So, there are some dynamics on the horizon that might seem scary but the more you know, the less frightening it will be....
Insurance will increase your rates or cancel if any of the following apply:
1) Roof over 10 to 12 years of age
2) Water heater over 15 years of age
3) Tree limbs over or on roof
4) Sidewalk and driveway cracks (if cracks have lifting over ½ inch)
Roofs: Insurance will reimburse actual less depreciation based on age (especially over 15 years )
And news from the front lines of housing in North Florida
Mike is serving on the City of Jacksonville's Task Forces:
- Affordable and Work Force Housing sub committee
- Homelessness sub committee
Under Affordable: Mike is one of 3 NARPM Members on the task force
They are looking at ways to solve the affordable and work force housing issues.
There is a housing shortage and with interest rates going up and 1,000 people moving into Florida daily it is exerting more pressure on the shortage.
Mike is hoping that by being proactive and helping educate the City Council on what is placing pressure on the housing industry we can prevent rent control measures and rent restrictions.
Mike is helping with statistics such as:
- Insurance cost increases which are averaging between 25% to 50%
- Property Tax increase due to increase in assessed values which are ranging between 20% and 40%
- Services such as plumbing, AC and electric are also forcing owners to increase rent to cover. For example, a water heater which cost $921 in January 2021 is now costing between $1,750 and $2,100 in 2022
- Outside dedicated electrical has increased from $650 to $1,200
- At the same time lease renewal increases are averaging between 1.5% to 3%
- New lease (New to market) is increasing between 8% and 10%
- Keep in mind most owners did not increase rent during the pandemic
There are several meetings scheduled between now and December so you are likely to hear more as it continues to unfold!
If you would like more details and information on any of the listed items above, just send an email to: marketing
Have a safe and happy Halloween season!
Mike Hodges, 2020 NEFAR Realtor of the Year
&
The FPM Properties Team
‌
‌
‌