Dividends You Can't Spend

Dividends don’t only come from owning stocks. The greatest dividends of all are received when we continue to give consideration to the feelings and rights of others.

WASHINGTON – Nov. 16, 2016 ­– Homebuyers often shop around for the best rate on a homeowners insurance policy, but 86 percent of Americans don't realize that the policy amount is based, in part, on the home's claim history.

Sellers who make too many property insurance claims could harm future buyers, yet most buyers are unaware that actions take by a home's previous owners may be considered when an insurance company sets a premium under their new policy.

Many insurers use CLUE – an acronym for Comprehensive Loss Underwriting Exchange – to report and check the claims history of homes. Yet, only 12 percent of buyers say they ask for a CLUE report before buying their current home, according to a new survey of more than 1,000 adults by InsuranceQuotes.

"Consumers of all ages, from millennials to seniors, are almost entirely unaware of how the CLUE database affects their insurance rates," says Laura Adams, senior insurance analyst at InsuranceQuotes. "In most states, an inquiry about property damage can be added to your CLUE report and used against you, even if you never file a claim."

Only the owner of a property can request a CLUE report. Homebuyers, therefore, need to ask sellers to obtain a copy on their own behalf.

"The CLUE report, which maintains data up to seven years, is a valuable tool for homebuyers because it reveals prior claims and potential risks," Adams says. "It also helps home sellers provide full disclosure about their property's condition."

Homeowners can get a CLUE report free once every 12 months.

Source: InsuranceQuotes

Dear Beachside Family and Friends,

What defines a Christian? Is a Christian one who is born in a Christian home, lives in a Christian nation, or attends church? Are individuals Christians because they do good deeds, pray, or act and dress in certain ways? If someone professes to be a Christian, what does that mean?

The many ways I just mentioned which people use to declare themselves Christian are all external. It's popular these days for sports fans to buy and wear the jersey of their favorite player. Some people put on  the official NFL jersey of Patriot's quarterback Tom Brady every week, but does looking like Tom Brady on the outside, make them Tom Brady? Of course not! In the same way, it is possible to wear the external trappings of Christianity, but does that make one a Christian?

Being a Christian is dependent upon answering one question. What will I do about Jesus? The Bible calls Jesus "the Christ" The word Christian actually means "little Christ". If I am a Christian, then I must be a Christ-ian. By definition then, a Christian is one who has a relationship with Jesus, the Christ. As Jesus himself said "I am the way, the truth, and the life. No one comes to the Father but by me" (John 14:6) When Nicodemus, a ruler of the Jews, came to Jesus to inquire about a eternal life, Jesus told him "you must be born again". (John 3:1-3) Jesus explained that a relationship with God begins with an internal change. That change takes place when a person asks Jesus to come into their heart and be their Lord. Only that decision can make a man, woman, or child a Christ-Ian. 

It is possible to wear a Christian T-shirt, and not be a Christian. If a change has not taken place on the inside, no amount of church attendance can make a person Christian. Additionally, giving to benevolent organizations and being a good person cannot make a person Christian. When an individual makes Jesus their Lord, that makes them a Christian. 

The Bible tells us in the first chapter of John's Gospel that Jesus is the Living Word of God. If Jesus lives in us, then the Word is living in us. A Christian will have a desire to know the Word (the Bible) and to live by it. Jesus addressed this when he said in Luke 6:46 “So why do you keep calling me ‘Lord, Lord!’ when you don’t do what I say?" My conviction is this: a Christian is one who chooses to believe and do what Jesus says. Some who call themselves Christians find ways to excuse and promote immoral lifestyles because they say that Jesus did not personally address these issues. The fallacy of this argument is exposed in Jesus statement "Don’t misunderstand why I have come. I did not come to abolish the law of Moses or the writings of the prophets. No, I came to accomplish their purpose." (Matt 5:17) As the Living Word, Jesus agreed with, believed, and taught everything in the Old Testament to be completely and absolutely true. He is THE WORD, and everything that is in the Bible was spoken and breathed by Him. Christians do not deny the authority of the Word of God in social and political issues, only unbelievers do. Christians do not support abortion on demand, homosexuality, adultery, lying or the redefinition of marriage. Only unbelievers do. 

So what defines a Christian? A Christian is one who first makes Jesus their Lord, and then submits completely to the authority of the Bible, the DIVINELY INSPIRED WRITTEN WORD OF GOD. I ask myself this question: Am I a Christian? Are you? Something to think about. 

Pastor Ramon

WASHINGTON (AP) – Nov. 17, 2016 – Builders broke ground on the most new homes in nine years last month, a response to strong demand that should lift the economy.

Home construction soared 25.5 percent to a seasonally adjusted 1.3 million in October, the Commerce Department said Thursday. That is the biggest gain since July 1982. New construction is also at the highest level since August 2007, months before the Great Recession began.

Americans are clamoring to buy homes, but there are few properties on the market. That has driven up prices. Mortgage rates remain low, however, making more homes affordable.

Steady hiring and some signs that pay gains are picking up have bolstered demand for housing. Younger Americans, buoyed by higher pay, are moving out on their own, renting apartments or seeking to buy houses. Sales of new and existing homes have picked up in recent months.

"With improved employment and income prospects, millennials are an expanding portion of housing demand, as they move out of their parents' homes," David Berson, chief economist at Nationwide, said.

The increase was driven by a 75 percent jump in apartment construction, a notoriously volatile category. That was the biggest gain in five years. Single-family home construction rose 10.7 percent.

Still, the future is a bit cloudy for housing. Donald Trump's victory in the presidential election has led to higher interest rates on 10-year bonds, a sign investors expect higher inflation in the coming years. Those increases should lift mortgage rates from their current very low levels. The average rate nationwide on a 30-year fixed mortgage last week was just 3.57 percent.

Trump's policies could affect housing in different ways. Restrictions on immigration could limit the supply of available workers for construction firms, which have already complained for years of labor shortages.

Yet Ralph McLaughlin, chief economist at data provider Trulia, points out that Trump could loosen regulations on banks and reform mortgage giants Freddie Mac and Fannie Mae, potentially increasing the flow of credit.

Sales of new homes climbed 13 percent in September from a year earlier. Yet the supply of new properties was equivalent to just 4.8 months of sales, down from 5.8 months a year ago.

And sales of existing homes bumped up 3.2 percent in September from the previous month. But supply is tight there as well: The number of existing homes for sale was barely above 2 million – 6.8 percent lower than a year earlier.

Those shortages are likely fueling more construction. Homebuilding rose strongly last month in the Northeast, where new construction has lagged for months and is up just 2.2 percent in the past year. The increase was also strong in the Midwest, followed by the West and South.

Applications for building permits, a good sign of future activity, barely rose to 1.23 million, the highest in a year. Still, that followed a much larger 6.3 percent gain in the previous month.

Employers are adding an average of about 175,000 jobs a month, and the unemployment rate fell to a low 4.9 percent in October. Average hourly pay rose in the past year by the fastest pace since before the recession began, boosting the confidence of would-be buyers.

Copyright © 2016 The Associated Press, Christopher S. Rugaber. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.  

FORT LAUDERDALE, Fla. – Nov. 21, 2016 – South Florida's real estate market stands to benefit if President-elect Donald Trump follows through on campaign promises to reduce taxes, increase jobs and spend money to rebuild roads and bridges, industry leaders say.

Trump's proposals likely would strengthen the economy, providing a lift for housing and construction – but watch out for interest rates, which have been expected to inch higher no matter who was voted into the White House, according to local analysts, builders, economists, lenders and real estate agents.

"If [Trump's plan] is really happening, it will all be a boost for the economy," said Eli Beracha, a professor of real estate investment at Florida International University in Miami. "When you are spending money over a short period of time, especially for a good purpose, then it makes the economy more efficient. When you see that, it's prosperity."

Ben Solomon, president of the Builders Association of South Florida, is counting on "responsible" government deregulation under Trump that would trickle down to South Florida builders, allowing them to move more quickly to obtain necessary permits for projects.

"First of all, he's a builder," Solomon said of Trump. "The building industry is top of mind for him. I'm optimistic."

However, some real estate analysts think historically low interest rates will rise during the Trump presidency, affecting home sales and prices. Democratic nominee Hillary Clinton would have faced the same reality because interest rates were due to climb after being so low for eight years, analysts say.

Jim Flood, regional manager for Supreme Lending in Plantation, said robust job growth in recent months likely will prompt the Federal Reserve to raise rates when it meets in mid-December.

"Certainly, that's not going to help more [home] loans take place," Flood said. "But people are going to have to get used to the concept that 4 1/8 or 4 1/4 [percent] is OK. Anything below 5 percent is still a great opportunity for buying a home."

Ken Johnson, a professor and real estate economist at Florida Atlantic University in Boca Raton, said an increase in rates would make homebuying less attractive and serve to soften demand while at the same time fueling concerns about affordability.

Over the past four years, prices have risen steadily as the market has recovered from a historic meltdown.

In September, the median price for an existing, single-family home in Palm Beach County was $316,000, 41 percent higher than in September 2012, the year the market started to recover, local Realtor data show. Broward County's median of $325,000 was up 58 percent over September 2012, while Miami-Dade's median soared 66 percent to $314,500.

Interest rates of below 4 percent have kept many buyers from feeling the sting of those price increases, analysts say.

However, if interest rates were to rise from 4 to 5 percent, the principal and interest portion of a typical monthly mortgage payment would jump by about 25 percent, FAU's Johnson said.

"That's devastating to someone on the edge of qualifying to buy," he said. "That would make it very hard for firefighters, teachers, mail carriers to afford homes."

Howard Elfman, president of the Greater Fort Lauderdale Realtors, agrees that higher interest rates could price more first-time buyers out of the market and keep them as renters. Still, Elfman said he's not concerned about a dramatic pullback in housing.

"It's not going to kill the market," he said. "It'll just make it tighter."

Foreign investment has played a large role in South Florida's housing recovery, but some analysts say Trump's stance on immigration may deter foreign investors from buying in the United States. A strengthening U.S. dollar also could discourage buyers from other countries by making real estate here more expensive.

Still, Sean Snaith, an economist at the University of Central Florida in Orlando, doesn't expect foreign investment to drop sharply.

Snaith thinks profit potential – not campaign rhetoric – will carry the most weight among foreign investors.

"Strong economic growth, in the long run, will cause the value of their investments to go up," Snaith said.

On the other hand, Jack McCabe, a Deerfield Beach housing consultant, is predicting a U.S. recession in 2017. And the outcome of the election has done nothing to change his opinion.

McCabe points out that the tri-county housing market already is slowing down, as price increases shrink and buyers lose the urgency they once had.

The softening is part of an inevitable real estate cycle that would have continued even if Clinton had won the election, McCabe said.

"Most of the real estate community is hopeful and cautiously optimistic that Trump's economic plan will have benefits for our marketplace," McCabe said. "But the truth is, it depends on global economics.

"In the next couple of years – Trump or no Trump, Clinton or no Clinton – there's nothing they can do quickly to influence the global economics of South Florida real estate."

Copyright © 2016 the Sun Sentinel (Fort Lauderdale, Fla.), Paul Owers. Distributed by Tribune Content Agency, LLC.

PANAMA CITY BEACH, Fla. (WJHG/WECP) - A Panama City Beach family is without a home after a fire destroyed it late Monday night.

According to the Panama City Beach Fire Department, just before 11:00 p.m. they arrived to a house on Laird Street near Thomas Drive showing heavy smoke, but the fire spread to the attic quickly after.

Officials say there were at least six people in the house when the fire started and everyone was able to get out safely.

Fire fighters say the main body of the house is a total loss.

The State Fire Marshal's office will be investigating what caused the fire.

Justin Busch, a Battalion Chief for Panama City Beach Fire Rescue explained, "The occupant actually stated he felt like the fire was coming from the laundry area, which is on the B (left) side of the house. When we first arrived, that's where the heaviest volume of smoke and fire was and it progressed pretty quickly from there.

The Bay County Fire Department and Bay County Sheriff's Office were also on scene.

Fire fighters also say there were several pets inside the home, but they were moved to a safe part of the property while the fire was happening.

WASHINGTON – Nov. 14, 2016 – Can computers, big data and advanced analytics replace real live humans when it comes to accurately valuing the home you want to buy? One of the two largest financial players in U.S. real estate thinks so and is preparing to introduce changes that could prove momentous – and highly controversial.

Giant mortgage investor Freddie Mac plans to dispense with traditional appraisals on some loan applications for home purchases, replacing them with an alternative valuation system that would be free of charge to both lenders and borrowers. The company confirmed to me last week that it could begin the no-appraisal concept as early as next spring. Instead of using professional appraisers, Freddie plans to tap into what it says is a vast trove of data it has assembled on millions of existing houses nationwide, supplement that with additional, unspecified information related to valuation, and use the results in its assessments of applications.

For consumers, the company believes, this could not only eliminate appraisal expenses – which typically range from $350 to $600 or more ­– but could cut down on current closing delays attributable to appraisals. It could also relieve lenders of their current burdens of responsibility for the accuracy of appraisals – a major sore point with banks that sell loans to Freddie subject to potential "buy back" demands if significant errors are later found in appraisals.

But critics argue that Freddie is headed down a perilous road. Doing away with formal appraisals by trained professionals could massively increase the company's exposure to future losses on defaults, they say, and would likely end up being paid for by American taxpayers. Reliance on publicly available data without careful physical inspections of properties verges on "craziness," said Joe Adamaitis, residential lending manager for Insignia Bank in Sarasota, Fla. "We would never allow it here."

Not surprisingly, appraisers who know about the plans are up in arms. The Chicago-based Appraisal Institute, the largest professional group in the valuation field, has written to Freddie Mac's regulator, Mel Watt, director of the Federal Housing Finance Agency, urging him to take a hard look.

Freddie Mac's "decision to veer away from fundamental risk management practices appears to harken back to the loan production-driven days in the years leading up to the 2007-2008 financial crisis" – abuses that "turned out to be disastrous for the entire economy," the group wrote.

Veteran appraisers such as Pat Turner of Richmond, Va., believe that abandoning traditional valuation practices will leave Freddie Mac essentially "flying blind" in many instances.

In a phone interview, he said he has inspected houses where the interior damage and neglect have been so extensive – none of it on public records or visible to automated systems – that the differences in market value arrived at by a computer compared with a trained professional are potentially catastrophic for any investor. Similarly, without an inspection, an automated valuation might not reflect significant improvements that are not on any public records.

For years an outspoken critic of the popular but frequently inaccurate automated valuation systems offered free by Zillow and other websites, Turner asked: "When was the last time a Zillow computer walked into your house?" Computerized estimates "can't tell you everything you need to know about value," said Turner.

But Freddie's idea has strong defenders in the mortgage industry. Jay Farner, president of Quicken Loans, headquartered in Detroit and the second largest retail mortgage lender, told me "we're in support of doing something to alleviate the situation today," where appraisal delays can cause rate locks to expire and closings to be postponed.

Though "a large percentage of loans do require an appraisal," he said, others could be safely underwritten with a combination of strong previous valuation data on the property, possibly combined with a "walk-through" inspection.

Where's this all headed? We'll begin to know in a few months. But don't expect appraisers to suddenly disappear. The best of them add essential value to the process of telling a lender or investor what a house is truly worth, based on up-to-the-minute market information and a hands-on physical inspection – services no computer can perform, at least not yet.

Copyright © 2016 the Boston Herald, Distributed by Tribune Content Agency, LLC.