Archive for November, 2009

Mexico,Canada & Europe

Saturday, November 28th, 2009

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Updated: 9:43 PM Nov 27, 2009

Northwest Florida Beaches International Runway Extension
Airport officials say the 1600 foot runway extension will bring in more jobs to the area.
Posted: 6:15 PM Nov 27, 2009
Reporter: Josh Gauntt
Email Address: joshua.gauntt@wjhg.com

Story 0 Comments Font Size: According to airport officials, the move will allow even more international flights to land at the new airport. In addition to Southwest Airlines flying in, we’re told flights from Canada and Mexico will be touching down.

You can call it an early Christmas present for Airport Authority board members.

“It’s a good day for us,” Joe Tannehill, Sr., Airport Authority Board Chairman said.

Thursday, we learned the new Northwest Florida Beaches International Airport received the go ahead to extend the main runway 1,600 feet.

According to airport officials, the new 10,000 foot runway will open up more flights to the area, including flights from Canada and Mexico.

“Which allows basically two things, international flights one with non-stop between here and Europe and Europe and here. We can take off in a fully-loaded plane,” Tannehill said.

At the beginning of the month, the Army Corps of Engineers gave the project thumbs up after the airport site passed a critical storm water run-off inspection.

The airport needed to pass the inspection for the Federal Aviation Administration to issue a permit for the runway extension.

“It means jobs. There are companies that would like to have runway access that are going to be bringing in cargo planes into the community,” Tannehill said.

Crews will be on site Monday to begin extending the runway. The work is expected to take a few weeks. Tannehill says just in time for the F.A.A. test flight in late January.

Another crucial development that had to happen in advance of that test flight was the delivery of the new airport’s instrument landing system. Cranes began unloading the system along the length of the runway Monday morning.

Tannehill also told us the extension will give southwest airlines more options to bring in more flights as well.

——————————————————————————–

Airport Update

Saturday, November 28th, 2009

November 27, 2009 10:25:00 AM
PAT KELLY / News Herald Writer
WEST BAY — The new airport should have its much-anticipated 1,600-foot runway extension completed by a crucial Jan. 18 deadline now that the Federal Aviation Administration has given its formal approval, a “Thanksgiving gift” received by airport officials late Wednesday night.

If everything proceeds on schedule, the new $318 million Northwest Florida Beaches International Airport should open on time with a 10,000-foot runway, needed for the larger aircraft the airport hopes to attract, Airport Authority board chairman Joe Tannehill said Friday.

“It means that we will have enough time to get the avionics in and have it ready for the FAA flight test,” Tannehill said.

Crews already had completed the runway to 8,400 feet and were beginning this week to install low-visibility navigation equipment in anticipation of a Jan. 18 FAA flight test, needed to meet the May 18 grand opening.

Because the 1,600-foot concrete extension should take about six weeks to complete, airport officials were near a decision to delay its construction if they did not hear from the FAA. Work can now proceed, Tannehill said.

“It was really crucial for us to have this (approval) on time, because of possible weather delays” during construction of the extension, Tannehill said.

Senior program manager Roy Willett of KBR said crews will begin preparing the site Monday. Pouring concrete on top of an asphalt base should begin in about two weeks, Willett said.

“We will begin everything on Monday,” he said Friday. “It will be a tight fit (to meet the deadline), but we are confident.”

Jeff Dealy, airport relocation manager for KBR, said the runway extension should be ready for the flight test even if markings and the installation of lights remain for later.

Tannehill said the longer runway was needed for larger aircraft such as 767s and the anticipated non-stop charter European flights the airport is hoping to attract.

The Boeing 767 is the most common airliner used for trans-Atlantic flights between the U.S. and Europe and is widely used by Delta and American Airlines.

—–

What follows is an earlier version of this story:

WEST BAY — The new airport should have a 10,000-foot concrete runway completed by a crucial Jan. 18 deadline now that the Federal Aviation Administration has given its formal approval, a “Thanksgiving gift” received by airport officials late Wednesday night.

“It means that we will have enough time to get the avionics in and have it ready for the FAA flight test,” Airport Authority board chairman Joe Tannehill said Friday.

Crews already had completed the runway to 8,400 feet and were beginning this week to install low-visibility navigation equipment in anticipation of a Jan. 18 FAA flight test, needed to meet the May 18 grand opening.

Because the 1,600-foot extension will take about six week to complete, airport officials were near a decision to delay its construction because they still had not heard from the FAA. Work can now proceed, Tannehill said.

“It was really crucial for us to have this (approval) on time, because of possible weather delays” during construction of the extension, Tannehill said.

The new $318 million Northwest Florida Beaches International Airport will be able to open on time with a 10,000-foot runway, needed for the larger aircraft the airport hopes to attract, Tannehill said.

Runway Extension Approved

Friday, November 27th, 2009

There’s good news this Thanksgiving for the new Northwest Florida Beaches International airport.

Airport Authority members got word Wednesday evening that they can go ahead with plans for a 16 hundred foot extension for the new airport’s main runway.

At the beginning of the month, the U. S. Army Corps of Engineers gave the project a thumbs up after the airport site passed a critical inspection.

The Corps rescinded a non-compliance issued earlier this year due to some problems with storm water run-off.

The airport needed to pass the inspection for the F-A-A to issue a permit to extend the runway to a full 10,000 foot length.

As of last night the F-A-A has given its approval to continue.

The project will extend the 8,400 foot runway to 10,000 feet which it is hoped will handle some of the more larger plans thought to be considering landing at the new facility at West Bay

ServAll Rates

Wednesday, November 25th, 2009

SFR Primary/2nd Home
30 YEAR FIXED
4.500% 1 Point 4.750% 0 Point

15 YEAR FIXED
4.125% 1 Point 4.375% 0 Point

VA 100% / FHA 96.5%
4.750% 1 Point 5.000% 0 Point
USDA 102%

30 YEAR FIXED
4.750% 1 Point 5.000% 0 Point

CONDO-TEL 5/5 ARM
4.625% 1 Point 5.125% 0 Point
*790+ FICO REQUIRED

CONDO-TEL 15 YR FIXED
5.375% 1 Point 5.875% 0 Point
*790+ fico REQUIRED

Serv-ALL Mortgage Corporation
Formerly First Franklin Mortgage
Local Lender, Professional Service Since 1993
www.servallmortgage.com
6927 N. Lagoon Drive
Panama City Beach, FL 32408
(850)588-7396
Emelie Sarte’
esartesr@comcast.net
This rate sheet is intended as a guide for the Real Estate Industry and does not construe a quote to
the general public. Market conditions are volatile, and the rates indicated are subject to change at
any time. Conforming Rates are for loan amounts >= $150,000 & 700+ credit scores.
November 25, 2009

Home Buyers Tax Credit Q & A

Wednesday, November 25th, 2009

McLEAN, Va. – Nov. 25, 2009 – If you’re in the market for a home, the world is your oyster. Interest rates are at record lows. Housing prices in many parts of the country are still depressed. And you may be eligible for a generous tax break, even if the home you buy isn’t your first.

On Nov. 6, President Obama signed legislation that provides a $6,500 tax credit for some current homeowners who buy another home. The law also extends the $8,000 tax credit for first-time homebuyers, scheduled to expire Nov. 30, until next spring.

A lot of people are interested in taking advantage of this tax break, but the expanded credit also has whipped up a lot of confusion. Here are some answers to frequently asked questions:

Q: How do I qualify for the $6,500 credit?

A: This credit is available for homebuyers who sign a binding contract on a new or existing home by April 30, 2010, and settle by July 1 (deadlines that also apply to the first-time homebuyer credit). You must have lived in your existing home for five consecutive years out of the last eight. The home you purchase must be your primary residence. However, the law doesn’t require you to sell your old home, says Bob Meighan, vice president at TurboTax, the tax software provider. You can use it as a second home or a rental and still claim the credit, he says.

Q: I sold a home I had lived in for more than five years and bought a new one in August. Do I qualify for a tax credit?

A: No. For existing homeowners, the $6,500 credit is limited to homes purchased after Nov. 6.

Q: Does the home I buy have to be more expensive than the one I own now?

A: No. While the real estate industry is hopeful that homeowners will use this credit to buy a nicer place, there’s no prohibition against using it to downsize, Meighan says. That makes this credit particularly useful for seniors who are interested in moving into a smaller home.

If you are planning to move up, keep in mind that you can’t claim the credit if the purchase price of the home exceeds $800,000. Unlike some other tax credits, this one doesn’t slowly phase out once you exceed the threshold, Meighan says. If you buy a home for more than $800,000 – and that refers to the purchase price, not the assessed value or the amount of your mortgage – you are ineligible for the credit, period.

The $800,000 cap also applies to first-time homebuyers, but only those who purchase a home after Nov. 6. First-time homebuyers who bought a home for more than $800,000 between Jan. 1 and Nov. 6 can still claim the credit, assuming they meet the other criteria, Meighan says.

Q: I’m an existing homeowner, and would like to build a new home. Can I claim the credit?

A: Yes, but make sure your builder is good at meeting deadlines. You can claim the credit as long as you have a binding contract in place by April 30 and close by July 1. In the case of a new home, the closing date is the day you move in, Meighan says. If your home isn’t habitable by June 30, you won’t be able to claim the credit, he says.

Q: I bought a home in 2008 and claimed the old $7,500 first-time homebuyers credit, which must be repaid over 15 years. Did the new law change that rule?

A: No. That credit, which was available for homes purchased between April 9, 2008, and Dec. 31, 2008, must still be repaid.

The $8,000 first-time homebuyer credit, available for homes purchased after Dec. 31, 2008, doesn’t have to be repaid as long as you remain in the home for at least three years. Existing homeowners who qualify for the $6,500 credit don’t have to repay that money, either, as long as they meet the three-year requirement.

Q: We have a rental home and would like to sell it to our son, who has never owned a home. Would he qualify for the first-time homebuyer credit?

A: No. The legislation specifically prohibits taxpayers from claiming the credit if the sale is between “related parties,” Meighan says. A home sale to a parent, grandparent, child or grandchild would fall into that category.

Q: I sold my home this year and have been renting since. If I buy a new home, do I qualify for the expanded credit?

A: Yes, as long as you meet all of the other requirements, says Mel Schwarz, partner with Grant Thornton in Washington, D.C. The eight-year period used to determine eligibility ends on the day you buy your new home, he says.

Copyright © 2009 USA TODAY. All rights reserved.

Related Topics: $8000 tax credit

PCB Condo Market

Wednesday, November 25th, 2009

During the past 18 months the condo inventory has been reduced from 3,494 units to 1,328 units.
We presently have 25 Foreclosures on the market, 161 Short Sales, 93 Pending Sales and 85 Contingent Sales. As the inventory evaporates the Market Price will begin to rise. We are already seeing the Polynomial Trend Line on several complexes level and some have started an upward move.
It is too early to know for sure that we have reached the bottom. A lot of the market is based on perception and when the buyers are convinced that we have reached the bottom they will reduce the inventory in a short period of time.
I think the new Airport opening in May of 2010 will be the trigger that starts the upper ward trend.
Jim Free

Beach Renourishment

Tuesday, November 24th, 2009

DESTIN, Fla. – Nov. 24, 2009 – The sugar-white sand that stretches from Slade and Nancy Lindsay’s deck to the clear, green waters of the Gulf of Mexico is some of the finest in the world. Tiny, uniformly shaped quartz crystals make the beach that stretches along the Florida Panhandle unique, experts say.

So what could be wrong with creating more of it?

That is what Florida’s beach restoration and renourishment program has been doing statewide for years, pumping in wide new strips of sand to save eroding shorelines.

But the Lindsays and other homeowners challenged the program because it comes with a catch: The new strips of beach belong to the public, not the property owners. They feared their waterfront view of bleached sand and sea oats would include throngs of strangers toting umbrellas and coolers.

The Florida Supreme Court disagreed that the homeowners’ property rights had been infringed upon just because their waterfront property line may not actually touch the water.

And that decision, in turn, has created a new challenge from the landowners: that the state high court ditched 100 years of common law to endorse the popular beach renourishment program, depriving them of their constitutional rights.

It is the latter charge that created the unusual case that the U.S. Supreme Court will hear next week. Justices will examine a concept they have pondered for more than 40 years without resolution: whether a decision by the judicial branch, rather than the executive or legislative, can create the kind of taking of private property forbidden by the Constitution.

“It’s one of the great open questions” in property law, said D. Benjamin Barros, a law professor at Widener University who edits a blog on such topics. The importance of the issue of whether a judicial decision “can eliminate important property rights and leave the owner without a remedy” will only increase with the growing number of public-private disputes over waterfront property, he said.

Florida’s beach renourishment and restoration program has operated for 30 years without such a claim. That is not surprising, because most often the money is spent on coastline ravaged by erosion and hurricanes. Homeowners are generally glad for the help.

But the response was different in parts of Destin, the self-proclaimed “world’s luckiest fishing village.” About 125 boats still leave the harbor each day in search of amberjack, red snapper, grouper and a local delicacy called scamp, City Manager Greg Kisela said. But the real catch these days is developers and tourism.

Destin’s population of fewer than 13,000 swells to nearly 60,000 during what Kisela calls the “100 days of summer,” the visitors lured by a picturesque combination of sand and surf.

Stephen Leatherman, a professor at Florida International University whose top-10 lists of American beaches earned him the title “Dr. Beach,” says the blindingly white sand is unique to the area. “It’s all quartz,” he said, so fine that it squeaks underfoot and even underwater reflects the light in a way that creates clear green and blue bands of water along the Gulf Coast.

Kisela said the beaches are “the economic engine that drives this market,” and acknowledged that with the area’s development, “there’s less beach to go around and more people to enjoy it.”

Slade Lindsay and his lawyer D. Kent Safriet of Tallahassee say that sentiment — and not erosion — was the real reason for state and local officials to initiate the nearly seven-mile restoration project in Destin.

“It was a way to bring tourists in, where the tourists could go and not have local property owners say yea or nay about it,” Lindsay said.

That is because the Florida law changed where to affix the property line for beachfront owners. In most coastal states, it is set at the mean high water line — a fluctuating boundary. Landowners own everything upland of the mark, while the state owns the land seaward. If sand accumulates and creates new beach, it generally benefits the landowner and expands his property.

But when Florida sets out to fix an eroding beach, it decides on a permanent boundary, called an erosion control line. It, too, is usually set at the mean high water line. But after that, any sand that accumulates seaward, either through natural forces or the state’s efforts to pump it along the coast, belongs to the public.

“They’re trying to make a beach without paying for it, whereas if they took the beach by eminent domain, they’d have to pay for it,” Safriet said.

The Florida Supreme Court disagreed in a 5 to 2 vote. It said the restoration program reflected “the state’s constitutional duty to protect Florida’s beaches in a way that reasonably balances public and private interests.”

Landowners still have rights to “access, use and view” the water, even if their waterfront property does not extend to the water’s edge, the court said. It denied that Florida common law ever provided such a right, or gave emerging land to the owner.

But there was a fiery dissent from Florida Justice R. Fred Lewis that probably caught the attention of the U.S. Supreme Court. He said his colleagues had “butchered” Florida law to find a way to further the goal of beach restoration. The decision “is based upon infirm, tortured logic and a rescission from existing precedent,” he wrote.

The words seemed carefully chosen to conform with Justice Potter Stewart’s 1967 definition of when a state court’s decision could rise to the level of creating a judicial taking. Such a decision, he said, would show “a sudden change in state law, unpredictable in terms of the relevant precedents.”

On the current court, Justice Antonin Scalia has been the most outspoken in looking for a federal takings case. He said such a challenge would be warranted if the state court changed a property owner’s rights by “invoking nonexistent rules of state substantive law.” Since Scalia’s 1994 words, the court passed on 15 challenges that attempted to raise the issue before accepting the Florida case.

It has drawn considerable interest from conservative and libertarian legal groups and property rights advocates, on one hand, and support for Florida from a majority of states, the federal government and coastal advocacy groups.

But the federal government said that the case is an unsuitable vehicle for deciding an issue of such consequence, and that the Florida ruling was well-supported. Solicitor General Elena Kagan warns the court that getting involved in reviewing such decisions will require the Supreme Court to delve deeply into a state’s common law and second-guess that state’s high court.

State and local officials in Florida argue that what happened in Destin was not a taking at all.

“The state has not invaded or carved off a single inch of their land,” the city said in its brief. State law prevents any structure being built on the beach in front of their property, or interfering with their access to the water.

But Safriet said statutory rights, which can be changed, are no substitute for constitutional protections. “While from a technical sense, no square inch has been taken, every square inch of this property has been transformed, from waterfront to water view,” he said. “And as you well know, the price difference between those two is tremendous.”

The case is Stop the Beach Renourishment Inc. v. Florida Department of Environmental Protection.

Copyright © 2009 washingtonpost.com.

Related Topics: State regulations

AIRPORT UPDATE

Thursday, November 19th, 2009

Airport Board Provides November Update on Relocation Project

Posted: 18 Nov 2009 03:37 AM PST

At its regularly scheduled Airport Authority board meeting on November 17, the board provided an update on the airport relocation project.

The project is approximately 79% complete.
The runway extension approval from the FAA to extend the runway to 10,000? is expected soon. Representatives for Senator Nelson’s and Congressman Boyd’s offices are working with the FAA to expedite the process.
January 18, 2010 is the target date for the test flight for the FAA so the runway can be certified.
The Air Traffic Control Tower is on target to the turned over to the FAA in early February.
Walbridge has made tremendous progress on construction of the new terminal building in October and that portion of the project is set to be back on schedule by the end of November.
Utilities will be in place to the terminal by the end of November.
Site prep for the General Aviation (GA) area is underway. Buildings in the GA area are in the design phase and that portion of the project is ahead of schedule.
The board voted to grade, grass and install the under-drain system in the crosswind runway area at a cost of $950,000. A final decision on the crosswind runway will be made in the next few months. The decision brings the crosswind area into alignment with the DEP permit for stormwater management.
The Panama City News Herald provided additional information about the status of the runway extension to 10,000 feet here.

Condo Sales

Tuesday, November 17th, 2009

« Panama City Beach Condo Market Update August 2009October 2009 Panama City Beach Condo Market Update
The sale statistics from the 70 buildings in the www.condosaletrends.com database indicate some encouraging news for the Panama City Beach condo market. The number of sales from July through October is up 62% over the same period in 2008. That number does not include developer sales that were not listed in the MLS; however neither did the 2008 number. The prices are low enough to encourage buyers to sign contracts and the banks are more responsive to short sale offers.

Foreclosures and short sales continue to be major restraints to price stability. Bank related sales accounted for 35 of the 70 sales during October. The majority of the bank related sales were in the newer, beach-side buildings. A quick look at the properties listed for sale indicates that bank related sales will be with us for some time to come.

The market trend line is illustrated below. It is structured to show a sale price trend measured in terms of the percentage sale price as of a particular date. The starting date used was January 1, 2009 so we could show the price trend for 2009 year to date. We chose units from a variety of beach side buildings of different ages and sizes that had a sufficient number of sales as to be statistically significant.

The sale price of each type of unit is only compared to the typical sale price of that particular type of unit as of January 1, 2009. In other words, a unit type with a January 1, 2009 market value of $400,000 is represented as 1 or 100%. An October 2009, $380,000 sale of that type of unit is depicted as .95 or 95% of the January 1, 2009 sale price. The sale prices and sale dates were charted with a price trend line for each type of unit. The chart contained in the price trend analysis is a trend line of the trend lines of the sale prices of each type of unit from the 12 buildings. Foreclosure sale prices that were unrealistically low (mold problems for example) were not included. There were 99 sales used in the chart. The analysis does not try to skew the price trend in any direction. The data is just the data.

The data indicates that the current market values of Panama City Beach condos have declined approximately 9% through August with sale prices tending to stabilize in September and October. We have to temper the most recent sale prices with the fact that there are still plenty of units listed for sale at prices below that of the September/October sale prices.

There are several factors at play that will continue to put downward pressure on current market values.

Financing a condo continues to be difficult for the average buyer.
There are still a large number of owners who have a mortgage in excess of $100,000 more than the current market value of their condo. There is no evidence that the number of foreclosure and short sales will decline in the near term.
The supply of developer owned units that have not been sold exceeds the demand. Tropic Winds and Ocean Reef appear to be working through their excess inventory, however at the current sales rate it may take 12 months to sell out. Shores of Panama, Grand Panama, and Origin at Seahaven will most likely take longer.

The increased number of sales and the moderating of the rate of price decline are all good news. The best forecast is that prices will drift a little lower followed by an extended period of price stability. That sure beats the free fall of the last three years.

Sam Portman

www.condosaletrends.com

NAR Addresses Appraisal Problems

Monday, November 16th, 2009

SAN DIEGO – Nov. 16, 2009 – Nearly one out of four Realtors® report that their clients have lost a sale since the Home Valuation Code of Conduct (HVCC) was implemented on May 1 of this year. Realtors and other industry insiders examined the impact of the HVCC appraisal guidelines on the nation’s real estate recovery efforts during the 2009 Realtors Conference & Expo.

“Determining an accurate property value is very difficult in today’s market, and the HVCC has unintentionally added to the problem, in many cases,” says National Association of Realtors (NAR) President Charles McMillan. “As the leading advocate for homeownership, NAR has been calling for a moratorium to address the unintended consequences of HVCC and its implementation. Accurate, timely appraisals are necessary for successful real estate transactions, and both Realtors and appraisers have told us that the HVCC is adversely affecting the appraisal process.”

The HVCC makes lenders responsible for hiring appraisers, but also requires lenders to insulate themselves from the appraisal process. This has led to an increase in the use of appraisal management companies (AMCs). AMCs are large brokers for individual appraisers, and the appraiser they assign to a specific home may or may not have experience or familiarity with a particular neighborhood. According to NAR, Realtors across the country have reported delayed and lost sales related to HVCC implementation because of poor appraisals often conducted by inexperienced appraisers unfamiliar with an area.

In an NAR survey conducted earlier this year, 71 percent of Realtors reported an increase in the use of appraisers not from the local area. In the same survey, 85 percent of appraisers reported a perceived reduction in appraisal quality. In addition, 76 percent of Realtors had experienced an increase in appraisal time since the new HVCC rules were enacted. NAR says these factors often adversely affected the sale or the sales process, which occasionally resulted in the loss of a sale or a homeowner’s inability to refinance into today’s lower rates.

“We’re seeing too many appraisers from out of the area. I know from my own practice that we have had closings delayed and transactions cancelled because of errors in the appraisal process stemming from the HVCC,” says panel moderator and NAR Regulatory Issues Forum Chair Ellen Renish. “Certainly there’s a way to ensure more accurate, timely appraisals.”

NAR Appraisal Chair Penny Triplett detailed the unintended effects of HVCC implementation, including a lack of geographic competency; decreased portability, in which lenders refuse to accept appraiser reports from other lenders; and increased consumer costs. “NAR surveys show that, on average, appraisal costs have increased $100 for the average homebuyer since the HVCC was implemented,” Triplett says.

NAR Risk Management/License Law Forum Chair Steve White shared several real-life stories of people who had lost the opportunity to become homeowners, including accounts of appraisers refusing local price comparables and appraisal reports that incorrectly claimed that local home sale prices had been falling. “Many appraisers have chosen to exit the industry, so we now deal with appraisers who are new to the business and unfamiliar with the area,” says White.

Renish, Triplett and White were joined by representatives from government-sponsored enterprises Freddie Mac and Fannie Mae, and the Federal Housing Finance Agency.

While two representatives of government-sponsored enterprises (GSEs) – Jacqueline Doty, Freddie Mac’s director of collateral risk management; and Robert Murphy, Fannie Mae’s senior business manager, credit policies and controls – agreed that appraisal quality is the ultimate goal, they did not share NAR and the panelists’ view on the HVCC.

“The GSEs have had appraisal standards in place before the (HVCC) code, and we will have standards after the code,” Doty says. “Since the code was put into place, complaints about appraiser influence have decreased, and we believe the quality of appraisals has improved. Our goal is to ensure accurate appraisals that are neither too low nor too high.”

© 2009 Florida Realtors®

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