The coastal properties in Alabama, Florida, Louisiana, Mississippi and Texas will be affected by this catastrophic oil spill for years to come. As of today, now 47 days and still counting, BP Oil has been ineffective in successfully stopping the flow of oil. Therefore, our Gulf Coast is faced with environmental devastation, loss of marine life and wildlife, further property devaluation (not that inept governmental and political faux pas were enough to damage), illusion of an economic recovery, businesses closing, and loss of livelihoods for longtime residents.

As a person who has lived in the Mobile Bay Metro Area (Baldwin County and Mobile County of Alabama) the majority of my life, this massive oil spill in the Gulf of Mexico conjures up so many emotions and thoughts inside me and, many unkind words (please forgive) towards all who have dragged this on for much too long. Also, the lack of expedience and nondisclosures which could be labeled lies has certainly not helped to comfort Gulf Coast residents. It is quite evident that many Gulf Coast residents do not believe BP Oil and the government have properly handled this oil spill catastrophe.

Anyway, this oil spill catastrophe will apparently be with us for many months and years to come. Our Gulf Coast area will never be the same and will definitely affect the United States as a whole and potentially have International negative implications. Also, unfortunately, coastal properties more than likely will be faced with further decline in value; not that government intrusions and regulations as well as poor and restrictive lending practices have already been enough to damage our property values and the real estate industry as a whole.

So, how will the coastal real estate marketability be affected within the Gulf Coast states? Whether true or not, the stigma of an oil spill catastrophe will, in my opinion, have a potential affect on the marketability of properties along the Gulf Coast. How much of an affect is still an unknown? The future selling of coastal properties should begin to hold the answers to these questions. So, “time will tell.”

Is your property rich in oil? If so, it’s certainly not the way you want to discover oil on your property. Contact a professional you trust and get sound advice when the stigma of oil has knocked on your door. There are many good Certified Real Estate Appraisers and Attorneys in the Gulf Coast states. It is always important to understand the affects of this oil spill upon our coastal properties.

Information and opinions have been provided by Cheney Appraisal Services, Albert Marshall Cheney, a Certified Residential Real Property Appraiser for the state of Alabama, (251) 533-2424. Albert Cheney has over 35 years of real estate experience in the southern part of Alabama.

If you watch the financial news, you are aware that a whole bunch of economists, many of whom have a Pd.D. in that academic discipline, have determined that not only has the recession hit bottom, but that the general economy is in a recovery mode. Without going into the details of this prognostication on their part, the problem is that they do not understand the difference between Wall Street and Main Street.

If you look solely at Wall Street, a rarified atmosphere composed of a few large players if there ever was one, there is reason to be optimistic. The Dow is up over 25% since March of this year. With the realtively lower unemployment figures that came out recently, Wall Street celebrated and went up even more. The major banks are back to their old business models and using them to make a lot of money trading stocks, bonds, derivatives, and so forth. So if you got into the market early this year, you are likely ahead of the game right now. Good for you, but you know full well that is more dumb luck than anything else.

Despite this, we also know that Main Street is bigger than Wall Street and a lot more people live and work on it than on Wall Street. So what does Main Street tell us about the state of the economy? First go here, http://latimesblogs.latimes.com/money_co/2009/08/although-everyone-knows-that-the-us-is-borrowing-and-spending-at-an-unprecedented-pace-the-numbers-are-all-the-more-stun.html and read about our national deficit. What you’ll get is the Monthly Treasury Statement of Receipts and Outlays of the United States Government For Fiscal Year 2009 Through July 31, 2009, and Other Periods. It tells you that (1) the federal budget deficit, in the first 10 months of the government’s fiscal year, increased 227% from the same time in the previous year to $1.27 trillion (that’s $127,000,000,000,000). Further, the government spent $3.01 trillion (yes, that’s trillion with a “T”) to-date this fiscal year, or an increase of $524 billion.

Now here is the really crippling part. Because of the effects of the recession, tax and other income sources have decreased by $1.74 trillion or 17% from the same period in the last fiscal year. This decrease is in the areas of personal income tax, corporate income tax, and income from the investments the federal government has.

Now, clearly, the government has to spend money. We want a military that is ready and prepared to defend us, we want interstate freeways to get us from place A to place B. We want an intelligence apparatus to protect us from the crazies there are in the world.

But where is it going to stop? Main Street pays for most of this, not Wall Street. Main Street knows that if $10 comes in, $20 can’t go out (at least not for very long, anyway). We’ve all been in the position when we had to borrow money to survive. But for some stupid reason, those who lent us the money want us to pay it back. That’s how Main Street works. Cannot Washington fathom that simplicity?

Those economists tell us that we can monitize this debt, and that we owe it to ourselves, so debt this eneffably huge is really not a problem. Yet we on Main Street know this is not true. To servive this recession most of us have dipped into our savings, retirement, or investments. Yes, that was our own money, so we owe it to ourselves. Yet, unless we have enough of a surplus to pay it back, we cannot. The key here is surplus. The federal government has no surplus! It has a $trillion-plus debt (and it grows daily!)

The government monitizes debt by printing money to use to pay for it. Main Street cannot print its own money (legally, anyway). When the government merely prints money to pay its debt, it debases its currency – in, other words, makes it worth less. That also drives up interest rates since lenders want more vigorish for the money they loan if, when it is paid back, it is worth less.

Now, in light of all this debt, how are we even to consider a massive health care system that, in essence, is socialized medicine? We cannot pay the debts we have now, how can we add another $1 trillion to $2 trillion to it over the next 10-15 years? We all know Social Security is broke. We all know that, given the drop in the US birthrate over the last 25-years, there are not enough workers in the system to provide the tax income to support even social security. much less socialized medicine.

So, is the recession over? If the economists say it is, then it must be. But look at the seeds we ourselves have planted for the next one!

The Stone Creek Subdivision is located along the east side of Alabama State Highway 181, approximately 2 miles south of Fairhope Avenue, and about 4 miles East Southeast from the town center of historical Fairhope, Alabama.

Stone Creek, Phase 1, Subdivision was developed on around 330 acres, formerly a hunting preserve. This first phase has 78 lots per record with about 18 common area & green belt parcels.The developer’s concept is a village community with a lodge, rock water features, stocked lakes, swimming pool, tennis courts, village shopping center, walking trails and a wetland preserve.

The majority of the homes will range from 2,400+- square feet to 4,500+- square feet with primarily four bedrooms and three to four bathrooms. There are only a couple of homes having three bedrooms and one home having six bedrooms according to the online records.

The Average List Price is around $443,462 for the month of October 2009, down $54,624+- when compared to July 2009 having an Average List Price of $498,086. 

The Average Sale Price is around $485,583 for the month of October 2009, down only $1,384+- when compared to July 2009 having an Average Sale Price of $486,967.

The Listing Price To Sales Price Ratio is now approximately 90.986% for the month of October 2009.  The month of July 2009 the ratio was 98.02%.

The REALTOR online records indicates the Lowest Price Listing is now $381,500 for the month of October 2009 (July 2009 was $369,900.).  The Highest Price Listing is now $573,500 (July 2009 was $795,000.).

The Stone Creek Months Of Housing Supply calculates to be around 11.94 months for the list to sale time period.  Although, Stone Creek appears to have more stable property values when reviewing the calculated inventory analysis for the subdivision.

The above information was obtained from the Baldwin County Association of REALTORS, Albert M. Cheney, Certified & Approved FHA Appraiser, (251) 533-2424, is an associate member of this REALTORS’ organization. (Appraisers Daphne, Fairhope, Spanish Fort, Alabama)

The third quarter, 1^st July 2009 to 30^th September 2009, indicates at least 984 sales within Mobile County, Alabama according to online REALTOR information records.  The 984 sales include condominiums & townhouses, manufactured homes, new construction homes and single family older homes.

The approximate 27 condominiums & townhouses had an average sale price of $162,727.  The approximate 18 manufactured homes had an average sale price of $40,503.   The approximate 131 new construction homes had an average sale price of $182,797.  The approximate 808 single family older homes had an average sale price of $137,420.

The average days on market (dom) for the third quarter was around 81 days and the average sale price per square foot was $77.33+-. 

The third quarter indicates more new construction in west Mobile, south of the Mobile Regional Airport, and in Semmes, Alabama when compared to other areas of Mobile County.  Most of the single family residential or home sales occurred in the areas north and south of Cottage Hill Road, west Mobile, Semmes and in the Midtown area near downtown historic Mobile, Alabama.

The average sold terms for the third quarter was CASH (24.9%), CONVENTIONAL (24.83%), FHA (41.07%), VA (6.17%) and OTHER-ASSUMPTION, AUCTION, VENDOR LIENS (3.03%).

I am looking for some advice as far as tranfering my appraisal cert. to Florida from Wisconsin.  Has anyone done it? If so, would you be willing to pass on any tips or advice. I am just starting the process and hope to be down in Florida by next year. Any advice would be appreciated. Thanks.Corey

The 2009 Parade of Homes will take place September 19, 20 and September 26, 27.  Homes will be open to the public from 10 a.m. to 5 p.m.  An optional $2 donation can be made at the Showcase Homes to benefit local housing charities.  Admission to all other homes is free.

There are 41 homes within the 2009 Parade of Homes.  These homes are located in the following Baldwin County towns and subdivisions: 

Arbor Ridge, Lillian, Alabama 36549

Arlington Farms, Fairhope, Alabama 36532

Ashford Park, Foley, Alabama 36535

Aspen Creek, Foley, Alabama 36535

Austin Park, Daphne, Alabama 36526

Avalon, Daphne, Alabama 36526

Beau Chene Estates, Loxley, Alabama

Bellaton, Daphne, Alabama 36526

Cambridge Park (Phase II), Foley, Alabama 36526

Edington Place, Fairhope, Alabama 36532

Fairfield Pointe, Fairhope, Alabama 36532

Fruit & Nut District, Fairhope, Alabama 36532

Greythorne Estates, Fairhope, Alabama 36532

Huntington Woods, Fairhope, Alabama 36532

Idlewild, Fairhope, Alabama 36532

Landsdown, Daphne, Alabama 36526

Madison Place, Daphne, Alabama 36526

Meadow Run Estates, Gulf Shores, Alabama 36542

The Meadows At Point Clear, Fairhope, Alabama 36532

Oldfield, Fairhope, Alabama 36532

Ottawa Springs, Daphne, Alabama 36532

Palmer Place, Robertsdale, Alabama 36567

Parish Lakes, Gulf Shores, Alabama 36542

Pebble Creek, Gulf Shores, Alabama 36542

The Peninsula Golf & Racquet, Gulf Shores, Alabama 36542

Quail Creek Estates, Fairhope, Alabama 36532

Rolling Meadows, Daphne, Alabama 36526

Sandy Ford, Fairhope, Alabama 36532

Sehoy (Phase IV), Daphne, Alabama 36526

Shadyfield Estates, Summerdale, Alabama 36580

Sonora Place, Foley, Alabama 36535

Stone Creek, Fairhope, Alabama 36532

The Waters At Fairhope, Fairhope, Alabama 36532

Whisper Woods, Spanish Fort, Alabama 36527

Wolf’s Run South, Elberta, Alabama 36530

Baldwin County Home Builders Association

916 Plantation Blvd.
Fairhope, Alabama 36532
Phone: (251) 928-9927
Fax: (251) 928-9929

For an Approved FHA Appraiser and Certified Residential

Real Property Appraiser, contact Albert Marshall Cheney with

Cheney Appraisal Services, 251-533-2424 (Business/Mobile),

Albert@CheneyAppraisalServices.com (Email), or go to web links,

http://www.CheneyAppraisalServices.com and

http://www.MobileAlabamaFHARealEstateAppraisers.com

for much more information.

I know there are supposed to be changes coming. I don’t know what exactly those changes are going to mean for the appraisers as of yet but what I do know is that although every “appears” to be running scared, no one really is. There are cries for help from the lenders losing money and cries for help from the homeowners losing their homes, and cries for help from the PMI companies, and appraisers who are honest and want some protection, and the list just goes on and on, but the AMC’s are still calling and asking who can do the jobs the cheapest and the fastest, and the rouge appraisers are still sending their trainees out to do these jobs as poorly as possible, and no one wants to pay a little more to make sure the job is done right the first time and the end result is not what everyone is crying about…

How can they keep on crying when they keep on doing what they were doing before this all happened and nothing changes? The same appraisers who came in high on all the appraisals that are inflated and in foreclosure are doing the really bad REO appraisals and are destroying the foreclosure market and short sale market for the lenders, leaving houses on the market for over a year because of inflated, poorly done appraisals and BPO’s (which is a whole different ball of wax)…

Does anyone have any input here?

Julie

Sedona, AZ