Dennis Norman Musings

Dennis Norman

By: Dennis Norman

This is my third post of a series about Florida real estate and the second part of my interview with Bob Radigan with VIP Realty Group in the Sanibel/Captiva area.

For part one of this series click here, for part two click here.

Following is the continuation of my E-View ^TM with Bob:

Q-Bob, as you know people throughout the Midwest and Canada in particular look at the gulf coast as a desirable place to own a 2nd home or investment property in the form of a vacation rental….the buzz is that prices have dropped to the point that now may be a good time to jump in. There is also plenty of talk about this not being the bottom for Florida yet…waht are your thoughts on this and advice to someone that is considering this?

A- Are we at the bottom yet? Wow…talk about a subject that’s been discussed non-stop! My statement is that the entire country’s real estate market does not react at the exact same time, no one state, area or market will be at the peak or bottom in a way or time that the news media will ever be able to announce to the buying public,” the bottom has been hit here…buy now!”

Florida specifically has many markets, most have already hit bottom, others not yet, and others like Sanibel and Captiva islands have definitely seen a significant decrease in values.. not like many local inland locales.

Is it the time to buy, is it at the bottom here? Definitely yes, best prices in 8+ years, best interest rates, but buyers need to learn to trust their Realtors knowledge and to make the offer! Really…make an offer! Sellers are motivated, buyers need to take advantage of the best buyers market since the titanic!

Q- Financing is a challenge throughout the country but particularly when it is not for some one’s primary residence but for a 2nd home or vacation rental. What are your thoughts on this? How abundant is financing in your market for 2nd homes and investment property? What would be typical financing terms in this market?

A- Of course credit scores are more important than ever but loans are available and interest rates are low. A typical down payment for a second home is 20% and 30% for an investment property or vacation rental. You may have to jump through a few more hoops for your lender…it all depends on each individual.

I will finish this series tomorrow.
In the meantime if you would like to contact Bob and Viv Radigan with your questions about the Southwest Florida market you can contact them on their cell phone phone at 239-691-6240 or via email at email-paradise@coconet.com. You can also visit their website at www.SanibelandCaptivaIslands.com.