Texas Realty Blog

REALTOR.com Updates Site to "Web 2.0"

I came across an article in the REALTOR Magazine that talks about REALTOR.com's new look and feel.

The real estate industry is always changing and moving at a fast pace. Since the early part of the decade, sweeping changes in technology and internet use have re-defined how agents work with their clients.

The introduction of more interactive internet use (i.e. "web 2.0")  has once again reshaped how buyers, sellers and agents work together. REALTOR.com is the #1 real estate listing website in the world and although I have issues with them, they're making progress to create a more client-centric real estate experience.

NEW REALTOR.COM FEATURES

• REALTOR® Blogs
• Enhanced property mapping and search
• Detailed school and District information
• Community information and neighborhood search
• Increased site speed and web 2.0 technology
• Enhanced photo and video tours

View the video now on NAR: Tour the new REALTOR.com

Austin Agents Rally..."Buy Here!"

The real estate industry is making a backlash against the national news media for "overblown" hype around the supposed "real estate bust" for 2007. Texas REALTORS® have especially been trying to make it clear that, while the national market has cooled, Texas has always been considered one of the best places to buy.

Austin, Dallas, and Houston are particularly great real estate markets and were reported among the Top 10 U.S cities to boom in 2008. Here's some of the recent acclaims for Austin:

Seniors Get $93M in Upgrades in Houston, Dallas Projects

There's a lot of investors and commercial construction experts looking for senior housing projects in Texas. The Baby Boomer Generation has started to retire. Many look to Texas for affordable living space in a warm climate.

Dallas, Houston, and San Antonio are some of the most popular Texas cities for second homes or retirement besides the coast. i read today that a Dallas-based company refinanced a 649-unit portfolio for three upscale senior housing projects.

Due for completion in late 2007, the Class A portfolio includes a senior housing community and two traditional multi-family properties. Amenities at the properties include clubhouses, fitness centers, 40-seat movie theatres, business centers, game rooms, pools and libraries.

Among the properties are the 237-unit Conservatory at Alden Bridge, located in the Houston suburb of The Woodlands; the 190-unit Conservatory at Champion Forest, in the Houston suburb of Spring; and the 222-unit Conservatory at Plano in the Dallas suburb of Plano.

Link: $93M Financing Upgrades 3 Texas Seniors Projects.

Read about the Baby Boomer Generation's impact on real estate. See the previous story...Retirees flock to Texas.

Top 10 U.S. Cities ready for a Boom in 2008

Here's an interesting story. Business 2.0 worked with Moody’s Economy.com to identify 10 cities that have just about hit rock bottom  and are on the way up. We're happy to report that Austin, Dallas and Houston made the list!

Here they are order:

Dallas-Fort Worth
Projected median sales prices for single-family homes:
Q1 2008: $151,930
Q4 2009: $161,690
Growth rate: 6.4 percent

Indianapolis
Projected median sales prices for single-family homes:
Q1 2008: $122,940
Q4 2009: $130,630
Growth rate: 6.3 percent

New Orleans
Projected median sales prices for single-family homes:
Q1 2008: $153,850
Q4 2009: $162,600
Growth rate: 5.7 percent

Atlanta
Projected median sales prices for single-family homes:
Q1 2008: $177,750
Q4 2009: $187,640
Growth: 5.6 percent

Montgomery
Projected median sales prices for single-family homes:
Q1 2008: $140,020
Q4 2009: $147,690
Growth rate: 5.5 percent

Memphis
Projected median sales prices for single-family homes:
Q1 2008: $143,550
Q4 2009: $150,730
Growth rate: 5.0 percent

Mobile
Projected median sales prices for single-family homes:
Q1 2008: $134,580
Q4 2009: $140,920
Growth rate: 4.7 percent

Austin
Projected median sales prices for single-family homes:
Q1 2008: $186,350
Q4 2009: $195,060
Growth rate: 4.7 percent

Houston
Projected median sales prices for single-family homes:
Q1 2008: $154,850
Q4 2009: $161,910
Growth rate: 4.6 percent

St. Louis
Projected median sales prices for single-family homes:
Q1 2008: $143,920
Q4 2009: $149,710
Growth rate: 4.0 percent

Single-Family Home Sales for Austin Decline in August

Although the mortgage markets have been in trouble since July and August, now is a great time to buy in Texas. I've been working on a market update slide-show, but the team has been swamped putting deals together for buyers and investors.

So why has business picked up even though it's a buyer's market? Well, because buyers can finally buy. Agents are now able to negotiate with sellers for decent home deals. Steady appreciation combined with the decline of the national market had caused multiple offers to skyrocket.

AUGUST MARKET STATISTICS- AUSTIN OVERVIEW

Take a look at the chart from the Austin Board of REALTORS. Actual home sales only decreased by a few hundred, but number of active listings have increased by over 1600 units. Again, this is due to the deflating mortgage market. There's just fewer qualified buyers with 5-10% to put down on a home. The median price has increased again. Last year, the median single-family home price was $180,500. In August, it increased by 6% to $192,200.

SHOULD YOU BUY?
The #1 rule I've learned as an investor is to buy when prices are low and sell when your value is high.   I've heard some investors say they don't want to buy because it's a buyer's market, which doesn't make much sense.The bottom line is that it's always a good time to buy...at the right price in the right area.

Gotcha Guide: Just a Few of Our Top Rehabbing Tips

NOTE: This information is part of our upcoming book, the Gotcha Guide™ to Buying or Investing in Real Estate.
by DeeinAustin™

I was doing a pre-market walk-through of some rehabs in East Austin when I received a call from Jay Papasan's team at Keller Williams International. They asked if I'd like to interview on their popular Millionaire Mondays show.

As always, I'm very honored and excited to be asked to provide real estate investing advice, but purpose of this post isn't to toot our own horn about the show (even though that's VERY cool). I want to remind readers of a few principles discussed during the pre-listing consultation today.

REHABBING HOUSES IN TODAY'S MARKET

My investor isn't a beginner, but he's putting about $50k into each project. My job is to make sure he makes the right choices and saves much money as possible. Keep these tips in mind BEFORE you buy:

Buying and Investing During the Mortgage Meltdown

I've been focusing on the mortgage market heavily this month because August and September were very tough for many Texas real estate buyers, agents and sellers. Inventory is up, home sales are down and the ability to obtain a mortgage has been tougher.

GOOD NEWS THAT "SOUNDS" BAD
As expected, a great deal of Texas real estate agents, investors and loan officers are leaving the business. While this sounds like bad news, it's actually good. In our shifting market, sellers have to price homes well and buyers must meet more strict lending guidelines. Agents and loan officers who were previously under-performing really have to step up their customer service.

PREDICTION
Last year was feverish with speculation and lax lending guidelines. The initial shock of staunch lending guidelines this summer will slowly fade. In a perfect scenario, the most serious Texas real estate buyers, investors, agents and loan officers will be left standing, creating a win-win for motivated sellers.

Listen to the Millionaire Systems Podcast- Investing in the Mortgage Meltdown.

Mortgage Rate Fall Creates Rise in Applications

I've been working on the monthly Texas market updates, so checked in on mortgage interest rates.

As you may know, home mortgage rates were decreased by half a point. This is the first decrease since 2003, so now is an even better time to buy. According to Inman News, the most compelling reason for the recent upswing in applications was the large decline in interest rates.

The MBA (Mortgage Banker'ss Association) reported that:

• The average contract interest rate for 30-year fixed-rate mortgages dropped to 6.25 percent from 6.42 percent
• The rate on 15-year fixed-rate loans slid to 5.9 percent from 6.1 percent
• The rate on one-year adjustable-rate mortgages (ARMs) declined to 6.34 percent from 6.52 percent.

This is very good news and confirms what I'd recently explained to a beginning investor that the Federal Reserve learned from the mortgage crashes in the 80s. Banks are much more smart in their overall mix of loan products and mortgage rates are expected to be increased or decreased to spur or slow the real estate market as appropriate.

Read the full report on Inman News.

Read our previous story on how the mortgage fallout created a Buyer's Market in Texas.

Wimberley and Texas Hill Country Popular Relocation Destinations

I was reading a great New York Times article about Wimberley, Texas. Wimberley is no longer being overlooked as a beautiful and relaxing relocation destination. Even Texans from Austin, Houston and San Antonio are flocking to the Texas Hill Country.

WHY IS WIMBERLEY POPULAR?

First, Wimberley is part of the scenic Texas Hill Country in Hays County, just south of Austin.  Second, the neighbors. People are friendly in Texas, especially most small towns.

Another popular reason to relocate to the Texas Hill Country? LAND! Where else can you buy 25-50 acres of land with rolling hilltops and mature trees for a reasonable price? If you're tired of the city and want to surround yourself with nature, this is the place. In fact, it's not uncommon to to buy land or acreage that includes stock ponds, a well, or wet creek.

THE REST OF THE TEXAS HILL COUNTRY

Other cities in Hays County, such as Buda and Dripping Springs have boomed in recent years and should continue. If you're looking closer to the City of San Marcos, land may be a little more expensive since it's near Texas State University, which is where I graduated. From my understanding, the San Marcos rental market is still going strong. 

SEARCH for Hays County homes and land now.

Read all about the still hot Hays County.
Read the story: A Hill Country Town Raises Its Profile - New York Times.

 

Rockwall County (Dallas) Among Fastest growing U.S. housing markets

Despite the slowing national real estate market, North Texas is still doing pretty well this year. Rockwall County was on CNN Money's top list of growing housing markets. If you think about it, during a tough time, to see ANY growth is good.

Dallas and Plano residents and investors had experienced phenomenal growth. Harris (Houston), Bexar (San Antonio) and Travis (Austin) counties weren't too shabby last year either. They're not really on the list, but have been growing.

BOTTOM LINE IN 2007
The real estate market slowed for most states, partially due to the national bust in some areas as well as mortgage fallout. In Texas, economic conditions are looking good.  Unemployment is still down and job growth up.

See the list on CNN Money: Fastest growing housing markets