Episode Transcript: The Mancini Real Estate Minute – Episode #4
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Ep-4 – Real Estate Buying & Selling Strategies During the Holiday Season
Charlie McDermott 0:00
It’s time for the Mancini real estate minute podcast with jack Mancini. Estero Florida’s most trusted real estate agent? Well, welcome back, Charlie McDermott producer, the Mancini Real Estate Minute. And once again, of course we have Jack here, Jack, how you doing?
jack mancini 0:18
Good, Charlie, how’s it going? Good to be back.
Charlie McDermott 0:21
Good. Good to see you again and rebuild. I mean, they’re in hurricane it’s November and there’s a hurricane on the East Coast last week. I mean, who knows? Maybe maybe a volcanoes gonna pop up? I think that’s like that. And luck is the only things we haven’t seen so far this year.
jack mancini 0:41
Right. Yeah, a lot of a lot of devastation. A lot of questions about a 50% rule. If you can rebuild the permitting, if you can get permits. I’m sure you know a lot about that with you know what happened to your home?
Charlie McDermott 1:03
Yeah, yeah. For our listeners, we were kicked out I call it kicked off the island, we were kicked off Fort Myers Beach by that nasty hurricane Ian, along with 1000s of others and our neighbors because of the storm surge. And, and yeah, Jack, you know, to put we’re learning a lot more than than we ever wanted to about permitting and, and setbacks and the 50% rule and you know, my eyes are glazing over from all that. So yeah, in addition to that, there’s the, you know, just the market itself, I mean, between interest rates and inflation and the economy and this hot, hot market, but love getting together with you. Just from a personal standpoint, I’m always learning and looking but I know your listeners, whether they’re local, or heck, up north, they’re they’re really enjoying what you’re sharing and speaking of sharing, because I know your viewers on YouTube can see you. But for our listeners, I want to let you know that behind Jack just over your let’s say your right shoulder is beginning to look a lot like Christmas there, huh? Yes, it
jack mancini 2:20
is. We we love Christmas. We’re thankful and grateful for all of the blessings in our lives. And you know, a lot of people keep it up year round. Actually. It’s just a festive tree. We broke it out a little early this year. We won’t be in town for Thanksgiving. And typically we go get our tree you know, the day after Thanksgiving and get it decorated. But we’re gonna go visit family and destin and go to the Florida Florida State game and Tallahassee the day after Thanksgiving, so we wanted to get our our ornaments up. So when we returned home, it’s done. And the kids had off school for the hurricane that was on the east coast of Florida. And my wife wasn’t about to you know, burn a day doing nothing. So we got the tree out. And we you know, I might take a little flack for this but we have an artificial tree. It’s year two. We experienced a couple of trees that had these little bugs and I don’t know what they’re called. But yeah, we had a couple of bug trees and they all died but we were constantly sweeping up these little bugs and we’re done
Charlie McDermott 3:46
yeah, yeah it’s artificial tree we’ve we’ve done it all as well. We even done Have you ever done the by the actual tree and the you know, the the wind in the pot with the soil and then planted after the fact we’ve even I don’t recommend for any heavy Yeah, yeah, I think it died a year later. Anyway. So
jack mancini 4:13
we used to go all out for Christmas. I had a artificial tree in the front yard and you know 1000s of light. But my daughters are getting older and and I’m getting older and have lost the curtains lack the encouragement to go put up 1000 Christmas lights so I’ve got three daughters. A freshman in high school, Caitlin 15. I have a senior in high school and Sally, she is going to be 19 Eight King. She’s got to be 18 January 11.
Charlie McDermott 4:54
She’s in the area keeping Yeah,
jack mancini 4:56
she’s in the kitchen. It’s crazy they’re out of school. She’s out of school as a senior at 9am done yeah, I don’t remember that Charlie when I was a senior in high school I went to school all day
Charlie McDermott 5:14
now every day I remember trying to get out ever actually not being in school Yeah, yeah yeah, a new world and you know back then real estate was a little different as well you know, not that I mean shoot my foot first bought my home there was no Homans their home inspection wasn’t even a business it was just kind of you look around you up. And, and you know, that you know, down here you have the whole community aspect which is completely different. You know, Pennsylvania we’re where we came from in other parts of the country which is a huge part of the I think by and experience I mean you you’re the expert there but I would think that maybe you know up north we’re looking for a home up north it’s it’s a I need three bedrooms and this and that and you look at these homes that probably what you get is hey, the amenities you know that maybe that comes first I want to golf, I want to finish I want to write I want more, right? Yeah, yeah.
jack mancini 6:18
Yep. Golf access. You know, it’s about the lifestyle here and southwest Florida. What do people enjoy doing? And, you know, you don’t want to be in a bundled golf community and pay all the fees, mandatory fees, if you’re not a big golfer. If you want to be on the water, you know, you’re probably not going to be in a association. So I forgot to mention, I do have a sophomore in college Madeline, she is 19. So don’t want to leave Madeline out.
Charlie McDermott 6:49
And hence the football game that you’re going to write? Yes, yes. Yes. She’s
jack mancini 6:53
a sophomore there at Florida State.
Charlie McDermott 6:57
Yeah. And she she will get you a deal on the tickets or
jack mancini 7:01
Oh, no, no, she gets a student ticket for like $28. But, you know, we have to pay about $250 in ticket for the other four. So it gets expensive. Yeah, it’s a good cause. For sure.
Charlie McDermott 7:17
Were you a fan prior to her going to school there?
jack mancini 7:21
Yes. My wife and I met at Florida State University. So yeah, it’s it’s in the family going old. And they’ve had a good year they beat Miami. I consider a good year for the Seminoles beating Miami and beating Florida. If we can accomplish those two things. It’s a great deal even if we go to and said as long as we beat the other Florida schools happy with that.
Charlie McDermott 7:51
Barb’s brother went to infer our listeners. My My wife, she went to Annapolis. And it was the same thing you know, didn’t matter. They lost every game during the season. As long as Navy beat army in the big game, right. Didn’t matter. I was that was their one and only the season. Yeah, yeah. So
jack mancini 8:12
yeah. Beat the big rivals to good year. And I don’t need to listen to all my Florida Gator friends bragged for 12 months about the Gators. That’s primarily the reason I want them to win so bad.
Charlie McDermott 8:29
Feeling based on my experience here they are pretty outnumbered. You know, more Gator fans. Down here. Yeah.
jack mancini 8:35
Yeah. For sure. They drive Ford trucks and Seminoles drive Chevy trucks.
Charlie McDermott 8:45
We first switched to real estate for yourself in trouble there do.
jack mancini 8:52
A little update update on the estero real estate market. You know, post II in things definitely slowed down interest rates. Speaking of interest rates, you know, they went from seven, seven and a quarter down to about six and a half on a primary residence. That was one of the largest drops and interest rates in a single day. That was last week. So that really helps buyers buying power. You know, when interest rates went from three to seven, that doubled payments, you know, but in the past week here in the Esterel market, there were 61 new listings. And there were 75 pending sales. So more went off the market pending than came on the market. So the market is still strong. It’s a healthy market. Having said that sellers have had to make price reductions in the last week there were 54 price reductions. And there used to be you know, six months ago we were seeing priced, more price increases than price decreases. So, you know, it’s still a healthy market. I remember in 2002, when I first moved into Stony Brook, I was working for us home mortgage, and my rate was 7.25. And I got a little discount, you know, everybody else was paying maybe seven and a half, but I got 7.25. So don’t let today’s interest rates scare you. You can either pay off your loan, or you can pay off the owners loan if you decide to rent, what would you rather do? You know?
Charlie McDermott 10:41
Yep, yep. Hands down. Yeah, invest in yourself invest in your home. And and that interest rate not that you want a higher interest rate, but you do get to expense that. So you know, there is that right off benefits. So yes,
jack mancini 10:58
and there are some loan programs out there right now. It’s called a two, one vi down. So if the rate is seven, you can reduce that rate for the first year by 2% and pay 5%. And then your to the rate goes from seven to six. And the year three, you know, you pay the original rate of seven. So there are creative ways to, you know, make the payments more affordable. And when rates go from seven down to, let’s say, four, someday they will then you can refinance, you know, and it’s going to cost you some money to refi. But might be worth it. When rates, you know, change by two and a half 3%. That’s the that’s the right time to refinance.
Charlie McDermott 11:51
Yeah, yeah. Yeah. What do they say? Yeah, buy the home, rent the mortgage. Right, you know, keep it straight. And the numbers take care of themselves. I mean, my goodness, like you said, you know, when we went from three to seven mortgage payments double, and while the reverse the idea if I can cut my mortgage payment in half us really matter, right? Yeah. Okay, right. When
jack mancini 12:14
you refinance someday, you you probably want to go to a 15 year loan instead of back to a 30 year loan? No, because, you know, sure, by payment went down, but I just added five years on to my mortgage, you know, so the 15 year might be the way to go when you refi. Yeah. If the rates lower, two to 3%, lower, the payment might not be a lot different on 15 versus the 30 that you’re paying now.
Charlie McDermott 12:48
Yeah. And the interest you save? Yeah, yep. That’s big money. For sure. So then let me ask you this, because as our listeners know, Christmas tree in the back, were pre Thanksgiving, Thanksgiving is next week is just 2022. By the way, timing, buying and or selling? Do you see any difference? You know, with the end of the year coming up tax implications, potentially, you know, what kind of is there an opportunity to maybe get your house on the market now versus January or first quarter or the other way, you know, to look for a buying opportunity now versus waiting?
jack mancini 13:31
Yeah, and I think there’s going to be a lot of opportunities posed to you and for investors, as well as you know, primary residence owners, there’s two thought processes. One, if you want to be able to homestead the property for next year, you need to own it by December 31 of 2022. So there may be a push of sales in the next 45 days for people that need to close or want to close by the end of the year so they can homestead the property for the following year. The other thought process is wait for all the seasonal residents to return and wait till January 1, to list your home for sale. More people have that thought process than less listed now. Because you’re not going to have as much competition. If you list now, a lot of people have the mindset that they’re waiting until January one to list their property for sale. So if there’s like in Stony Brook, there’s eight listings right now in Stony Brook out of 1100 doors, so we don’t have much for sale right now. And it might be a good good time to list now and get your property under contract by the end of the year before inventory doubles. because a lot of people have that thought of, we’re going to list our home January 1, well, you have that thought and so do a dozen other people, you know, so that you have a better opportunity with the lower inventory right now to list your home for sale. So if anybody’s listening that is considering selling their home, call me. Let’s get it listed for sale now. And sold by the end of the year.
Charlie McDermott 15:28
On it. Love it. Yeah. And
jack mancini 15:31
we’re doing a lot of post occupancy agreements as well, Charlie, you know, people, they say, Well, I can’t move until my new construction home is ready, and that won’t be ready until March. So we can sell your home and get you your proceeds from the sale of your home. And you can post occupy your home, like a lease back and pay the buyer for the few months that you need occupancy, post closing.
Charlie McDermott 16:00
Very, very smart. And now, you had mentioned homestay, and for our listeners, you know that was new to me when I moved to Florida for again our listeners, whether snowbirds or folks up north thinking about the Southwest Florida area, or I guess anywhere is that it’s a statewide thing, right? Can you explain what what the homesteading is all about?
jack mancini 16:23
Yes, a married couple can reduce their taxable value by $50,000 when they homestead the property, so
Charlie McDermott 16:36
when I get to save a lot of money, too, so I understand it’s a yes.
jack mancini 16:40
If your property is taxed at $250,000 Right now, if your homestead the property it would be taxed at $200,000
Charlie McDermott 16:50
Wow. And then so in the case of of selling your home and buying another home that then obviously that transfers over
jack mancini 17:00
Yes, they have a portability transfer tax that you can take your base assessed value and transfer it to your new property.
Charlie McDermott 17:14
Yeah, cool. Okay. Man, we covered a lot of ground today. Yeah,
jack mancini 17:21
happy holidays. What’s going on with your house? How destroyed is it?
Charlie McDermott 17:26
It’s a goner it’s you know, we’re playing a game of you know, meeting you know, adjusters and insurance people and structural engineers and people on the island and yeah, and then of course, trying to get anything from the insurance company is today every This is how pathetic it is every every chance I get because because fortune we had flood insurance and if not everyone on the island did because you know we all thought we protected hurricane Ian we didn’t have any surge even though they were protecting 15 feet and on and on and on. So fortunately, we did. But today I so I started calling the company. It’s 7am and every break I get I’m just gonna call and leave a voicemail message with my policy here. I can’t get a call back and I don’t get it, you know, inundated and then of course, last week’s hurricane probably only just you know, amplified the amount of claimants you know, so. So that’s been an adventure but hey, we’ll get through it.
jack mancini 18:38
Well, let me know when you want to buy something new. I’ll help you out.
Charlie McDermott 18:43
Absolutely. Your top on the last man. Only go with the best.
jack mancini 18:47
Thanks, Charlie. I didn’t learn a little bit.
Charlie McDermott 18:51
What’s that? move inland. Move it yeah, we’re
jack mancini 18:55
seeing a lot of that people are done. You know, I’ve sold a few places already where they had a condo on the wall.
Charlie McDermott 19:03
Oh, yeah. You know, the whole Fort Myers Beach thing. We’d love it there. It’s but the whole rebuild process is gonna be years and years. Yeah, I just I’m not sure I want to wait around for all that so right. But yeah, other than that great, great place to live but then again, as we’re finding you know, the great places for Southwest Florida, right. Wherever you land your as I say in paradise
jack mancini 19:33
now. Well, my buddy Peter Ennis owns snug harbor down on the Fort Myers Beach. And he just opened Wahoo Willie’s right next door to it. You know, we’re nervous Nellies is?
Charlie McDermott 19:47
jack mancini 19:48
So he’s just opened.
Charlie McDermott 19:51
Oh, so they so they’re the brand new place but the kind of the tiki
jack mancini 19:55
Yes. It’s time you’re down at the beach go have a Drink with Peter.
Charlie McDermott 20:01
Ah, terrific. That’s awesome to hear.
jack mancini 20:05
And he said by the end of the year hope all snug harbor will be open as well. So wow
Charlie McDermott 20:13
all right, coming back next week did you know
jack mancini 20:16
they’ll be back? Yeah.
Charlie McDermott 20:19
All right speaking the back you have a wonderful holiday Thanksgiving. We’ll see you free Christmas and have a safe and loving journey up north and and Go Gators. I mean,
jack mancini 20:35
I don’t know. All right, buddy. Thanks.
Charlie McDermott 20:40 Thank you for listening to the Mancini Real Estate Minute To learn more about the jack Mancini team go to jackmancini.com or call 239-218-2685