Pensacola Real Estate News: Mortgage Fraud on the Rise
May 14th, 2008 Categories: Pensacola Real Estate News
In recent days, reports have been coming out that indicate the FBI has increased their real estate mortgage fraud caseload. That is not a big surprise, as a down real estate market provides an ideal climate for mortgage fraud perpetrators.
Examples of real estate mortgage fraud include builder bailouts, seller assistance, foreclosure rescue and identity theft in exploiting home equity lines of credit. An example of a builder bailout scheme would be a builder providing undisclosed incentives to buyers, such as returning the down payment.
Remember, to stay out of trouble, make sure everything is openly disclosed to all parties, including the lender. As a real estate buyer, don’t let a seller try to provide you any incentives to buy that are not fully disclosed in writing.
The FBI had more than 1,200 mortgage fraud investigations open at the end of fiscal year 2007. This is a 47 percent increase from the previous year but still is estimated to be a small fraction of suspected cases. The number of suspicious activity reports (SARs) filed by banks detailing suspected mortgage fraud grew 31 percent during this same period, to 46,717. Although federally chartered banks are required to file SARs with the Treasury Department’s Financial Crimes Enforcement Network (FinCEN), many other mortgage lenders are exempt, suggesting that the FBI is investigating only a small fraction of mortgage fraud cases.
The FBI said the top 10 worst states for mortgage fraud were Florida, Georgia, Michigan, California, Illinois, Ohio, Texas, New York, Colorado and Minnesota.
A Pensacola real estate attorney spoke recently at a Pensacola Real Estate Navigators meeting. She told the audience about a local case of mortgage fraud that she handled. A man had bought a house and lived in it for only a few years. He then forged a Satisfaction of Mortgage and recorded it in the public records. Thus it appeared that he owned the home free and clear. He then applied for a home equity loan. In doing the title work, the attorney became suspicious, as it is rare that someone pays off a home in a few years. She checked with the bank and found that they still held the mortgage and it had not been paid off.
The attorney went ahead with the closing on the home equity loan. The man came into her office and signed the necessary paperwork. On his way out, the police were waiting for him. He was arrested and taken away.
It is not worth it. Disclose everything to your lender and to your buyers if you are the seller. In the long run, this ensures that everything is legal and no one ends up ruining their life over simple and plain greed.
Fortunately, there is relatively little mortgage fraud in the Pensacola Florida area. Most of the real estate fraud in Florida will be in the southern part of the state. See related articles below.
Related Articles on Pensacola Real Estate News
Did Speculators Accelerate the Florida Housing Downturn
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Make Sure Your Home Warranty Is There When You Need It (Follow-up)
May 12th, 2008 Categories: First Time Home Buyers, Home Inspections, Pensacola Buyers, Saving You Money
A few weeks back I wrote an article on Pensacola Real Estate News about how you should protect your investment in a home warranty by making sure that all warranted items were in working condition when you moved into your home. I noted that the home warranty company would try to find a way out of paying for repairs if at all possible. The article was written based on the experiences of one of my clients. You can read that article by clicking on this link: Pensacola Real Estate News - Home Warranty Article
The fact that I am writing a follow-up article tells you that I’ve learned something since that previous article was published. I also learned that I have readers out there who are sharing feedback with me, and I greatly appreciate that. 
Just the fact that I have readers really excites me.
The day after publishing that article, a manager from the local branch of Old Republic Home Warranty company called me. He thanked me for the great article and was very complimentary (Thank you Stewart). He also told me that my article was accurate up until mid-December 2007. He said that in December Old Republic modified their agreement to cover unknown pre-existing conditions. I took a look at the new home warranty agreement and found the following wording:
Coverage may apply to a malfunction which existed on the effective date of the Plan if, at that time, the malfunction was unknown, and would not have been detectable to seller, buyer or agent by visual inspection and simple mechanical test. This Plan does not cover known defects.
I will let my readers decide how they feel about this wording. I believe it does indicate that they would cover an unknown pre-existing condition, but I do not like the word “may”. I prefer the word “will”, as in “coverage WILL apply”.
I do appreciate the call from the home warranty manager, and I fully believe he is sincere in his promise that they will cover pre-existing unknown problems. I do, however, still suggest that home buyers follow my advice given in the previous article. Check out all warranted equipment when you move in to your new home.
As for my client, well I’m afraid he was a male who doesn’t do much cooking and wasn’t clear on how to operate his warranted oven. After he was told by the sweet home warranty operator that his problem was not covered because he did not know if it worked when he moved in, he took another shot at it and found that the oven worked fine once he turned the correct knobs in the correct order. Now this guy in the picture is not my client, thank goodness. While he appears to know how to operate the stove, he kind of creeps me out with that sinister grin. I have to wonder what he is cooking.
Aside from the creepy dude, all is well with my client, and his lack of oven experience happened to make for a great article. However, he purchased his home warranty in February of 2008, after the new policy was in place. Thus the new “unknown pre-existing” clause should have been in effect. Was the home warranty operator unaware of the change in the contract? Or was she aware of the change, and still trying to avoid paying a claim? Good question.
I must end this article by saying that I have other clients who had warranties through Old Republic and were extremely satisfied with the service they received on warranted equipment. I am not trying to criticize any warranty company’s service, only trying to show home buyers how to protect themselves against the unknown.
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Pensacola Real Estate Weekly Market Report for the Week Ending May 3, 2008
May 9th, 2008 Categories: Pensacola Market Data
Weekly Update For Residential Listings
In Escambia and Santa Rosa Counties
Here is another weekly Pensacola real estate market report. I didn’t publish a market report for last week. No, I’m not getting lazy, but this market just had nothing new to offer. This past week at least shows a bit of an increase in sales. Inventory dropped a little also. Still not very exciting, I know, but I wasn’t going to miss another weekly report just because the market isn’t moving very much. Keep checking back, and I’ll keep watching for movements in this blah real estate market.
- The table shows the weekly market data for Pensacola residential property.
- These numbers include only residential homes and condominiums in Escambia and Santa Rosa Counties that are listed in the Pensacola MLS.
- They do not include vacant land or lots, mobile homes or manufactured homes or Pensacola FSBOs.
- The numbers above are created using data from the Pensacola MLS and are deemed reliable but not guaranteed
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Pensacola Real Estate Market Report for April 2008
May 7th, 2008 Categories: Pensacola Market Data
Pensacola Market Data For April 2008
Residential Properties in
Escambia and Santa Rosa Counties
The table shows the Pensacola real estate market data for the month of April 2008, as compared to previous months. Pensacola home sales are up a little from the previous month, although inventory levels are holding steady. It is good to see sales up a little, but these numbers still show a stagnant real estate market in the Pensacola Florida area. Overall, this table shows that the Pensacola real estate market is still in a buyer’s market. Keep checking back for my weekly and monthly updates to keep abreast of what is going on in this market.
And remember buyers, if you are waiting for the market to bottom out, it is likely the market will be moving up by the time you buy.
- The table shows the monthly market data for Pensacola residential property.
- These numbers include only residential homes and condominiums in Escambia and Santa Rosa Counties that are listed in the Pensacola MLS.
- The numbers do not include vacant land or lots, mobile homes or manufactured homes.
- The numbers are generated using data from the Pensacola MLS and are deemed reliable but not guaranteed
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Think You’re In Good Hands? Think Again: Insurance Info from Pensacola Real Estate News
May 5th, 2008 Categories: Insurance
Homeowners insurance is a big expense in Pensacola Florida, and all along the gulf coast. Since the hurricane seasons of 2004 and 2005, insurance on real estate has risen dramatically, making it harder for people to afford to purchase homes. I understand that Allstate Insurance has stopped writing homeowners insurance in the state of Florida, as have other large companies. While you may be able to go to an Allstate office to get a homeowners policy, it won’t be through Allstate. It would be underwritten through another company, such as Citizens.
I recently came across a couple of posts regarding Allstate that I wanted to share with my Pensacola Real Estate news readers.
I was speaking with two attorneys recently and they were discussing insurance settlements. Both were in agreement that Allstate was the most difficult company to work with when it came to winning claims for their clients. Shortly thereafter, I came across a post by the Pensacola Beach Blogger regarding Allstate. If you are considering purchasing insurance, I highly recommend reading his article. You can find it at the link below.
You’re In A Bully’s Hands With Allstate
And if that is not enough to get you hot under the collar, here is another web page I found with consumer issues with Allstate.
Consumer Affairs Allstate Complaints
If you are moving to Pensacola Florida and will be needing insurance, contact a good real estate agent to help you find a great value on a home. Your agent should also be able to offer good advice on where to get quality affordable insurance coverage. At least after reading this article, you have an idea of which company you might want to avoid.
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Pensacola Real Estate News Subdivision Report on Carracres West
April 29th, 2008 Categories: West Pensacola
This article provides a Pensacola real estate market report on the Carracres West subdivision. If you are interested in seeing any homes in the Carracres West subdivision, or any other homes for sale in Pensacola Florida, please feel free to Contact Me for assistance. All of the homes pictured on this page were for sale at the time this article was published.
To see all current Pensacola Homes for Sale in Carracres West, follow these simple steps:
Click on Search for Homes.
On the Property Search screen, click on the “More Search Options” button.
Then type Carracres West into the “Subdivision” category and click the “Search Now” button at the bottom of the screen.
Carracres West is located in West Pensacola. It is not within the Pensacola city limits. Carracres West is accessible from Fairfield Drive, just north of Lillian Highway. Carracres West is convenient to the Perdido Key Florida beaches and local Pensacola military bases Pensacola Naval Air Station, Saufley Field, and Corry Field. Many other popular Pensacola destinations are under 30 minutes from Carracres West. 
Information on travel times provided below will depend on traffic and time of day.
Approximate travel times to popular Pensacola destinations:
Downtown Pensacola: 20 Minutes
Cordova Mall / Pensacola Airport / Pensacola Junior College: 20 minutes
Interstate 10: 15 Minutes
Pensacola Beach : 30-35 minutes
Perdido Key Florida: 20 minutes
University Of West Florida: 30-35 minutes
Pensacola Naval Air Station (NAS) (Home of the Blue Angels): 15 minutes
Saufley Field Naval Base: 10 minutes
Corry Field Naval Base: 10 minutes
Escambia County School Districts for Carracres West Subdivision:
Elementary: Sherwood
Middle: Bailey
High: Escambia
Homes in Carracres West generally fall into the following ranges:
Age of Homes: Built between 1973 and the mid 1980s
Construction: Mostly 1 story ranch style brick or vinyl sided homes
Square Footage: 1000 - 1800
Bedrooms: 3 to 4
Bathrooms: 2
Garages: Some 1 car garages, but mostly driveway parking
Lot Sizes: .15 - .40 acres
Waterfront: None
Swimming Pools: Of the Carracres West homes currently listed for sale in the Pensacola MLS, none had swimming pools.
Foreclosures: Of the homes currently listed for sale in the Pensacola MLS, none are foreclosure properties.
Home Owners Association. No.
Average Days On Market of homes sold in the past year was 86 days. This is lower than the average days on market for other neighborhoods in Escambia County.
Cute color combinations below, don’t you think? 
Rentals: The Pensacola MLS shows 5 homes were rented in Carracres West in the past year. Rental rates were between $675 and $795. There is currently 1 home available for rent at the rate of $750 per month.
The following table shows Pensacola real estate market data for Carracres West. The numbers in the table are created using data from the Pensacola MLS and are deemed reliable but not guaranteed. These numbers do not include sales by Pensacola FSBOs.
As of April 23, 2008, the following homes are for sale in the Carracres West subdivision:
The overall percentage difference between list and sales price is only 2.2%. This indicates that most Carracres West homes sold close to their list price in the past year.
I hope this market report on Carracres West subdivision was helpful. This market report is a reflection of the Pensacola real estate market as of April 23, 2008. These numbers will change as the Pensacola real estate market changes. If this report is not current at the time you are reading it (6 months or more after 04/23/08) and you are interested in buying or selling a home in Carracres West I recommend that you Contact Me for updated market information on this subdivision.
Related Pensacola Real Estate Articles on other West Pensacola Subdivisions:
Mariner’s Oaks
Bayou Place
Lillian Woods
Shadow Grove
Springfield
Related Pensacola Real Estate Articles on other NorthWest Pensacola Subdivisions:
Crystal Creek
Logan Place
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Pensacola Real Estate Weekly Market Report For Week Ending April 19, 2008
April 26th, 2008 Categories: Pensacola Market Data
Weekly Update For Residential Listings
In Escambia and Santa Rosa Counties
Here is another weekly Pensacola real estate market report. The market pretty much is remaining slow and not very exciting. I wish I could give you some new and fascinating data, or spot a hot trend in the works, but we’re just seeing the typical Pensacola buyers market. Keep checking back, and I’ll keep watching for movements in this real estate market.
- The table shows the weekly market data for Pensacola residential property.
- These numbers include only residential homes and condominiums in Escambia and Santa Rosa Counties that are listed in the Pensacola MLS.
- They do not include vacant land or lots, mobile homes or manufactured homes or Pensacola FSBOs.
- The numbers above are created using data from the Pensacola MLS and are deemed reliable but not guaranteed
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