If you’re one that loves a “steal of a deal,” South Florida’s real estate market is ready to love you back.

But, the big catch–and in these economic times, it’s a Big Catch–you’ve got to have all cash. But if you do, you can buy a $50,000 condo in Miami Beach, just 2 blocks from the sand and breaking waves. Keep in mind, this is a condo that previously had sold for $172,000. And, in Miami-Dade, Broward and Palm Beach Counties, there are 6000 of these foreclosed or distressed properties on the market.

“This is pure capitalism. If you don’t have all cash, you stand no chance, you’re going to get crushed,” says Peeter Zalewski of CondoVltures.com.

South Florida, and Miami in particular, represent everything that went wrong in the pre-market crash years prior to 2007. From the 1960s to 2002, Zalewski says 11,500 condos were built. From 2002 to 2007, that inventory tripled, to 34,000 condos. And now that the real estate market continues to sputter, there are a glut of condominiums in the overbuilt cities of Miami, Atlanta, Las Vegas and San Diego, where bulk deals are available, at prices lower that what the developer paid to build.

Angel and Santiago Herrera, of Venezuela, recently spent $7 million to buy 39 downtown Miami units. They quickly flipped 17 for a profit and are renting the rest for the next 3 to 5 years when they then plan to sell each for double what they paid.

“The market has never been so down, so when you’re so down, the only place you can go is up,” says Angel.

Most of the bulk buying that’s been happening is being done by foreign investors, who are seeing great investment opportunity.

And most importantly, they’re buying with 100% cash.

All may not seem so bad for real estate in Florida. International buyers have actually helped buttress Florida’s real estate market with 22 percent of all foreign clients nationally choosing property in the Sunshine State. The market keeps getting more attractive for them as prices continue to decline.

That makes Florida tops for attracting foreign interest, according to a summer report by the National Association of Realtors. California came in a far second with 12 percent of the international market.

While Florida’s share of foreign clients has slipped from a recent high of more than 26 percent in 2008, bargain basement prices and a weakened dollar have continued to lure Canadian and overseas buyers.

The study, which looked at sales between March 2009 and March 2010, found that buyers with permanent residences outside the United States spent an estimated $41 billion on residential property nationally during the period of the study – that’s 4 percent of the total residential market during the same time.

“I had an open house in the mid-$500,000s and a man from Canada came and bought it the same day,” said Palm Beach Gardens Realtor Jeff Lichtenstein, who has a page on his Website dedicated to foreign buyers. “Once they’re here, they tend to bring friends.”

And family.

Amsterdam native Annette Aalberts bought two Jupiter homes for herself and her daughter over the past few years. Combined, the homes are worth about $4.5 million.

But most international buyers don’t aim that high. According to the study, the median price paid by foreign buyers nationally is $219,400.

“International buyers are hugely important in absorbing inventory,” said Jenny Huertas, international sales director for the Miami-based consultant firm Condo Vultures.

Huertas estimates 30 percent of sales in Palm Beach, Broward and Miami-Dade counties are to international buyers.

It’s unclear how a recent dip in the Euro may temper overseas purchases. It’s now worth $1.28, compared with a high of $1.60 in 2008. That means to buy a $500,000 house, it would cost about 388,709 Euros.

But the Canadian dollar, which has traditionally been weaker than U.S. currency, is now near parity at 95 cents.

Toronto resident Domenic Triumbari bought two properties in the Palm Beach Grande condominium complex in March. The suburban West Palm Beach homes sold for $164,990 and $179,990 in 2006.

Triumbari picked them up for $60,000 each, paying in cash, and without ever seeing them in person.

Triumbari is also searching for a South Florida home for himself.

“I’ve seen a lot of the Caribbean, been all over the islands, but I like Florida,” he said. “We speak the same language, eat the same foods.”

While the Realtors Association of the Palm Beaches does not keep statistics on international buyers in local markets, statewide statistics gathered by the national association showed 31 percent of Florida’s international buyers are Canadian, compared to 24 percent nationally.

Nationally, about 55 percent of foreign buyers pay with cash, possibly because it can be harder for international clients to get financing here. In Florida, about 82 percent of international buyers paid in cash.

Realtor Craig Fialkowski, of Herman Group Real Estate in Palm Beach Gardens, said nearly all of his international clients buy with cash and sight unseen.

Typically, they’re looking for deals on homes they can rent.

“Buyers want a decent return on investment,” Fialkowski said. “The cash flow can be really good.”

When is the best time of the year to buy a home? There are at least two days of the year that give buyers the edge. Would you like to guess which two days are best for buying a home?

Every spring, as tulips struggle to poke through melting snow in the North and rosebuds cautiously open in Southern climes, sure as tootin’ real estate signs begin multiplying like bunnies across the country. Soon as the For Sale signs are mounted on the posts, swarms of activity buzz in the streets as sellers, buyers and real estate agents crawl out from wherever they hibernated for the winter to welcome the spring sales season.

There is nothing like a spring real estate market. Offers fly over FAX machines and cell phones ring constantly. Everybody wants a deal, and everybody wants to sell. Typically the marketplace is flooded with inventory. There is more on the market in the spring than any other time of the year.

It’s also the worst time to buy a home. Except for one day. There is one day in the spring that a buyer will have the edge against all the other buyers.

The second best day of the year to buy a home is Easter Sunday.

A buyer looking for a fixer on the outskirts of downtown Sacramento lucked out last Easter. A home came on the market at an attractive price. The buyer immediately inspected the home and wrote an offer. Fortunately, the listing agent was also the seller, so it was very easy to present an offer. The offer was signed and accepted on Easter Sunday because there was no competition. Come Monday, offers started rolling in, but it was too late.

* Easter falls sometime between March 22 and April 25.

* It is the first Sunday after the ecclesiastical moon after the vernal equinox.

* The vernal equinox falls on March 20th or 21st, depending on the year.

The first best day of the year to buy a home is Christmas Day.

Almost nobody looks at homes on Christmas Day. But buying on Christmas Day is a smart move. If you scout out the homes on which you’d like to make offers a few days before Christmas, you’ll be better positioned. Why is Christmas Day so attractive?

* People are in good moods, celebrating, opening presents, enjoying family.

* People are more inclined to be generous, even if it means coming down on the price. “Hey, it’s Christmas, hon; just sign it.”

* Few buyers are out looking at homes during Christmas week, so the chance of multiple offers or any competition whatsoever is very low.

* Home prices are at a 12-month low in December.

* If a person has their home on the market over Christmas, that person is definitely serious about negotiating and selling that home. You can bet on it. Better yet, why not write an offer?

Of course, the key is to find a real estate agent who will a) work on Christmas and b) be aggressive enough to worm her way into the seller’s home without batting an eyelash. Those agents are out there.

Opinions about whether to hold an open house vary greatly across the country. You’ll hear real estate agents flatly refuse to hold open listings because they view them as a wasted marketing effort, or they’ll say open houses are just a tool to find the agent new clients.

There is some truth to those excuses, I mean reasons, but open houses also sell houses. About one in five of my listings sell at open houses. Consider also that many listing agents don’t want to give up their Sunday afternoons to sit an open house and talk to strangers.

Although not all homes are candidates for an open house due to location, condition or competition in the marketplace, you won’t know how much buyer traffic you will draw until you try. Exposure to potential buyers and to individuals who will talk about your home to others is almost always worthwhile.

Best Time for an Open House

* In many communities, Sunday afternoon is best.

* Two hours is typically the minimum, but some are held open four hours, for example, from 1 to 5 PM.

* Some agents do “blitzes,” and trade off shifts, holding homes open from early morning until late evening.

* Schedule your open house to avoid conflicts with holidays, community celebrations or special events such as the Super Bowl.

* Check the weather forecast, too, because cold or rainy days tend to make people stay home.

At Least 7 Days Before Your First Open House

Before my sellers finish signing the listing agreement, invariably they will ask if I’m going to hold their home open that weekend. Because after the decision to sell is made, most sellers are eager to get started. However, the home needs to be in prime condition first. Here are few things I suggest doing before holding your first open house:

* Host a broker preview. Even if your home is not listed with a brokerage, if you are willing to pay a selling agent a commission, you can invite agents and brokers to preview your home. Agents can give you valuable feedback about how your home shows and whether your home pricing will meet buyer expectations.

* Move some furniture into storage. Sometimes sellers don’t want to cooperate with home staging. Excuses I have heard are “my furniture is too valuable to move twice,” or “I think the rooms look lovely arranged this way.” But smart sellers prepare a home for sale and move at least one piece of furniture out of every room. It makes the space look larger and more inviting to buyers — to the people whose opinion matters.

* Remove items not included in the sale. Telling a buyer she cannot have your dishwasher because it’s too expensive to leave behind or that the ceiling fan does not stay with the house because your father gave it to you serves only to make the buyer demand it. If buyers don’t see it, they won’t want it.

* Make arrangements for your pets to leave the house. Selling a home where pets live is difficult enough without advertising the fact that pets live there. Call a family member or friend and ask if they could take care of your pets for a few hours. Pets are also a distraction during an open house, and you want buyers to admire your home, not your cockatoo.

* Part of your home marketing should include printing four-color flyers or brochures promoting your home. I use card stock coated in gloss. It makes them hard to fold, and they stand out among the other flyers buyers pick up. But make sure you include photographs, specs and pertinent information such as the price on your flyer, because it’s easy for buyers to forget particulars.

48 to 72 Hours Before Your First Open House

Clean and scour the house top to bottom. Vacuum cobwebs from corners, wipe windowsills and wash the windows, inside and out. Forget preconceived notions about cleanliness — pay attention to small details and concentrate on making the home appear sterile.

* Buff surfaces, appliances and floors to a gleaming shine.

* Launder and fluff bedding, towels and rugs.

* Touch up spots on the walls.

* Sweep out the garage.

* Prune bushes, deadhead flowers, clean the sidewalks and mow the lawn.

24 Hours Before Your First Open House

Most of your work should be completed by now, and any anxiety that is sometimes caused by last-minute chores should dissipate. At this point, your home sparkles and glitters. In fact, you may be thinking to yourself that the house looks too nice to sell! Consider if you are truly committed to selling, because if you’re going to experience seller’s remorse, you may as well work through that process before your first open.

* Open all the windows to air out the house.

* Bake or pick-up treats for your open house guests.

* Give every room the “once over,” by standing in the doorways and scrutinizing the view.

* Set out cards that house hunters can fill out to give you buyer feedback.

* Arrange flowers in attractive vases and place in appropriate places throughout your home to add color and floral fragrance.

When you’re finished, go out to dinner and reward yourself. Dining out has an added benefit too; at least you won’t be temped to mess up the house.

Silly as it may sound, lots of Tallahassee real estate agents — even in buyer’s markets where little is selling — take overpriced listings. I see it every day. These agents who continually write ridiculously priced listings gain questionable reputations among their peers. I know because I talk with other agents when I tour new listings, and they tell me.

So, you might think, “Hey, who cares?” but an agent’s reputation is important, especially in tight-knit communities. When buyers and sellers sign a purchase contract, their respective agents enter into a 30- to 45-day relationship; respect for each other and cooperation is crucial. So why do agents sabotage themselves? Or do they?

To Secure the Listing and Blow Away the Competition

* Sometimes It’s a Deliberate Lie.

As a seller interviews each agent, often the estimate of value creeps upward. Maybe the first agent knows there will be two other agents competing for the listing, so the first agent names an astronomical figure. The second agent, upon hearing the first agent’s price, beats it. The third agent comes in higher yet.

A seller who choose an agent based on which estimate is highest is the ultimate loser.

Yet almost every seller operates in this manner. It’s a shame because so few agents take the time to educate sellers that other factors such as marketing plans and the agent’s negotiation abilities are far more important than estimate of value. The comps speak loudly if anybody looks at them. Ultimately, the market place establishes value.

* Sometimes the Seller has Unreasonable Expectations.

This still doesn’t excuse the agent from explaining how appraisers determine value. A home came on the market on a storybook street in a desirable area of Sacramento, but it was priced $100,000 too high. When asked why, the agent replied, “I know it’s overpriced, but I would have lost the listing to somebody else if I didn’t agree to that price.” Turns out a home two doors down sold for a high figure, but that home had been meticulously maintained, and it boasted a newly remodeled kitchen with top-of-the-line appliances. By comparison, this home was a fixer, but the seller insisted he could get the same price as his neighbor.

BE AWARE THAT OFTEN IT DOESN’T MATTER TO THE REAL ESTATE AGENT IF YOUR OVERPRICED LISTING EVER SELLS

Free Advertising for the Agent

Every “For Sale” sign advertises the agent’s company and the agent. Many signs contain the agent’s Web site and cell phone number. Some even sport a large color photograph of the real estate agent.

Think of it like a giant billboard for the agent.

If the home is located on a major thoroughfare, all the better. Probably thousands of drivers pass the sign each day and will see that agent’s name. And after the sign post is in the ground, it’s not costing that agent one thin dime to leave it there.

Agents Find Buyers Through Listings

* Sign Calls.

If a buyer wants to find out the price of a home, typically they will call the agent’s cell phone number and ask. Agents who are on the ball will try to recruit that buyer to work with them, providing the buyer is not already working with another agent.

* Open Houses

Moreover, agents can hold an open house and find buyers that way as well. If the buyer is not interested in the home — and once they find out the price they won’t be — the agent is then free to show the buyer other homes.

* Newspaper Ads

An agent with an overpriced listing often won’t put the address in the paper but will list the details along with the price. That way, buyers who can afford to pay that amount will call to inquire. Now, all an agent has to do is suggest other homes in that particular price range that are worth what the seller is asking and she’s off and running into escrow on another transaction. Not yours.

Real Estate Agents Hope for a Price Reduction

Even if an agent knows she is taking an overpriced listing, she might be telling herself that when the home doesn’t sell within a few weeks, she can persuade the seller to lower the price and then earn a commission when it sells. So she justifies her actions and accepts the listing. Except that studies show that interest in a home typically wanes after a few weeks, so there are fewer buyers for that home when the price falls. Buyers also think there is something wrong with a home that doesn’t sell right away or they worry the seller dropped the price because a major defect was discovered. Price reductions hurt. They hurt the seller, and they often make a buyer wonder how much lower the price could drop. So, a buyer will often offer even less after a price reduction.

Conclusion: Choose your agent based on honesty, ethics, experience, competence and marketing, and don’t chase after those tossing around pie-in-the-sky numbers.

When you show your home, you want to engage the buyer emotionally because the decision to buy is based more on emotions, and less on logic. Give the buyer permission to say, “Yes, I want to buy this home,” by staging, accentuating your home’s positive attributes, and do not draw any attention to the negative aspects.

Besides, there will be plenty of time after the deal is signed to talk about the drawbacks.

1) The Gracious Welcome

Although the buyer is a guest in your home, you want the buyer to imagine owning the home. You don’t want to make the buyer feel like an intruder.

* Don’t expect the buyer to remove her shoes, unless you are selling to a buyer for whom religious or cultural reasons mandate it. Otherwise, the presumption is insulting.

* Leave the house. The buyer won’t talk about the house in front of you or open doors with you standing there.

* Don’t pressure or hurry the buyer. Tell the buyer to take all the time that is needed.

* Leave a bowl of wrapped candy or other treats near the front door with a small note thanking the buyer for coming to see your home.

2) Check the Temperature

* Now is not the time to worry about your utility bill. If it’s cold enough to wear a sweater to stay warm, turn on the heat.

* If it’s warm outside, turn on the air conditioning. It’s better to heat or cool the house a degree or two warmer / colder than usual and then set the temperature at normal. This prevents the heat or A/C from kicking on when the buyer is present, because some HVAC systems are loud.

* You want the temperature inside to be comfortable and to give the buyer more of a reason to linger, especially on hot or cold days!

3) Create a Mood

* Light a fire in the fireplace.

* Make it romantic by placing two champagne glasses on a nearby table.

* Turn on soft music. I used to play Enya until one day I heard it piped in at a mortuary.

* If you have water fountains, turn them on. They are especially useful for drowning out traffic noise.

4) Play Down the Scent

* Many people are allergic to certain scents and deodorizers, so don’t spray the air or plug-in air fresheners.

* Don’t burn candles or spray perfume in the bedroom for the same reason.

* If weather permits, open the windows — if there is too much noise outside, close them.

* If you’re going to bake cookies or simmer spices such as cinnamon in water on the stove, put out munchies so buyers aren’t disappointed. More than one buyer has said, “Oh, darn, I thought there were cookies in here!”

5) Play Up the Visual

* If you have seasonal photographs showcasing flower gardens, leaves bursting in color or a snow-covered lawn twinkling from street lights, then display them in a prominent position.

* Open all the window coverings to let in light.

* Keep blinds partially closed that otherwise show undesirable outdoor scenery such as a dilapidated fence or a nearby structure that obstructs views.

6) Light up the House

* Turn on every light in the house, including appliance lights and closet lights.

* Brighten dark rooms with few windows by placing spot lights on the floor behind furniture.

* Turn off TV.

7) Encourage Touching

* Drape sensuous fabrics such as velvet or silk throws over chair arms.

* Leave doors slightly ajar.

* If you have carpeting, vacuum in one direction.

Provide Thoughtful Cards

Attach printed cards to items and in rooms that provide further information the buyer might miss or might not know. You have so little time to make an impression.

* If you have an antique chandelier in your dining room, put a card on it that discloses its age and other important details.

* If you have removed the washer and dryer from the laundry room, attach a card to the wall describing the room.

* If your basement stairs are steep, attach a card to the railing that cautions buyers to watch their step.

* Take care when placing a card that says: “Not included in the sale.” That will make a buyer want it, but you can play that later to your advantage.

9) Top It Off With Food

The best way to entice buyers to linger and notice even more details about your home is to offer them food. You don’t need to cater a lunch, but finger sandwiches, cookies, soft drinks, water, desserts, all are welcome.

* Set out serving utensils, if needed.

* Provide plates, cups and napkins. They can be paper products.

* In plain sight, provide a waste receptacle.

10) Encourage Buyer Feedback

* Near the snacks, leave pens and a stack of preprinted questionnaire cards or a guest book to sign.

* Buyers will feel obligated to respond to your request after being fed.

* The showing feedback you receive will be invaluable.

* Allow buyer anonymity.

Before you start making repairs, before selling your home or marking dates on your calendar for an open house, it’s smart to prepare a home selling plan. Of course, you want top dollar, but you could make costly home selling mistakes along the way if your enthusiasm for quickly selling causes you to run out and stick a for sale sign in the yard before you’re fully prepared to sell.

Motivation for Selling

Explore your reasons for selling. Everybody has a reason to sell. If you aren’t truly motivated or committed to selling — if it just struck you one morning that you should move to the other side of town and you haven’t completely thought through the process — you could be setting yourself up for disappointment.

Buying a New Home

Most people who sell do so to buy another home. Put together a list of neighborhoods where you may want to live and drive them. Go to open houses. Check out pricing between newer homes vs. older homes. Weigh your options. You might find you prefer to stay where you are.

Call Real Estate Agents

Interview real estate agents, talk to at least three neighborhood specialists. Ask each listing agent to give you a marketing plan that explains what they will do to market your home. In addition, ask the agents to prepare a comparative market analysis for you and ask each for advice about:

* Preparing Your Home for Sale

Compare suggestions and consider accepting the most sound advice. Generally, you will want to move out bulky and excess furniture.

* Repairs Before Selling

Not all resale repairs will pay off. You don’t want to spend a lot of money making improvements but you do want to repair obvious maintenance issues, if any have been neglected.

* Home Staging

You can hire a professional stager, ask your agent to help stage or stage it yourself. You will get more for your home if it is staged.

* Home Pricing

Do not select an agent based on suggested sales price. Some will overbid each other to get the listing. But do not overprice. Homes that are overpriced often sell for less than market value.

* Net Profits from Selling

I always prepare two net sheets for sellers, each with a low price and a high price. This way, sellers can be prepared for the worst and hope for the best. If the lowest net price will let you buy the home you want, it’s time to find financing.

Find a Lender

First, call your existing lender to find out exactly how much you need to pay off. You should order a beneficiary statement. Then check out new financing offers from your own lending institutions and credit unions. Ask for a Good Faith Estimate – GFE. Compare rates and fees. Also, ask for referrals to mortgage brokers from agents. Often, mortgage brokers have more flexibility to discount rates and are more competitive.

* Get a loan preapproval letter, so you know how much of a mortgage you will qualify to obtain.

* You don’t need to apply for the maximum mortgage, and a lower mortgage payment might make you more comfortable in the long run.

* Compare mortgage loan types and choose wisely.

Sell Before Buying

The moment your home goes on the market, you might be tempted to bounce around online looking at homes on the web. Next thing you know, you’ll want to make an appointment to view a few homes. Don’t get carried away by virtual tours and beautiful photographs of your dream home. It is almost always more profitable to sell before buying.

We’re always looking for new agents in and around the Tallahassee area.   If you think you got what it takes give us a call at 850.3942.7653