Cape Coral was the second safest city in the State of Florida among those cities whose population is over 100,000 people.
 
Port St. Lucie was the safest with 2300.6 crime rate / 100,000. Cape Coral came in as the second safest with 2467.3 crime rate / 100,000.
 
Cape Coral Police Chief Jay Murphy credits hard work by the men and women of the Cape Coral Police Department as well as the citizens of Cape Coral.
 
Chief Murphy says, “This is proof of the teamwork between the residents of Cape Coral and their Police Department. We’re all on the same team and share the same goal of making this city a safe place to work, play, raise a family and retire.”

Mortgage rates dropped sharply this week, possibly improving the purchasing power of many home buyers. The 30-year fixed-rate mortgage, the most popular choice among buyers, averaged 4.39 percent this week, its lowest average for 2011, Freddie Mac reported in its weekly mortgage market survey. The 15-year fixed-rate mortgage and the 5-year adjustable rate-mortgage also both reached new historical record lows.Rates mostly dropped across the board amid signs of a weakening economy, Freddie Mac says.

“Treasury bond yields fell markedly after signs the economy was weaker than what markets had previously thought allowing fixed mortgage rates to follow this week with the 15-year fixed and 5-year ARM setting new historical lows,” says Frank Nothaft, chief economist at Freddie Mac.

Nothaft also noted some improvement in the housing market, however. “There were indications that the housing market is firming,” he says. (see Pending Home Sales Rise in June)

Here’s a closer look at rates for the week ending Aug. 4:

30-year fixed-rate mortgages: averaged 4.39 percent, downfrom last week’s 4.55 percent average. A year ago at this time, 30-year rates averaged 4.49 percent.

15-year fixed-rate mortgages: averaged 3.54 percent, dropping from last week’s 3.66 percent average.Last year at this time, 15-year rates averaged 3.95 percent.

5-year adjustable-rate mortgages: averaged 3.18 percent this week, falling from last week’s 3.25 percent average. Last year at this time, 5-year ARMs averaged 3.63 percent.

1-year adjustable-rate mortgages: were the only ones on the rise last week, averaging 3.02 percent this week, which is up from last week’s 2.95 percent average. Last year at the time, 1-year ARMs averaged 3.55 percent.

Source: “Mortgage Rates Hit Record Lows Amid Signs of Weakening Economy,” Freddie Mac (Aug. 4, 2011)

Seven in 10 Americans also agreed that buying a home is a good financial decision while almost two-thirds said now is a good time to purchase a home. The annual survey, which measures how affordable housing issues affect consumers, also found that more than three quarters of renters (77 percent) said they would be less likely to buy a home if they were required to put down a 20 percent down payment on the home, and a strong majority (71 percent) believe a 20 percent down payment requirement could have a negative impact on the housing market.

“Despite the economic setbacks Americans have experienced in today’s current climate, it is clear that a strong majority still believe in home ownership and aspire to own a home,” said NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I. “However, achieving the dream of home ownership will become increasingly difficult for buyers if they are required to make a 20 percent down payment, which may be a reality for many of tomorrow’s buyers if a proposed Qualified Residential Mortgage rule is adopted. That is why Realtors® are strongly urging regulators to go back to the drawing board on the proposed rule.”

Defining the QRM rule is important because it will determine the types of mortgages that will generally be available to borrowers in the future. As currently proposed, borrowers with less than 20 percent down will have to choose between higher fees and rates today – up to 3 percentage points more – or a 9-14 year delay while they save up the necessary down payment.

Over half – 51 percent – of self-described “working class” home owners as well as younger non-college graduates (51 percent), African Americans (57 percent) and Hispanics (50 percent) who currently own their homes reported that a 20 percent down payment would have prevented them from becoming home owners.

Pulse surveys for the past eight years have consistently reported that having enough money for a down payment and closing costs are top obstacles that make housing unaffordable for Americans. Eighty-two percent of respondents cited these as the top obstacle, followed by having confidence in one’s job security.

The survey also found respondents were adamantly against eliminating the mortgage interest deduction. Two-thirds of Americans oppose eliminating the tax benefit, while 73 percent believe eliminating the MID will have a negative impact on the housing market as well as the overall economy.

“The MID facilitates home ownership by reducing the carrying costs of owning a home, and it makes a real difference to hard-working American families,” said Phipps. “Home ownership offers not only social benefits, but also long-term value for families, communities and the nation’s economy. We need to make sure that any changes to current programs or incentives don’t jeopardize our collective futures.”

When asked why home ownership matters to them, respondents cited stability and safety as the top reason. Long-term economic reasons such as building equity followed closely behind. On a local level, respondents said neighbors falling behind on their mortgages and the drop in home values were top concerns. Foreclosures also continue to remain a large concern, with almost half of those surveyed citing the issue as a problem in their area.

The 2011 National Housing Pulse Survey is conducted by American Strategies and Myers Research & Strategic Services for NAR’s Housing Opportunity Program. The telephone survey polled 1,250 adults nationwide, with an oversample of interviews of those living in the 25 most populous metropolitan statistical areas. The study has a margin of error of plus or minus 3.1 percentage points.

NAR’s Housing Opportunity Program, www.realtor.org/housingopportunity, was created in 2002 to encourage local Realtor® associations to create initiatives that help increase housing opportunities available to consumers and make affordable housing more readily available in their communities.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.1 million members involved in all aspects of the residential and commercial real estate industries.

WASHINGTON (AP) – July 1, 2011 – Fixed mortgage rates were mostly unchanged this week, hovering near their annual lows.

The average rate on the 30-year loan rose slightly to 4.51 percent, Freddie Mac said Thursday. It hit its lowest level of the year three weeks ago, at 4.49 percent.

The average rate on the 15-year fixed mortgage, a popular refinancing option, stayed at 3.69 percent. It reached its low point of the year two weeks ago, at 3.67 percent.

Rates typically track the yield on the 10-year Treasury note, which has been rising in the past week.

That could change this week when the Federal Reserve’s $600 billion bond buying program ends.

The Fed has purchased around $75 billion worth of bonds each month since November. That drove the yield on the 10-year Treasury note lower than 3 percent this spring. As a result, rates on mortgages and other loans also fell.

Still, low mortgage rates and plummeting home prices have done little to boost the troubled housing market. Tougher lending standards and bigger downpayment requirements have prevented many people from taking advantage of the ultra-low rates. Many people who can qualify are holding off, worried that prices have yet to bottom out.

Fewer people purchased previously occupied homes in May. Sales fell to their lowest level of the year. Since the housing market went bust in 2006, sales have fallen in four of the past five years and hit a 13-year low last year.

New-home sales fell last month to a seasonally adjusted annual rate of 319,000 homes. That’s fewer than half the 700,000 that economists say must be sold to sustain a healthy housing market.

Federal Reserve Chairman Ben Bernanke said last week that the housing market is dragging down the broader economy. For the market to recover, he said foreclosures must be cleared from the pipeline of homes for sale.

Most economists say home prices will keep falling through the rest of the year. Many forecasts don’t anticipate a rebound in prices until at least 2013.

To calculate average mortgage rates, Freddie Mac collects rates from lenders across the country on Monday through Wednesday of each week. Rates often fluctuate significantly, even within a single day.

The average rate on a five-year adjustable-rate mortgage fell from 3.25 percent to 3.22 percent, the lowest rate on records dating back to 2005. The average rate on a one-year adjustable-rate loan fell to 2.97 percent, slightly above the record low of 2.95 percent.

The rates do not include the extra fees known as points. One point is equal to 1 percent of the total loan amount.

That’s because reverse mortgages are actual loans that must be repaid in full – when you move, when you sell your house or upon your death, rather than in monthly installments.

But, said David Certner, AARP’s legislative-policy director, it’s something to consider “if you want to remain in your current home and don’t have other options.”

“If the one asset you have is your home, a reverse mortgage will let you turn it into a payment stream,” Certner said. “Maybe you simply need a home-equity loan, or to sell the home and move to something smaller. For a lot of people who want to stay in their own homes, the reverse mortgage is one way to help accomplish that.”

Though home values have dropped steeply since the real estate bubble burst in 2006, many older Americans have owned their houses for decades and have vast amounts of equity to tap into.

Yet of the millions of home loans originated between 1990 and 2010, just 660,000 were reverse mortgages, AARP says.

Why? Because reverse mortgages can be complicated, sometimes pricey affairs compared with the financial alternatives.

There are three kinds of reverse mortgages, but the lion’s share – 95 percent – are Home Equity Conversion Mortgages (HECM) insured by the Federal Housing Administration.

HECMs cost more than traditional mortgages. They have no income or medical requirements, and the cash can be used for any purpose, such as paying medical bills.

Currently, the national loan limit for a HECM is $625,500. How much you can borrow depends, among other factors, on your age, the appraised value of your home, and current interest rates.

The older you are, and the more equity you have in your house, the more you can borrow. Though 62 is the minimum age, many experts advise against reverse mortgages then – you may have a greater need to tap into your home equity later in life.

To qualify for HECMs, borrowers must own their properties outright or have small mortgage balances; occupy the properties as principal residences; and not be delinquent on any federal debts, such as income taxes.

Borrowers must participate in “consumer information sessions” provided by counselors approved by the Department of Housing and Urban Development. (These typically cost $125, Certner said.)

During the course of the reverse mortgage, you must pay your homeowners’ insurance and property taxes, plus keep the house in good repair. If you don’t, the loan can become due.

Advantages to reverse mortgages include:

• How you get the money is your choice: in fixed monthly payments, a lump sum, a credit line or a combination of the three. You can change the option any time for $20.

• Even if you receive more in payments than your home is worth, you will never owe more than the home’s value.

• Loan advances are not taxable and generally don’t affect Social Security or Medicare benefits.

• You retain title to your home.

The reverse mortgage must be repaid in full when the last surviving borrower dies or sells the home, or when it is no longer the primary residence. An HECM lets a borrower live in a nursing home or other medical facility for up to 12 months before the loan comes due.

After the home is sold and the reverse mortgage and fees are repaid, the remaining equity belongs to the borrower or heirs.

Among the disadvantages:

• Lenders, who must be FHA-approved, may charge servicing fees during the loan’s term.

• Loans may carry variable interest rates tied to short-term indexes, although AARP says more than 70 percent now have fixed interest rates.

• If interest rates are fixed, you must borrow the maximum amount against your home’s equity.

• Refinancing your existing mortgage or taking out a home-equity loan or line of credit may be a less expensive alternative to a reverse mortgage, which can have substantial upfront fees.

For example, the standard HECM loan charges a 2 percent mortgage-insurance premium up front on the home’s value, not the amount borrowed. If you own a $400,000 house, the upfront premium would be $8,000, regardless of the loan amount.

You also will pay an origination fee to compensate the lender for processing the reverse mortgage. That fee can be up to $2,500 if your house is valued at less than $125,000. If your house is valued higher, lenders can charge 2 percent of the first $200,000, plus 1 percent of the amount over $200,000, with a cap of $6,000.

The HECM Saver Loan, which made its debut in October, charges only 0.01 percent of a home’s value up front. But this loan usually carries a higher interest rate, and you can’t borrow as much as you can with a standard HECM.

Closing costs for a reverse mortgage include an appraisal, a title search, and insurance, surveys, inspections, recording fees, taxes, and credit checks. You can pay for most such HECM costs through the proceeds of the loan. Though that means no out-of-pocket payments, it reduces the net loan amount available.

A lender may charge a monthly servicing fee of no more than $30 if the loan has an annually adjusting interest rate, $35 if the interest rate adjusts monthly.

Reverse-mortgage foreclosures have been rare – until recently.

“Because the borrower is responsible for paying taxes, insurance and upkeep,” Certner said, tough economic times have “put a lot of people in trouble, especially in hard-hit markets like Florida.”

NEW YORK – June 17, 2011 – International buyers are taking advantage of real estate bargains in the United States. Last year, international buyers reportedly spent $41 billion on purchasing homes in the U.S.

So which cities do they most have their eye on?

Ten out of the 24 most popular American cities for international buyers are in Florida, according to Trulia. Last year, Europeans, Canadians and Brazilians reportedly spent about $13 billion on homes in Florida alone.

Here are the most popular Florida cities for international buyers, according to Trulia, in order of demand:

1. Cape Coral, Fla.
2. Miami
3. Fort Lauderdale, Fla.
4. Naples, Fla.
5. Fort Myers, Fla.
6. Miami Beach, Fla.
7. Kissimmee, Fla.
8. Orlando, Fla.
9. Jacksonville, Fla.
10. Tampa, Fla.

© 2011 Florida Realtors®

WASHINGTON – June 15, 2011 – Nearly three out of four American voters believe that it’s reasonable and appropriate for the federal government to provide tax incentives to promote homeownership, a sentiment that cuts across partisan and regional lines across the country, according to a recent poll conducted on behalf of the National Association of Home Builders (NAHB).

Further, an overwhelming majority of respondents oppose eliminating the mortgage interest deduction and would be less likely to support a candidate for Congress who wants to do away with this vital tax incentive.

“Despite the current housing downturn, Americans still see homeownership as a core value and key building block,” says Celinda Lake, president of Lake Research Partners, which conducted the survey along with Public Opinion Strategies. “The bottom line: The bipartisan consensus outside the Beltway is that owning a home remains an essential part of the American Dream, and voters would strongly oppose any efforts by lawmakers to increase barriers to homeownership.”

Two thousand likely 2012 voters were surveyed from May 3 through May 9. Among the poll’s key findings:

• 73 percent of all respondents – both owners and renters – believe the federal government should provide tax incentives to promote homeownership. This support for housing runs strong among all party affiliations, with 79 percent of Democrats, 71 percent of Republicans and 68 percent of Independents agreeing.

• 71 percent of voters oppose proposals to eliminate the mortgage interest deduction, and 63 percent oppose efforts to reduce it. A majority also oppose eliminating the deduction for interest paid on home equity loans, ending the deduction for interest paid on a second home, limiting the deduction for those earning more than $250,000 per year or capping the deduction for homeowners with mortgages over $500,000.

• By a more than two-to-one margin (57 percent to 26 percent), voters said they would be less likely to vote for a candidate who supports eliminating the mortgage interest deduction. These figures held firm across the political spectrum, with 63 percent of Republicans, 56 percent of Independents, 55 percent of Democrats and 61 percent of tea party supporters saying they would be less likely to support a candidate who favored killing the deduction.

• Even when told that getting rid of the mortgage interest deduction would help ease the federal budget deficit, 65 percent of voters opposed any proposal to abolish the housing tax provision. This strong consensus cuts across partisan lines, with 69 percent of Republicans, 69 percent of Independents and 59 percent of Democrats opposing eliminating the deduction.

• Saving for a downpayment and closing costs is the biggest barrier to homeownership.

• Among voters who are aware of proposals under consideration by Washington policymakers to raise the downpayment requirements for a home loan, 92 percent believe it will make it more difficult to buy a home. Six federal agencies are proposing a national standard to require a minimum 20 percent downpayment, which would be opposed by households most likely to be affected – mortgage holders and renters ages 18 to 54. Among voters in these age groups, 59 percent of renters and 58 percent of those holding a mortgage oppose adding that obstacle to buying a home.

• 81 percent of voters agree on the need to promote policies that encourage homeownership in order to rebuild the middle class and 83 percent believe that a strong housing industry will provide more jobs and strengthen the economic health of local communities.

• 75 percent of voters say that owning a home is the best long-term investment they can make.

• 73 percent of voters who do not now own a home say that it is a goal of theirs to eventually buy a home.

• An even greater percentage of homeowners – 95 percent – say they’re happy with their decision to own a home and believe that owning a own home is important.

© 2011 Florida Realtors®