News Alerts. Oct. 8, 2013. Morning Edition. #RealEstate

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  1. Taxman targets Airbnb-ers | New York Post

    The state Attorney General's office launched a crackdown Monday on landlords who are using the apartment-sharing Web site Airbnb to avoid paying hotel taxes.

    Attorney General Eric Schneiderman issued a subpoena to the firm for data about everyone who has used the service to make a few extra bucks by renting living space to visitors who don't want to pay for a pricey hotel. But the state isn't going after the average user who only rents to tourists for a short period of time.

    Source … http://nypost.com/2013/10/07/ny-targetin g-tax-evading-landlords-on-airbnb/


  2. Stay on top of the changing distressed inventory climate [VIDEO] | Inman News

    RealtyTrac Vice President Daren Blomquist is the company's resident expert on foreclosure statistics and trends, overseeing the creation of RealtyTrac's U.S. foreclosure market and sales reports.

    Source … http://www.inman.com/2013/10/02/stay-on- top-of-the-changing-distressed-inventory -climate-video/


  3. Apartment rental costs up as home prices rise – Atlanta Business Chronicle

    Atlanta:

    The cost to rent an apartment has jumped more than industry watchers expected as big increases in home prices has priced many families out of the housing market.

    Source … http://www.bizjournals.com/atlanta/morni ng_call/2013/10/apartment-rental-costs-u p-as-home.html


  4. Letting Another Cyprus In? The Dark Side Of Latvia's Success Story

    Very important concerns:

    Latvia will join the EMU at the beginning of 2014. At the same time, the country is adopting a regime of tax exemptions which favours non-residents. This has led many to believe that Latvia is choosing the same disruptive business model that was at the root of the Cypriot crisis. This article intends to figure out whether the conditions which nearly led Cyprus to collapse could be repeated in Latvia. It makes the point that, regardless of the growing similarities between the two countries, Latvia's accession to the EMU should pose bigger questions related to some structural weaknesses in the eurozone governance's architecture in the making.

    Latvia is not only becoming a tax haven, but also an ideal bridgehead to channel money to extra-EU tax havens.

    … no one can say at the moment whether Latvian banks will channel the foreign depositors' money towards risky investments abroad. It will probably depend on their individual investment choices and on the eurozone's ability to implement a proper scheme of macroprudential surveillance, tackling the financial origins of current account imbalances.

    Marco Giuli has been a Research Fellow at the Madariaga – College of Europe Foundation since October 2008 and covers research and events related to the Empowering Europe and Challenging Citizens programmes.

    Source … http://www.social-europe.eu/2013/10/lett ing-another-cyprus-in-the-dark-side-of-l atvias-success-story/


  5. The Multifamily Footprint in The United States in 2013 – Multifamily Blogs — Experts — Technology, Products :: MultifamilyBiz

    According to the U.S. Energy Information Administration www.eia.gov in 2005 there were more than 16,500,000 buildings with five or more units.

    According to the National Multi Housing Counsel www.nmhc.org there are 17.8 million multifamily renter households today. Taking this number multiplied by average household size of 2.63 persons per household provides an estimated number of total multifamily dwelling units in the United States. That number is: 46.8 million units. This is the number of housing units represented by buildings with five or more units.

    This number is not exact but certainly falls into the bell curve of having a high probability. This is a "thumb sketch" number. We are not attempting to account for new construction, tear downs, vacancy etc.

    Source … http://www.multifamilybiz.com/Blogs/264/ The_Multifamily_Footprint_in_The_United_ States_in_


  6. For Rent by Owner | Landlord's No. 1 dilemma is determining what to charge for apartment

    Yep:

    If the length of tenancies are price inelastic (i.e. renters are shortening their tenancies for reasons other than the price), then I should just try to charge the highest rent possible based on the need to get as much out of the tenant from a one-year lease. If, on the other hand, a low rent could keep the tenants in place, then it would behoove me to hold back on rent increases or, God forbid, lower rent in order to maximize the length of their tenancies. This would yield a smaller profit but I could make up for it in lower turnover expenses.

    Source … http://www.washingtonpost.com/blogs/wher e-we-live/wp/2013/10/02/2483/


  7. Federal Reserve Sees Clearer Skies Ahead for Commercial Real Estate | Commercial Banks content from National Real Estate Investor

    While most of the country experienced a rainy summer, the Federal Reserve sees clearing skies ahead for the commercial real estate market.

    That was the view on a recent episode of the "Commercial Real Estate Show" radio program. Brian Bailey, a senior financial policy analyst for the Federal Reserve Bank of Atlanta, joined me [Michael Bull, CCIM, founder, Bull Realty Inc.] to discuss banks, job creation and how Obamacare will affect commercial real estate.

    Source … http://nreionline.com/commercial-banks/f ederal-reserve-sees-clearer-skies-ahead- commercial-real-estate


  8. Investment property recovery gathers momentum – Property News | Irish Construction & Property Market | The Irish T – Wed, Oct 02, 2013

    Ireland:

    A number of reports out this week suggest the recovery evident in the investment market in the second quarter of 2013 has gathered momentum in the third quarter with year-end turnover forecasted to be around £1.5 billion.

    Savills's latest Investment Market Update reports investment property turnover has now reached £1.09 billion so far in 2013. It said there were 22 investment property sales in the most recent quarter generating turnover of £480 million. This compared to £110 million in Q3, 2012.

    Source … http://www.irishtimes.com/business/secto rs/commercial-property/investment-proper ty-recovery-gathers-momentum-1.1546389


  9. D.C. home foreclosures prompts lawsuit | Smart Real Estate Investing

    Take an old man's house over $134?

    A lawsuit that seeks to stop tax-lien investors from taking homes through foreclosures has been filed in federal court in Washington. The Washington Post reports the lawsuit was filed Tuesday in the name of Bennie Coleman. Coleman, a 78-year-old veteran, became a symbol of the city's often-abusive tax collection system after losing his home over a $134 bill. Attorneys are seeking compensation for Coleman and others whose homes were taken in recent years. The Post reported Sept. 8 that homeowners were losing properties over relatively small overdue bills. The paper reported that the city for years placed liens on properties when homeowners did not pay their tax bills and sold the liens at auction. Some investors used legal fees and interest to turn $500 tax bills into $5,000 debts.

    Source … http://www.smartrealestateinvesting.com/ d-c-home-foreclosures-prompts-lawsuit


  10. Carlyle Cuts Apartment Holdings After Rent Growth Slows – Bloomberg

    Carlyle Group LP (CG), the private-equity firm with more than a third of its $2.3 billion U.S. real estate fund in apartments, is reducing holdings of multifamily housing as rent growth slows from a post-recession surge.

    The company is considering apartment sales as rising construction reduces multifamily shortages and price gains for rental properties make them less attractive for private-equity firms that seek returns of 20 percent or more, said Robert Stuckey, the Washington-based firm's head of U.S. real estate investing. Carlyle has invested or committed about $800 million of equity in 61 multifamily properties since the start of 2011, he said.

    "…seek returns of 20 percent or more…." How realistic is that in the current economic environment?

    Source … http://www.bloomberg.com/news/2013-10-01  /carlyle-cuts-apartment-holdings-after- rent-growth-slows.html


  11. Why it's OK for the US housing market to slow down – Quartz

    We've begun to see signs of a nationwide slowdown in the pace of home value appreciation, and that's a good thing. The question going forward is whether political debates will lead to too much of a good thing and prevent moderation from turning into normalization. As Matt Philips' noted in Quartz last week shows, housing prices are still going up but their pace of growth is definitely slowing down.

    Zillow's own data show that after the monthly pace of home value increases rose to 0.9% in May, we've witnessed three straight months of slowing monthly gains. This trend should continue as mortgage interest rates rise, investors exit the market and more homes are made available.

    Source … http://qz.com/129910/why-its-ok-for-the- us-housing-market-to-slow-down/


  12. Government messing with mortgages

    The government shutdown could wreak havoc on mortgage refinances. CNBC's Diana Olick has the details.

    Source … http://video.cnbc.com/gallery/?video=300 0203995


  13. Beware! Do Your Research Before Buying an Apartment Building

    Buying an apartment building can be one of the best investments you make. It can also be one of the most difficult. Make sure you are thoroughly prepared before you head down that path. Here's a game plan to help you navigate the process.

    Source … http://www.appfolio.com/blog/2013/10/bew are-do-your-research-before-buying-an-ap artment-building/


  14. U.S. Apartment Market Sustains Strong Performance During Q3 2013 | Property Management Insider

    Apartment occupancy remained tight during the third quarter while rents continued to climb at a pace above the historical norm giving the U.S. apartment market another strong performance during the third quarter of 2013, according to MPF Research, the Carrollton-based apartment market intelligence firm.

    The healthy quarterly performance reflected strong leasing activity at new developments coming on-stream plus solid pricing power at most already-full existing properties.

    Source … http://www.propertymanagementinsider.com  /u-s-apartment-market-sustains-strong-p erformance-during-q3-2013.html


  15. New York AG Sues Wells Fargo Over Mortgage Settlement Violations, Drops BofA Suit – TheStreet

    NEW YORK (TheStreet) — New York Attorney General Eric Schneiderman announced Wednesday that he is suing Wells Fargo (WFC) for its alleged failure to adhere to the terms of the $25 billion national mortgage settlement.

    In a statement, the bank said it was disappointed in the AG's decision to sue the bank. "We are continuously implementing additional customer-focused measures based on the constructive feedback we receive from our customers, the Monitoring Committee and individual states, including New York," the bank said in a statement. "We believe this collaborative approach — not protracted litigation –offers the best path toward continuing to improve services to borrowers. We are doing everything we can to help our customers remain in their homes, and over the last four years have completed more than 880,000 loan modifications nationwide including 26,000 modifications for borrowers in New York. That means we have done six modifications for every one foreclosure sale in the state since the beginning of 2009."

    We'll take a wait-and-see approach because the AG dropped a suit against Bank of America after reaching a deal/settlement.

    Source … http://www.thestreet.com/story/12056412/ 1/new-york-ag-sues-wells-fargo-over-mort gage-settlement-violations-drops-bofa-su it.html


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