How to Purchase in the Villages in 2024 

Thanks, today is clearly a buyers market but the big issue for buyers is the interest rate.

Congratulations on your new home and golf cart. Thanks for watching.

I agree the initial bonds are on the rise but after three years of living south of 44 I don’t find shopping all that far in almost any direction. You can drive to a grocery store in under 10 minutes in at least three different directions. Now big box stores on 441 are a ways away but I don’t want to be near there. I personally don’t buy all that much any more and definitely don’t want my wife near there either. :)

We all spend more time at Publix than at a freaking square

I have two Publix stores only 10 minutes or so by golf cart either at Magnolia plaza or Lake Denham plaza. Neither is at a square as I live in Citrus Grove.

It took me a couple of days to see if prices are coming down. So the best way for me to check this stat was to look at the prices of a specific style of home and compare to what they were three years ago when I was purchasing. So I looked at cottage homes and designer homes both new & preowned. Prices on a cottage home was $300K new in 2021 are now $370k to $430k. So I don’t think they are coming down at least not yet. Very similar in the Designer home category. Seems like homes go up $20 to $35K per year. I did this my first year and my house went up in this exact range so I’m just not seeing it, if you do the comparison like I did. I know this is not the sold price but I don’t hear of any being sold for less than the original build price.

@@GaryAbbott The prices are coming down from what they now......the Villages website that sell houses are even showing discounts. They may not be at 2021 price levels but they are on the way there, that is what mean. I have Ira Miller sending me all of the MLS homes for sale in the villages and lots of those have had price decrease. Homes are sitting longer and longer before they sell and the prices are coming down. The housing market is headed for a crash. What's going on right now is not sustainable. There are over 355 homes for sale north of 466A in the Villages and these are just MLS listings, that does not include FSBO or the ones the Villages agents are selling. There are over 113 homes for sale south of 466A in the Villages and these are just MLS listings, that does not include FSBO or the ones the Villages agents are selling. I have seen so many price decreases it's not funny. You can find some of the same homes that are 5 years old selling for more than the same type/style homes that the Villages are selling new. If you can be patient and wait to buy a home you will save more money because prices are coming down, not to mention the number of foreclosures are on the rise as well. If you are a cash buyer you will come out smelling like a rose.

Enjoy!

Glad you think so!

Fantastic! I really think the budget spreadsheet is the best tool for those looking to retire.

My pleasure!

Glad you liked it!

Like I have said before, not sure there is a bad village in the Villages. So much to choose from.

Couldn't agree more!

You are correct. Thanks for watching.

I have been told some of the new area’s around Eastport are in a flood zone which may require Federal Flood insurance. Sink holes are uncommon but in the last three years of me being here I have seen two reported that were in the roadway. They can happen but rare.

@@GaryAbbott thanks so much!

Quicker? As I’m retired not sure quicker is an important factor any more. Clearly you should do a lifestyle visit when you get closer to buying to see how it is with a golf cart. Let me know if you get a gold cart?

It's definitely "quicker" in your car! Really, doing 20mph in a golf-car will take quite a while to go any serious distance, but then I (personally) wouldn't be in any hurry -- I'd enjoy the ride/scenery there & back so for me my golf-car would be the PREFERRED way to travel within "The Bubble." Would only use my vehicle for outside trips I'd need to make (which likely would be almost as rare as hen's teeth). -- BR

Buyer doesn’t pay in either case. Currently only the seller pays which they can negotiate in the future.

Usually stucco homes run about 20 to 30 thousand more than wood frame homes. The newer trend is they are building a lot more precast concrete wall tilt up homes.

Ok, thanks will look that up not familiar.

Not really. Now I have heard some MLS realtors will go with you to a VLS listing but they don’t work together. It’s a good idea to have two separately looking out for you.

Hi. You can get more than 1 life style visit. In fact, many go for 2 or 3. To help decide to move to TV, and then which village. It is very understandable that takes more than 1 week to decide. It is a very big investment. I do not want to move 3 times. You should never rush this decision. Location is the number 1 decision. They will only give you extras like show tickets only once.

Absolutely. Look up Ira Miller (search for "Ira Miller The Villages, FL", or "IM Realty The Villages, FL") - he worked for The Villages for 9 years, then the MLS side for years, so he knows the specifics from both sides.

Thanks

@@christigallup2175 My pleasure.

The homes are completely landscaped front, sides and back when you purchase. Nothing to budget unless you want to change or add landscaping.

Thank you!

It is not necessary to begin each of your many comments with "Comment".

When I purchased in 2021, new homes were less than preowned but you could be waiting a year or two for all the pools and recreation areas to be completed. I think this has always been the case when comparing and keep in mind new homes have to be built to the latest building codes. Now some of this is because of location, location, location because everyone wants to be near some areas that are already built so homes have that premium built in. Just search around Lake Sumter and those homes are at a premium.

I think you will find that this year they are cracking down so it will be hard to get a second lifestyle visit. My Villages agent filled me in on this last month.

In March our village’s realtor said we were not eligible for a second visit.

😂

I'm not Gary, but here are things to consider. If you know you will be living or owning the home for the duration of the bond (20 or 30 yrs) and you can afford the one-time payment, it makes financial sense to pay-off the bond if the bond interest rate is higher than stable investment rates (i.e. can you earn more interest on the cash you would use to pay the bond) From the buyer perspective, I would prefer the home I'm purchasing to not have paid off the bond if the bond interest rate was below the current mortgage rate if I were getting a mortgage for the purchase. For example, exiting homes build in the last 5 years all had bond interest rates in the 3% range. These home when reselling often incorporate some part of the bond into the home price as expected. This would mean I would be paying double the interest (i.e. 6% current rate) for that incorporated bond value in the home price. (ironically, people overlook the fact that buyers are already paying interest on the 6% agent commissions, but that's another story) I believe there is really little value in paying off the bond. I believe its more of what one is used to. I live in California and we have a similar "bond" practice, so its an expected cost when buying a home. I think for folks would live in areas that do not have these practices it feels like an extra tax. I view it similar to the airline industry where they get to advertise lower fares, but when you buy your ticket you realize all the add-ons for luggage, meals, etc. For the Villages you can view the bond information to see the interest rate and the breakout of principle and interest in the payments. Typically are interest rates at of above 5% the interest amount over the 30 year period equals the principle amount (i.e. a $30k bond will cost your $60k over 30 years). You need to decide if this is beneficial to you.

The only thing I would add to Michael response is there is also an annual administration fee. in the description of this video I did put a link to my video on this very question. Thanks for watching.

Glad it was helpful!