h
and a whole bunch of people you know, reached out
to Ross. And one of them is watching our show
right now.

Speaker 6 (53:58):
It was Susan.

Speaker 5 (53:59):
So Susan, thank you so much for reaching out to Ross. Betty,
thanks for checking us out on Facebook. Hey mom on YouTube.
Mcgaly you're out here all the time on Facebook. Thank
you so much. Francis, thank you, and hope everything's going
well for everybody. Hoping you were having a happy Saturday.
But it was really great. Everybody's come out now. I
haven't seen all the results of it yet. Of the

(54:21):
people asking for insurance quotes, oh, the whole point was
insurance is getting cheaper. It isn't like dropping like crazy,
but you may be able to save some money. If
you want to free quote, all you got to do
is reach out to us, give us your address. We
get over to Ross. Ross will give you the quote.
And he also said auto insurance is dropping too, so
you might want to get your auto insurance check with

(54:42):
him also. Okay, so that's what people are doing. They're
just reaching out from that email and giving us their address.

Speaker 6 (54:46):
It's that simple.

Speaker 5 (54:47):
All they do is send us the address and then
we get over Ross. And I've seen Ross responding to everybody.
I think a couple of them were able to get discounts.

Speaker 6 (54:56):
Some of them were not. Ross was like stay where
you're at.

Speaker 3 (54:59):
Right, good advice to receive from a professional, Like, hey,
I've taken a look, you're okay where you're at.

Speaker 2 (55:05):
You're doing it best.

Speaker 6 (55:06):
Exactly and it's free.

Speaker 5 (55:08):
So and you know it takes you nothing other than
writing your address and an email to us, and then
you get the response back.

Speaker 6 (55:14):
It's pretty cool.

Speaker 3 (55:15):
So doesn't take a long time. Is there some sort
of priority rush?

Speaker 6 (55:19):
Actually? I saw Ross to some of these the next day.

Speaker 5 (55:22):
Yeah, the horror took them the whole next day to
respond right. Usually same day, no later the next day,
almost always, unless I guess you're doing it like ten
o'clock at Friday night.

Speaker 3 (55:31):
Right, I mean Amazon could do it. Why can't Russ?

Speaker 2 (55:34):
I don't know.

Speaker 6 (55:34):
Yeah, we'll have to talk to them about it.

Speaker 3 (55:36):
Slacker, slacker Rosses.

Speaker 5 (55:38):
But that that's awesome. If you guys aren't part of
that newsletter's like newsletter? What newsletter? We probably don't have
your email or you've junked us and you're not getting it.
So all you got to do is reach out to us.
I guess you'd have to reach out by text or
phone call, so it's the email's not working right and
just say hey, I want to be part of that newsletter.
A couple of weeks ago, we had some stuff about

(56:00):
Mike in there and what's going on with Mike for
REFI is it a good time to refile or not?
And stuff like that, so we kind of keep you
updated what's having the market, if anything interesting we learned
on the show this Saturday. Before we throw that in
there the emails, Nancy says, I should be writing three.
I could get three weekly newsletters out of one because

(56:21):
I try to give a lot of information what's happening
that week. So I know it's long. You don't have
to read all of it. Just read the headlines that
you think are most appropriate to you and move on
and share it with other people and ask them to
get involved in it.

Speaker 2 (56:34):
Do that.

Speaker 6 (56:35):
Okay, let's do a quick breaky yeah, let's go ahead
and do a break.

Speaker 2 (56:37):
What are we going to get into on the.

Speaker 5 (56:39):
Flip side, We're going to talk about what actually happened
with the interest rates last week because everything was so crazy,
and we're going to get it from a real life
person that works on interest rates every single day, every day,
even though last week he was on vacation, so he
probably doesn't know what happened last week.

Speaker 6 (56:54):
All he knows is can I have another margerie?

Speaker 2 (56:57):
Yeah?

Speaker 3 (56:57):
I knew it, but I forgot. I drank it away, Yeah,
it away. I'll tell you my first margarita there was
super stiff. Came like it came. It was clear, Johnny,
it was clear. And I finished that and I told
the waitress, I said, you know what, I'm I have
another one, but I want it just like that first one.

Speaker 2 (57:15):
I found the tough part about getting that, like super
stiff one out the gates or the net first two. Yeah,
even if they keep pouring them good, you're like, there's
no booze in this. Yeah.

Speaker 3 (57:24):
Yeah, I start to fall off the fall off, Yeah,
and then you're just you just switch it up. I mean,
who wants that much tequila? Honestly?

Speaker 2 (57:31):
Yeah? Come on, right, because another line's jumping in Florida.
Talkreal estate dot com. That is the one stop real
estate shop. We're on Facebook and YouTube and you should
utilize all those resources, this great information, all the above.
But if you go to Florida Talk real Estate dot com,
this is access to the entire team. When you're buying
a home, selling a home, if you're stuck with a home,

(57:53):
you don't know what to do. You need to prepare
for a big life change. They gotta have professional guidance
pros pros. You probably know people that are okay at
what they do, people that are good at what they do. Personally,
I recommend going to people that are great at what
they do, and you have a resource, a team of
people that are phenomenal at what they do that work

(58:13):
cohesively together. I see it all the time. You can
experience it for yourself. Florida Talkrealestate dot Com. Know it,
use it, love it, share it. You can change lives
with Florida Talkrealestate dot Com, including your very own. We're
back and for minutes. Thanks for being with us every
Saturday Florida Talk real Estate. Right here, it's real Radio.

Speaker 1 (58:45):
This is Florida Talk real Estate with Jim Depola and
Johnny c. Got a question for the show. Call us
live at one eight seven, seven nine, two, seven sixty
nine sixty nine.

Speaker 2 (58:55):
Say it again eight seven seven nine two seven six
nine six nine. That's toll free. We got almost an
hour remaining for you on this Saturday. It is the
twenty sixth of April. Of course you can be a
part of the program. Come on in questions, comments, concerns.
I just gave you the number. The first voice you'll

(59:16):
hear if you do just that. There's our producer e stortinair, Jimothy,
what's up, I dude, Good morning gentlemen. Always good to
see you. See walk Johnny C is me here, o,
Buddy or old palm? Mike Row. He's the mortgage guy
from the mortgage firm. He's here in present, yep present.
If you don't believe me, you can join the live
stream on Facebook or YouTube. That's Florida Talk Real Estate
hit on either either.

Speaker 3 (59:35):
This is not AI, No, it is yes Yeah to
April twenty six, twenty twenty five, thirty five.

Speaker 2 (59:44):
We got our favlest leader here as well. Thirteen plus
years now. I've told you he runs a top producer
in Kelo Williams team, the Florida Home Pros team in
Kellowilliams Innovations. There's Jimmy D. Jim Depola.

Speaker 6 (59:53):
How you be if you South Florida, everybody's comble. Day
out early is nice day out.

Speaker 2 (59:58):
Can tell you a quick little thing. So from my
little girl's birthday, she's way into singing. She might be
a pop star one day or actress or both. She
might be a five tool. She got a karaoke machine
for her birthday. It's probably the best gift that she's
ever seen because it's just been pretty constant. And if

(01:00:19):
you're getna sing, you gotta you gotta exercise your muscle.

Speaker 3 (01:00:23):
Right, I'm thinking of the movie Taken right now. I
remember he got her the karaoke and then stepdad brought
out a pony.

Speaker 2 (01:00:30):
That's been on a lot lately. Yeah, yeah, yeah, I
can't not watch it either. But I'm I'm a sucker
for some karaoke. Like you don't have to twist my arm,
but karaoke. So she's like anytime she's like karaoke, I'll
just drop whatever, like let's go.

Speaker 3 (01:00:44):
Yes, I did it with the kids when we were younger.
You know, they didn't know my voice wasn't that good.

Speaker 2 (01:00:51):
They're like, oh, dad can say like yeah, and she's funny.
She's like, oh, it's it's in my range. I'm like, range,
Do you hear what I say? I don't have a range,
but anyway, I'm trying. I try to mix it up,
and she's she's always blown away. She's like, you know
all this music, babe, I'm fifty. Of course I know
a lot of music. You're twelve.

Speaker 3 (01:01:12):
She actually might not quite get how much information you
have stored up there, right, because you know a lot about.

Speaker 2 (01:01:17):
A lot, a lot of a little about a lot
of it, but.

Speaker 3 (01:01:20):
You also know like details of stuff like that. It's
impressive your militory knowledge. Yeah, stupid.

Speaker 2 (01:01:28):
Yeah. So I'm going through and I'm just trying to
find random songs, and I pick like five out right,
and I let them choose. I'm like, pick one through five,
and then it's just random, right. It might be a
country song, it might be a rap song. It could
be some like super R and B, which my wife
loves when I get all like soulful nice. She got
to pound it out right. Well. On my list last
night was and they never picked it was pink houses,

(01:01:50):
and I kept thinking about it the whole time, Like
that's throwback Florida talk real estate right there.

Speaker 6 (01:01:54):
Yeah, it really is throwback.

Speaker 2 (01:01:57):
That hasn't been our intro for a long time.

Speaker 3 (01:01:59):
But you guys had that.

Speaker 6 (01:02:01):
Think houses for you really?

Speaker 5 (01:02:03):
Yeah, And I wanted I actually wanted our house. I
wanted this song our house. Uh, you know, our house
in the middle of the street.

Speaker 2 (01:02:13):
Our house.

Speaker 6 (01:02:13):
I would have loved to have that.

Speaker 2 (01:02:15):
Is that still is a very very very fine house.

Speaker 3 (01:02:17):
Is that the same song?

Speaker 6 (01:02:19):
Yeah? I think it is. It's very fine.

Speaker 3 (01:02:22):
Is that the same as our House in the middle
of the street. I don't think that's two different songs.
It's two different I didn't know. I didn't think about that,
but I wanted.

Speaker 5 (01:02:31):
I wanted our House one and for some reason the
station said we couldn't do it. But then they allowed
little pink houses for you and me, and like, why
can we do that one and not the other one?

Speaker 3 (01:02:40):
Because they owned they had a license somehow, But.

Speaker 2 (01:02:43):
We had to get rid of Pinak houses. Well, that
was our partner at the time. Didn't like it. He
said it was a rob rob Yeah, what didn't about it?

Speaker 6 (01:02:57):
Yeah? He said that that song was racist. That's why
we changed.

Speaker 2 (01:03:01):
There's a racist undertones to the song.

Speaker 6 (01:03:03):
I didn't get a black.

Speaker 2 (01:03:04):
Man a little more, huh.

Speaker 6 (01:03:08):
Yeah, So I didn't.

Speaker 2 (01:03:08):
I glad I didn't do it for Kara.

Speaker 6 (01:03:10):
I didn't think it was ready to say.

Speaker 3 (01:03:11):
Which version did you do? The John Mellencamp version, or
it's been redone punk? There's a punk band who did it?
Maybe every punk band has redone that so I.

Speaker 2 (01:03:20):
Didn't get to it. It was one that went unpicked.
Oh okay, yeah, okay, that's pretty wild.

Speaker 6 (01:03:25):
Yeah. I forgot that. We forgot that's why we changed it.

Speaker 5 (01:03:28):
I forgot that's why we changed But you're right, Rob
had asked to change it.

Speaker 6 (01:03:32):
I forgot about that.

Speaker 5 (01:03:33):
Hey, I can't believe I'm reading this. Okay, So you
know what happened last week with the interest rates. Just
to give a quick wrap up, everybody lost their religion, right,
So we've been pretty we've been yeah, right, we've been
pretty stable for about twelve weeks now. As far as

(01:03:55):
interest rates, they went up a little tiny bit, down
a little tiny bit, but pretty much flat the whole way.
It was almost like glass on the ocean. And then
over the last ten days because of the whole tariff
crew haha, what happened was is that the interest rates
spiked pretty fast, like in twenty four hours. Everybody went

(01:04:15):
into shock because like this is going to be the
beginning of an upshoot that's going to not stop now
about a half point I think I'm going to get
to Mike about this in a second, because those are
day to day rates, and I only know that Freddie
Mack rate on a weekly rate, but day to day
I don't know. So anyway, the interest rates jumped up
a bunch, everybody started going complaining, and then it started

(01:04:37):
stabilizing again, and then I think the following Monday, which
was this Monday, it went up again, and then by
the end of the day went down. And from what
I understand, we've been pretty stabilized. So Freddie Mack last
week where we had six eight three percent, and then
this week the Freddie Mack Report, we're only at six

(01:04:58):
eight one. So after all that craziness, we only changed
point zero two. We actually went down point zero two.
Not that so you saved a nickel a month on
your mortgage payment. But but the thing is, we didn't
see that big seven, that number seven come up into
the Freddie Mack report. Now here's the funny part. Let
me just read this mic, and then I want to

(01:05:19):
ask you some questions listen to what for how Freddy
Mack described the last week. The average mortgage rate decreased
slightly this week. Over the last couple of months, the
thirty year fixed the thirty eight thirty year fixed rate
mortgage has fluctuated less than twenty basis points. And this

(01:05:40):
stability continues to bote bode well for buyers and sellers alike.
And don't like stability here. You get that, and it's
like they're just ignoring all the mayhem that happened. They're
just looking at the end result. This is where we started,
this is where we are.

Speaker 3 (01:05:57):
So was what they're saying points is point two so
to two tenths.

Speaker 5 (01:06:03):
Two tenths of a percent, So like six point eight
to seven point zero or six point eight to six
point six, yesto, something like that. But let me ask
you what happened in real life, So like when everybody
started losing religion that day because the bonds weren't being bought,
and then the bond rate went up pretty fast in

(01:06:25):
one day. Yep, did it hit into the sevens that day.

Speaker 3 (01:06:32):
It's it's hard to say whether hit into the sevens
because everyone scenario is going to be different. But I
would say that probably what most people's experience are who
are who should really be rate conscious are people who
are pre approved in shopping or in contract, but have

(01:06:53):
their rate floating, meaning they decided to not lock their rate.
They're floating for whatever reason. They the market's going to
get better, maybe they're closed days extended, they want to
wait and see, or I think most people just you're like,
you're pre approved and shopping and you're preapproved, and you're
you have a rate that you're kind of using for
your pre approval numbers and analysis. So if people in

(01:07:16):
that condition that can span months, it can span a
couple of weeks. And I had some some scenarios where
I was adjusting their pre approval number by half a percent, right,
so maybe from six and a half to seven or
six point six two five to seven point one twenty
five something. So there was a moment there and then

(01:07:38):
I was able to kind of bring it back down
because it's important when you're crunching your numbers. And you know,
Johnny has kind of experiences, he's been on a long
term thing. He's like, hey, Mike, can you get can
you up to my rate for me? Because I'm not
like super diligent with every single approval I have out there,
especially ones that are you know, longer term.

Speaker 2 (01:07:55):
Right.

Speaker 3 (01:07:56):
But so if you were in that world, you felt
it right because you might have been looking at this
house in the rate, maybe you're like right up against
squeaking against your edge, and that's where like that eighty
dollars difference in a quarter of a point or you know,
one hundred and fifty dollars difference can make or break it.
And so you saw it there and you felt it there,

(01:08:18):
and I'm feeling it because I'm like looking at rates
for various scenarios every day, right, so I'm seeing that
daily sometimes hourly movement in the markets, right, like I'll
get you know, like we've got this. We call it
our guys on Wall Street. The guys on Wall Street.
They'll they'll send out a lock alert, which basically means,

(01:08:38):
like this afternoon, based on what we're seeing in the market,
if you're locking now versus later this afternoon, it's gonna
be better now than later this afternoon, doesn't. They're not
talking about tomorrow or the next week. They're just saying,
if you're locking today, lock it now, don't wait for
the afternoon. Who puts it out? It's our guys on
Wall Street, That's what we say. To make it super mysterious. Somebody,

(01:09:00):
somebody who's got a reputation of you know, this is.

Speaker 2 (01:09:03):
This is mortgage firms like Juice in Connection.

Speaker 3 (01:09:06):
Yes, not exclusive to the mortgage firm, but yes, some
sort of paid service to somebody who you know has
at least positioned himself as an expert and convinced heavy
duty mortgage people that he knows what he's talking about
when it comes to that. Like, I always like because
when I first we first started doing that, I'm like,
when he's never ever saying hey, float float right, like

(01:09:28):
float till next week. It's never like that. It's just like, hey,
this afternoon's gonna be a little different than this morning
in the wrong way, So go ahead and lock it
in if or we're not, we're not going to advise
a lock just because there's nothing much happening right, So
it's kind of a weird, you know, alert system. It's like, okay,
you know, mister obvious, after a little bit pret like

(01:09:49):
I can watch the bond and see what's basic consistently,
No my taste I've seen I've seen him be wrong.
I've seen him be wrong right like this this past
few weeks. There were a couple where it just didn't
do what he was thinking. But remember he's not talking
about tomorrow. It's always about like, what's it look like
so far today, And if you're going to lock it

(01:10:09):
right now or you're thinking about wait until this afternoon,
it's not going to get better for you this afternoon,
So go ahead and pull the trigger, which I think
is solid advice most of the time. Like my my
general advice is to like just lock in as soon
as you can, uh if you if the rate moves
down between now and like your closed date sufficiently, we

(01:10:31):
have we have what's called a float down or a
rate we negotiating policy, which I've been able to take
advantage of with some you know clients. I'm always watching
for it, right, I know the people who I'm like, Okay,
we have seen enough movement. We can take advantage of that.

Speaker 6 (01:10:46):
So what do you mean by that? Because I'm not
sure everybody was clear on it.

Speaker 5 (01:10:50):
When you get a mortgage, when you when you get
into contract, you could lock it in, and if you
lock it in and then the interest rate does drop
with the mortgage firms that have a policy or i
don't know, flown policy float down policy where even though
you're locked in, if it goes down enough, they're going
to recognize, hey, we know that the rates went down,

(01:11:11):
we're going to allow.

Speaker 2 (01:11:12):
You to yeh.

Speaker 3 (01:11:13):
So essentially you're able to kind of like relock. Now
we have parameters. It has to meet certain thresholds, like
the rate has to be better by a certain percentage,
the cost or the points for the rate has to
be a little bit better by a certain amount. So
you're looking for all those stars to align, and then yeah,
you can lower your rate.

Speaker 2 (01:11:31):
There's a national brand that actually uses that as like
their marketing tool. Oh yeah, yeah. Yeah. The funny thing
is as well at the mortgage firm will do that too.

Speaker 3 (01:11:39):
But what you can do and the mortgage front, I
think we're a little bit more open about what's actually
happening because I'm basically when we're locking in, there's there's
no padding in there to kind of cover the float down,
whereas somebody who's advertising, like the one that really gets
me is like we're gonna lock We're going to lock
you in at your preapproval. We're guaranteeing your rate. We're

(01:11:59):
locking in your rate because you don't know if you're
going to be in contract in a month, two months,
three months, like when's your closed date. So it's just
like it's really uh like being in the business. I
just know it's a ridiculous premise and lenders will not
tolerate that kind of exposure, especially across all their customers.
And so the way they do that is they just

(01:12:20):
they have a little bit of headge in there when
they're locking that locked rate is higher than it should be, right,
it's higher than it needs to be, and that gives
them space to say, yeah, of course we'll float you down, right,
we'll float you down when it comes down, because they've
basically locked you in at an unreasonable rate. I would
say most that's my I don't know for sure, I
don't have like concrete evidence, but pretty sure that's what's

(01:12:42):
going on.

Speaker 5 (01:12:43):
So over the last ten days, it's been such a
big talk about the mortgage rates and what ended up happening.
Once the smoke is cleared up to this point, it
isn't like we're not going to have another puff of
smoke that we're going to have to go through a
million times again. But right now, all of that stuff
it didn't really mean any thing. I mean, if you
were out shopping for a house, your mortgage rate didn't

(01:13:04):
change dramatically. It didn't push For most people, it did
not push them out of there.

Speaker 6 (01:13:10):
It wasn't like such a shocking we've had.

Speaker 5 (01:13:12):
I could think of November of last year, I'm sorry,
November twenty twenty three, in May of last year, where
we had one point or three quarter point jump in
two weeks. Now, that can affect people, right, Mike, Like
if you go up a point and it stays yeah,
and you locked in at six, and then all of
a sudden the rates are at seven two weeks later,

(01:13:34):
that's a big deal.

Speaker 3 (01:13:35):
Yeah, we went like the I'm just looking at like
December twenty twenty one through you know that that summer
was a super sharp like increase right even even through
the end of We ended up November of twenty twenty
one at like close to eight percent, right of seven point.

Speaker 6 (01:13:53):
Well, if you look at September that was even if.

Speaker 5 (01:13:55):
You look at September twenty twenty four, we went from
six point eight to oh yeah to six point eighty
four in like in like.

Speaker 3 (01:14:08):
That was the big lead up to the FED cutting
interest rates for the first time in a long time,
which they did, and then we're going to spiked up
after that because the FED basically said, yeah, we're cutting,
but we're we're probably not cutting anything else.

Speaker 2 (01:14:22):
And I feel like we have been really.

Speaker 3 (01:14:26):
In tune with kind of predicting what the FED stance
was going to be, like all this, you know, talk
about cutting rates and everything. They cut those rates. I
think we were surprised a little bit by that. The
to the very last minute. We're like, actually, they're doing it,
They're doing it. And then but they also came out
and said, but we're still worried about this, and we're
still worried about that, and so that kind of like
through cold water on the hot fire, all.

Speaker 6 (01:14:48):
Of that hoopla.

Speaker 5 (01:14:49):
What I'm trying to teach people, because we're gonna be
going through this probably for another year, is what we
went through this, you know, back.

Speaker 6 (01:14:57):
In twenty eighteen. I feel like I feel like we're back.

Speaker 5 (01:15:00):
In twenty eighteen world again as far as the real
estate market and interest rates and people like really caring
about all of that stuff, but not really understanding what's happening.
And what I'm trying to teach people today is after
those ten days, all that craziness, we're flat.

Speaker 6 (01:15:18):
We're flat.

Speaker 5 (01:15:19):
It shouldn't stop you from doing what you were going
to do ten days ago. Now, we were always honest
with you. So when the interest rates go up point
in three weeks, right, we're the first ones to say,
I don't know what I would do at this point,
Maybe you should hold off a little bit, see if
these rates decrease, which they did. Yeah, right, it took
a long time. It took like nine months to get

(01:15:40):
that point back.

Speaker 3 (01:15:41):
I think the big advantage that we offer people, Jim,
is that, like our philosophy is to just know your
numbers and make decisions based on all of that information.
And so regardless of what's happening with the rates, Like
it's okay to have the rate price you out of
you want to be and know that you kind of

(01:16:02):
have to wait for you know, all scenario, the same
same house, same price, same neighborhood, all that stuff, but
the rate has to be here in order for it
to work. And that's okay, right, Like you know that
you're able to analyze that or vice versa. You could say,
you know what this rate bump we can tolerated. We're
willing to like get into that payment on this home.

Speaker 2 (01:16:19):
It's that way though, whether the rate's four percent or
eight percent, it is it is there's margin right there
for everybody at the end of the day. And I
don't know.

Speaker 3 (01:16:30):
And this always, like in my mind, feels a little
bit like car sales.

Speaker 2 (01:16:33):
Do you like what payment, what payment do you need?

Speaker 6 (01:16:36):
What payment do you want to be?

Speaker 3 (01:16:38):
And the truth is, I've been a homeowner for many, many,
many years, and guess what my monthly bills are super
critical to like my budgeting, right, So income and budgeting
and a mortgage payment, a car payment, whatever those things are,
they're part of my decision making process, right. So at
the end of the day, it is about the payment,

(01:16:58):
the monthly payment, and can you get into something as affordable.
I am not particularly interested in although it's like you
look at these like long term numbers, like what's my
thirty year interest rate going to cost me over the
full amortization period, right, four hundred fifty thousand dollars I'm
going to pay back, you know, a million dollars over
the life of the loan. I don't think about that stuff.

Speaker 2 (01:17:17):
Right.

Speaker 3 (01:17:17):
It probably did the very first time I encountered it,
But then I've sold homes, bought homes like that. That's
never been It shouldn't be part of my decision making
at the end of the day, right unless I'm like,
have a completely financial agenda something like that. So at
the end of the day, you get into a payment
that you are comfortable with, your income is stable, You've

(01:17:40):
developed some strategy on the cash, whether you have it, family, sellocredit,
all this stuff we talked about earlier, and then you
just like you're looking for the house, the one that
lands you at the payment that you can afford. That's
it and that you qualify for.

Speaker 5 (01:17:56):
You If you're thinking of being a buyer and you're
really infused or you've been a buyer in the past,
but this is completely different market and now you're becoming
a buyer again, you're not familiar. All you got to
do is pick up the phone and give us a
call and we'll be the ones that guide you through
the process and get the answers you need.

Speaker 6 (01:18:15):
Not sell you a house or what we're here to
con you to be a buyer.

Speaker 5 (01:18:20):
We're not convinced you to be a buyer. We're finding
out if you are a buyer, what would it look
like and does that look good for you or not
good for you?

Speaker 6 (01:18:28):
And make that you make the decision.

Speaker 3 (01:18:30):
And I think we're helping people generally like decide are
you a buyer or not? Like what type of things
do you need to be thinking about to decide? If
your buyer?

Speaker 2 (01:18:38):
So?

Speaker 3 (01:18:38):
Is it right for you and your family? Can you
get into is your job stable? Like all those things
are like, Okay, am I a buyer? I want to
buy a house, But there's more to.

Speaker 2 (01:18:45):
It than that. I want to buy a house a
lot more.

Speaker 5 (01:18:47):
And the one thing though, I want to say about
that because I don't want to forget about this. If
your number one reason is that you don't want to
buy a house because you don't have enough for the
down payment and closing costs, pick up the phone and
call yeah, because if that's the only thing holding you back,
there are ways to solve that problem without you coming
up with that money.

Speaker 6 (01:19:08):
A lot of times, well.

Speaker 2 (01:19:10):
Don't fill in the blanks on your own unless this
is your world. If it's your world, go ahead, you
know what needs to be filled in those blanks. You
know how to do that. If it's not your world,
let the pros that this is their world help you
navigate through that. Get an understanding, you know where you're at.
Maybe it's, hey, you're ready to buy a home and
you can buy a home for this much, or maybe

(01:19:30):
it's you're not ready and this is what we need
to do, or maybe maybe maybe maybe somewhere in the
middle there. Yeah, as you were saying, though, you can
call eight eight eight nine to seven three seven eight
too eight. That's the number that you will find at
Florida Talkrealestate dot Com. That number is answered by a
love body twenty four hours a day, seven days a week.
Eight eight eight nine seven three seven eight to eight.

(01:19:52):
You'll find it again at Florida Talkrealestate dot com Florida
Talkreestate dot com.

Speaker 3 (01:19:57):
Yeah, I'm just going to talk about it. Kind of
goes to what Jim Jim his own journey, which is
he's self employed. His tax returns, the income on his
tax turn is super critical to being able to qualify right.
So it's always like credit is your credit right? What
payment you qualify for? And then what kind of money
you have determined? Maybe what type of loan are you doing,

(01:20:19):
and Jim's is a has been a more stretched out
process because you're thinking about it last year, the year
before and you're like, I'm self employed. I know I'm
going to be a buyer at some point, so I
need to be conscious of this stuff and consulting with
my tax professional, my mortage professional just to make sure
I do it properly with the long term goal of
being a homeowner, you know, and qualifying for mortgage as

(01:20:39):
the as the main point. And just because you're not
self employed doesn't mean you don't have things that you
might need to get lined up also, and it's never
too early to get a professional set of eyes on
your situation and to just help you understand, Okay, well, yeah,
you could do it right now and this would be
the scenari or if you're going to be doing in

(01:21:01):
the future, this could be the scenario. Or hey, you
know what, you're not ready right now because of this reason.
Maybe it's credit. Credit oftentimes is something that people need
some help with. And I feel like I give a
solid practical approach to credit optimization and it's not just
like clean up credit now, it's like optimize your credit
for specific purpose, like qualifying for a mortgage self employed

(01:21:26):
borrower is super critical that tax returns you basically get
one time a year to kind of like get that right,
and then you're waiting until next year, sometimes two years.
I don't help people with budgeting, but to like to
your point, Jim, if like cash is the only reason
you might want to think about why you're not able
to save up, Like it's hard to save up tens

(01:21:46):
of thousands of dollars in a short period of time
for most people. Are you able to save five hundred
dollars a month?

Speaker 2 (01:21:52):
Right?

Speaker 3 (01:21:52):
Are you able to save a thousand dollars a month?
Or are you really not able to save anything? And
that could inform like not what you qualify for, but
what budget you should be thinking about? What are you
paying a rent?

Speaker 2 (01:22:01):
Right?

Speaker 3 (01:22:02):
How does that feel like from a financial perspective? Is
your income stables are going to be increasing? Like can
you kind of count on something like that? So all
of those things I talk to people about all the time.
And that's what you know. I don't need you to
be a preproved right now and out there shopping now,
that's nice, right, green light across the board, go ahead here,
you set up be on your way. But I'm happy

(01:22:23):
to talk to people who I'm saying like, hey, six
months or a year, maybe next year, we'll do this,
Like let's get these things lined up, let's.

Speaker 2 (01:22:30):
Like work on it.

Speaker 3 (01:22:30):
It doesn't even matter if you work with me in
the end, of course, I want to work with you.
I'm building that relationship. But I'm part of what I
do is giving that type of consultation Jim, right, Like
just being prepared so that you can get pre approved
and qualified and get to the finish line on buying,
whether it's your first home or your next home or
whatever it is.

Speaker 2 (01:22:49):
So a lot of people do fill in their own
blanks with all the scenario right, and that's the worst case.
It really is is the worst thing you can do.
You got to fill in the blanks with the appropriate
information so that your your end game there is accurate.
And I'm curious. We saw it a lot with the
last speculation of the FED dropping the rate that a

(01:23:10):
lot of people were anticipating, you know, your mortgage rates
coming down because of it, and it actually it didn't.
It kind of went the other way a little bit.
And as you noted many times, Mike, it was you know,
the industry kind of baked in the anticipation of the
FED rate coming down. So our our president Trump, Uh,
he's kind of starting to hammer his guy. He put

(01:23:32):
Jerome Powell in place at the FED, and he's not
happy with the rates right now. He wants to he
wants access to cheaper money. I mean, clearly he does.
And uh and I think you know this the American way,
but he's really starting to hammer it up now. Powell's
in place till next year. Probably the reality, unless there's
like some legit cause for removal, it's probably not gonna happen.

(01:23:55):
He'll be there until a lot of yeah, a lot
of that, But then the placement is going to be
somebody that's probably going to be a little more at
least aligned with the President's view of being really hawkish
on this for sure? Is it? Is it realistic for
people that are like, yeah, I want to, but you
know what, if I wait another year, mortgage rates are

(01:24:16):
probably going to come down. We've seen this happen. It's
not the caboose on that train. Is that? Is it?

Speaker 3 (01:24:22):
I don't think a lot of people are fill in
those blanks. I don't think there's a way to reliably
predict that. I mean, I'm in the mortgage industry, and
I learned a long time ago that predicting where mortgage
rates are going to be next week, next year, six
months is not particularly yeah fruitful, right, You're just like,
who's yeah, You're not even like fifty to fifty, It's like,

(01:24:43):
who knows. That's pretty much where it goes. I agree
with you. The next FED chair is going to be
you know, I don't know if loyalist is the right word,
but you know, something along those lines, there's something super aligned.
I also can see that. I mean, without getting political,
I feel like Wall Street has some influence right about policy,

(01:25:08):
and they may like say, hey, no, no, we want somebody.
We want to a Jerome Powell, you know, fiscally responsible,
you know type person in there. So that I think
there may be some influence there.

Speaker 2 (01:25:24):
And I didn't.

Speaker 3 (01:25:24):
You know, we've like, if the FED is fighting inflation,
why would they be dropping rates?

Speaker 2 (01:25:31):
Right?

Speaker 3 (01:25:31):
Well, it just does.

Speaker 5 (01:25:32):
So one of two things is if that scenario comes through, right, So,
let's say they let's say in the environment we are now,
let's say they started dropping the FED rate. Okay, The
first problem that we're going to have is if we
do get into a real crisis, if we start dropping
everything now, we won't have any safety net for later. Right,

(01:25:54):
So we don't really have any major problems right now.
And I know that everybody's uncomfortable. I'm uncomfortable, but the
interest rates are not crazy right now. The inflation hasn't
come yet. I'm sure it's not its way, probably, but
it hasn't come yet. Everybody's freaking out about what's coming,
but it hasn't happened yet, and there's a chance.

Speaker 6 (01:26:15):
That might not materialize.

Speaker 5 (01:26:17):
We don't really know for sure, but everybody's freaked out
as if the worst is going to happen. And I'm
not necessarily in that camp. I'm just kind of objectively
watching everything. So the way I look at this, Let's say,
because I hear theories that they want to get the
interest rates down to force again in the force, that's dramatic.
I mean, we're talking about mortgage rates into the force, right.

(01:26:39):
That would be pretty dramatic, right, But only two things
could make that happen, in my opinion. Number one is
if they decide that they don't care about inflation at all,
whoever the FED is would power or anybody else. They
don't care about inflation anymore, and they just want the
lower the cheaper money.

Speaker 2 (01:26:58):
Yeah, they don't care about affordability, right.

Speaker 5 (01:27:00):
And they just want cheaper money. So they drop the
interest rates. We get super high inflation, right, we get
way higher inflation that we can't control, but we get
that lower interest rate everybody wants. I don't think that's
going to be helping the economy in the long run.
The other way it could go is if they're dropping
the the mortgage rates start dropping really bad because the

(01:27:24):
Fed's cutting the rate is because unemployment is going up.
Because the Fed, they're supposed to worry about inflation and employment.
Those are the two things, jobs and inflation.

Speaker 2 (01:27:34):
And they only really have a like two mechanisms, and
they either control like it's one of the other.

Speaker 5 (01:27:40):
R pick it off for the printing of the money,
or they start printing the money. And that's the only
two things print the money.

Speaker 2 (01:27:49):
It's one or the other.

Speaker 5 (01:27:50):
And it's a very dull tool, right, It's a very
dull weapon to stop things. It isn't it isn't a
refined thing, and it was designed to be that way
because what you could do is start picking industries that
you want to succeed over other industries. And that's the
way it used to be before we had the FED, Right,
people were manipulating the economy based on the robber bearns

(01:28:14):
back in the days, right like if A. Rockefeller wanted
it or JP Morgan wanted it, you know, right, Yeah,
then they got what they wanted and it didn't matter
about what the national economy was. Was more about their economy.

Speaker 2 (01:28:28):
Right.

Speaker 5 (01:28:29):
So I'm not saying that we're getting into that now,
but the thing is is that it does.

Speaker 3 (01:28:34):
It does feel like that. When I say Wall Street
has influence, I feel like there are like the Rockefellers
and the JP Morgan's and the who's the other guy?

Speaker 2 (01:28:43):
The steel guy on.

Speaker 3 (01:28:46):
Vander Vanderbilt, but Vanderbilt, right, Like, I feel like that's
still and of course, you.

Speaker 5 (01:28:51):
Know, I feel like I feel like we've created Yeah,
I feel like we've been creating it again. We've been
creating that whole, that whole higher archy that we didn't have.
I'll I guess i'll archie.

Speaker 3 (01:29:03):
Now they call but we more international yeah than those
times of course.

Speaker 5 (01:29:08):
But but the bottom line is, if they really do
drop the rates dramatically, it has to be either because
we're getting super high unemployment and they need to stop that, right,
So they're trying to make cheap money so that businesses
will spend money right to bring people in. But if
inflation's high, nobody's going to be buying junk right, buying
our stuff that we're making.

Speaker 6 (01:29:30):
So you don't need as many people it can become.
That's how you get stagflation.

Speaker 3 (01:29:34):
Here's a question for you. It comes from Magali on
this topic. She goes, do you think we're going to
have housing prices like we did in two thousand and eight?

Speaker 6 (01:29:44):
Well, the prices didn't really.

Speaker 3 (01:29:46):
The lowest was twenty twelve. Yes, are we going to
have housing prices like you had in twenty twelve?

Speaker 6 (01:29:51):
I don't think so right now.

Speaker 5 (01:29:53):
There's nothing on a horizon to show that, Mgali, only
because that.

Speaker 2 (01:29:57):
That was major.

Speaker 5 (01:29:58):
People are making their mortgage payments right now. Where don't
have high unemployment rate and our foreclosure rate is very
very very low. It's not even the normal foreclosure rate
where three to four times low and normal foreclosure rate normal.
There were you could quadruple or foreclosure rate and get
normal and we'd just be at the normal part, right.

Speaker 3 (01:30:19):
And there were tons of people that refinanced when the
rates got really low. Like I joke about like the
three percenter club, but technically you could be like the
three four five percenter club and still be doing better
than you were. And so I don't expect default rates
to really go up, even though like people over the
past couple of years maybe have really been tight on

(01:30:40):
their like qualifying getting maxing out their qualifying payment, super
tight on the budget. I think you see a little
bit of people getting in trouble there, but there's a
large majority of people that either don't have mortgages or
have mortgages with very low interest rates. And we're not
going to see default rates nowhere, nowhere near to me.

Speaker 5 (01:31:01):
If we hit seven percent in unemployed, I don't know.
I kind of figured this out like three months ago,
so I have it in my head now to me,
the magic number seven percent unemployment. If we get to
that seven percent, it's gonna be big time problem. Is
it going to be a crash like like what we
had in nine? I call it six Magali because we

(01:31:22):
kind of went through in six.

Speaker 6 (01:31:24):
But is it gonna be like that?

Speaker 5 (01:31:26):
I don't think it'll be that bad, But even if
we just get to a normal foreclosure rate, that's gonna
look shocking because it's going to be four times the
amount of people that are in foreclosure. And what that's
gonna be. News is going to cover it. Foreclosure rate
quadruples is normal, right, Yeah, And they're not gonna say
it's normal. They're gonna say a quadruple. It can increase
four hundred percent, you know, and people are gonna get started.

Speaker 3 (01:31:49):
Normal doesn't make headlines.

Speaker 5 (01:31:51):
Right because we're at a half a percent foreclosure rate
right now, guys, right, and normal is one to three percent, right,
That's where we are right now for real.

Speaker 4 (01:31:59):
So I don't I'm just the only other thing I
wanted to go on with micgal Wood. That was what
was one of the biggest reasons that we have that crash,
which which was predatory lending, and we don't have that now,
you know, or we don't have it at least the
way we did in the early to mid two thousand.

Speaker 3 (01:32:17):
I would say, just super lax underwriting guidelines. Well, and
I don't know if it's predatory lending or predatory consumers, right, like,
you know, like I can do this both.

Speaker 2 (01:32:28):
YEA.

Speaker 6 (01:32:29):
It was being offered the opportunity to do right. Sure,
that's what it was.

Speaker 3 (01:32:36):
Fraud Like, we don't care, Like, just tell us how
much money you make exactly. Actually, don't even tell us.

Speaker 2 (01:32:42):
Yeah, I don't even.

Speaker 6 (01:32:44):
Want to know.

Speaker 2 (01:32:45):
Can your Are you breathing?

Speaker 5 (01:32:47):
Yeah, it's funny, that's true. But here's the scary thing, Johnny.
We've been talking about for years and years and years,
what would be the one thing or one of the
things that we would know that We're starting to get
back to those times where you start remember we used
to say, if you saw the ads, hey, take the
equity out of your house and go on vacation, or
buy our car, do this or do that. Right, we're

(01:33:09):
not seeing those ads yet. But what we are seeing
is Congress talking about relaxing the banking rules. Have you
seen this in the paper recently? They're all talking about
relaxing the banker rules and it looks like.

Speaker 6 (01:33:22):
They're going to do it. Yeah, And I'm like, did
you learn anything from the last time.

Speaker 3 (01:33:26):
The CPB was basically dismantled, which was a consumer finance
protect Detection Bureau.

Speaker 6 (01:33:34):
Well, it's still it's still around. They didn't Oh yeah, yeah,
but but.

Speaker 5 (01:33:40):
But but to me, that's an issue too. But the
whole idea of Congress just saying, you know what, we
think you've been on this leash long enough and you
know how to heal, so we're going to take you
off leash. That's never gonna happen. These bankers, they're going
to do whatever they need to do to make money
or today, and they don't care about tomorrow. Their thing

(01:34:02):
is what do I make today. I'll worry about tomorrow
tomorrow because I'm a smart guy, and I'll fix that.

Speaker 2 (01:34:08):
When they when they're constituent phasing, it's all about housing affordability,
and then in the back rooms, the good news is
we have access to that. What they're trying to do
is make it unaffordable again. Like you if you lower
and you lax banking terms right, or you lower interest rates,
affordability is out the window because now.

Speaker 5 (01:34:29):
Everybody's now you've got all these crazy price.

Speaker 2 (01:34:33):
They're not going to work together.

Speaker 3 (01:34:34):
It's like financing.

Speaker 2 (01:34:35):
So what you say and what you do are two
totally different things. Again, constituent phasing, we need affordable housing.
We're going to start building more affordable housing. And then
when they're talking about lowering interest rates, or laxing banking regulations.
You're not doing anything that's serving that.

Speaker 3 (01:34:50):
I mean, they're doing the exact opposite, the lesson from
the the like deregulation in the mortgage industry before was
that at the granular level, Like you get to somebody
like me and I'm and hey, wait a second, we're
going from these level of products to now we've opened
up the spectrum. Look how many homeowners, more homeowners you
can help get into home And guess what, the more
loans you do, the more money you're gonna make. And

(01:35:13):
these ones are a little bit different as far as
underwriting guidelines and like how you and we see that,
like those types of loans are out there and they're
kind of on the increase. And people in my position
where basically my income is based on the amount of
loans I generate, why wouldn't I take advantage of these great.

Speaker 6 (01:35:30):
Programs that offer they want to buy?

Speaker 2 (01:35:33):
Yeah, yeah, based on your regulation.

Speaker 3 (01:35:36):
And so it's just like, you know what, what else
could be the result of that other than yeah, I'm
gonna do as much business as.

Speaker 6 (01:35:43):
I can right exactly, And.

Speaker 2 (01:35:46):
So you know, whether whether it's an insurance company that
you allow to raise raids. Oh, my reinsurance is expensive.
You know. Some states say, hey, what happened to you?
This is the most you can raise rates. Some states
go do what you gotta do? Yeah, which which is
the better side? What's the the depends on whose side?
What's the Latin phrase? Jim who benefits Kim? Oh queen

(01:36:09):
bono or something like.

Speaker 3 (01:36:10):
That, right, Like you know, I've always been kind of
like follow the money, watching he's benefiting the most.

Speaker 2 (01:36:15):
I've always been a player. I've always been a player guy,
not an owner guy. Yeah. I always signed for the
players getting their money.

Speaker 3 (01:36:20):
I thought, you just crushed a lot.

Speaker 2 (01:36:22):
What's that? You crush a lot? Do you crush any
But yeah, I'm I'm a US I'm a US guy,
not a vague guy.

Speaker 5 (01:36:30):
I wanted just to bring up one little thing about
condo crisis. Uh, you know about all the fees. We
were talking about how in the building I'm in the
the the owners had to pay seventy thousand dollars for
concrete restoration because of all the new regulations.

Speaker 6 (01:36:45):
Because of that.

Speaker 5 (01:36:46):
Collapse and uh, surf side. So the santus came out.
Governor's santus came out last week it really blasted the
State House and or State Congress, but saying, hey, you
got to fix this condo crisis. You went overboard on
the regulations. It's unsustainable and you're hurting a lot of people,

(01:37:08):
and we want we want that fixed.

Speaker 3 (01:37:10):
And and just like the the real world impact, you
have people who are priced out of their homes that
they probably own outright, don't have mortgages on. I'm talking
like the older fixed income population and their their condo
dues have.

Speaker 5 (01:37:25):
Yeah, and so he's saying, we gotta, we gotta fix this.

Speaker 6 (01:37:29):
You gotta do something.

Speaker 5 (01:37:30):
Well, last week, right at the end of the session
or I think the end of the sessions, either this
week or or next week, I can't remember, but right
towards the end, they did pass a bill. I'm going
to try to get this. This representative on the show eventually.
She's a Miami Republican named Vicky Lopez. She's created a

(01:37:50):
bill that looks like it's going to be passed that
allows condo associations to open up lines of credit UH
to raise the cash needed for the building repairs. The
part I don't get about that. That's the only sentence
in this whole article. Thank you w or whatever station,

(01:38:11):
thank you this.

Speaker 3 (01:38:12):
News credit the state.

Speaker 6 (01:38:16):
Yeah no, I don't know.

Speaker 5 (01:38:17):
He's given them the lines of credit just says opening
lines of credit, that they're allowed to open the lines
of credit instead of raising the money from the homeowners
for building repairs.

Speaker 3 (01:38:27):
They I mean, they've been doing that for a long time, right,
they You've got these big projects that cost money. Now
you collected from your homeowners over time, so you're you're
borrowing that money now and you're paying it back. So
there's there's been like you get a loan.

Speaker 6 (01:38:42):
What's the difference between that.

Speaker 3 (01:38:44):
It must be something where it's state overview or over
But I don't get it.

Speaker 5 (01:38:49):
You're going to have to pay it anyway. Right, It's
got to be paid anyway, So whether you're paying directly
now or to the line of credit company, I don't
understand how that's going to be.

Speaker 2 (01:39:00):
You got it.

Speaker 3 (01:39:00):
Well, let's just assume that you have to pay for
the work now. So you can't collect seventy thousand from
every single homeowner now, right, You're gonna you're gonna spread
that out of time to make it affordable for you,
like your people. That makes sense, So you just you
borrow it and then you collect it over time.

Speaker 5 (01:39:15):
Pay about Okay, that's making more sense because it's like
literally one sentence in this article.

Speaker 2 (01:39:21):
They also have to start putting money in the coffer.

Speaker 5 (01:39:25):
And for the studies to show that your house, your
place is structurally sound, you've got to have the money
for that too.

Speaker 3 (01:39:31):
And they've been doing this. Think about the cdds, right,
like your community development districts where they come in and
they bring to build a new uh what's uh locks
of hatch you grove, What's I mean? What's called West Gate? Right, Westlake,
very very you know, it's a community they it requires
a whole bunch of money upfront on infrastructure, so things

(01:39:52):
like sewers and roads and water and yeah, all of
that stuff. And so those projects are financed up front
and paid back through your property tax appraiser kind of
like the pay stuff. But it's a CDD, it's a
community development district and it's an a non advolarm cost
on your property tax. So they've been financing that type

(01:40:13):
of thing and paying it back through some sort of governmentalory.

Speaker 5 (01:40:19):
Which is a fifty year old building that needs millions
and millions and millions of dollars of work worth.

Speaker 3 (01:40:27):
Yeah, it's a long run. It's got to be something
with like because the home equity would be collateralized against
the building. This must be different.

Speaker 6 (01:40:34):
That's why I'm saying.

Speaker 5 (01:40:35):
I know, it doesn't make sense to me if you've
got a building that's in that baut of shape, like
you know, like let's say that people couldn't afford what's
seventy times one hundred and fifty it's like what twenty
one million or fifteen million.

Speaker 6 (01:40:48):
Dollars or something like that.

Speaker 5 (01:40:49):
Yeah, seventy thousand times one hundred and fifty, like in
the example I'm using for.

Speaker 3 (01:40:53):
This seven million or seventy million plus half of that, right,
it's one hundred and five million.

Speaker 5 (01:40:58):
No, No, seventy thousand times one hundred and fifty units.

Speaker 3 (01:41:03):
Oh, seventy thousand years.

Speaker 5 (01:41:04):
But anyway, whatever that number is, seventy doesn't your place
have to be worth more so that you could take
out the line of credit if you don't have enough equity,
and if you're doing it to repair a building that's
in a really bad condition. So I don't know, and
I don't know how the financing works on that.

Speaker 3 (01:41:23):
I think that's more. It's got to be more of
a balance sheet issue.

Speaker 5 (01:41:26):
So I just feel like there could be problems with that,
Like you're you're over extending in a different way and
then somebody else is holding the bag, not the homeowners.

Speaker 3 (01:41:35):
But you have, like I don't know if it's guaranteed
revenue coming in, but you have revenue coming in. It's
almost like a business that's got going to have sales. Like, listen,
we have homeowners who are contributing monthly, every single month,
this amount of money that's your collateral, right, the fact
that we have money coming in from our homeowners. Now,
when homeowners stopped paying the association, that's a major problem.
But it's got to be the building plus the revenue

(01:41:57):
that's going to be coming in, right. But yeah, it's
a tough one. So I'm listen. I'm glad to see
that they're recognizing that there's an issue there. I hope
it doesn't result in What resulted in the issue in
the first place was just allowing communities to kick the
can down the road on long term capital expenses. But
I've been in association meetings and you know how those

(01:42:20):
they're like, how do we keep our dues low?

Speaker 2 (01:42:22):
Right?

Speaker 3 (01:42:22):
Our homeowners want their dues to remain low. So every
single year you have a decision to make about where
your money is going to go. And people don't want
their dues to go up, of course, so there's those
battles in the association meetings like well, we didn't let's
cut back security, or we don't need to paint the
lines in the parking lot this year. Our roof will
last another five years beyond what they're telling us, you know.

(01:42:45):
So that happens in every single h meeting, no doubt
about it.

Speaker 5 (01:42:49):
Found out that Miami is number one for another thing, right,
you know? Well, I always joke when I sit down
with homeowners, buyers or sellers, I have this form and
I talk about we have one form called the wire
fraud form, which is a form basically telling any buyer
or seller, neither our team, our brokerage, the title company

(01:43:14):
is ever going to ask for your routing and bank
information electronically, and don't ever give that out electronically because
it could be fished and then stolen and they're going
to take all your money.

Speaker 3 (01:43:25):
I'll just text it to you.

Speaker 2 (01:43:26):
It's fine.

Speaker 5 (01:43:26):
So and I always say when I fill out that form,
the reason why we have you fill out this form
is because we're number one in wire fraud, We're number
one in mortgage fraud, We're number one in identity fraud. Right,
we're just number one in everything. Well, now Miami's number
one in a new thing, and that I didn't know.

Speaker 2 (01:43:42):
About this time.

Speaker 3 (01:43:43):
It's positive.

Speaker 5 (01:43:44):
No, well, it depends if you're a bug or not.
They're number one place for termites. They're number one in
the country for termites.

Speaker 6 (01:43:53):
Really, so we.

Speaker 5 (01:43:54):
Have more termites in Miami than any other place. I
thought that that was kind of interesting. Now here's the thing.
Miami's number one. It was ranked number one last year.

Speaker 6 (01:44:05):
Right.

Speaker 5 (01:44:06):
Now here's the answer that I'm just going to start
reading cities and it's going from one down lower. But
the thing I find out is is where all these
are Miami, Los Angeles, Tampa's number three, Washington, d C.
Orlando's number five. West Palm Beach is number six for
termiteza Right, we were ninth last year. Houston, San Diego, Baltimore, Dallas, Atlanta,

(01:44:31):
San Francisco, Chicago, New Orleans, Philadelphia, New York City. Is
there any place in the country that isn't infested with termites?

Speaker 6 (01:44:40):
Apparently not. I mean even New York City.

Speaker 5 (01:44:42):
Right, yeah, some other but Florida I think has more
than almost any other area. We have Miami, Tampa, Orlando,
West Palm in the top six. Then we've got Fort
Myers Jacksonville rounding out the top fIF So this is
all coming from Orcin, right, this is an Orcan study.

Speaker 3 (01:45:06):
And uh they I've headquarters in all those cities. Yeah,
it was not offices, sorry, offices.

Speaker 6 (01:45:13):
Right right, they had offices, So I just thought that
was kind of is that we're number one. Now listen
to this.

Speaker 5 (01:45:18):
Termites cost American homeowners five billion dollars a year in damage,
often going undetective until they've caused serious damage. Five billion
a year and costs just from termites. And some of
the signs for urmite infestation is you see temporary swarms
of small winged insects inside your home, crack the bubbling paint,

(01:45:43):
and wood that sounds hollow when tapped, mud tubes on
exterior walls or beams, an accumulation of wings or termite
droppings are all signs of termite issues. My mom's house
was just my mom's town home was just for termites.

Speaker 2 (01:46:01):
The whole thing.

Speaker 6 (01:46:02):
Yeah, the whole the whole building. The four place.

Speaker 3 (01:46:05):
What was somebody selling or something or.

Speaker 5 (01:46:08):
They just they're pretty good in their community about keeping
up on things, and yeah, it's preventative and yeah, so
they decided they needed a tenant and then they took
out all the wood soffits on the minsard roofs and
replaced it with PVC so they would try to avoid
having it in the future future issues. Yeah, and this
just shows you that, you know, some of these communities

(01:46:30):
are run pretty well run. Yeah, you know, and this
one's in Green Acres. It's not some super exclusive place
or anything.

Speaker 3 (01:46:36):
It's just a nice neighborhood.

Speaker 5 (01:46:38):
Yeah, it's a cool little neighborhood. So anyway, I just
thought that was funny. Miami's number one for termites. Also
just thought that was kind of weird.

Speaker 3 (01:46:46):
Thinking I was thinking more like swampy or you know, moist.
I guess that's all over the kind.

Speaker 2 (01:46:52):
That's Scout was thinking too, maybe a humidity as we
drives it. But yeah, as Jimmithy noted, climate doesn't seem
to really be that.

Speaker 5 (01:46:59):
It doesn't seem to be difference at all. And here's
another thing. They even had like Arizona and stuff. So
it's dry weather wet weather.

Speaker 6 (01:47:06):
It doesn't matter.

Speaker 4 (01:47:07):
The only other thing I would have thought too, is
like a lot of wood framed at homes versus concrete.
But then again, we found out that there are termites
for most of them.

Speaker 6 (01:47:16):
Yeah, they're for most of termites.

Speaker 3 (01:47:17):
There's also termites that don't eat that stuff. Maybe they're
counting them too, like that they're out in the trees
or whatever. Oh yeah, rotten trees.

Speaker 6 (01:47:24):
Yeah, I don't know.

Speaker 5 (01:47:24):
Maybe maybe now Cape Coral has another creepy critter's story.
I thought was kind of interesting. There's so many iguanas
in this abandoned building in Cape Coral that it's become
almost like a tourist attraction where people just go to
watch the janas. Right, and it's uh an abandoned I
forgot what kind of this is in Cape Coral. And

(01:47:48):
this is like, here are some of the residents talking
about this building that's infested with the ingreen iguanas. I'll
be walking my dogs. I'll be walking my dogs, walking
with friends, family, and all of a sudden, they just scurry,
like a scene from Jurassic Park where all the dinosaurs
are running. I thought on Another person says it's like
a tourist attraction. People from out of town want to

(01:48:09):
come and see these iguanas. They drive around, get out
of the cars and take pictures and videos. And then
they said sometimes they even scare the dogs. But here's
the funny thing is that they not only have they
taken over this building, it had a brick facade and
it's totally destroyed the brick facade. It looks like a
demo company came in and started tearing down the building

(01:48:32):
and just stopped.

Speaker 6 (01:48:33):
But it wasn't.

Speaker 5 (01:48:34):
It was the iguanas peeling off the brick facade. And
it's a two or three story building. So this stuff,
I mean, it's probably two feet high of debris laying
around the skirt of the building where.

Speaker 3 (01:48:48):
The demolition techniques like bringing in the goats to clean
up the.

Speaker 6 (01:48:52):
Byea like yeah, yeah, to cut the one.

Speaker 5 (01:48:54):
Now here's I was saying the same thing, like making
iguana is the demo thing, but there was by all,
just in this article it says there's no way that
those iguanas were eating apart that facade. That it doesn't
make any sense to me either, But they're saying it's
it's destroying the fad.

Speaker 2 (01:49:11):
Was the building like that before they infested.

Speaker 5 (01:49:13):
Yeah, he says that it might be pulling out already
and they're getting in between it and it might fall
out because they're crawling around in there, but they're not
actually destroying it.

Speaker 2 (01:49:23):
My actual thought was is because you know, they burrow
under typically m m. My thought was is they were
digging out the under and it was cause.

Speaker 6 (01:49:31):
Me too, like sea walls and stuff.

Speaker 5 (01:49:33):
I thought that's what I was going to read, but
it was really more of the facade. But I just
thought that these iguanas were there's so many of them
that people are coming over to drive this abandoned build
it just to look at the iguanas, like you could
go anywhere look at it.

Speaker 3 (01:49:46):
I would look at No, I would look at that
like the Iguana Hotel, like they're hanging out in the
window hotel. They're just like they're just everywhere.

Speaker 2 (01:49:53):
Yeah, ye be kind of east. See it's kind of
like a scene that of Gremlins.

Speaker 6 (01:49:58):
Yeah yeah, yeah exactly. They'll put the water on.

Speaker 2 (01:50:04):
One swing swinging from a ceiling fan.

Speaker 3 (01:50:06):
Somebody should do like the dogs playing poker, but with
I'm sure they have.

Speaker 2 (01:50:12):
Yes.

Speaker 6 (01:50:13):
Anyway, I just thought this funny.

Speaker 5 (01:50:14):
I just love all these Florida iguana, I mean Florida
creepy critter stuff. I just think I was asking Jared
just a couple of days ago, do I go, do
we Jared Perry's Cupia group?

Speaker 6 (01:50:25):
But I didn't. I asked him, I said, do you
ever see any Chrissy's fishes?

Speaker 2 (01:50:29):
So much?

Speaker 5 (01:50:29):
I go, do you ever see walking calfish? Because I
haven't seen him since I was a kid, right. He goes, Oh, yeah,
They're all over the place, and like, really, have you
ever seen walking calfish around here? I mean a lot
not walking right, but you seem like in the water
I've seen like on television program.

Speaker 6 (01:50:46):
Oh yeah, but not like in Florida Live.

Speaker 3 (01:50:49):
Do they have little legs?

Speaker 6 (01:50:51):
It's more like than I've seen that.

Speaker 3 (01:50:53):
With the snakeheads. Like essentially, have.

Speaker 6 (01:50:57):
You seen walking time fish? Yeah?

Speaker 2 (01:51:00):
I didn't heard of it. I hear that music. That
means we done for the day. Quick question, Jimothy, I
know the cat's got lightning at home today? At one
are we slipping into Panther covered?

Speaker 4 (01:51:10):
Right after this, we're gonna go to a little bit
of music, and then twelve thirty we're gonna cover start
pregame coverage with the Florida Panthers for Game three.

Speaker 2 (01:51:18):
Guess the Lightning?

Speaker 3 (01:51:19):
Did you record Johnny karaoke? Is that what we're gonna hear?

Speaker 2 (01:51:22):
Yes? Yeah, yes, yeah, no voice tracks. What did you
sing by Johnny Done? Yeah? Sally by Christopher.

Speaker 3 (01:51:29):
Cross Oh ambitious?

Speaker 2 (01:51:32):
Yeah I did some cross Face. You've got a good voice.
Life house. No, I do not.

Speaker 3 (01:51:35):
Oh you just don't care?

Speaker 2 (01:51:36):
Yeah, I don't care? Yeah, zero given. Yeah, I kind
of like that.

Speaker 6 (01:51:41):
I was thinking to you recently.

Speaker 5 (01:51:42):
I heard a Christopher's Frost song with Michael McDonald ie. Yeah,
that's that's really what it is like the seventies, eighties,
said eighties.

Speaker 2 (01:51:50):
Yeah, that's the eighties, right, Yeah, rock time I did.
I did some John Michael Montgomery. He said he's a
Michael made me think John Michael Montgomery a little sold
the Auctioneer song. I don't know that throwback country right there? Yeah,
never mind my genre. Uh. It's great to have you
with us every Saturday. Remember Florida talkre Estate dot Com. No,
we use it, loved share it. You have prospros access

(01:52:11):
to them all at Florida Talkrealestate dot Com. Like Mike Row,
the mortgage guy from the mortgage firm. Have a great weekend.

Speaker 3 (01:52:17):
Yeah you too. Everyone enjoy this beautiful weekend.

Speaker 2 (01:52:19):
Like Jimmy d over here, Jim Depolo, the Florida Home
Pros Team, Callowelliams Innovations, have a great weekend.

Speaker 6 (01:52:24):
It's thanks to you.

Speaker 5 (01:52:24):
You too, Michael, I'll be calling you at one o'clock.
He's going to be selling in New York and moving
down here.

Speaker 2 (01:52:29):
Jimmythy, have a great weekend. My friend you was Walt Johnny.
Guys have a great day, have an awesome weekend. We'll
see you next Saturday. Florida Talk real Estate,