A: Planning properly and having reasonable expectations is essential when getting into any major project.

When hiring contractors and drawing up plans, try to be very specific about what you expect so that the result looks like what you intended. This will help ensure that what you had in mind matches what the contractors are doing.

Renovations are complex enough without fundamental misunderstandings.

The contract and plans should be as detailed as possible, listing specific materials and the model numbers of the appliances. Make sure the contract has a timeline that includes penalties for missed deadlines. Since some delays are inevitable, make sure the deadlines are reasonable.

Read and understand the contract, including its fine print, so everyone is on the same page.

Stay involved in the project as it progresses, keeping in mind the careful balance between participating and getting in the way. Check the plans before they are submitted to your municipality to ensure they match the contract.

While your contractor will pick the subcontractors, you are responsible for ensuring they get paid, so find out who they are. If your contract calls for progress payments, get proof that the subcontractors have been paid for their work. You can write a joint check to your general contractor and the sub if your payment will be used to pay them.

As the general contractor is finishing up, have the results independently inspected so that all defects can be resolved.

Before you make the final payment, check that your general contractor got the proper municipal inspections and closed the permits so that you do not have a problem when selling your home years later.

You can significantly lower the risk of something going wrong by being thorough, attentive, and ensuring the contract is adhered to.

That said, you should also have reasonable expectations, as nothing goes exactly as planned.

Board-certified real estate lawyer Gary Singer writes about industry legal matters and the housing market. To ask him a question, email him at gary@garysingerlaw.com, or go to SunSentinel.com/askpro.Ìę

The study, from researchers at Florida Atlantic University, Florida Gulf Coast University and the University of Alabama, illustrates how rent growth in South Florida and other major cities in the state fell below the national average.

“You’re not going to see rents jump again, apartments, homes, condos, whatever, you’re not going to see the significant jumps in rent price for the foreseeable future,” said Ken H. Johnson, a real estate economist at FAU’s College of Business. “We expect to see rents return to their additional long-term rent pattern. … We should get back to that and stay on that path for quite some time.”

National rents increased by about 3.6% annually, but in the Miami-metro area, which includes Miami-Dade, Broward and Palm Beach counties, the rent increase was about 2.8%, according to the .

In other big cities, such as Tampa and Orlando, rents increased by even less, at about 2% and 0.9%, respectively.

Meanwhile, rent growth was nearly 8% and 9% in some Northeastern U.S. cities, such as Syracuse, New York, and Springfield, Massachusetts, the researchers found.

“For the most part, the measured metros in Florida are getting back in shape in terms of annual rental increases and slowly returning to their historic pricing trends,” Johnson said in a statement. “Rent growth is significantly below the national average, suggesting that Florida may no longer be the epicenter of the nation’s rent crisis.”

What’s leading to this slowdown? Rising inventory, mostly.

“The development of multi-family units in the Southeast, in particular in Florida, is what’s allowing us to see rents to flatten out,” Johnson said. “In other words, we’re building enough, finally.”

Construction costs are often sky-high, which could be a barrier to continued development, but demand is high, too, especially as people and businesses continue flocking to South Florida.

In September, inventory was low across the entire tricounty area, with the Miami Association of Realtors reporting that the monthly historical average of existing inventory, excluding new construction, was higher than the current inventory in each county. But supply has since picked up, Johnson said.

“The rental market would be considered stable just because you haven’t seen much of a change year-over-year,” said Karl Fong Yee, the owner and founder of the Advyzors Group with the Keyes Company, a real estate company operating primarily in South Florida.

Like Johnson, Fong Yee also attributes this stability to inventory increases.

“The advantage that our market has is just the attraction of our state, our market, the positive things that we have with job growth, more companies are establishing themselves down here,” he said.

Though the pace of rent growth is slowing, the household income required to comfortably afford the typical rental unit is still high. For a South Florida household of any size to avoid giving more than 30% of their income to rent, they have to make more than $100,000 year.

“Many renters will continue to make sacrifices to keep roofs over their heads until incomes rise,” Johnson said in a statement.

The property currently houses a nearly 10,000-square-foot home with four bedrooms, eight bathrooms and two pools, according . It is situated on the Intracoastal Waterway in the Royal Palm Yacht & Country Club, at 2499 E. Maya Palm Drive.

The sale, made on April 30, “speaks to the strength of the luxury market,” said selling broker Jon Mann, of the Jills Zeder Group at Coldwell Banker Realty. Before this, the highest sale price was made in January for a home in The Sanctuary of Boca Raton for $29.5 million.

The home was built in 1997, according to county records, and this is the first time it’s being sold, said Jill Hertzberg, another selling broker.

In 2023, the market value was about $35.6 million.

The buyer likely plans to rebuild on the property, Hertzberg said, either with an entirely new mansion or even two.

“This particular property was the trophy property in the community,” Mann said. “It’s got over 400 feet of waterfront.”

The site, which is more than 1.5 acres, has the potential for a more than 20,000-square-foot home, said Scott Gerow, the director of luxury sales for the CBG Luxury Team at Compass in Boca Raton. He was not involved in the sale.

“The sky’s the limit,” he said.

Gerow pointed out how because the buyer plans to rebuild, the $40 million was essentially for the land value alone.

That sale price is “an extraordinary number,” he said. “It puts Boca Raton on a very, very, very exclusive map for properties that command that kind of a price tag.”

He added: “We’re starting to get into Palm Beach Island and Miami Beach numbers when you put it into that perspective. So, I think that’s incredible for the city.”

And even for Boca Raton, a city whose homes at times can hit seemingly unattainable prices, this recent sale is still significant. In the past, new-construction homes have sold for anywhere from $22 million to $28 million, but this sale exceeds that.

“We have had very high price homes and yes, I think that trend will continue, but certainly nothing even close to this,” Gerow said.

Black homeowners’ property values are on the rise across the country, with some of the biggest upswings in Midwestern and Southern states. The boon to Black homeowners, after decades of lagging property values, could help them close a racial wealth gap that has kept the American dream out of reach.

Home values increased on average 84% in majority-Black ZIP codes between 2016 and 2023, outpacing growth in white ZIP codes, where values grew 69%, according to a Stateline analysis of federal housing and census data.

A hot market during the COVID-19 pandemic, an intensifying , and new state and federal efforts to fight appraisal bias may finally be moving Black homeowners a bit toward property value parity.

Morgan Williams, an attorney for the National Fair Housing Alliance, an advocacy group, cautioned that the push for more fair housing appraisals remains in the early stages. And he noted that even unbiased appraisals can perpetuate undervalued housing by using past sales as a benchmark.

“There was, during the pandemic, an increase in Black wealth. There may be some broad policy actions you could trace that to, but I think a lot of that is going to be more housing-market driven,” Williams said.

 has revealed that homes in majority-Black areas are more likely than those in majority-white areas to be appraised below purchase offers. The disparity remains high but has improved recently, according to federal statistics.

The Stateline analysis found that the home price increases in majority-Black neighborhoods since 2016 are a major shift from the prior 15 years.

Between 2000 and 2016, selling prices in majority-Black communities increased by 40% compared with 48% for majority-white areas, and home values fell in more than a fifth of Black ZIP codes.

Since 2016, however, home values increased in every majority-Black ZIP code tracked by the independent Federal Housing Finance Agency, and on average outpaced increases in white ZIP codes.

Stateline relied on that Federal Housing Finance Agency , which uses sales of similar properties — so-called matched pairs — to estimate price changes over time. U.S. Census Bureau estimates were used to find ZIP codes where most homeowners are Black.

In Detroit alone, rising home prices in Black neighborhoods have created almost $3 billion in new wealth for Black homeowners, according to a . That study focused on 2014 to 2022, the decade after the city’s bankruptcy. The Stateline analysis suggests the turnaround extends far beyond Detroit, across the Midwest and South.

The Stateline analysis identified 92 majority-Black ZIP codes nationally, including nine in Detroit and six in Cleveland, where home values have increased since 2016 after losing value earlier in the 2000s. There were 22 such ZIP codes in Georgia, 21 in Michigan, 17 in Ohio and 13 in Illinois, with others in Alabama, Connecticut, Florida, Indiana, Kentucky, Missouri, North Carolina, Tennessee and Wisconsin.

Another 48 majority-Black ZIP codes across the South and Midwest saw big property value increases of more than 100 percentage points. For instance, ZIP code 32811 in Orlando, Florida, saw 26% home price growth from 2000 to 2016, but that has ballooned to almost 215% in the years since.

Six of the top 10 turnarounds were in suburban Atlanta’s Clayton County, which got a boost when a long-vacant army base was redeveloped into the Gillem Logistics Center, an e-commerce and distribution hub that is projected to add 5,000 jobs and $4 billion into the local economy, said Erica Rocker, the county’s economic development director.

In Clayton County, a new four-bedroom home — with two Tesla chargers, an elevator and keyless doors — recently  for almost $700,000. It had replaced a  on the property that  in 2020. The home’s ZIP code in Forest Park, 30297, had the nation’s largest swing in prices, going from a 27% loss to a 214% gain.

Altimese Dees, a real estate broker who has represented Clayton County in real estate and land acquisitions, said home values became artificially low in the Great Recession. Foreclosures sank the county’s average home price as low as $66,500 in 2009, but it has since recovered to about $253,000 this year, she said.

“We had a historic number of foreclosures between 2006 and 2011. Investors were basically getting these houses for pennies on the dollar,” Dees said. “It was a result of people losing their jobs and income during this time, as well as subprime lending targeting our mostly African American and minority community. We’re thankful for the increase in value, but it’s more like getting back to where it should be.”

ŽĄÌę in 2018 noted a drop in home values in many majority-Black ZIP codes. Some scholars  that, despite the wealth-building potential of home ownership, many first-time Black homebuyers would have been better off renting.

In Detroit, resident Jelani Bayi bought his first home in 2021 in the city’s 48219 ZIP code, part of the Rosedale Park neighborhood. He feels like he’s building wealth for himself and preparing a place to raise a family when he’s ready.

“I definitely think it’s increased in value. I’ve put a lot of time and resources into the house, and values are increasing in Detroit,” Bayi said. “All my adult life I’ve always wanted to be a homeowner, and it was the right time. I just love it. It was very important to me to live in Detroit.”

Bayi said he took advantage of low interest rates in 2021 to buy his $275,000 four-bedroom brick home. Zillow estimates its current value at $316,200.

Sandra Newman, a Johns Hopkins University professor who studies housing and neighborhood change, said pandemic shifts toward suburban living and remote work may have brightened the fortunes of some Black neighborhoods.

“Price trajectories, especially for Black homeowners, depend heavily on location, location, location. The old real estate saw definitely applies,” Newman wrote in an email to Stateline.

Some states, including Mississippi, New Jersey and Texas, have tried to combat appraisal bias after recent cases made the extent of the problem clear.

In a , a Black couple sued after getting a dramatically higher appraisal when they “whitewashed” their home by adding family photos of a white family and removing African American art. After that, the appraisal increased by half a million dollars to nearly $1.5 million. The case was settled last year for an undisclosed amount.

±őČÔÌę, a Black couple got an appraisal two-thirds higher when a white acquaintance posed as the owner of their Baltimore home. That case was settled in March for an undisclosed amount. A Black couple in Ohio also  in 2020 after borrowing family photos from a white neighbor.

Because appraisals rely on personal judgment, many states are looking to diversify their ranks of appraisers. But an outmoded training system that includes thousands of hours of supervised work means many young would-be appraisers simply can’t find supervisors willing to help them get started.

The gap closed in every state but Mississippi, which is working to diversify its appraiser workforce. E.C. Neelly IV, director of the Mississippi Appraisal Board, rejected the idea that white appraisers like himself are inherently unfair to Black homeowners.

“I’ve been an appraiser for 34 years, and if you pay an appraisal fee, I don’t care if you’re white, Black, pink or green, I’m doing a good job for you,” Neelly said.

Mississippi used federal funds to pay for alternative training that includes online courses, a move that should allow a more diverse group of would-be appraisers to get licenses. The first class had a high rate of success on licensing tests, and a second class is underway without federal funding, Neelly said.

“This has been just a godsend for the state. Every state is affected by this,” Neelly told Stateline, noting that most of the roughly 25 graduates of the program are non-white and from parts of the state, such as the Delta region, that desperately need more appraisers. The training program, designed and run by appraiser Melissa Bond, has drawn interest from other states interested in getting younger and more diverse appraisers, Neelly said.

“We need more diversity. It’s not just about Black. There are more Black appraisers than Asian, for example,” Bond told Stateline.

Texas recently adopted  to reduce an appraiser shortage and to diversify its crop of appraisers, and was the first state to treat appraisal bias cases as civil rights violations, said Melissa Tran, director of the state’s Appraiser Licensing and Certification Board.

And in New Jersey, Democratic ĂÛÍĂֱȄ General Matthew Platkin recently  that state civil rights authorities would investigate appraisal bias there.

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©2024 States Newsroom. Visit at . Distributed by Tribune Content Agency, LLC.

The location? 1380 S. Ocean Blvd. in Pompano Beach, about a mile south of East Atlantic Boulevard.

What’s planned? The Ritz-Carlton Residences will be two buildings, on both sides of State Road A1A with 205 move-in ready homes.

The Beach Tower on the east will be 31 stories with 117 beachside units and one floor of underground parking. The Marina Tower, which is 14 stories high, has 88 residences. This won’t be a hotel, and no AirBnB is permitted.

“Pompano Beach is ‘Puttin’ On The Ritz,’ ” said Mayor Rex Hardin, a reference to the 1920s Irving Berlin song. “I’ll tell you, it’s a great time for the city of Pompano Beach. To get this kind of recognition that Pompano Beach is a destination, the recognition that the city, the staff cooperate so well with the development community to attract this type of investment, it’s fantastic.

“It’s a validation of what we’ve been working on for many years.”

What will the homes cost to purchase and what are the amenities? Homes range in price from $1.256 million to $7.133 million. Marina-side units are already sold during pre-construction. The beachside building has just nine units left, said Harvey Daniels, the vice president of development sales.

Homeowners will be in the lap of luxury with access to both a private Beach Club with a beach restaurant — with the Ritz menu that is typically seasonal — and towel service and wait service to be served a drink or lunch (or both) on the beach.

“It’s only open to residents and guests,” Daniels said.

There is also a private Yacht Club, with 13 slips, which are all already sold. There will be a bar area for a cocktail at sunset on the marina, and a pickup and dropoff dock “if someone has friends with boats you can get picked up and dropped off,” Daniels said.

There also will be a spa, two pools facing the ocean, a gym, business center, dog park, bocci court, paddleball or pickleball court, 24-hour valet, and a doorman.

“This is a hot commodity,” said Ron Choron, the vice president of construction for Fortune Development & Construction, one of the project developers. “Ritz is the best. It’s where I try to stay when I go out of town. The service is always the same.”

The interior design for the residences is crafted by Piero Lissoni, an Italian designer.

The homes will range from one to four bedrooms, which are the penthouses. Homeowners have a choice of flooring, doors, baseboards, cabinets and vanities.

What’s being replaced? The property on the east side of State Road A1A was previously a 3-story, 96-room motel called Paradise Beach Resort that sustained hurricane damage and was eventually demolished in 2009. The west side parcel was tennis courts, which were demolished about a decade ago, according to Sandra King, city spokeswoman.

Other than in Pompano Beach, where is the nearest Ritz to purchase? The Ritz-Carlton Residences Sunny Isles Beach is an oceanfront 52-story, 212-unit, luxury building located at 15701 Collins Ave. in Miami-Dade County that opened in 2020. It boasts a private elevator lobby for each residence and kitchens designed with Italian cabinetry and stone countertops.

There are two-, three- and four-bedroom ocean-view residences for sale as resales in the building. No new units are left.

Kelly Charles, a Realtor with “The Luxury Team” at Compass, who has sold in both Sunny Isles Beach and Pompano Beach, said many of her buyers are from the northeast who are “planning for future retirement or second homes.” Those well-to-do clients are getting “all the amenities they could possible want” that come with “Ritz-trained staff.”

“There’s nothing else to compare to in Pompano,” Charles said. “People feel comfortable with the brand they already know.”

How long will Pompano Beach construction take? The residences are scheduled to open in September 2026. Both the east and west buildings are expected to open at the same time.

What is the project anticipated cost? Construction costs are $350 million, Choron said.

Lisa J. Huriash can be reached at lhuriash@sunsentinel.com. Follow on X, formerly Twitter, @LisaHuriash

A: I have been seeing this type of question a lot lately, as many condominium communities face special assessments because of delayed maintenance, insufficient reserves and tougher community association laws.

When a community association needs extra money for a specific project, such as making repairs, it can “specially assess” unit owners to get the necessary funds. Like the regular assessments the association collects to maintain the community, special assessments must be paid to avoid serious consequences. The assessments vary from a couple of thousand dollars to over a hundred thousand. The amount will depend on the repairs required and how much reserves were postponed.

Because a pending assessment will raise the cost of owning the apartment, it tends to lower the price the unit will sell for. Because of this reason or because the seller was unaware of it, special assessments are often left off the listing and, more importantly, the purchase and sale contract.

It is essential to investigate this possibility before signing a contract by asking specific questions, checking other listings in the building, and, if possible, speaking to the property manager about it.

Most standard purchase contracts will have a section devoted to community association matters, including regular and special assessments. Review your contract and any disclosure the seller provided. If the pending assessments are listed or the contract does not mention them, you are likely stuck with buying the condo and paying the assessment or breaking the contract and risking your deposit.

However, if the contract states there are no pending special assessments, your seller will have to honor the deal they made and pay the newly discovered assessment.

The best approach is to communicate your concerns to the seller and see if a compromise can be reached. Perhaps the seller will pay the assessment, or at least some of it, now that it has been discovered or agree to the lower purchase price to a point where it still makes sense for you to buy it.

If the seller is unreceptive, speak with a local attorney about how to enforce the contract.

Board-certified real estate lawyer Gary Singer writes about industry legal matters and the housing market. To ask him a question, email him at gary@garysingerlaw.com, or go to SunSentinel.com/askpro.Ìę

The one-bedroom condo in Miami’s financial district had a view of the river, was in a safe neighborhood and, Li heard, had neighbors who were much like her — less party, more chill. So Li, a 28-year-old who came to the United States 11 years ago as a college student from China, put in an offer, had her bid accepted and began ordering furniture.

Then things took a sharp turn. At the last minute, the title company raised concerns about a small U.S. Coast Guard outpost near South Beach a few miles away. The company said her purchase might run afoul of a new Florida law that prohibits many Chinese citizens from buying property in the state, especially near military installations, airports or refineries.

Under the law, Li could face prison time, and the sellers and real estate agents could be held liable. The deal collapsed.

“The whole experience was very hurtful and tiring,” Li said in Miami, where she is still renting. “I just feel that, as someone who has lived and worked in this country for many years, and as a legal taxpayer, at the very least I should have the ability to buy a home that I can live in.”

More than three dozen states have enacted or are considering similar laws restricting land purchases by Chinese citizens and companies, arguing that such transactions are a growing threat to national security and that the federal government has failed to stop Chinese Communist Party influence in America.

Florida’s law, in effect since July, is among the furthest reaching. In addition to barring Chinese entities from buying agricultural land, it effectively prohibits most Chinese individuals without a green card from purchasing residential property.

Gov. Ron DeSantis signed the measure just before launching his Republican presidential campaign, warning voters that China represented the biggest threat to the United States.

“Today, Florida makes it very clear: We don’t want the C.C.P. in the Sunshine State,” DeSantis said last year.

No American dream

In more than a dozen interviews, Chinese residents in Florida voiced frustrations about being cut off from the ultimate American dream. Other residents of Chinese descent said they faced discrimination as they tried to buy a home.

Civil rights and Asian American groups are unaware of anyone being charged with violating the law. But some people of Chinese descent said they feel the anti-China sentiment intensifying. The law is currently being challenged in federal court.

“I never felt any discrimination here before this law,” said Jin Bian, a Chinese software developer who works in Tampa and is among those now barred from buying property. “But now I’m wondering if I need to leave Florida.”

The law has also had an apparent chilling effect on the real estate industry, an important part of the state’s economy. Developers often rely on Chinese investors to help build projects in Florida, and the law appears to have barred such financing, prompting pushback from a prominent real estate lobbying group.

Yukey Hoo, a real estate agent in Winter Garden near Orlando, estimated that she has turned away 10 potential clients, about 20% of her usual business, because she could not determine their eligibility to buy property.

The law technically applies to people who are “domiciled” in China and don’t hold U.S. citizenship or permanent residency, and much of the confusion has centered on what “domicile” means. Sellers and real estate agents can face up to one year of prison time for violating the law.

“Every day I am getting phone calls from people asking if they can buy a house under the law,” said Hoo, who has sold real estate in Florida for 10 years. “I tell them to talk to an attorney, but for those who aren’t sure about their status, we don’t want to take the risk.”

The Florida law restricts “foreign principals” from six other “countries of concern,” like Venezuela and Cuba, from owning property. But the most onerous restrictions — and harshest penalties — are specifically aimed at Chinese citizens.

“The deeper that you look under the hood, the deeper that you see China has been clandestinely going after land grabs in the United States,” said state Rep. David Borrero, a Republican from the Miami area who was one of the sponsors of the land law. “We can’t just have that in our backyard.”

Borrero disagreed with critics who said the property bill was discriminatory. “Our national security interests come first,” he said.

The Chinese government has a record of using economic coercion and espionage to further its geopolitical goals and, in recent years, both the United States and China have stepped up efforts to advance their spying capabilities around the world.

Investment worries

State lawmakers have been especially worried about Chinese investment in agricultural land and territory near military installations, fearing that China could throttle America’s food supply or use the land as a spy post. Chinese interests own less than 1% of foreign-held agricultural land in the United States, according to the U.S. Department of Agriculture.

National security experts said the specific threat posed by Chinese people owning homes has not been clearly articulated.

Holden Triplett, a former FBI counterintelligence official who led the bureau’s offices in China, said Chinese citizens are more likely to have family ties to China that could be weaponized by state security agencies there. But he said categorical bans could further alienate a Chinese diaspora community that could be of particular help to the United States in the event of a conflict with China.

“We need to be careful about these blunt instrument laws,” said Triplett, who left the FBI in 2020 and co-founded Trenchcoat Advisors, a risk management consultancy.

Civil rights groups and residents have challenged the Florida law in federal court on grounds that it violates the Equal Protection Clause and the Fair Housing Act, and that it undercuts the federal government powers on foreign affairs.

In Texas, opposition from the Asian American community, including a former Republican lawmaker of Chinese descent, helped roll back some provisions in a similar bill. But in Florida, the Chinese community is just 0.6% of the population. Many are first-generation immigrants who moved to the state to study or work at universities. And there are very few Asian American politicians in the Legislature.

Li said she still loved living in Miami. It was clean compared to New York City, where she lived before. She loved taking tennis lessons at the courts in Palm Island Park and exploring the diverse food scene with her friends.

But the experience left her with a bitter taste.

“I think I may just have to leave,” she said. “Who knows what policies they might come up with next?”

The Fort Lauderdale City Commission is scheduled to vote Tuesday to give the property’s original tower a “historic designation as a historic landmark,” keeping the 1950s-era exterior intact, according to city records.

It’s considered important for its historic associations with the Phillips Petroleum Company.

“It is one of the most, if not the most, recognizable and significant structures in Fort Lauderdale and represents an important historical time in our city’s history,” said Vice Mayor Steven Glassman.

The public meeting will be at 6 p.m. Tuesday at the NSU Art Museum, moved from City Hall.

If the historical status is granted, the Fort Lauderdale’s Historic Preservation Board will need to give permission for any future changes made to the exterior of the original tower — including any demolition requests. The portion of the property that is designated historic “would be eligible to utilize available incentives for historic preservation that it qualifies for, which may include certain tax incentives,” according to city officials.

It’s a move embraced by the developer, Tavistock, which suggested the historical marker in their 2018 paperwork.

“The historic designation was put forth by Tavistock from day one,” said Jessi Blakley, a Tavistock spokeswoman, according to a statement provided by the developer. “The main tower is iconic to Fort Lauderdale and will remain that way. We intend to preserve the integrity of the resort tower and reopen the Pier Top to the public.

“Recognizing Pier Sixty-Six and Pier Top as an icon in our city isn’t just the right thing to do; it’s a celebration of our community’s identity,” she wrote in an email statement. “As a local, I personally was surprised it hadn’t happened sooner and we moved forward with this endeavor because we felt that it was what our community deserved.”

Regardless if the historical designation goes through as the city expects, so much else has already changed: The name Pier 66 was changed to Pier Sixty-Six as “Tavistock updated the branding in anticipation of its new luxury reimagination,” according to the developer’s spokeswoman.

And after the construction already underway is complete, it will be the first time there will be residential homes on the property. Four residential buildings are in the works:

• Azul: 29 residences
• Indigo: 30 residences
• Resort Residences: 31 homes ĂÛÍĂֱȄ across two buildings

A future phase of construction calls for more residential buildings.

Being fixed up is the old tower, which would retain its Pier Top lounge, popular for live music and dance. Historically, it has rotated 360 degrees every 66 minutes at its top level. Visitors were reminded if they get up and dance, or walk out to the balcony, their seats will not be in the same place when they return.

Pier Top is still expected to rotate when it opens in the fall of this year but the new rotation is still in the development phase. “It can and will spin; however, it is not defined how often at this stage,” according to a developer spokeswoman.

It is described by the developer as an “iconic revolving lounge” that “is destined to become Fort Lauderdale’s preeminent cocktail lounge once again, with spectacular views across the vast Atlantic Ocean, Port Everglades, Intracoastal Waterway, and the lights of downtown Fort Lauderdale. The atmosphere will be glamorous, with cinematic views over the horizon.”

The developer is adding an 11-story, 325-room hotel behind the tower (10 stories for the resort and one for parking), and pool areas for families and adults within the 32-acre resort. Hotel bookings will soon become available, with an anticipated opening in the fall, according to the developer.

The construction includes future retail space and office space.

The Pier Sixty-Six Marina, which has 164 slips that can accommodate vessels up to 400 feet long, has stayed open throughout the expansion. A new Marina Promenade at the base of the condominium buildings will feature restaurants, shops, and offices along the waterway.

From here, if the owners and city see fit, the property could go on to get national historic designation, said Patricia Zeiler, executive director of History Fort Lauderdale, formerly the Fort Lauderdale Historical Society.

“I could see it happening,” she said. The architecture is mid-twentieth-century modern with “some characteristics of brutalism,” she said. “It’s absolutely worth preserving, (it has a) unique unusual design.”

The history

The history of Pier Sixty-Six and its former owners is credited with helping attract tourists to Broward County.

The Phillips Petroleum Company tested a new logo and a new gas station architectural style and one of the first locations was in Fort Lauderdale at Pier 66. It began as a yacht marina with a fueling dock, boat service facility and car service station in 1956. The Pier 66 Restaurant and Lounge was completed in 1957. Next came the 102-room hotel by 1959, and then the 19-story hotel tower to add even more rooms a few years later.

Kenneth Adams was the second president of Phillips Petroleum Company, and his “strategic decision to construct a terminal at Port Everglades, develop Pier 66 Marina and Hotel and institute a gas station building program in Fort Lauderdale contributed to the growth and development of the area,” according to city records.

With more gas stations readily available, that let tourists travel there, and now they had a place to stay, too.

“The development of the Pier 66 Marina and Hotel created a tourist designation, local employment opportunities and stimulated the local economy,” according to city records.

While residents have their own memories at Pier Sixty-Six, there are noteworthy tidbits about the property:

• The elevator takes 33 seconds to ascend from the lobby to the Pier Top Lounge, and 66 seconds total if going up and down. A white crown of spires above the Pier Top has 66 points.
• The Pier 66 Hotel is one of the last of its kind in Broward County: What makes the hotel, designed by architect Richard F. Humble, “space age” is how it uses geometric shapes, steel and windows to portray a modern design.
• The tower was added to Pier 66 in 1965.
• The original and historic tower is 17 stories.Ìę When it was first built, it was the tallest building in Fort Lauderdale.

An effort years in the making

The city’s historical designation has been in the works for years.

In 2018, the developer agreed to seek historic designation of the Pier 66 Hotel Tower located on the site, and the application was completed in November 2022, according to city officials. The next month, the city’s Historic Preservation Board unanimously agreed that the commission approve the request for historical designation.

“Why it took so long I don’t know,” said City Commissioner Warren Sturman. Still, “I’m very anxious to get that approved. Pier Sixty-Six was a landmark from when I was in high school. This was a focal point of the city and it really does have historical significance.”

Lisa J. Huriash can be reached at lhuriash@sunsentinel.com. Follow on X, formerly Twitter, @LisaHuriash

As homebuyers grapple with record prices this spring,  have also crept up. On a 30-year fixed loan, the average rate was 7.39% as of May 1, according to Bankrate’s  of large lenders, marking three straight months of 7% rates.

”ț±ôČčłŸ±đÌę. It’s still stubbornly elevated, rising to 3.5% in March, and that’s led to dialed-back expectations about how quickly the Federal Reserve cuts rates this year, if at all. The central bank left rates unchanged at its latest meeting concluding May 1.

Meanwhile, the unemployment rate was 3.98% in March, while economic growth slowed to 1.6% in the first quarter of 2024.

All of these factors have added up to an uncertain timeline for the Fed, prompting investors to bid up , the informal benchmark for .

Mortgage rate predictions May 2024

As May ushers in peak real estate season, forecasters aren’t anticipating a break from the current spate of 7% mortgages.

“The wind continues to blow in the wrong direction for mortgage borrowers,” says Greg McBride, Bankrate’s chief financial analyst. “Rates have spiked as inflation runs hot, the Fed timetable for interest rate cuts gets pushed back and the supply of government debt rises. Expect mortgage rates to remain well above 7% in May, and maybe closer to 8% if the run of disappointing inflation data continues.”

Rates last hit 8% in October 2023. At that rate and the current median home price of $393,500, a borrower putting 3% down would pay about $250 more a month compared to a 7% loan.

While the Fed doesn’t establish 30-year mortgage prices, its moves can have immediate ripple effects, says Robert Frick, corporate economist at .

“We shouldn’t expect relief from current high mortgage rates in May,” says Frick. “The root cause is inflation, which remains stubborn and is likely to hold steady for now. This in turn means the Fed won’t be cutting its rates any time soon, and cutting those rates would quickly filter through to the mortgage market.”

The Fed delay has upended 2024 forecasts that once called for rates below 6%.

“The early 2024 expectations for sharp Fed rate cuts are now highly unlikely to happen,” says Selma Hepp, chief economist at CoreLogic. “As the economy continues to grow, we expect the Fed to keep rates higher for longer. The best we can hope for at this point is rate cuts late in the year and mortgage rates to fall to the mid-6% range.”

“We’ll need a succession of improved inflation readings before we can hope for a sustained move below 7% in mortgage rates,” says McBride.

Current mortgage rate trends

The average rate on a 30-year mortgage was 7.39% as of May 1, according to Bankrate’s survey. While that’s a welcome drop from 8.01% on Oct. 25 of last year, it’s still higher than the sub-7% rates seen in January.

When will mortgage rates go down?

Overall, forecasters predict mortgage rates to continue easing, but not as much as previously thought.

Mortgage giant Fannie Mae likewise raised its outlook, now expecting 30-year mortgage rates to be at 6.4% by the end of 2024, compared to an earlier forecast of 5.8%.

“A lot of us forecasted we’d be down to 6% at the end of 2023,” says Lisa Sturtevant, chief economist at Bright MLS, a large listing service in the Mid-Atlantic region. “Surprise, surprise, we [weren’t].”

One variable has been the unusually large gap between mortgage rates and 10-year Treasury yields. Normally, that ĂÛÍĂֱȄ is about 1.8%age points, or 180 basis points. This year, the gap has been more like 280 basis points, pushing mortgage rates a full percentage point higher than the 10-year benchmark indicates.

“There is room for that gap to narrow,” says Sturtevant, “but I’m not sure we’ll get back to those old levels. In this post-pandemic economy, the old rules don’t seem to apply in the same ways. We’re sort of figuring out what the reset is. Investors have a different outlook on risk now than they did before the pandemic. We’re just in this weird transition economy.”

What to do if you’re getting a mortgage now

Mortgage rates are at generational highs, but the basic advice for getting a loan applies no matter the economy or market:

—Improve your credit score. A lower credit score won’t prevent you from getting a loan, but it can make all the difference between getting the lowest possible rate and more costly borrowing terms. The best mortgage rates go to borrowers with the highest credit scores, usually at least 740. In general, the more confident the lender is in your ability to repay the loan on time, the lower the interest rate it’ll offer.

—Save up for a down payment. Putting more money down upfront can help you obtain a lower mortgage rate, and if you have 20%, you’ll avoid mortgage insurance, which adds costs to your loan. If you’re a first-time homebuyer and can’t cover a 20% down payment, there are loans, grants and programs that can help. The eligibility requirements vary by program, but are often based on factors like your income.

—Understand your debt-to-income ratio. Your debt-to-income (DTI) ratio compares your total monthly debt payments against your gross monthly income. Not sure how to figure out your DTI ratio? Bankrate has a calculator for that.

—Check out different mortgage loan types and terms. A 30-year fixed-rate mortgage is the most common option, but there are shorter terms. Adjustable-rate mortgages have also regained popularity recently.

FAQ

—How are mortgage rates determined?

It might seem like a bank or lender are dictating mortgage terms, but in fact, mortgage rates are not directly set by any one entity. Instead, mortgage rates grow out of a complicated mix of economic factors. Lenders typically set their rates based on the return they need to make a profit after accounting for risks and costs.The Federal Reserve doesn’t directly set mortgage rates, but it does set the overall tone. The closest proxy for mortgage rates is the 10-year Treasury yield. Historically, the typical 30-year mortgage rate was about 2 percentage points higher than the 10-year Treasury yield. In 2023, that “ĂÛÍĂÖ±Č„â€ was more like 3 percentage points.

—When should I refinance my mortgage?

Mortgage rates have jumped to 23-year highs, so not many borrowers are opting to refinance their mortgages now. However, if rates come back down, homeowners could start looking to refinance. Deciding when to refinance is based on many factors. If rates have fallen since you originally took out your mortgage, refinancing might make sense. A refi can also be a good idea if you’ve improved your credit score and could lock in a lower rate or lower fees. A cash-out refinance can accomplish that as well, plus give you the funds to pay for a home renovation or other expenses.

(Visit Bankrate online at .)

©2024 Bankrate.com. Distributed by Tribune Content Agency, LLC.

If you’re in the market for a home, you might wonder how you’ll be affected by a class-action lawsuit involving real estate agents and commissions. On April 23, a judge granted preliminary approval to the by the National Association of Realtors, which means new rules are on track to go into effect in July or August.

None of which means you have to suspend your home search. Here’s what to know about working with a buyer’s agent this season.

What are the new rules?

In the lawsuit Burnett v. National Association of Realtors et al., a group of home sellers argued that NAR and some major real estate brokerages had enforced rules that effectively limited the sellers’ ability to negotiate on commissions. Sellers have traditionally for the agents on both sides of the deal.

As part of the settlement, NAR promised to alter some business practices. The three main changes are:

• Buyers, not sellers, will decide how much the buyer’s agent will be paid for a completed sale.
• Commissions for buyer’s agents will no longer be listed on the , a database of properties for sale in a geographic area. Previously, MLS fields visible only to agents, but not consumers, specified what percentage commission sellers were offering for each property.
• Your agent will be required to “enter into a written agreement” with you before giving you a tour of a home. While such contracts — often called buyer’s agency or buyer-broker agreements — are not new, there’s variation in how they’re implemented. Some states require them already. Some agents sign up buyers before showing properties, while others may explain the arrangement but not ask the buyer to sign anything until there’s a house to make an offer on.

These contracts will likely be mandatory by mid-July, and you can expect your agent to ask you to sign one sometime between now and then.

How much will a buyer’s agent cost me?

Your contract will specify how much your agent will be paid. For now, buyers and sellers are likely to travel the path of least resistance and pay the area’s customary commission. That’s 2.5% to 3% to each agent in most places.

But you probably won’t have to pay your agent out of pocket. In most cases, you should be able to add your agent’s compensation to your offer.

For example, let’s say you are paying your agent a 2.5% commission, and you make an offer on a $400,000 house. A 2.5% commission on $400,000 is $10,000. So you could offer the seller $410,000 on the condition that the seller pays your agent $10,000 at closing.

Fannie Mae, Freddie Mac and the have indicated that they’re OK with offers that include compensation for the buyer’s agent.

That leaves out VA loans, which are mortgages guaranteed by the Department of Veterans Affairs. Buyers using VA loans aren’t permitted to pay real estate agents directly.

“Veterans are encouraged to negotiate with the seller, through the purchase offer, for the seller to pay for the buyer’s real estate agent or broker,” VA press secretary Terrence Hayes said via email.

That sounds like the VA is OK with offers that include the buyer’s agent’s commission, but that might not be the end of the story. The VA “is actively engaged with industry partners to establish flexible solutions that will ensure veterans maintain equal footing in the homebuying process,” Hayes said.

Can I save money by skipping the buyer’s agent?

Technically, you can buy a house without an agent representing you. But it’s not necessarily a money-saving hack, particularly for first-time home buyers.

Keep in mind that you’ll bargain with a listing agent who works in the interests of the seller. As you negotiate, you likely would benefit from the experience and support of an agent who represents your interests. Working with a can save time and money.

Claudia Cobreiro, principal of Cobreiro Law in Coral Gables, Florida, advises: Don’t buy a house without being represented by a real estate agent or a lawyer. “I make so much money getting people out of crappy situations on contracts,” she says.

Hiring a buyer’s agent

What if you sign with a buyer’s agent, only to find that you don’t get along? The good news is that there’s leeway in the requirement for a written agreement.

Danielle Rownin, a real estate agent with Keller Williams Realty in Connecticut, says she gives prospective clients options. “Option one is we could just sign the agreement just for today,” she says. If there’s a mismatch, the contract expires at midnight “and we’re free to move on.”

Chuck Vander Stelt, a real estate agent in Valparaiso, Indiana, advised starting out with a 30-day contract, which can be extended. “Home buyers should have an easy route to terminate the agreement while still in the looking-for-the-home stage,” he said via email.

You should treat the initial discussion with a prospective buyer’s agent as a job interview.

A seasoned agent is likely to deliver a prepared presentation. Rownin says her pitch to buyers lasts about an hour. “I take them through every single step of the transaction, what’s to be expected and what the next steps are — before we even step foot in the house,” she says.

Victoria Ray Henderson, owner and broker of HomeBuyer Brokerage in Bethesda, Maryland, said it’s important to ask if the agent works for sellers, too. Is it possible that the agent will want to represent both you and one of their seller clients? What if your agent and the seller’s agent work for the same brokerage? Both situations could entail conflicts of interest.

Henderson is an exclusive buyer’s agent, which means she and her brokerage represent only buyers. She said this guarantees “100% loyalty” because she and her company don’t have split allegiances.

Does it matter whether the agent is a Realtor?

You can choose the best for you, regardless of which professional organizations they’re affiliated with.

Most, but not all, real estate agents are designated Realtors, which means they belong to the National Association of Realtors, the largest real estate trade association, and are expected to abide by NAR’s standards and code of ethics. Even non-Realtor agents will be affected by the settlement, because the agreement sets rules for any agent with access to the MLS, whether or not they belong to NAR.

Hurry up, or wait, or what?

Don’t let the proposed rule changes dictate the timing of your home purchase. Buyers who are ready should move ahead with .

“The settlement isn’t necessarily what should be driving a home buyer’s decision,” says Ryan McLaughlin, CEO of the Northern Virginia Association of Realtors. “It’s really their life circumstances that should be driving their decision.”

McLaughlin’s advice reflects the consensus among real estate agents: Take care of your needs on your own timetable. After all, no one knows if a last-minute hitch will delay implementation of the new rules. “It’s business as usual until it’s not,” Rownin says.

The article originally appeared on .