Jacksonville Real Estate Podcast with Jeff Riber

A few highlights from a “60 Minutes” piece on the Jacksonville market. Recently, “60 Minutes” aired a piece on the Jacksonville real estate market. I don't watch the news often, but after multiple people sent the clip to me, I decided to give it a listen. It focused largely on the challenge of rising rents and home prices in Jacksonville, including what's behind those trends and what you can do about it. Today I'll share highlights from the clip and discuss what you need to know about today's market. Feel free to follow the conversation in the video above or use the timestamps below to navigate the topic at your leisure: 0:00 — Introduction 0:39 — Why Tricon Residential is buying up single-family homes around the country 2:00 — The impact of the Federal Reserve flooding the market with trillions of dollars in 2020 4:20 — The big gap between Jacksonville's housing prices, income growth, and inflation 5:27 — What can you do about changing home affordability? 6:41 — Can you really just list a house and expect it to sell without any preparation? 8:19 — Wrapping up Click here to watch the full “60 Minutes” piece yourself. If you have any questions about what's happening in the market or how it affects your real estate prospects, don't hesitate to give my team a call or send an email. We'd love to hear from you.

Take advantage of this spring weather by visiting these walking trails. Walking is a great way to take advantage of the weather and to connect with nature, and luckily for you, there are some great walking trails in the Jacksonville area. Today I'll introduce you to six of my favorite trails: 1. Mickler's Landing. This is a great place to spend a warm spring day, but try to come on an off day if you want to avoid a crowd. If you're into hunting for shark's teeth, this is the place to go. 2. UNF Trails. Right at 295 in the St. John's Town Center Parkway, you'll find the entrance to the UNF trails. Each trail is a different distance and marks a pathway through different areas that are worth seeing. Whether you want to do a lap around the lake, go on a leisurely walk through woods, or take a stroll along the boardwalk, the UNF trails are a great opportunity to mix it up. 3. Timucuan Preserve. Here, you can find a trail that takes you out toward the river before opening up to a wider space. Beyond a gorgeous hike through the woods, you can also wander the past in their historic museums. “Walking is a great way to take advantage of the weather and to connect with nature.” 4. Tree Hill Nature Center. Each of the seven trails at the Nature Center has a different distance, difficulty level, and landscape, meaning you can choose one based on your preferences. 5. The Jacksonville Bridges. This collection of nine bridges crisscrosses through the city, and each has its own unique history. From beaches to boulevards, these bridges are phenomenal routes to walk. Elevation is somewhat hard to come by here in Jacksonville, so these bridges are also a good way to train for an upcoming marathon. 6. The Deerwood Neighborhood. This is the neighborhood where my family lives, so I might be biased, but it's a great place to walk if you enjoy the atmosphere of old oak trees, magnolias, birds, and beautiful homes. You do have to live here in order to walk around on a regular basis, but lucky for you, there are homes for sale in the area. If you have any questions about today's topic, please call or email me. I am always willing to help!

Paul Anderson and I discuss why so many people are moving to Florida. Today I'm speaking with a great guest, Paul Anderson of MovingtoFloridaGuide.com. There's been a ton of migration to Florida recently, so I figured I'd bring in an expert on the topic. Paul has tons of experience helping people move to Florida, so I'll pick his brain about why he started doing what he does, the current state of migration, and what it all means for the future of our state.  You can listen to our full conversation in the video above, or you can skip to each topic using the timestamps provided: 0:01 — Introducing Paul and today's topic 3:36 — Paul's insight on people migrating to Florida 6:26 — Paul's opinion on where things are heading 8:23 — The fastest-growing cities in Florida 11:48 — The appeal of master-planned communities 14:56 — The top master-planned communities for 2022 18:31 — Why Florida is growing so rapidly 20:02 — Wrapping things up You can check out Paul's website at https://movingtofloridaguide.com/. If you have any questions about today's topic, please give my team a call or send us an email. We'd love to hear from you!

Here's what we can say about the future of Jacksonville's market. It's hard to believe, but 2022 is already here. The Florida real estate market is hot, but what does the future look like? Today I want to give you a rundown of the numbers from 2021 and give some predictions about what our market will look like this year.  You can watch my full update in the video above, or you can skip to each topic using the timestamps provided: 0:01 - Introduction  0:51 - Zillow predicts Jacksonville will be the second-hottest market in the country in 2022 1:43 - Statistics that predict the future of our market 4:03 - People are moving to Florida from all over the country 4:34 - The future of interest rates 5:39 - Prices aren't coming down anytime soon 6:05 - Wrapping up  If you have any questions about the future of our market or how it applies to your situation, please feel free to call or email my team. We'd love to help you in any way we can!

Here's what you need to know about CDD fees and how they're paid. What are CDD fees? How do they get paid? How should we think about them? Today I'll answer all three of these questions for you. CDD stands for Community Development District. When a developer comes into an area and decides to put single-family houses in a large tract of land, the cost of working on all the sewer lines, electrical, roads, and other related infrastructure can be extreme. To help with this, some developers get financing for the development and create an individual lien against each property or lot. That way, when they later sell the lot with a house to a homeowner, that homeowner inherits the debt and begins to pay it like the developer was prior to selling it. “CDD fees can be broken down into monthly figures, which allows you to figure out if you think it'd be worthwhile to live in a different community without such fees.” Typically you can find your CDD fees on your tax bill as a separate line item from your real estate taxes. CDD fees have two parts: 1) the maintenance fee, which is paid in perpetuity to pay for the amenities associated with the area; and 2) the financing fee, which has an interest rate associated with it and can be paid off. Around 10 years ago, there was pushback against CDD fees, but now, people realize the benefits of living in a community with a CDD fee attached. CDD fees can be broken down into monthly figures, which allows you to figure out if you think it'd be worthwhile to live in a different community without such fees. Is the money you'd save worth it to live in a community without the amenities? If you have other questions about CDD fees or anything to do with real estate, feel free to reach out to us via phone or email. We'd love to chat with you. To find info on a particular CDD, you can visit https://www.govmgtsvc.com/contact.

Here are my tips for the new homeowners coming to live in Florida. Instead of talking about real estate, today I want to discuss the elephant in the room: Hurricane season is here. With all of the new residents coming to Florida from the Northeast, the Midwest, and the West Coast, I thought I should give our new neighbors some info on what to do if there is a hurricane on its way. Hurricane season in Florida starts June 1 and goes until November 30. However, if you've been around here for a while, you'll know that things don't get ramped up until August, and typically things tend to wind down by the end of October. I'm not qualified to make those kinds of predictions though, so let's look at someone who is. The National Oceanic and Atmospheric Administration (NOAA) thinks that there is a 60% chance that we will have a more active than normal hurricane season this year. What should you do about it? Start by taking a look at properties that you own and see how they are situated in terms of their elevation. You can go to fema.gov/flood-maps to determine if you need flood insurance. Flood insurance covers rising water, while homeowners insurance covers water coming from any other direction. If you are in an area that requires flood insurance, get it.  “Hurricane season is here.” What do you do once the storm hits? You may just want to get out of town depending on how bad the storm is going to be. Go to maps.coj.net/evsearch to see what evacuation zone your home is in. If you decide to stay put, make sure you have the supplies necessary in case things go awry. A simple search for hurricane kits on Amazon yields all sorts of results. The city of Jacksonville has prepared a guide for how to respond during a hurricane. If you'd like me to send you a copy, send me an email. If you have any real estate questions, feel free to reach out to me at 904-405-1995. I'd love to help you.

Legal expert Rich Brooks is here to talk about entity structures. In today’s video, I sat down to have a conversation with Rich Brooks, the founder of the St. Augustine Law Group, about entity structure for buying investment properties in a hot real estate market. I’ve done business with them before and had such a great experience that I thought it would be a good idea to let you all benefit from Rich’s expertise as well. If you or someone you know is thinking of buying investment properties, this is valuable information to have. Feel free to follow along in the video above, or else use the timestamps below to navigate the conversation at your leisure: 2:23—Starting off with a funny story 3:15—The two types of risk to mitigate 4:26—At what point do investors need to think about LLCs? 6:49—Things to keep in mind regarding real estate tax assessment 7:55—What is the cost of filing an entity? 9:48—Differences between insuring a property under your name and under an LLC 11:10—Do not shirk your due diligence 12:33—Don’t be afraid to admit what you don’t know 13:32—Wrapping up our discussion If you would like to reach out to Rich about your investment opportunities, contact him at (904) 990-7777 or visit www.staugustinelawgroup.com. For any real estate thoughts, concerns, or questions you have, don’t hesitate to reach out to us at ERA Heavener Realty. We’d love to speak with you.

Here’s the difference between earnest money deposits and down payments. Every industry has its own terminology, which can often be confusing for those not in the know. Real estate is no different. However, conflating two different financial requirements can cause major problems during a transaction. What’s the difference between an earnest money deposit and a down payment? Sometimes referred to as ‘good faith money’ or even a ‘binder’ deposit, the earnest money deposit is simply money set aside by the buyer to demonstrate to the seller that they’re serious. By purposefully putting some of their skin in the game, the buyer shows that they’re committed to getting the deal done. As far as the state of Florida is concerned, a contract must have what’s known as ‘consideration’ to be deemed complete. That’s the role this earnest money deposit plays—it’s the consideration in the deal. Rather than going straight to the seller’s pocket, this deposit is typically held by a title company, an attorney, or sometimes a real estate brokerage involved in the deal. If the buyer exits the deal for a contractual reason (e.g., an inspection or financing contingency), then they will receive their earnest money back. Conversely, if the buyer decides to back out of the deal for a non-contractually protected reason, then the seller gets to keep the earnest money. “Your down payment represents the initial equity you have in your house when you purchase it.” The down payment, on the other hand, is the buyer’s way to demonstrate their seriousness to the lender who’s financing their purchase. (If there’s no lender involved, then there’s no down payment). The down payment is the difference between the purchase price of the home and the amount of money the buyer is borrowing from the lender. For example, if you’re buying a home worth $1 million, but you’re only borrowing $800,000, then you’d have a $200,000 down payment. Okay, so here’s one of the slightly confusing parts: The earnest money that’s being held by a third party gets rolled into the total down payment amount at closing. They’re coordinated, but they still serve different purposes. Another distinguishing factor is that the down payment amount can differ depending on the type of loan being used. A VA loan, for example, is 100% financing, meaning there’s a 0% down payment. An FHA loan typically requires a 3.5% down payment, while conventional loan requirements generally range from 5% to 20%. Your down payment represents the initial equity you have in your house when you purchase it. I hope you found this video to be helpful. As always, if you have questions about this or any other real estate topic, don’t hesitate to reach out via phone or email. We’d be happy to chat with you about your buying, selling, or investing needs, as well.

Here are the main differences between an appraisal and a home inspection. Though they can both be a source of contention in real estate transactions, appraisals and inspections are two very different things. The best way to differentiate between the two is to ask a few basic questions about each: Who is it for, why is it being done, and how much does it cost? Today I’m answering these questions so that you can better understand why appraisals and inspections exist in the first place. Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message or use these timestamps to skip to topics that interest you most: 0:22 — Appraisals are for the lender; home inspections are for the buyer 1:30 — The purpose of appraisals and why appraisal management companies exist 2:42 — Inspections afford buyers a comprehensive understanding of a property’s condition 3:42 — Appraisal costs are regulated, and appraisers don’t keep all the money 4:45 — General inspection costs versus secondary inspections (e.g., pool or radon inspections) As always, reach out if you have any questions about this or any other real estate topic. I’m happy to be a resource for you and assist with whatever buying, selling, or investing needs you may have.

Here’s why the Housing Affordability Index is a great tool for buyers. Have you thought about making a move recently because your house value has gone through the roof (pun intended)?  Only to realize, you have to buy something else and that next house is more expensive too.   The only way to really know if you “timed” the market right is with hindsight.  And, hindsight takes time! What would be nice is a tool that measures more than just the median price of housing.  More even than historic prices of particular houses.  Enter, The Housing Affordability Index. Every month, the National Association of Realtors puts out a report called the Housing Affordability Index (HAI). In addition to factoring in the current median price of single-family homes, it accounts for mortgage interest rates and median income, as well as qualifying income, which is basically a measure of what mortgage companies require of borrowers. Therefore, the HAI provides us with a more holistic view of what’s going on in the real estate market and helps homebuyers understand their true purchasing power. I always keep up with this report because it offers some incredibly useful information. At 1:35 in the video above, you’ll be able to see an example of this index (for simplicity’s sake, we’ll be checking out the national numbers, as our local Jacksonville market would require a lot more digging). The higher the affordability index number, the more purchasing power consumers have in the real estate market. The lowest this index ever got was back in 2006 when it hit just above 100 nationally. That meant it was particularly difficult for people to purchase a home at a median price point based on incomes because prices were quite high and interest rates were too. “The HAI provides us with a more holistic view of what’s going on in the real estate market.” On the other hand, the highest this index ever got was in 2013, when it topped out at 210 or so—a phenomenal time to be a homebuyer. A comparison of the data from 2017 through 2020 reveals that home affordability has remained relatively stable even with rising home prices. In October 2020, the last month for which we have complete data, the index stood at 167.2, as compared to 157.9 in 2017. There is a shortage of inventory in most markets but demand remains high thanks to low interest rates; consequently, prices just keep rising, which has, in turn, kept the home affordability index from going up by a larger degree. The market has a funny way of balancing out all of these complex, interconnected variables. While the HAI has certainly changed over the past few years, those changes have not been dramatic. If you’re curious to see this interesting concept applied to your selling and buying plans, feel free to reach out by phone or email anytime. I’d be happy to break these numbers down further and explain what they may mean for your particular circumstances and goals. I’m here to help, and I look forward to hearing from you soon.

Here’s an overview of why homeowners insurance costs are rising in FL. A month or so ago, I was having a conversation with Danny Sands, owner of Brightway Insurance, who told me that homeowners insurance rates were about to go up. That was the first time I had heard such news, so it didn’t quite sink in then. Sure enough, though, I soon started seeing articles in real estate publications about the coming insurance rate climb, so I’ve invited Danny to chat publicly about the problem and discuss potential solutions for homeowners. Unfortunately, as Danny explains, it’s not just one issue affecting the homeowners insurance market here in Florida—it’s a multi-headed beast.  Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message or use these timestamps to skip to topics that interest you most:  1:04 — What is “reinsurance,” and why are reinsurance costs a big part of the problem? 2:03 — Legal issues exclusive to Florida (the only state that allows multipliers for attorney fees) 3:48 — Roof claims are forcing insurance companies to make tough business decisions  5:25 — Pro tip: Work with a savvy agent and stay up to date on your roof and water heater  6:11 — The importance of reassessing your dwelling coverage to avoid being overinsured  7:18 — Citizens Property Insurance: the company of last resort created by the state of Florida 8:50 — Wrapping up today’s discussion with Danny’s insurance forecast  News of rising insurance costs is obviously a huge buzzkill, but what else would we expect from 2020 at this point? Let’s just be thankful for our properties and the coverage we do have, and take the necessary steps to guard ourselves against a market in flux. I hope you found this update from Danny helpful; if you want to hear more from him on this topic, give him a ring at 904-999-3250. As always, you can give me a call or send an email with any real estate-related concerns or questions. We look forward to hearing from you.

Here’s a quick message of gratitude as we approach Thanksgiving. It’s once again that season where we take time to pause and reflect on what we’re grateful for, which is especially important in this turbulent year.  First, I want to say thank you for all of your support for our team; we wouldn’t be where we are today without you. I also wanted to share a quote with you from G.K. Chesterton: “When it comes to life, the critical thing is whether you take things for granted or take them with gratitude.” No matter what comes our way, we can still find ways to be thankful, and I wanted to pass that along to you this holiday season. To hear my full Thanksgiving message, watch the short video above.

Multiple offers are a nice problem; here are some tips that will help. If you’ve paid any attention to the news lately regarding real estate, you know we’re in a very hot seller’s market. Due to this, houses that are listed in a good area and are priced appropriately will have multiple offers. How do you navigate these offers and pick the best one? Here are my tips: 1. Take a look at the environment you’re in. Calculate the absorption rate first, which is the measure of supply and demand for your particular area. If you look back at the previous six months of sales, it will give you a better idea. For example, let’s say you live in a planned-unit development that has had 10 sales in the last six months with two active listings. We know that they’re selling just shy of two units per month and can come to the conclusion that you have just over one month of inventory. In a normal market, there are around six months of inventory. When inventory is significantly less than 6 months you are in a strong sellers market. And, the opposite is true, when it rises above 6 months you’re in a buyers market.  2. Time the listing. We like to do this so that our clients are appropriately navigating the market. We want to get the most traffic without losing the initial drive and demand for a new listing. I like to list homes on Thursdays because a majority of buyers want to look at homes in person on the weekend. Putting your home online on a Thursday gives buyers two days to find it, another day or so to make an offer on it, and another day or so for you to accept that offer. By Monday, your home could be under contract. “Buyers are motivated to buy well-priced, move-in ready homes.” 3. Put your best foot forward. In the past, I’ve seen plenty of houses hitting the market before they’re ready and still try to get top dollar. You can’t do that in today’s market. Buyers are motivated, but they’re motivated to buy a move-in ready home that doesn’t need a lot of work. 4. Plan the response. Once you receive all your offers and analyze the price and terms of each to figure out which is the best offer for your situation, it’s time to negotiate! 5. Negotiate. Many sellers think you just have to pick the highest-priced offer. Inevitably, there is not always a clear winner when many bidders are involved. One offer could have a higher price but come with a contingency. You can go back to this buyer and let them know you like their offer, but won’t accept it with the contingency, for example. These are my best tips for navigating this crazy market as a seller. If you need more advice or have any real estate questions I can answer, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.

Do you have questions about the half-cent sales tax referendum? Shannon Beckham has answers. What do you need to know about the upcoming half-cent sales tax referendum? Today I’m joined by Shannon Beckham, a former teacher and mother of two children enrolled in the Duval County public school system, to answer that question. I had questions myself about this referendum, and I was directed to Shannon through a mutual friend. She has no dog in this fight, and she’s as well-informed about the issue as anyone.  Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch it in its entirety or use these timestamps to browse specific points at your leisure: 1:06—A little background on Shannon 1:45—A general overview of the half-cent sales tax referendum 3:11—How Duval County differs from other counties in terms of keeping up with renovations 4:13—What’s our assurance the half-cent sales tax does what it’s supposed to do? 7:08—What outcome Shannon is expecting  8:40—How the broken windows theory applies to this situation 10:13—Final thoughts from Shannon 12:00—Wrapping things up As always, if you have questions about this or any real estate topic, don’t hesitate to reach out to me. I’m happy to help. 

Seth Rosenstein breaks down what property owners/managers must know. For today’s message, I’m thankful to be accompanied by Matt Miller of ERA, our property manager, and Seth Rothstein, who’s an attorney and partner at Adams, Rothstein & Siegel. Seth focuses on real estate and civil litigation and has several landlords as clients. Starting in April, the first full month of the pandemic in the U.S., there were a series of mandates that impacted landlords’ rights and created plenty of confusion.  There was an order issued by Chief Judge Mahan, orders from Governor DeSantis, the CARES Act, and now the CDC order. Seth has been combing through updates that have been flooding in on an almost daily basis to keep his clients protected. Today Seth’s sharing the latest legal news as it pertains to property owners and managers.  Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message or use these timestamps to skip to topics that interest you most:  2:33 — Setting the record straight on commercial property, expired leases, and noncompliance 5:00 — The CDC’s 41-page document: What it requires, and the circumstances that created it  8:23 — Are tenants making their best efforts to make partial payments?  10:27 — Explaining the legal term ‘force majeure’  12:07 — What solutions do landlords have at their disposal?  14:30 —When will things return to normal? How can property owners stay ahead of the curve?  19:15 — Have things reached a fever pitch? Will there be cases like “Landlords v. __ County”?  23:14 — Wrapping up our discussion  Hopefully, Seth’s legal insight has helped you get a better understanding of how all of the recent government orders affect you as a property owner or manager. If you have further questions on this or any other real estate-related topic, reach out to us via phone or email. 

Here’s how you can save money on your property taxes. If you’re wondering how to save money on your property taxes, there are a couple of ways to do so. First, you could always let someone else do it. There are several companies (First Coast Consultants, for example) dedicated to helping you lower your property taxes. Their primary focus is larger commercial properties, but they can help you as well, provided you’re willing to pay a fee. Second, establish that you have a discrepancy. If you can prove that the county is assessing your property for more than it’s worth, and thus charging you more in taxes than what you should be paying, then they’ll lower the value—and by extension, your taxes. If you decide on this option, give me a call; I’d be happy to craft a market analysis to help you state your case. “Now is the time to act to contest your property’s valuation.” Third, once a discrepancy is established, know when to act. August has just ended, so you should’ve received a notice of proposed taxes from the county by now telling you what they intend to tax you on this November. This means right now is the time to act if you want to contest your property’s valuation. You can contact the Value Adjustment Board either through the online form or by sending them an email.  Their offices are presently closed due to COVID-19. Finally, remember to fill out the proper paperwork. Make sure you fill out the petition form completely and correctly when contesting your assessed value. There’s a slight fee involved, but it’s well worth it if you can save thousands of dollars later. As always, if you have questions about this or any real estate topic, don’t hesitate to reach out to me. I’m happy to help.

So how do you improve your offer without simply raising your price? Here are some key tips to help you find success as a buyer in today’s market—without simply paying more for the home you want: 1. Be flexible with your timeline. Being flexible means, being willing to close sooner or later, depending on what the seller wants. If necessary, sellers might ask to stay in the house for a bit longer after closing. That may not be ideal, but if it doesn’t cost you more money and it gets the deal done, it’s something to consider. 2. Raise your earnest money amount. Sellers typically see this as a sign that the buyer is serious. Since the buyer won’t get that money back if they back out of the deal for some non-contractual reason. 3. Shorten or remove your contingencies. Your could shorten the inspection contingency from it’s usual 10 days down 7, as an example. Additionally, you could shorten the financing contingency to put the sellers mind at ease well in advance of closing. 4. Move fast. I’ve had multiple deals recently where a buyer will find a property they like one day, only to find out that it has several offers on it the next day. If you want your deal done, in today’s market, you have to move very quickly. 5. Share your story. I’m not a sentimental person myself, but sentimentality does often mean something to homeowners. Especially if they’ve lived in that home as their primary residence for a long time. To know that the next group that’s going to live there, take care of it, and be as attentive to it as the owners themselves were can make all the difference in a seller’s decision to accept an offer. Write them a letter and share relevant details about your life that you think would be compelling to the owner and their situation. 6. Be fully approved. The pandemic has created a mess for mortgage companies and banks as they approve buyers to get loans. You can go all of the way through the underwriting process prior to making offers. That way, the seller won’t have to worry about the deal falling through for some underwriting issue later on during the deal’s timeline. If you have any questions or would like more information about how to successfully navigate a deal in today’s market, don’t hesitate to reach out to us. I’d be happy to talk strategy with you.

Today we’re taking a step back from hardcore business information to talk about something a little different. Matt Miller, ERA’s property manager, and Zach Corson, the transaction manager, join me to talk about quarantine movies.  If you ever do business with us, you’ll probably cross paths with one of these two, but instead of picking their brains for expertise about real estate transactions, I wanted to talk about their favorite movies to help get them through these tough times. Here are each of their top three favorite movies to rewatch during quarantine: Matt: Caddyshack Happy Gilmore Major League II Zach: Star Wars Lord of the Rings The Dark Knight My own picks: Man on Fire Inception ¡Three Amigos! If you’re in need of a way to keep yourself entertained, check out our top movie picks! Hopefully they’ll help brighten your week as things start to return to normal. In the meantime, if you have any questions about real estate, don’t hesitate to reach out to us. We’re here to help you.

Here’s everything you need to know about Brian’s customizable gardens. I recently sat down with Brian Friederichs, owner of Yard to Table Farms, to discuss his amazing garden box business model that empowers people to believe in their own green thumb and grow amazing veggies. About a month ago, Brain came over to my house with a garden box he built himself, and our kids love it; we now have some nearly ripe tomatoes, squash, rosemary, and other herbs as well. He explains the lack of plant diversity in our mass-production supermarket model, the tasty boons of homegrown snacks, and much more. Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message, or use these timestamps to skip to topics that interest you most:  1:11 — When (and how) Brian fell in love with the micro-farm and square-foot gardening model 4:00 — How Brian was able to bring his business model to market 6:10 — Where Brian offers his services, and the importance of choosing the right wood 7:37 — What, if anything, can you plant in June? 8:44 — How much time and effort is required to maintain your garden box? 11:10 — Wrapping things up  Reach out to Brian at Yard to Table Farms by visiting yttfarms.com and filling out an online inquiry or calling the direct numbers listed on the site. As always, give me a call, text, or email if you have any questions about real estate or the status of our market. I look forward to hearing from you! 

A few months ago, our team read the book “The Miracle Morning” by Hal Elrod and began learning a lot about how we should be starting our days. Then we went into quarantine and our morning routines exploded. Now that we’re getting out of quarantine, we’re getting back to our morning routines and I wanted to share it with you today. The morning routine Hal teaches is broken down into six activities with the acronym S.A.V.E.R.S. Here’s what they stand for: Silence: Using prayer and meditation to bring calmness to the start of our day.Affirmations: These are the things that you want to achieve that you’re creating an audible reminder for yourself on.Visualization: There’s all sorts of research showing that with practice visualizing physical tasks (like your golf swing), you can make substantial improvements.Exercise: We all know we need to do it.  Knock it out first thing so you don’t forget!Reading: “You will be the same person in five years as you are today except for the people you meet and the books you read.” ― Charlie Tremendous JonesScribing (writing): Clear writing is the result of clear thinking.  “Starting the day with a bit of silence is key.” These are the six things that he picked out for the perfect morning routine. You don’t have to do everything every day, but starting with one or two of these things in the morning and slowly adding to the list as time goes on will enhance your day, and ultimately your life. If you have any questions about my morning routine or anything else that you’re doing in the morning that you think we should be doing too, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon!

Who pays for which closing costs in a real estate transaction? Before I answer that question, a quick reminder: there is no law stating which party has to pay a particular cost. What we’re talking about is the customary costs for a particular location. Different market areas have different customs. The following is what’s customary for sellers to pay in Northeast Florida: Deed stamps: This state tax constitutes 0.007% of the sale price. It’s a set rate, so there’s no negotiating it. Owners title insurance policy: This is also a state-regulated amount that basically provides insurance to the new buyer so that if any issues arise from previous ownership, it’s taken care of by the title insurance company. Title search: The title company, in general, will handle the transaction as a whole, including the search and organizing the title insurance policy, which brings me to our next item… Settlement fee: This is what the title company charges for doing the work mentioned above and handling the money, which goes from the lender to the seller, and then the seller to their lender, and so on. Survey fee: This shows the buyer what they actually own. Other costs that are sometimes asked of sellers to pay include the satisfaction of the mortgage (if they have one) to pay off their existing loan, courier fees, wire fees, the home warranty, seller paid closing costs on behalf of the buyer, etc. Typically, buyers pay for anything associated with getting financing in Northeast Florida, so if you’re paying cash to purchase your home, your closing costs are minimal—all you have to pay is a recording fee. If you’re using financing to purchase though, you’ll be expected to cover several fees in addition to that: Intangible tax: This is a tax on getting a mortgage, and it goes toward the state coffers. 0.002 * the loan amount. Note stamps: This is like the deed stamps, except against the amount of the loan just a different amount. 0.0035 * loan amount. Mortgagee title insurance policy: This is similar to the owner’s title insurance policy, except it protects the lender. Title insurance endorsements: These are smaller modifications to your title insurance policy that protect you from issues that might arise if you live in a homeowners association or condominium complex, as an example. Inspection fees: Whether it’s a general inspection, WDO inspection, pool inspection, etc., these are usually paid outside of the closing.  Mortgage origination charges: When you borrow money from a bank or mortgage company, this is the fee you pay them for originating your loan. Appraisal fee: This is the fee you pay your lender so they can hire an appraiser to substantiate the amount you’re paying for the home. Mortgage Insurance: This applies if you’re putting less than 20% down. Depending on the loan type, different terminology is used to describe the same function.  On FHA loans it’s MIP (mortgage insurance premium). For a VA loan, this is referred to as a funding fee. Other miscellaneous buyer costs can include: Home warranty fee Lender’s flood certification Wire fee Municipal lien search fee Estoppel letter fee To see a more in-depth description of these costs, follow this link that takes you to my blog post. Remember, everything in real estate is negotiable—you never know what the other party is willing to pay for unless you ask.  If you have questions about this or any real estate topic, don’t hesitate to reach out to me. I’d love to help you.

Here’s the scenario.  You’re thinking about making a move, but can’t decide if you should sell your existing home or rent it out.  Assuming you’re financially capable of moving without selling, which should you do? Today I’ll discuss the pros and cons of each, and give you some insight that will help you make the best possible decision. We will set up a scenario in the video that is very realistic.  Obviously, it won’t match your situation exactly.  If you would like for me to run the numbers on your particular plan, just give me a call! Feel free to follow along in the video above or use the timestamps I’ve provided below to navigate the discussion at your leisure: 0:54—When you purchased the house originally2:37—What you could rent your home for in today’s market3:12—The responsibilities, benefits, and expected return of renting out the property4:25—Property depreciation as a taxable loss5:51—Thoughts about renting for a short period of time7:14—Alternative investment options Hopefully, this information helps you (or someone you know) to make a good decision with your next move. If you have any questions, don’t hesitate to reach out to me. I’d love to chat with you about your options.

Today Blake Riber, owner of Riber Financial, joins me on Facebook Live to discuss the Small Business Administration (SBA) program and the Paycheck Protection Program (PPP) rollout for stimulus funds. One of the most frequent questions we’re hearing from people right now is how to access the money from these programs to keep their businesses operating. There is $349 billion available for small businesses. If you’re a small business with 500 or fewer employees, you’re most likely eligible to receive funds. The government will take your average monthly 2019 salary costs from your company, multiply it by 2.5%, and that’s your loan base. To learn more about these programs, watch my latest video above. 

Local business owner Ansley Randall joins me today to discuss the impact the coronavirus has had on our Jacksonville economy. Today I’m joined by Ansley Randall—graphic designer, artist, and owner of Jax Is Rad—to talk a little about her design business and how the coronavirus has impacted the Jacksonville economy. Now more than ever, it’s important to support local businesses, and Ansley has her ear to the ground in terms of how you can support those in our community who could use a helping hand.

I’m sharing our latest market update as well as how to come up with the absorption rate for your neighborhood. Recently, I was analyzing what happened in 2019 in our real estate market. I was examining all the statistics, getting a feel for how 2019 went, and how it could impact 2020. I came across a few essential facts that I felt you should know. The absorption rate, or inventory level, is the measure of how many homes we have for sale versus how many we’re selling per month. In 2019, the absorption rate ebbed and flowed between 3.8 and 3.2 months. To take this measurement for your neighborhood, you would want to look at the number of active listings against the number of homes sold in the previous 6 months (averaged). For example, if there are 10 active listings and 30 houses sold (over 6 months), you divide 30 by 6 which equals 5 per month.  Then divide 10 by 5 to give us 2 months of inventory. “I’m curious and excited to see what happens in 2020.” Currently, we have 3.2 months of inventory, which means in about three months, all of our current listings will be sold (not considering those pulling their houses off of the market). A few other factors come into play, but that is the basis for these figures. This low number is great for sellers but can be tough for buyers. As a buyer, this means a property might fetch multiple offers when it comes on the market. The average 30-year fixed-rate mortgage is currently in the mid 3’s, which is going to fuel the market. As long as mortgage rates are that low and inventory is low, prices won’t slow down much. I’m curious and excited to see what happens in 2020. Many factors can change up these numbers, so we’ll see how our real estate market ebbs and flows as we move through the year. If you’re wondering what your home is worth, what you can get for the money as a buyer, or you just want to have a conversation about any of these statistics, feel free to call or email me. I would love to catch up!

Here are our top 10 destinations for a Valentine’s Day date night in 2020. With Valentine’s Day almost upon us, some of you might be in search of some great restaurants to try for date night. In the spirit of the season, today I’ll share the Riber family’s top 10 date night restaurants for Valentine’s Day 2020—yes, this list has been approved by my wife! Starting with the Town Center area: Capital Grille—Who doesn’t love a good steak? Cooper’s Hawk—Their wine theme is perfect for a date night! Bazille—Located at the top of Nordstrom’s, it’s rarely crowded, the food is good, and it has a cool location and atmosphere. If you’re in the San Marco area: Taverna—This restaurant offers a variety of American entrees with a twist in a modern-decor setting. Town Hall—This intimate restaurant uses fresh, seasonal ingredients from local farms and artisans. Bistro Aix—They’ve totally renovated since the flooding last year, and it looks great! We held our company Christmas party there, and it was a good time. For the Riverside area residents: Biscottis—This is my wife’s favorite, possibly because of their dessert menu featuring a chocolate/peanut butter treat that she loves. Restaurant Orsay—Their modern atmosphere is unique, and the venue is a little larger than other restaurants. Finally, for those who live near the beaches: North Beach Fish Camp—They have great options for the seafood lovers out there! Flying Iguana—Enjoy their twists on modern Mexican cuisine. If you have any questions about restaurants or real estate, don’t hesitate to reach out to us. Until then, we hope you enjoy your Valentine’s date night to the fullest!

Let's take a look at the pros and cons of renting versus owning. I’m very much into putting some math behind major buying decisions (jobs, houses, cars, trips, etc.). I found 2 sites that did a good job of objectively laying out the various costs associated with homeownership.  Resource 1 Resource 2 Once you have that in hand, you can make a decision based on the facts, not just the hype of homeownership (as I see so often).  You may not have heard a Realtor talk about the merits of renting over owning, but there are some worth mentioning. For example, if you’re in a temporary living situation (e.g., job relocation, military, or a growing family), not being tied down is preferable.  Another plus for renters is that they don’t have to stress about the labor and costs associated with maintenance.  If you plan to be in one location for the long haul, then ownership is your best option. As an owner, you pay down the principal balance on your home loan each month, whereas renters face nothing but rising rental costs with no asset to show for it.  Secondly, if you’re seeking to live in a desirable community, it may be the case that there are few (if any) rental properties available. Based on where you’re looking, ownership may be your only option. “If you plan to be in one location for the long haul, then ownership is your best option.” Lastly, a property that you own is one that you can make your own; it’s part of the American Dream to own a home and customize it to reflect your lifestyle. A lot of deciding whether you should rent or buy comes down to the math (i.e., the cost of renting versus the mortgage payment and maintenance costs associated with ownership).   If you or anyone you know is currently pondering this decision, please feel free to call or email me. I’d love to have that conversation and help you think about all the implications.

David Cleveland of Alpha Foundations recently joined me for a Facebook Live session to discuss how he and his business have been helping Jacksonville homeowners identify and resolve foundation issues since 2002. During my most recent Facebook Live, I sat down with David Cleveland of Alpha Foundations to discuss a few common homeowner questions, the importance of a solid foundation, and, of course, what his specific business brings to Jacksonville.  Cited below for your convenience is an outline of our discussion, with timestamps so that you can skip ahead to the section(s) that interest you the most: 00:41 - What Alpha Foundations does and what areas they serve 02:05 - How Alpha Foundations identifies and resolves foundation issues  04:31 - What Alpha Foundations can do to prevent future problems 06:39 - How “crawlspace encapsulation” helps to keep foundations strong and stable 08:09 - What does it typically cost to resolve foundations issues? 10:06 - How to get in touch with David and his team at Alpha Foundations 10:38 - How to get in touch with me for any of your real estate needs If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.

Here’s a quick breakdown of how real estate agents get paid. How do real estate agents get paid? 1. To answer that question, let’s first address who pays a real estate agent. Roughly 99% of the time, it’s the seller. In fact, in my 12 years as an agent, I can’t ever remember a transaction where the buyer paid an agent’s commission. This doesn’t mean it never takes place, but it’s not customary in our Northeast Florida market.  There are two portions of each commission the seller pays: the portion that goes to their listing agent and the portion that’s offered to any buyers’ agents in the area so that they bring in interested buyers.  2. All agents and brokerages have to abide by the Sherman Antitrust Act, which is intended to prevent price-fixing. In other words, it’s illegal for one real estate company to go to another company and establish an average commission rate for a transaction. If you ask an agent what the average commission is and they’re finicky about answering, that’s why. There is no such thing as an “average” commission. Each brokerage sets their own commission rate.  3. It’s also important to note that agents don’t get paid directly. The commission the seller pays goes straight to the agents’ brokerage. The agent is then paid a portion of the commission from the brokerage. So, different companies may have different commission rates. And different agents within the company may have different commission splits. This is another thing that’s negotiable.   “There’s a difference between what you pay and the value you receive.” 4. Finally, there is a difference between cost and value. Some agents might be a great “value” for the “cost.” Others, not so much. For example, Gardner Minshew II, the Jacksonville Jaguars’ current starting quarterback (though not for long), will make about $700,000 this year. He ranks 12th in terms of overall quarterback rating. One slot behind Tom Brady, but way ahead of Jared Goff of the Los Angeles Rams. Jared’s QBR ranks 27th in the league, but he stands to earn $26 million this year. Basically, the Jaguars are paying Minshew 37x less than what the Rams are paying Goff, and getting better overall results! That is to say, there’s a difference between what you pay and the value you receive. To find out what value an agent brings to the table, research their experience and performance history: how many homes they sell per year, how their sale price compares to each home’s list price, what their average days on market is, etc.  If you have any questions about this or any other real estate topic, don’t hesitate to reach out to me. I’d love to help you.

For my most recent Facebook Live discussion, I’m joined by Matthew Miller, ERA Heavener Realty’s resident property manager. Today I’m joined by Matthew Miller, ERA Heavener Realty’s resident property manager, for a Facebook Live discussion about various topics tenants and landlords should know about in today’s market. For your convenience, I’ve provided timestamps of our discussion so you can skip ahead to certain sections at your leisure:  0:39—Matt’s background in the property rental business  2:01—Scams tenants should be aware of4:19—How to guard against these scams 5:40—Proper tenant screening 7:57—What happens after a tenant qualifies for purchasing10:28—How to know what a property will rent for 13:35—Wrapping things up If you have any more questions about rental properties—whether you’re a tenant or a landlord—you can email him at matty@mattysells.com.  As always, if you have any other real estate questions for me, don’t hesitate to call or email me. I’d love to help you.

Christy McCarthy of Interiors Revitalized has helped me out both personally and professionally over the years. She joined me recently to help all of you, too. I recently went live on Facebook with Christy McCarthy of Interiors Revitalized. She has helped me out both personally and professionally over the years, and she does a wonderful job of transforming homes, even on a tight budget. She talked to me about some best practices in preparing a home for sale, how she got started in this business, and how she’s been able to help so many of her clients.  Here’s an outline of our conversation with timestamps so that you can skip ahead to the section(s) that interest you the most: 0:45- Christy tells us her story and how she got into the interior design business1:50- What you need to think about when preparing a home for sale on a budget3:22- Christy’s favorite budget flooring replacements for living spaces5:30- New design trends that Christy has been paying attention to  Thanks so much to Christy for joining me and sharing her expertise. If you want to learn more from Christy or have any questions, please visit her online at www.interiorsrevitalized.com. If you have any other questions for me or any real estate need that I can assist with, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon!

Despite the fact that the fall market tends to slow after the rush of the summer. There are still multiple reasons why this time of year is a great time to buy a home: 1. Sellers are more motivated in the fall. Compared to those in the spring and summer, fall home sellers have more motivation to sell. No one wants strangers traipsing through their home during the Thanksgiving season! There are also fewer homes on the market. Looking at the numbers, in January of 2019, there were 1,530 closed residential transactions in our MLS.  In May this year, that number was 2,992; and the months of June, July, and August were all about the same, at 2,700. 2. You’ll have more of your agent’s attention. Summer is always more busy for real estate agents. Keeping track of all the activity is more challenging because there’s twice as much work in the summer. But in the fall and winter, when activity slows down, it’s easier for your agent to devote more of their attention to you. 3. The weather. Sweating through the afternoon looking at houses just isn’t fun!  When things get a bit more cool and breezy it makes the house hunting process much more enjoyable. “In Jacksonville, the fall and winter temperatures tend to hover around 72 degrees, which is excellent house-hunting weather.” If you have any questions about buying a home in the fall, don’t hesitate to reach out to me. I’d love to help you out.

Whether you’re currently in the middle of buying or selling a home or don’t have plans to do so for quite some time, this message is one you’ll definitely want to check out—it could help save you a lot of time, money, and hassle.  Today, we’ll be discussing everything you need to know about how to win when negotiating repairs.  Did you know that repair-related disagreements are the second-most common reason real estate deals fall apart? It’s true. Thankfully, by following just a few simple tips, you can make sure that your repair negotiations go smoothly and successfully. “Repair-related disagreements are the second-most common reason real estate deals fall apart.” Here are our top three tips:  1. Take your emotions out of the equation. Buying and selling real estate can be a very emotional experience.  This we know.  But, it’s important to remain objective and level-headed when you talk about repairs. If, for example, you’re selling your home and a buyer complains about a detail of your home that you don’t see an issue with.  Try to remove your personal biases and see things from their perspective. You don’t necessarily have to resolve the problem, but you should at least consider it. 2. Get everything in writing. Our Northeast Florida Association of Realtors Purchase Agreement states that, “all work will be completed by appropriately licensed individuals.” If you, as the seller, plan on doing some of the work yourself.  Be sure to get it in writing and agreed upon by the buyer!  Otherwise, you’ve breached the contract and risk losing the deal.  Similarly, be as detailed as possible with the items that are being repaired.  I’ve seen many a scuffle begin because of unmet expectations around how a particular home maintenance task was accomplished.  Putting all agreements into writing (with as much detail as possible) will help both parties avoid unpleasant surprises when closing day arrives. 3. Resolve repair requests through a credit rather than by completing repairs. Often, having the seller offer the buyer a closing cost credit is a better option than trying to orchestrate repairs prior to closing. Alternatively, the seller may adjust the purchase price to compensate for the amount the buyer will have to spend on repairs. If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.

Every year, the county gives you an opportunity to challenge your assessed value (and potentially lower your annual real estate tax bill).  Whether it’s an investment property or a primary residence. I’ve actually challenged the assessment of my property values several times, which have been rental properties for the most part. A few years ago, I bought a rental property for $100,000 (keeping the numbers round for simplicity). One year later, the assessment came out, and it valued my property at $150,000, meaning that I’d pay more in property taxes than I’d expected to. I had paid a little bit under market value for it, but it also needed a bunch of work done.  So I established my case for challenging the assessment—I gathered up some comparable sales that demonstrated my property was not worth as much as the county said.  Showing that in its present condition it was worth substantially less.  Then I sent that information to the county. Sure enough, they agreed that my home wasn’t worth that amount, and they ended up reducing their assessment to something closer to the $100,000 I had originally paid for it. The difference saved me about $1,000 per year in property taxes. Something else to note is that the county can increase the assessed value of your property if it isn’t your primary residence by 10% each year. If it is your primary residence, then they can only increase its assessed value by 3% per year. That can still be a big deal if you own the property for awhile. By challenging the assessment on my property, I saved $1,000 not only that year, but every year after that, and I still own it to this day. If you’re thinking of challenging your property’s assessed value, now is the right time of year to do so. In August, the county will open up the opportunity for you to submit the application to lower your taxes. The Value Adjustment Board will give you until the middle of September to send in your application, which can be accessed here. “If you’re thinking of challenging your own property’s assessed value, now is the right time of year to do so.” If you’re unsure of the value of your home, reach out to me. Gauging value in real estate is what I do all day long.  And, I’d be happy to help you figure out whether challenging your assessed value is worth your time or not.  In the meantime, if you have any other real estate questions, feel free to call/text/email.  Hope to hear from you soon!

I’m going to stray a little from real estate today to talk about one of my favorite things in the workplace: standing desks.  How many of you use a standing desk on a daily or weekly basis? I’ve been using one for about eight years now and I absolutely love it. It’s a habit at this point and something I don’t talk about as much as I used to. But let’s take a minute to to discuss a few of the benefits. You can increase your energy level, burn more calories, and even reduce soreness after your morning exercise routine. Not to mention a marked difference in your posture (if your conscious about it). I’ve seen some anti-standing desk studies and here are my thoughts on that: If you stand in the same exact spot for three hours straight, obviously that’s not good for you. You need to move around throughout the day. Put a pull-up bar, a balance board, or some kettle-bells in your office. Take a seat when you’re tired. Just don’t be stationary all day long! “You’ll have better posture and burn more calories.” If you’re considering a standing desk, here are a few brands you should take a look at: Geekdesk. It’s a little pricey, but it’s motorized, it works great, and I’ve had one since 2012. Varidesk. You can use one of these to raise and lower your existing desk.  I hope this has been helpful to you. If you have any questions for me about standing desks or about real estate in general, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon. Here is another article!

People always ask if I know a good plumber, roofer, or painter I can refer to them. So today, I’d like to break down the process our team follows to find high-quality contractors. By following this process yourself, you’ll be sure to find the right contractor for your needs in no time.  This process contains four simple steps:  1. Look for contractors by talking to friends and family, by looking online, or by reaching out to trusted local professionals, like your Realtor. Once you’ve identified a few candidates, you can move on to the next step. Here are some websites to help you locate professionals: https://www.homeadvisor.com/ https://www.thumbtack.com/ https://www.angieslist.com/ 2. Fact-checking. Before you even think of hiring a contractor, you need to make sure they’re licensed, insured, and that they pull the proper permits when handling various projects. This will give you a better idea of their legitimacy. Here are some helpful websites: https://apps8.fldfs.com/proofofcoverage/Search.aspx https://buildinginspections.coj.net/ https://www.myfloridalicense.com/wl11.asp?mode=0&SID= 3. Create a competition between the vendors you’re thinking of hiring. When a contractor knows they aren’t your only option, this may incentivize them to put their best foot forward. Not only that, but comparison shopping is a great way to ensure you earn the best possible deal.  4. Don’t pay for the entire job up front. While you should certainly expect to pay a deposit when you begin working with a contractor, paying the entire bill before the work is finished is not a wise choice.  “While you should certainly expect to pay a deposit when you begin working with a contractor, paying the entire bill before the work is finished is not a wise choice.” If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.

Now that we’ve entered hurricane season here in Florida, it’s time for you to review your homeowners insurance and make sure you have the right coverage in case disaster strikes.  With that in mind, I’ve invited Danny Sands of Brightway Insurance to go over this topic with me in today’s Facebook Live interview. Danny has been in the insurance business for about a decade, and Brightway is recognized as the No. 1 broker in the state for homeowners insurance. Aside from that, they also sell life, auto, and business insurance.  For your convenience, I’ve provided timestamps of the video above so that you can skip ahead to certain sections at your leisure: 1:07—What you need to be aware of in terms of your deductible 2:22—What a more competitive market means for your deductible 4:00—What happens if other structures (pools, sheds, etc.) incur damage during a storm?5:20—How tree damage/removal is covered6:36—How do you know which provider is best for you?8:26—How can you save money on your insurance? 9:41—Wrapping things up If you have any questions for Danny about this topic or you’d like him to review your current policy, you can give him a call at (904) 999-3250.  As always, if you have any other real estate topics you’d like to speak with me about, feel free to give me a call as well. I’d love to hear from you. 

If you’re a real estate investor, a 1031 exchange is a great way to avoid paying capital gains taxes while you build wealth over time. How does it work, though?  I’ve laid out a scenario explaining how 1031 exchanges work in today’s video. Check out the timestamps below to browse various sections of this message at your leisure. 1. Your example scenario: 0:46—You buy a house in 2011 for $100,000, move out, and turn it into a rental in 2014 1:32—You then decide to sell that house because it’s now worth $200,000 2:01—Accounting for rental property depreciation, you sell for a net gain of $120,000 3:06—Assuming you’re in a 25% long-term capital gains tax bracket, you’d pay $30,000 to the IRS after you sell “If you have a rental property you’re thinking about selling, give me a call so we can talk more about the 1031 exchange.” 2. How the 1031 exchange works: 4:04—An intermediary holds the proceeds from the sale 5:01—You then have 180 days to find a replacement property and buy it with those funds 5:50—Once you’re ready to close a deal, the intermediary releases the funds to complete the transaction 6:16—What you’d save in this scenario So, if you have a rental property you’re thinking about selling, give me a call so we can talk more about the 1031 exchange. It’s a great way to build wealth over time and avoid paying huge tax fees every time you sell a property.  As always, if you have any more real estate questions, feel free to reach out to me as well. I’d love to help you.

If and when you go to buy or sell a house, the distinction between hiring a single agent versus hiring a transaction broker has huge ripple effects that can make or break your deal.  The best way to explain transaction brokerage is that the agent is there to help put a deal together, but they technically don’t represent you. That’s where people get confused. They might not exactly have your best interest in mind. This is because transaction brokerage relationships lack these four things: loyalty, confidentiality, obedience, and full disclosure. On the other hand, all of these things are present with single agency. “Single agency is the way to go.” How can you get the best deal for you and your family if you’re working with someone who doesn’t give you loyalty, confidentiality, obedience, and full disclosure? The answer is that you can’t.  This is an issue that just doesn’t get enough attention so I wanted to bring it to yours today. The next time you are hiring a real estate agent, single agency is obviously the right way to go.  If you have any questions for me in the meantime about single agency, the market, or about real estate in general, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon. Check out the links below for more information! The 2018 Florida Statutes Can You Get A Better Deal On Your Next Home Purchase?

David Lashbrook from Navigator Mortgage is well known in the mortgage world. Given his experience, I asked him to join me for a discussion about mortgages. First, however, I wanted to ask him about how he came to have such a successful career. Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch the full message or use these timestamps to browse specific topics at your leisure:  0:27—David’s background in a nutshell1:10—For homebuyers and those looking to refinance, what is the mortgage market like today? What trends should we keep an eye on?4:05—A historical perspective on interest rates, as well as David’s thoughts on what to expect towards the end of 2019 into early 20205:31—An overview of quantitative easing8:09—Putting David on the spot: What’s his prediction for 30-year fixed-rate conventional loans come March 2020?10:25—How much money is needed to buy a house?13:05—The pros and cons of down payment assistance programs; things to be aware of in the fine print To get in contact with David at Navigator Mortgage to have all your mortgage questions answered, visit his website at http://www.navigator-mortgage.com/, go to his Facebook page, or call him at (904) 813-1768. For any other questions you have about real estate, you can always reach out to me. I’d love to hear from you.

I’m here today with BJ Johnson of Inside & Out Property Inspectors, who will be talking with us about the ins and outs of property conditions and inspections. For your convenience, I’ve included timestamps for today’s video topic. Feel free to navigate to the section(s) you’re most interested in viewing: 00:06 — Introduction to today’s topic00:48 — What can you expect from an inspection?02:16 — How can we gauge the lifespan of home systems?06:10 — What should people look out for as homeowners?07:55 — Traditional home maintenance items to keep in mind09:11 — Is there a difference between stucco and concrete?11:17 — What to keep in mind with pressure washing12:55 — Conclusion of today’s video I’d like to thank BJ for giving us some great insight. Feel free to reach out to Inside & Out Property Inspectors at 904-395-1900. For any other questions, contact me. I look forward to hearing from you soon.

What’s the deal with instant offer companies that seem to be popping up all over the place lately? These companies, also known as “iBuyers,” may be a viable option for some, but before you take the plunge into such an arrangement, there are a few points to consider. Opendoor, Zillow, and OfferPad are some of the most prominent companies behind this trend, but it’s important not to conflate brand recognition with trustworthiness. In short, just because you’ve heard of Zillow, that doesn’t mean selling to them is a good idea.  “Unless you’re interested in throwing away money, you’re better off pursuing a traditional selling experience.” So what exactly are instant offer companies doing? In short, they buy homes for between 10% and 20% below market value (on average), claiming that this arrangement is more convenient for sellers than listing on the open market.  The truth is that these iBuyers are really just looking to make a quick buck. Their plan is to offer you a “convenient” arrangement at a cost. Sure, by selling to an iBuyer you get to avoid the listing process, but is that worth the inordinately low price you’ll earn for your home as a result? Unless you’re interested in throwing away money, then no. You’re almost always better off pursuing a traditional selling experience. If you’d like to learn more about how easy and convenient the listing process can be when you work with our team, don’t hesitate to reach out.  As always, if you have any other questions or would like more information, feel free to give us a call or send us an email. We look forward to hearing from you soon.

Today I’ll give you a quick rundown of the Duval Civil Planning Map, which can be found online at http://maps.coj.net/duvalcivilplanning/, and talk to you about some of the nifty features you’ll find there.  There are a few reasons you might want to harness the power of this tool for your home buying pursuits:  1. In the event of a natural disaster, you’ll know how high your home’s elevation is. By using this map, you’ll be able to ascertain the elevation of your potential home and, therefore, determine whether the home would be underwater if a natural disaster were to strike. It will also give you an idea of how high the home sits relative to your neighbors.  2. You can decide where to go in the event of a storm. Relatedly, you can rely on this tool if and when you’re in the path of a storm. If circumstances dictate that you need to evacuate and seek shelter elsewhere, the map will give you a sense of the elevation of your relatives’ properties as well. In turn, you can determine whose is the highest and head that direction.  3. You can see how to best landscape your yard. If it’s time to restructure your yard’s landscaping or, say, you have a recurring issue with runoff in just one spot, this tool can aid you in mapping out how to eliminate the problem, given your home’s elevation.  Starting at 1:55 in the video, you can view my step-by-step guide on how to use the Duval Civil Planning Map.   If you have any suggestions for future video topics or you have any real estate-related questions for me, please give me a call at 904-405-1995. I’m here to help however I can!

Florida Bar Board Certified elder law attorney Kellen Bryant joins me today to discuss an important financial investments and savings rental property exception that you might want to know about. To Kellen, Florida is one of the nicer states when it comes to how they treat a lot of Medicaid and rental property rules. These two areas tie together because if you need nursing home care and you have a rental property that would count against you getting the care that you need, you’ll have to sell your home on the fly, which can be a loss. In Florida, however, there are some things you need to do relating to that property, but you don’t have to sell it in order to qualify for skilled nursing care. Here, the rules are reversed: Florida allows you to pay with cash to purchase an income-producing property—cash that generally counts against people when it comes to nursing home qualification. This is called the  income-producing property exception, which is a noncountable asset when it comes to your financial eligibility to receive Medicaid to help pay for a nursing home. There are two main catches when it comes to this strategy, however.  1. Any kind of net profit relating to this rental property has to go toward your nursing home copay. 2. If the deed is not set up correctly to create an enhanced life estate or ladybird deed, then the state of Florida can set up a lien on the property at the time of the owner’s death. “There are a lot of details underneath the surface, but when done correctly, this is a good way to protect your assets.” Here’s a good example of how the income-producing property exception might work: Suppose a family is taking a loved one to go into a nursing home facility. Let’s say that loved one has $300,000 cash in the bank, and the family decides to use that money to pay the nursing home. When that money runs out, they then apply for Medicaid. The above-mentioned strategy would allow the family members to instead take that cash to go buy a rental property to then use for the cost of nursing care. It’s not advisable to pursue this strategy on your own. To do it properly and ensure a seamless process with no liens, you need to do it under the auspice of an experienced elder law attorney. In the example laid out above, you wouldn’t necessarily need to spend all $300,000 on the rental property, as one of the disadvantages of choosing this route is that your money becomes tied up in the real estate process. But this way, the cash is protected, and you have a reliable stream of income going toward your loved one’s nursing care. If you have any questions about this exception, reach out to Kellen at (904) 470-2300, or visit his website at https://www.bbelderlaw.com/. For other real estate questions or suggestions for future topics, you can always reach out to ERA Heavener Realty. We’d love to hear from you.

All square footage is not equal—this is a crucial detail that is sometimes lost on us as we try to decipher how another home compares to our own.  Strategically pricing your home depends on making savvy decision around this idea.   When trying to come up with a reasonable price per square foot on your property, the price your neighbor sold for may not necessarily be “apples to apples.” Factors like the lot itself, any renovations made on the home, and the nature of the square footage all have to be taken into account. “There’s so much to consider when determining the price per square foot of your home, so be patient and try to get below the surface on assessing other comparable sales.” Let’s say you enclosed a garage to make a bonus room.  The additional square footage should not be treated the same as that of a larger home with a floor plan that’s more functional.  Intuitively we know this, but practically we like to forget it when it applies to ourselves. Online home valuation tools like Zillow are useful in giving a broad view of what homes are selling for in your area.  They’re less dependable when you need to be strategic with pricing your home based on the particulars and unique aspects of your situation. If you have any suggestions regarding future video content or would like help with any of your real estate needs whatsoever, feel free to give me a call. I’d love to chat! Click here to learn more about appraisals.

So what is the Dunning-Kruger Effect? Back in the late 90s, David Dunning and Justin Kruger, professors from Cornell College, did a study that concluded that the less an individual knows about a particular topic, the more likely they are to overvalue their skill, ability, or knowledge on that topic. Let me use an example from my own life to demonstrate the Dunning-Kruger Effect: Around 15 or 20 years ago, a friend of mine was having a conversation with his dad about the Gate River Run. My friend found out that he could win a substantial amount of money by winning the race. Now, my friend was not a runner; he was a good athlete, but people who win the Gate River Run average a mile in 4.5 minutes—they fly. My friend couldn’t run a single 4.5-minute mile, so his lack of knowledge about that topic led him to believe that he could just go out and win this race against professional athletes. That’s in essence what the Dunning-Kruger Effect is—you don’t know what you don’t know, which leads you to overvalue your competency.  “That’s in essence what the Dunning-Kruger Effect is—you don’t know what you don’t know, which leads you to overvalue your competency.” In real estate, I see this often. We are in the Information Age where you can Google just about anything. I’m sure doctors have seen this as well: Many think that because they pulled information from WebMD, they know all about what’s wrong with them. In real estate, we have all this information in front of us, but the problem isn’t getting the information, but rather, knowing what to do with it. Quite frankly, after 12 years in this business, there are still houses, areas, neighborhoods, and problems that I still can’t say I know everything about. There are a lot of moving parts in real estate. So how does the Dunning-Kruger Effect apply to your life? Ask my wife—I am the worst about this. I often think I know more about a particular subject than I really do, and she is kind enough to remind me of that on a daily basis. Just remember that, as you’re going through your job, your relationships, and major life decisions, we can’t possibly know everything we need to know in order to make a perfect decision. We need the help of experts and the people around us to make important decisions, whether it’s about investing, healthcare, or real estate. If you have any questions or examples of the Dunning-Kruger Effect, feel free to reach out to me. I’d love to hear from you.

Today we’re taking a close look at the Jacksonville real estate market. We’ll go over how it performed in 2018 and what we have to look forward to in 2019. Overall, the market is still doing very well. We’ve seen an improving market since about 2013, and there’s no reason to think that things are going to fall out from under us in 2019, contrary to popular belief.  To keep a close eye on things, we can look at inventory levels to know if things are still healthy. Inventory, sometimes referred to as “absorption rate,” is one of the best measures to use for understanding where the market is headed in the near future. Taking the total number of sales in a given price range, dividing by 12 to get an average monthly figure, then dividing the average monthly number into total active listings gives you the absorption rate/inventory level. The lower the number, the more the market is in favor of sellers. Most experts believe 6 months of inventory to be a healthy balance, where both buyer/seller negotiating strength is evenly distributed. “In summary, the market is very strong in most areas and price points.” We can also look at absorption rates, interest rates, and other economic factors to see what things look like on the horizon.  To get all sorts of fun data on mortgage interest rates, check out this link: http://www.freddiemac.com/pmms/data.html When you ask a Realtor or investor how the market is doing, really what you’re asking is how the market is doing for you, your home, and your neighborhood. All of the above factors I’ve mentioned need to be looked at for your specific property. For example, the market could be good for condos at the beach, but bad for multi-family homes on the west side. Each type of property, each location, and each price range is different. In summary, the market is very strong in most areas and price points. We’re either in a seller’s market or a balanced market. Mortgage interest rates remain low as well. If you have any questions for me about the market or anything else related to real estate, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon.

If you haven’t already, there’s no time like the present to try some of these great breakfast spots on a Saturday morning:  1. Beach Hut Cafe - Situated just two blocks away from the beach, this diner/ breakfast spot isn’t necessarily high on the gourmet scale, but if respectable service and relatively low menu prices are what you’re looking for, it’s a decent spot. Consider this more of a local classic, if nothing else. 2. Maple Street Biscuit Company - Since its arrival in Jacksonville not that long ago, this restaurant has been immensely popular, which has led to locations sprouting up all over the city and other parts of the Southeast. Some selling points are the assortment of biscuit options and the unconventional way in which they give you your order—by asking you zany questions like who your favorite superhero is or what you had for dinner the night before.  3. First Watch - A breakfast consisting of eggs and bacon doesn’t always make for the healthiest breakfast. For those that find avocado toast and juice blends with any number of fruits and vegetables to be more their style, this is the place.  4. Cool Moose Cafe - Admittedly, I haven’t tried this one out yet, but the collective voice of my Facebook friends indicates that you shouldn’t pass this spot up. Heavy on trendiness, keen attention to detail, and wonderfully flavorful dishes, this cafe likely boasts a lot of popularity for a reason.   5. Metro Diner - Similar to Maple Street, these diners have cropped up across Jacksonville. Good coffee, french toast, and exceptional service are all reasons to give this one a try sometime.  Last but certainly not least, my honorable mention goes to Native Sun. It features the best weekend hot bar in the area with eggs, bacon, sausage, cinnamon rolls, pancakes, and more. It’s all good, and it’s all organic; not to mention, it’s never crowded!  If you have questions about any of the places on my list or about places you should eat breakfast this weekend, feel free to contact me. Also, I’d love for you let me know if there’s a real estate topic you’d like me to cover in a future video!

Merry Christmas, Happy Holidays, and Happy New Year! Our team has a couple of exciting points to share in today’s message, so let’s dive right in. First of all, the first three people who respond to this post through email, Facebook, or using any of our other social media platforms will receive a small (but heartfelt) gift from our team. Next, we would like to make you aware of some great upcoming opportunities to view Christmas lights in our area. We were originally going to compile a list of each event ourselves, but we found a few sources that already had done so, so we’ve decided to share these with you, instead. “Merry Christmas, Happy Holidays, and Happy New Year!” Check out any of the following links to see what’s happening this season near you: List 1 List 2 List 3 One of our personal favorite events is the “Night of Lights” in St. Augustine, but any of the events on these lists are sure to help you and your loved ones feel merry and bright this holiday season. If you have any other questions or would like more information, feel free to give us a call or send us an email. We look forward to hearing from you soon.

Buying a new construction home in our area isn’t the same as buying a normal resale home, so here are three tips you need to keep in mind that will save you time, money, and a few headaches down the road. First, be aware of the type of contract you’re working with. When buying a normal resale home in our area, most of the time you work with a contract that’s written for the Northeast Florida Association of Realtors by attorneys who are trying to be equitable to both the buyer and the seller. This isn’t the case when it comes to builder contracts, though. Builders have their own attorneys who write their contracts, and they’re written with the builder in mind. This isn’t a bad thing, but it is something you and your Realtor need to be aware of, so make sure you work with someone who’s familiar with the new construction process and can pinpoint contract items you may need to negotiate over. “Make sure you work with someone who’s familiar with the new construction process.” Second, don’t sign your purchase contract without visiting the builder’s design center first. You need to make sure you’re getting the same finishes you planned on paying for. The purchase price is not the final price you pay when it comes to new construction homes—you also have to pay for any upgrades, additions, etc. I’ve been on design center walkthrough appointments with buyers who had to shave off $20,000 to $30,000 in order to complete their purchase. Lastly, try to shop around for other lenders besides the builder’s. More often than not, the builder will offer you some sort of incentive if you use their lender to buy. You should try to get the builder to agree to allow you to shop for other lenders, get a competing quote, and use that competing quote if their lender can’t match it. If you’d like more tips for buying new construction or you have any other real estate needs, feel free to call or email me. I’d be happy to help you.