NewsBriefs

As Ripley said … Believe it or Not

This article may just rank up there with the likes of the old comic strip Ripley's Believe it Or Not -- especially after the past two years hurricane seasons.

In a survey conducted by a Florida builder, Schmidt Brothers Homes, buyers were asked whether they would prefer to pay $50,000.00 extra for hurricane safety features or a new swimming pool. The over-whelming majority opted for the pool, displaying how home owners would rather enjoy what they have now than what they could lose if there home gets hit by a hurricane.

"It may be because Tampa has dodged the bullet for so long," said builder Aaron Schmidt. Schmidt's company builds homes in the greater Tampa area of Southern Florida. "We haven't had anyone come in and require all that stuff (safety upgrades). It's so un-cost-effective to do something that would support a Category 5 hurricane."

Schmidt said buyers who request anything above the minimum building code see costs increase substantially. "You can price yourself out of the market," he said.

Building codes for the Florida panhandle, including Destin and South Walton, have come under attack since the area does not have the same higher hurricane building codes required elsewhere in the state.

Don't cancel those credit cards quite yet if you're thinking about getting a new mortgage to buy a new home or condo. That's the word from the company that developed the credit scoring system.

Such a move can actually hurt you when it comes to getting a mortgage, and end up costing you even more each month. Craig Watts of Fair Isaac Corp., which created the widely used FICO credit scoring system, says don't be so quick to take action.

For instance if you had five credit cards and a $10,000 limit on each of them giving you $50,000 in available credit and you owe $25,000 on the cards that means you're using 50 percent of your available credit. If you cancel one credit card that you owe nothing on that reduces your credit limit to $40,000 without reducing the debt.

As a consequence, if you cancel the card you have less credit worthiness and that cuts your credit score, says Watts.

There's still evidence that the old Ponzi scheme is alive and well in some places.

Six people have been arrested in Ocala, Florida in connection with a residential real estate scheme that apparently bilked mortgage firms out of more than $3.7 million and bankrupted numerous homebuyers.

The six alleged criminals reportedly conned South Florida residents into purchasing residences in Ocala through Big Sun Valley Homes Inc. The scam involved a total of two dozen homebuyers, none of whom could read, speak or write English.

According to authorities the purchasers were told that a builder would rent the homes they were buying out for them after the buyers were told they would make great profits from the investment. However, authorities say the victims made their monthly mortgage payments, and their funds were reportedly invested into other properties, which were then resold for large profits.