When buying a real estate in Miami Beach, Florida it is extremely important to decide whether the purchase will be in cash or on credit. According to Adam Hochfelder, a specialist in the real estate industry, over the past few years Miami and Miami Beach real estate markets in have went through a serious change.
Residential buildings in Miami and Miami Beach function as small undertakings, and before making an investment Adam Hochfelder strongly advises to get a grasp on their functioning. Most of the better residential buildings already have swimming pools, Jacuzzi, gyms, concierge services, parking services, conference centers and media centers. As Adam Hochfelder conveys, all these services are monthly paid as fees for building maintenance.
In the last couple of years there has been some speculation about people purchasing apartments for resale and banks granting loans to clients without sufficient income or that could guarantee the payment. Quite often they would use a single mortgage refinance in growth rates to finance a new mortgage. As Adam Hochfelder reports, everything was fine until the prices went up; people bought, sold, but as soon as those same prices ceased to rise and then began to fall, the so-called "Domino effect" suddenly appeared.
Buyers of apartments were unable to pay loans. In this way, Adam Hochfelder explains, a good percentage of the buyers lost their homes. At the same time neither were the above mentioned building maintenance services being paid, and that only added to the number of buildings that had entered the large financial problems. After becoming unable to pay the monthly fees, banks all of a sudden stopped approving loans for house purchasing and the criteria for obtaining loans became much stricter.
In Adam Hochfelder’s opinion, the current situation is a bit more favorable in regards to obtaining a loan, but still Hochfelder reminds it is important to contact an experienced financial expert and get a professional advice on how to get a favorable loan.