>> i'm bob massi. for 32 years, i've been practicing law and living in las vegas. i help people with all sorts of real-estate problems, from trying to save their homes to closing major deals. eight years ago, 6,000 people a month moved here, looking for employment and affordable homes. little did anyone know that we would become ground zero for the american real-estate crisis. now, it's a different story. the american dream is back. we're gonna meet real people who faced the same problems as millions across america, and we'll dive deep into a city on the rebound because las vegas was a microcosm of america, and now vegas is back. [ woman vocalizing ]

when you're selling your property, doing some very simple things can give you an amazing bang for your buck. one of those things -- it's called "staging." it's basically remodeling or redecorating your home to make it attractive to any potential buyer -- so important. and the results? they can be dramatic. we tagged along with professional home stager jennifer paxson, as she transformed two properties that are about to hit the market. >> what we do as stagers is we bring furniture in so that people can see how they could live in the space. we me peop have an emotional connection so they see the way that they could livee. >> for property number one, jennifer went way beyond traditional staging and worked with the homeowner on repainting, restaining cabinets, and even replacing carpets. >> the style of the home is very traditional. and what we're trying to do is make it transitional because transitional is gonna bring the

traditional style as well as contemporary pieces. contemporary pieces are more of what buyers look for today. it's more livable, it's more realistic, and it's more comfortable. in this room, what we're doing is changing the paint color because what this paint color does is it darkens the room. so, we're bringing in some lighter colors. we're gonna do barstools. we're gonna do accessories, bowls. you'll see a pasta with pasta sauce. so, they can actually connect. in this room, it's gonna be a sofa, a chair. we put down a large area rug. it's a huge transformation when you see the "after." we don't ever want to clutter a space. we just want to accent it. this room here is gonna be the game room. we're actually installing real tvs. we're bringing in a large pool table, some furniture -- like a sofa, some comfortable chairs.

this is the formal dining room. what we're doing in here again is painting to brighten up the room. we're bringing in a large, formal dining table, six chairs. so, i set the table, bring in floral arrangements, things that are again going to have the emotional connection that we can entertain here. this is where we're gonna have our friends and family and enjoy. we're now heading into the master bedroom. we're going to warm up the space by bringing in a large king-sized bed with nightstands, lamps. >> so, jennifer, the last time i was here, there was nothing here. >> we have added furniture and accessories to all the main areas of the home. we've brought in all the master-bedroom furniture. a few weeks ago, this room was vacant. now that the furniture's in, you can imagine yourself sitting by the fire reading a book. >> what's the difference between a stager and a decorator? >> interior design -- we're

focusing on decorating for a person. like, i'd be decorating for you and your taste. only 10% of buyers can visualize what a home actually is going to look like with their furniture. home staging is more about appealing to 90% of the population. the cheapest and most effective thing you can possibly do is paint. it's the best thing to totally transform a home. >> property number two presented some unique challenges. it's another beautiful home with a massive open kitchen that opens out into an unbelievable outside area. >> we have a gorgeous outdoor living space. you have the pool with the grotto, the waterslide. and this room is the master bedroom. what we're going to do here is a large, king-size bed with end tables and lamps. you want the potential buyers to see this room and just fall in love with it.

>> you know, jennifer, the last house was beautiful, but i must tell you, this is magnificent. the last time we were here, a lot of these things weren't here, like this beautiful sitting area... >> mm-hmm. >> ...with just first-class furniture. what did you do in here since the last time we were here? >> this room was completely vacant. what we've done is we've brought in all the accessories to warm up the kitchen. >> mm-hmm. >> i like to make it have a homey feel. the spices are out. the pastas a o. you know, just little touches like that that will connect them to the space. in the living room, we've added a large sectional so they can see themselves and their family having somewhere where they can hang out. >> this magnificent pool area was nothing like this. >> no. this is more of a remodel. they've actually emptied the pool. they're staining, refinishing, and sealing all of the rock area. >> what input does the homeowner have as it relates to the proposals that you make?

like, you say, "i think this dining room should be oak." and somebody says, "oh, i hate oak." >> right. >> so, how do you react to that to make them understand that that's really appropriate? >> well, what i try to do is just convince them. we are looking at your home as a product now. we want to appeal to the 90% of buyers out there. you want the majority of people to like the home when they enter it. >> people have to understand that this is a million-dollar home, but you could do this with really any reasonably priced home. >> yes, any home. >> yeah, and that's an important message out there. great job. this is beautiful. >> thank you so much. >> thank you. there's no way to talk about properties without dealing with the topics of credit. lending and debt -- well, those things can seriously trip you up and haunt you for years. i'll tell you how to protect yourself and come out the other end successfully. plus, behind the scenes at one of the strip's hottest condos. [ woman vocalizing ]

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>> nearly every person in america at some pot in their lives will need to understand the complicated issues of credit, lending, and debt. but to really understand it all, you first have to go back about ten years before the credit bubble burst. housing prices were booming, and mortgages were being given away like candy. >> we're talking no income, no assets, stated income, stated assets that never were intended to be used on wage earners but then allowed people to get into homes they probably should not have bought. >> there's surely some fault on some homeowners in america that got into the american dream but really shouldn't have been able to get into that american dream. >> in many institutions, you would have a chief lending officer. chief lending officer is chasing production for production's sake, making loans, as many as they can, and not caring about the credit risk. >> soon, millions of people were having trouble paying back the money they had borrowed, and foreclosures skyrocketed. the two most common ways of saving a home from foreclosure

are persuading the banks to modify the loan or doing a short sale, which means selling the property for less than what is owed on the mortgage. >> you had to be in such a sweet spot to get a loan modification. you couldn't make too much money. you couldn't make too little because the banks wanted to see you could afford the payment long term. so, if you weren't in this little, tiny piece of pie that they cut out, you were going through months and months, if not years, of supplying paperwork to the banks, giving them your pay stubs, your bank statements, hardship letters, over and over again on a monthly basis and really getting nowhere. >> it's much better for us to keep a borrower/owner in their home than to take that home back. >> but many responsible people, those doing everything they could to stay afloat but still struggling were often told that was to actuay stop makg get help payments. >> most of the times they said, "well, you kw, you can make your payments on time, but wink,

wink, nudge, nudge, you're probably not going to get approved because you're not our problem. you're making the payments. why are we gonna look at you when we have a stack of hundreds on our desk?" >> that are in default. >> that are in default. so, now they have the hit on the credit. they're not getting a modification. and now what do i do? >> now, even though things are getting better, there's still a lot of unpaid debt out there. and when you borrow money that you can't repay, it doesn't just go away. eventually, debt is often sold to debt collectors, sometimes for pennies on the dollar. and to collect on it, they can get very aggressive. when times got tough for jeffrey smith, he turned to payday loans to cover his expenses. >> a knock comes to our door. i open up the door, and it's one of the people from the payday loan companies. a manager is knocking on the door, asking us for money. "i'm sorry. we're going through bankruptcy." >> "no, no. you owe us a debt. you have to pay up." "no, you have to get off my property." "no, no, you have to pay up now." and he wouldn't leave. >> but what if you don't even owe the money? joe hernandez and his wife, well, they were always very

careful to pay their bills on time and keep their credit good. but that didn't seem to matter. >> we started receiving phone calls just out of the blue, and they would call and they would ask for somebody with the last name of hernandez, like mine. and it usually was john or joel or jeff or julie or judy. i continually told them that they had the wrong number and to quit calling us. i thought that would end it,ut of course it didn't. >> did they call all times of the day? >> we'd get callearly in the morning, late in the evening, on the weekends. it didn't matter. sometimes we'd know when the phone rang that it was some collection agency trying to collect. sometimes they would call and then about not even a half-hour or an hour later, they would call again. and we could tell by looking at the phone, what phone number it was, and it was the same number. >> how many times do you think they actually called you? >> on a daily basis? >> yes. >> could be anywhere from 3 to 14. we just got tired of the phone calls. it seemed like we were being harassed on a regular basis. it interrupted our life, and we

just thought, you know, we just want them to stop. >> eventually, they couldn't take it anymore, and they called attorney kevin hernandez -- no relation. >> it's a cost benefit that they go through, these collection companies go through. they say, "we'll violate the law this many times," and maybe one or two of these people, like the hernandezes, will seek an attorney. the rest won't, and they can recover off of those people who are scared and who want to pay the debt just to make the calls stop. >> we were told that they were in violation of federal law and that there was some recourse that could be taken to stop the harassing phone calls. >> when you first get a call from what is perceived to be a debt collector, do you think, "well, gee, is there a bill i didn't pay, and i forgot about it?" did that ever come across your mind? >> you know, you kind of think about it, but we know that we're very current on our bills, and we check our credit scores, and there was no credit problems. so, as soon as i realized it, i thought, "well, why am i being harassed for something that i don't owe?" >> there is intimidation and fear and coercion by these -- 'cause these people are really

pros. they're very disciplined people. they're not afraid of rejection. >> one thing i want to make clear is that debt collection in general is a legitimate business. >> sure. >> and so, i don't want to disparage the business in general. but if you look at some of the players in the game, especially here in las vegas, you see that the collection tactics they use, like calling at odd hours of the day, calling multiple times per day, telling people that they're gonna go to prison for a debt, telling people that they've opened a case against them and making up a case number -- these are things that i see all the time, and they're things that are obviously clear violations of the federal law that we use to file these cases. >> if people realize that didn't owe, they probably say, "well, yeah, you owe $100. we'll settle for $50." i'm sure that's a common tactic. >> it is. it is. i've seen as low as $16 in some cases, where they claim that they owe $16, and they have no verification, no basis for it. and they'll tack on fees on top of that to make, you know -- "so, oh, you're gonna pay for this debt? well, now you have to pay for our attorneys' fees or our costs." >> and if you're wondering what

happened to joe hernandez and his wife, whose phone just wouldn't stop ringing? well, they filed suit in federal court. >> it's interesting. as soon as the federal litigation was filed, the calls immediately stopped. >> so many people have lost so much in the last several years because of the real-estate crisis and just enormous amount of debt. and they've been harassed by debt collectors. i'm gonna give you a checklist of what your legal rights are if you're being harassed by a debt collector. and also, you want to see some beautiful condo living on the las vegas strip, the center of las vegas? we'll be right back. this is the property man. [ woman vocalizing ] ♪

>> welcome back. i'm bob massi, the property man. more than 500,000 americans buy condos or co-ops every year.

if you're thinking about joining them, go to foxnews.com/propertyman, and i'll tell you what to look for and what to watch out for. but first, let's check out a unique complex right here in the las vegas area. you could find luxury condos in just about any city in america nowadays. so, what makes these special? well, it's the old cliché about real estate -- location, location, location. the veer towers were built in 2010 as part of the city center development, right smack in the middle of las vegas strip. city center has been called a city within a city -- 67 acres of shops and restaurants, hotels, and apartments surrounded by that famous las vegas strip. the veers' unique buildings stand out due to their bright yellow color. and, by the way, they were built tilting outwards at 5-degree angles. let's go get a tour.

we're at the veer towers on las vegas boulevard. this is the famous strip. so, obviously, this is a spectacular place overlooking the strip. tell us about this particular setup. >> this residence is one of our two-bedroom condominiums. we're on the 15th floor, a little over 1,300 square feet. >> we have a kitchen area, dining area, living room, sort of all self-contained. >> correct. clients can purchase them and do whatever they want as far as the decor. what is standard, though, if you look at the kitchens, for example -- the bosch appliances, the countertops. all that stuff's standard, whether you go to a studio or, for that matter, one of our three-bedrooms. our success is really based on where we are. you move these buildings two blocks in either direction, our numbers would be different, completely different. >> vegas has always been known for destination, place to come and hang out, but never for, like midtown manhattan, where people are coming and buying facilities like this, buying a condo to live here or invest in it. so, that's a big change for

vegas. >> i think so. and it's starting to change more in what we're seeing. in other words, when we first started, you would see a lot of the investor market coming. over the last year, it's changing -- a lot of the end-users now. as nice as the hotels are, it's still a hotel room. this is their place. they sleep on their own pillow. >> ♪ ain't it good to come home? ♪ >> here we have obviously a bedroom. >> yeah, you're going into the master bedroom. the thing to point out here is the bathrooms, because these are the standard finishes that we have throughout the building. >> let's talk about the price range. >> okay. >> this is 1,300 and... >> little over 1,300 square feet. >> so, how much is this, if somebody's gonna buy it? >> as you see it here, fully furnished, you're looking at $1,025,000. >> okay. >> turnkey -- everything you see. >> and you go from a studio? >> oh, no, we have condominiums that are $250,000... >> okay. >> ...on up to more than $2 million. >> we'll check out the $2 million apartment in a minute, but first, most owners will tell you that the best part of a condo are the amenities. owners are able to take advantage of these facilities,

like pools and gyms and game rooms and media centers. well, at the veer, there is no exception. so, we just came from this spectacular-looking condo with a view that's unbelievable. so, you think when you're looking at it, how can anything get better than that? >> i'm gonna show you. >> and then you bring me up to this amazing -- 37th floor at the veer. >> we're on the 37th floor. if anybody had any doubt as to where we're located, this is the heart of it. we're in the heart of the strip. >> and you got the fitness center over there. >> we have a fitness center, right, and the media room. >> we only have sunshine about 360 days a year. >> yeah. >> life is good. >> it's not terrible. >> life is good. >> it's not terrible. we're on the 21st floor, and this is a 2-bedroom with a media room. it's a little over 2,200 square feet. >> so, ed, you mentioned the media room, or aka the man cellar. >> let me take you to the man cave. >> yeah. >> come on in. >> here we go. this is living right here. >> this is it, yeah. no, this is a great spot, obviously, to come here and unwind. >> you've been in the real-estate business for a long time. >> yeah. >> in general, when somebody is

buying a condominium, what kind of questions do you think they should be asking you, the person that's representing the veer or any other condominium complex for purposes of answering that question? what direction do you give them? >> i think it's really important that when people buy condominiums, they realize that it's not just buying their little residence. you really are part of a bigger picture, which in this case, for example, veer towers. the association, for example, and the financial standings of the association is something that you want to look into in any condominium purchase, regardless of where you are. let me show you the master bedroom. >> yeah, yeah. i would never have expected to see this kind of closet in a facility like this. >> this residence here is perfectly suited for that individual who does make las vegas their primary home. i tell the clients, "how cool is it that you get to own a piece of what's arguably the most famous boulevard in the world? >> no question about that. ed, thank you so much for your time today. >> thank you, bob. thank you for coming. >> oh, no, fantastic facility, beautiful -- the amenities, the

views. >> and you're welcome anytime. >> thank you, buddy. when we come back, we'll review some of what we learned today in the massi memo. [ woman vocalizing ] i love kiwis. i've always had that issue with the seeds getting under my denture. super poligrip free. it creates a seal of the dentures in my mouth. just a few dabs is clinically proven to seal out more food particles. try super poligrip free.

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♪ >> welcome back. i'm bob massi, the property man. and now it's time for the massi memo. earlier in the show, we talked about debt collection. everybody gets a letter from a debt collector, they panic.

here's what you need to do. open up the letter. don't be afraid of it. make sure it's a debt that you owe, or you don't owe. if youon't owe the debt, you have rights. you wre them a letter, and you say, "hey, this is not my debt. prove it to me that it is." if you check your credit report, it's on your credit report. you say, "hey, that's not my debt. remove it." so, you have rights. don't be afraid of that. debt collectors, for example, they can't garnish or threaten to garnish your wages or put a judgment against you and take your kids away. they do these type of things. they're not supposed to call you late at night. those type of people can be very abusive, and there are specific laws on the books that say you can't do that. so, don't fear it. the biggest problem i have, so many times. we get e-mails. people are afraid. anxiety creates confusion and frustration, which leads to more fear and problems. if you get a registered letter or certified letter, please go get it. it's very important to do that. that's all we have time for today, but there's much more on foxnews.com/propertyman.

be sure to send me your questions and any property stories at propertyman@foxnews.com. i'm bob massi, the property man. i'll see you next week. [ woman vocalizing ] >> i'm bob massi. for 34 years, i've been practicing law and living in las vegas, the center of the recent real-estate crisis. lives were destroyed from coast to coast as the economy tanked. now, well, it's a different story. the american dream is back, and nowhere is that more clear than the sunshine state of florida. so we headed from the strip to the beach to showyou how to live the american dream. i'm gonna meet real people who are facing serious problems, take you behind the gates of properties you have to see to believe, and give you the tips that everyone needs to navigate the new landscape, because information is power, and the property man has got you covered. [ woman vocalizing ]

welcome to florida, the sinkhole capital of the world. ♪ it's an issue that many people never think about until it's too late. but if you're buying or selling property, well, you can't afford to overlook it. natural sinkholes happen when acidic rainwater seeps down through surface soil and gets to something like sandstone or limestone, which dissolves over time. and eventually, the land can't support its own weight and collapses. and it's not just florida. last year, eight corvettes were damaged after being devoured by a 30-foot-deep sinkhole at the national corvette museum in kentucky. imagine coming in to find that damage. sinkholes have wreaked havoc across the country -- texas, tennessee, alabama, pennsylvania. now, sinkholes don't get as much attention as natural disasters like earthquakes or hurricanes because many of them are localized. but they can cause just as much damage.

florida has more sinkholes than any other state. there have been more than 15,000 verified sinkholes across the state. >> florida has what people call a swiss-cheese geology. >> [ chuckles ] >> we have a limestone bedrock underneath the state, and there's an aquifer. over time, the rock is dissolved by the acidity in ground water. it creates caverns and voids that, when the surface can't support it, they collapse. >> a few months ago, this florida sinkhole reappeared two years after it opened up under the bedroom of a 37-year-old jeffrey bush. he was sucked tragically into the 20-foot sinkhole with his entire bedroom and died before he could be rescued. i'm standing by lake rose in winter park, florida. it's named after mae rose williams. her house was here until may of 1981, when the ground opened up and swallowed it. what happened here, which is now all water? tell us the story behind it, please. >> mae said she was looking out her window, saw a sycamore tree in her front yard disappear

into the ground, and she realized that there was trouble. [ helicopter blades whirring ] it took with it a three-bedroom home, a luxury car dealership with about five porsches and a truck, half of the city's olympic-sized swimming pool, a portion of the street, and caused about $4 million worth of damage. >> it grew to 320 feet wide, 90 feet deep, and even became a tourist attraction until the city filled it in. >> florida's laws change in about 2011. it was in response to what was seen as runaway abuse of insurance when it came to sinkholes. insurance companies were paying out hundreds of millions of dollars in claims and taking in a fraction of that in their premiums. so the legislators responded. they changed the laws. and now a lot of people think that the pendulum has swung way too far in the other direction because sinkhole claims are incredibly hard to make. >> florida state law requires insurers to cover catastrophic ground cover collapse. >> and those are the really extreme cases that you hear about. and there's four criteria for that type of coverage.

you have to have an abrupt collapse of the ground, a depression that is visible to the naked eye. you have to have damage to the structure, including the foundation of the building, and the property has to be deemed uninhabitable. so, it's condemned. >> two years ago, a 60-foot-wide sinkhole had opened up underneath the summer bay resort near disney world. amazingly, a security guard heard some creaking, saw a window break, and the building was evacuated before it all collapsed. outside of that, sinkhole damage is not covered unless your policy specifically includes it. >> they can offer it, but they don't have to provide it. and that typically comes at a higher premium, which is prohibitively expensive for a lot of property owners. >> a lot of states, you have a disclosure form. is there a statement on there, "has there been a sinkhole problem?" >> yes, so, on residential disclosure forms, you'll find this most typically. it will have whether you know of any sinkhole activity or whether there's any reported on your property.

but florida statutes require a certain level of disclosure from sellers, as well. so if you've made a claim to your insurance company and your insurance company has paid that claim, you have to disclose that fact, along with how much of that money you spent to actually repair the sinkhole damage. i always encourage people who are purchasing a piece of property to look for that specific disclosure, and if it's not provided on the forms you're given, to mandate that the seller tells you whether they know of or have reported any sinkhole activity to their insurance company. >> a federal grand jury recently convicted a florida couple of wire fraud for pocketing a $153,000 settlement and then quietly selling their home. >> they made a claim. they were paid on that claim. and then they only made cosmetic repairs to the home, sold it, and didn't check the box that, "yes, there has been sinkhole activity." >> so, if you're representing a seller, what would you be telling them, as their lawyers, to what they should do? >> during a due-diligence or inspection-period phase,

anytime you're gonna purchase a property, you want to first make sure that there are sinkhole disclosures in any of tho csing documents that you're going to have. you want to also make sure that ur proy is even insurable. make sure you can get coverage, especially when you're in those areas that have these high rates of sinkholes. sometimes mortgage lenders will require that an inspection is done on a property, but that generally isn't performed by a licensed geologist. it's typically by contractors that they've hired. so you can have other types of testing done, but that can be prohibitively expensive. if you make a claim with your insurance company and they send out somebody to inspect the area and if they find sinkhole activity, that engineer's report is going to be filed in the county clerk of courts. so you can find those on a title search or a public-record search whether there's been any filings against your property 'cause it is tied to the legal description and the owner's name whether there are sinkhole claims that have been made and how much has been paid out on it. >> so, a buyer, in their due diligence, should probably get either

a capable lawyer like yourself or do some due diligence, get the title report done from an escrow company, make sure you understand what's going on on the property, what the history is, so if you're gonna go in and buy... >> correct. >> ...you have the knowledge and you have the risk. >> yes, you want to get on top of property insurance, titled insurance. that way, you can find out what types of risks that you're gonna undertake when you do own this property. when y n ou do ow is>> p broe pesurtrey. to stickr at the end of the show, in the massi memo, i'll explain the specific ways to protect yourself and your wallet from sinkhole damage. also coming up, an exclusivek at a property you just don't want to miss. plus, it was not just primary residences that got squeezed when the housing bubble popped. many people lost their investment properties. and that includes rentals with tenants living inside. so, what canyoudo when the place you're renting goes into foreclosure? i'll tell you next. [ woman vocalizing ] finally. hey ron! they're finally taking down

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>> welcome back. i'm bob massi. let me talk to you about dennis and patty. dennis served in the marine corps. in the early 2000s, he decided in florida that he was gonna make an investment in some property. >> we didn't have retirement because we've always been self-employed. and our intention was for it to be a rental property. >> but in 2008 or '09, all of the real-estate values in florida, like different parts of the country -- well, they dropped. >> the problem was the property was upside-down in the sense that we weren't making any money on it for the rent. >> it began to be tough in the rental market. we were kind of at the top of what we could ask for that property. and so we began to have to put money of our own into making the mortgage. >> they contacted the lender in the hopes of getting a loan modification. >> i asked them if they could lower the interest rate so that we could actually make some kind of a profit on the property. >> i don't have to tell you.

what did the lenders say? "go late on your payments." >> how could they think like that, you know? i mean, we want to make some payments on the property, just a little less, with lower interest. >> so they did. they went late on their payments. and, of course, no loan modification occurred. ultimately, they lost their house to foreclosure. we reed to pay all the back payments, all eir charges, all their interest, whatever they wanted. but we just wanted the interest rate down so we could get a cash flow. that's all. >> and then we got notice that it was going to court. >> i'm gonna go in and talk to dennis and patty and talk to them about loan modifications and how lenders look at a primary residence versus an investment property. and in addition to that, you, the homeowner who rents out, i'm gonna give you some tips. and you, the tenant who decides to rent, i'm gonna give you some tips. both of you, pay attention. how many times did you try to contact the lender for purposes of a modification? >> i think he probably called them at least once

a month, if not more. >> over what period of time? >> probably a year and a half. >> and during that period of time, were you current on the payments? >> yes. >> so, what -- >> well, until he told us not to make them anymore. >> so, let's talk about that. >> yeah. >> how did you react to that? >> well, we both thought it was kind of a wacky idea. >> did you let your tenant know that your house was going into foreclosure? >> i tried not to do that because i didn't want them upset. so, i didn't do that, no. they were there for a while, but i heard that the mortgage companies don't really want anybody to move out of the property, anyway. >> at some point, we quit expecting her to pay t rent. >> yeah. >> and she stopped paying, which, you know, we weren't making a payment, so we didn't think she should have to. >> there's a couple issues we should talk about. >> okay. >> first of all, florida's a little different 'cause it has judicial foreclosure as opposed

to nonjudicial. it goes through the court to foreclose property. but essentially, lenders look at homes. they look at primary residence versus investment property. and they don't have a lot of sympathy for investment property for the obvious reason. >> i understand that a private or primary residence is important and that they would think it was more important to work with them. but on the other hand, we're not flipping houses, and we feel like we're providing a primary residence for somebody. >> the lenders' opinions were very simple -- "you called that an investment property. sometimes you win, and sometimes you lose." and in this particular case, like many cases, loan modifications were denied. on the other hand, we had the issue of tenants who were in homes that were being foreclosed on. and they didn't know that there was a foreclosure. and there was a law passed several years ago called the tenant protection act, which basically said that if a lender forecloses on a piece of

property, the lender has to honor the term of the lease or a portion so that they stay there for a period of time 'cause a lot of tenants got thrown ouin the street, and they didn't know. >> mm- >> so, you're only asking for a reduction in interest, but as you can see, they didn't care. >> yes. they didn't. >> and i'm sure you knew other people that probably was going through this. >> oh, yeah, so many other people i've talked to. >> now, what about the other side of the street? let's talk about the tenants. a lot of tenants were victims of foreclosures. they were paying good money to people over the years, and then, all of a sudden, they got a foreclosure notice, and they were thrown out of the house. there has to be a certain amount of time given to the tenant before they get thrown out of that house. so, those of you who are tenants that are living in a home, go through a realtor. have that realtor check as best as they can if the homeowner is current on their payment. the bottom line is, whether it be the homeowner or the tenant, do your own due diligence to protect yourself. i've got more tips for both tenants and landlords

at the end of the show. but up next, i'll take you some place cameras are not usually allowed -- inside isleworth, central florida's most exclusive community. [ woman vocalizing ]

♪ >> welcome back. i'm bob massi, the property man. i've been given the opportunity to go behind the gates of isleworth, one of central florida's most exclusive communities and a place where cameras are usually not allowed. i get a lot of e-mails from people saying, "bob, why are you showing us these multimillion dollar homes that most people could never fo?" well, here's a few reasons. first, they're just amazing to look at and something that most of us would normally never get to see. and two, if you're buying

or selling a home, whether it's worth $200,000 or $20 million, you can learn a lot from seeing how these luxury listings are showcased and how they handle them. i asked mark hayes, president of isleworth and stockworth realty, to show me around. isleworth was a citrus-producing operation for several decades before golf legend arnold palmer uncovered its potential for a world-class golf course and country club. >> this land was protected by the surrounding chain of lakes, which produce some of the best oranges, so it became known as the isle of worth. and then arnold palmer, who wanted to build the best golf course in the world, located this to build his ultimate golf experience. >> in 1993, the billionaire investor joe lewis and tavistock re-imagined isleworth by constructing magnificent estates. isleworth is home to celebrities like nba legend shaquille o'neal and multiple members of the pga tour. and the place -- let me tell

you -- it is immaculate. they like to say that the leaves get picked up before they hit the ground. >> it's a 600-acre luxury community. uh, we like to say, you know, "we provide anything any time." >> isleworth is comprised of 320 luxury homes, ranging from 20,000-square-foot multimlion dollar lakefront lots to more modestly sized golf-course villas. ♪ one of those lakefront lots holds the property they call the bermudan. this 13,519-square-foot home sits on more than 2 acres and has 7 bedrooms and 9 1/2 bathrooms. >> bob, this home is a love story. media mogul rance crain took his bride to bermuda for a honeymoon, fell in love with the architecture. he hired the world-renowned architect taylor & taylor and gave them one task -- "build me a home and keep me on my honeymoon forever." >> [ chuckles ] and he did. >> and he did. >> well, let's go look at this home. >> bob, the first thing

you notice is just the fabulous walnut herringbone floors with inlaid, hand-painted marquetry modeled after a vanderbilt estate in newport, rhode island. >> when you walk in, though, you feel like there's a sense of history, and you could -- you really could feel the memories in this type of home. it's so beautiful, looking up here at the, you know, the stairway and all the details. the second floor has three guest rooms and a childrens' bedroom that would be any kid's dream. the room is a painted forest with custom-built log-cabin furniture, including two bunk beds, fiber-optic, sparkling stars in the ceiling, and a unsystem that plays chirping nois, frogs, and jungle sounds. the stunning library features a full bar, ceiling-high wine cellar, temperature-controlled closet, floor-to-ceiling bookcases, and a secret, hidden panel with access to the master bedroom. >> you'll notice the high ceilings, just the amazing,

hand-carved woodwork on the doorways. >> this room is unbelievable. >> crystal chandeliers everywhere, candles on the walls. >> this looks like where heads of state would meet... >> absolutely. >> and, as you said, probably have. >> yeah. >> the kitchen has a beautiful barrel ceiling made of chicago brick, an antique french market counter with original ironwork. every room stands on its own, with its own character, with its own personality, and its own memory. >> absolutely, absolutely. and something else you'll notice is, as we walk down this hallway, we have a view of the lake almost from every room. this property sits on 300 feet of lakefront on lake butler and overlooks the 14th fairway of isleworth country club. two covered terraces, a heated pool and grotto-style spa, shimmering waterfall, and a private boat dock. >> coming out to one of the most extraordinary views on all of lake butler. >> oh, this is beautiful. >> we are right across from the world-famous bird island, where dozens and dozens of

different species of birds -- attracts a lot of visitors. world-class bass fishing. and this deck easily holds several hundd pele. but if it was just fouof you, it would still feel very cozy. people refer to this area as the blue lagoon. >> i feel that. i feel that. and private. up next, the massi memo, with information you can't afford to miss. stick around. [ woman vocalizing ]

♪ >> time now for the massi memo. at the start of the show, we looked at sinkholes. they're formed when part of the earth erodes underground, and it causes a collapse. if you're buying property, it's important to check the area and ask about the history of sinkholes. ask the homeowner selling the property for total disclosure of any history of sinkholes in the area. look over your insurance policy very carefully. insurance companies do not automatically cover sinkholes. they can refuse to cover them, particularly if they know that sinkholes exist in the area of the real estate. usually, it can be addedional c, which can be quite expensive. we also heard about a couple who lost their investment property to foreclosure while it was rented to a tenant. tenants living in most foreclos properties don't have to worry about being evicted until their leases end.

now here are some tips you should keep in mind when you intend to rent a home or an apartment. examine the actual unit or home you intend to rent, not just a model, not another new unit like yours. two, check all the appliances. take pictures once you decide to rent. remember, the lease is a final contract. no verbal agreements or understandings are enforceable. do a walk-through before signing any lease to see if there are any deficiencies within the property and understand the laws of the security deposit. it is the biggest issue faced when you finally vacate the property as a tenant. make sure you have rental insurance covering your personal contents. it's very important. and read the lease closely, particularly as it relates to the right of the landlord to inspect the property once you occupy the property. as always, there is more information on our website at foxnews.com/propertyman. that's it for today.

be sure to send me your questions or property stories at propertyman@foxnews.com. i'm bob massi. i'll see you next week. [ woman vocalizing ] have a great weekend. good night. >> announcer: from fox business headquarters in new york city, the new "wall street week." maria: welcome to "wall street week," the show that analyzes the week that was and helps position you for the week ahead. i'm maria bartiromo. our special guest, former microsoft ceo and the current owners of the los angeles clippers steve ballmer is with us. it was a busy week. a good week for stocks. wall street betting the moderate candidate will win and preserve the european union. the nasdaq composite crossing