Prices to bottom : 10 Things to Know About Real Estate in 2010 - US News

Prices to bottom : 10 Things to Know About Real Estate in 2010 - US News & World Report

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Foreclosures trend down for fourth straight month - Austin Business Journal:

Foreclosures trend down for fourth straight month - Austin Business Journal:

Mortgage rates inch up in U.S., TX - Austin Business Journal:

Mortgage rates inch up in U.S., TX - Austin Business Journal:

Will Bank Execs Repay Favor to American Taxpayers?

Obama Presses Bank Chiefs to Lend More
The heads of the largest U.S. banks will meet with President Obama on Dec. 14 to discuss the decline in lending over the past five quarters and the need for financial reform legislation.

Obama has called the top bankers to the White House because he wants the banking industry, which has lobbied heavily against more oversight, to lend more.

The administration says banking executives should show proper gratitude for its efforts to help rescue the industry, which has tapped public aid to return to profitability.

Source: Washington Post, Binyamin Appelbaum (12/14/09)

Washington Report: FHA Condo Rules

The Federal Housing Administration puts its long-awaited new financing rules for condominium units into operation last week -- immediately affecting sales in hundreds of condo projects across the country. Among the key make-or-break rules that condo marketers, buyers, lender and realty agents now need to know about are the following: FHA won't insure mortgages in buildings or complexes where less than 30 percent of the units haven't already been sold. At least 50 percent of the units in a project must be owner-occupied or sold to purchasers who intend to occupy them. No individual owner or investor can hold title to more than 10 percent of the units in the entire project. No more than 25 percent of the square footage of a condo project can be non-residential -- in other words, used for commercial purposes. No more than 50 percent of the units can have FHA insured financing on them. FHA doesn't want to “concentrate its risk” in any single project. No more than 15 percent of the units in a project can be 30 days or more delinquent on their monthly payments to the condo association. Although some developers and in urban areas welcomed the new rules, industry critics say they will actually curtail the availability of low-downpayment FHA financing for many individual buyers. Others say some of the percentage thresholds are off the mark. For example, Phil Sutcliffe, a national condo financing expert based outside Philadelphia, says he recently had to turn down two condo projects that sought FHA financing - even though both were more than 50 percent owner occupied and pre-sold. The reason: The developers had chosen to rent out more than 10 percent of the unsold units to generate cash flow. But by doing so, Sutcliffe said, they crossed the “single owner” maximum, thereby denying future FHA financing to all remaining units in the building. “It just makes no sense in this situation,” he said. With no FHA loans available to potential purchasers, “the owners may have to hand back the keys to the bank.” Andrew Fortin, vice president for government affairs at the Community Associations Institute, which represents condominium, cooperative and planned unit developments across the country, told Realty Times that the 25 percent commercial-use cutoff is “problematic” because many projects have been designed for “mixed use” in urban areas. Fortin's group also is critical of the new 15 percent delinquency ratio on association dues. Not only is a 30-day delinquency measure “a very arbitrary standard,” he said, but it's also not a good indicator of the association's underlying financial health. Source: RealtyTimes; by Kenneth R. Harney

Tips for Selling a Home in Austin

Selling your home can be a huge undertaking, especially if it is your first time. A REALTOR® will help you through the process of putting your property on the market and finding the best buyer. REALTORS® provide guidance and advice on how to sell your home quickly and for a great price. If you are ready to sell, the following tips will start you in the right direction. Take off your rose-colored glasses If you have lived in your home for several years, it may be difficult to look at the property with an objective eye. Your REALTOR® can suggest upgrades to increase the value of your Austin real estate and make it appealing to the widest range buyers. For simple ways to increase the value of your home, click here. The “three golden rules” of real estate Homes that sell quickly at or above their market value usually have three things in common: great location, great condition and a great price. Keep reading to learn more about what buyers evaluate when they consider homes in Austin. Location - Buyers look for homes in locations that best suit their lifestyles. They may consider how many parks or schools are located near your property, or they may ask about the history, population and demographics of your neighborhood. A REALTOR® can answer these questions easily and inform buyers or buyers’ agents of all location details. Condition - Your REALTOR® can form a plan to improve your home’s condition, which will attract more buyers and allow you to sell your home for a higher price. Such a plan may include making repairs and changing the functionality of some rooms to make your home more appealing to buyers. It is wise to make the renovations recommended by your REALTOR® before putting your Austin home on the market. Failing to make these upgrades or waiting too long to make changes means you could miss out on potential buyers. If you cannot afford everything your REALTOR® suggests, ask him or her to recommend ways to get your home buyer-ready without blowing your budget. Price - Sellers who put their homes on the market without a REALTOR®’S guidance typically price their property unrealistically and have difficulty making the sale. Be sure to work with a REALTOR® who understands the current state of the Austin real estate market and is aware of prices for homes of similar value. Pricing a home correctly at the start eliminates the need for you to reduce your asking price and increases the likelihood that your home will be sold. Make a great first impression From the moment potential buyers arrive at your home, they are evaluating everything from sights to smells to sounds. It is usually small details like a recently vacuumed floor, clean windows and the scent of fresh flowers that really impress buyers. Some REALTORS® may work with home stagers to present your house in the best light, while others may help by creating a list of reminders for you to check off daily to ensure your home is clean and comfortable when buyers walk through the door. Communication is key Be open with your REALTOR®. The more information he or she has regarding your needs and goals during the selling process, the better he or she can serve you. Tell your REALTOR® your motivation for selling and what your ideal time frame is for moving out. Ask him or her what options there are for preparing your home for show, and be honest about what you are willing to do. It is also a good idea for you and your REALTOR® to write down your selling strategy to avoid confusion. source: Austin Board of Realtors

Top 5 Reasons to Live in Austin

Austin is a place where the best of both worlds collide – trends meet rich culture, political passion embraces open-minded views and big business thrives in a laid-back atmosphere. There are many great reasons to make Austin your home, but don’t take our word for it. Judge the following facts for yourself about what makes Austin such a great place to live.

#1 - Quality of life
For its economy, affordability and variety of fun things to do, Austin ranked third on U.S. News & World Report’s “Best Places to Live 2009.” In addition, Austin maintains its status as a “fit” city and one of the greenest in the nation. It comes as no surprise that Outdoor magazine considers Austin’s overall quality of life among the best in America.

#2 - Great jobs
You can earn a great living in Austin and find comfort in knowing the city is poised for continued job growth, ranking first in long-term employment potential. In fact, the Austin-area unemployment rate has consistently been below the Texas and national rate. According to the Texas Workforce Commission, Central Texas gained 1.3 percent more jobs, or 10,919, from 2007 to 2008.

Austin was the second-fastest-growing metropolitan area in the nation between 2007 and 2008 and its population is expected to grow to more than 2.7 million by 2025. Historically, Austin wages have also grown faster than anywhere else in Texas. In fact, from 2002 to 2007, Austin had the largest median family income of all Texas cities, according to the Real Estate Center at Texas A&M University.

#3 - Smart people
Not only is the greater Austin area home to five successful universities, it was named the 24th "Smartest City in America" by Forbes magazine in February 2008. Among Austinites ages 25 and older, 85 percent have graduated high school and more than 35 percent have a bachelor’s degree or higher.

Austin is also a town of innovators and among the top cities for entrepreneurs. According to the Austin Chamber of Commerce, more than 2,100 patents were assigned to Austin innovators in 2007. In addition, Entrepreneur Magazine recognized Austin as the third "Most Innovative City" in the United States in December 2008.

#4 – Friendly neighbors
Good neighbors are the backbone of the Austin community, making it a great place to raise a family and get involved. Accolades that attest to this include a ranking of second among cities where Americans are relocating, and inclusion among the "Top 20 Best Places to Raise a Family" by Best Life Magazine in May 2008. Throughout these reports, the city’s safety, diversity, pedestrian and bike friendliness as well as the presence of parks and public spaces (more than 14,000 acres) were noted as key qualities.

Also, Travel + Leisure Magazine recently took notice of Austin’s residents in its study on "America's Favorite Cities" in 2008. The city came in second place for friendliness and athleticism and third place for intelligence and attractiveness.

#5 – Entertainment
Austin is has been coined "The Live Music Capital of the World" and is home to two of America's largest music festivals, South by Southwest and the Austin City Limits Music Festival. In addition to its renown music scene, Austin was also was named one of the "Best Cities for Singles" by Forbes in 2008. For those seeking excitement outside the city, Austin is also within 20 minutes of Lake Travis and surrounded by the beautiful hill country, offering terrain and activities for outdoor enthusiasts of every type.

Austin Real Estate Report

Austin-area real estate market shows improvement over last year Austin Board of REALTORS® releases September 2009 real estate statistics October 19, 2009 - According to the September 2009 Multiple Listing Service report by the Austin Board of REALTORS®, activity in the Austin-area real estate market has shown signs of improvement from September 2008. In September 2009, 1,780 homes were sold, a six percent increase from 1,673 homes sold in September 2008. The median home price for Austin in September 2009 was $185,250, up two percent from the same month the prior year. "This spur in activity compared to last year is a good sign," said Jay Gohil, chairman of the Austin Board of REALTORS®. "It shows the Austin-area real estate market is healthy and has remained stable." According to the report, the average median home price in the third quarter of 2009 is statistically similar to that of the third quarter of 2008. In addition, the third quarter of 2009 represented the highest quarterly average for home sales this year. There was an average of 1,857 homes sold during the third quarter of 2009, a 3 percent decrease compared to the third quarter of 2008 which averaged approximately 1,912 homes sold. Gohil continued, “As the deadline for the first-time homebuyer tax credit approaches on Nov. 30, we may continue to see increases in home sales into October and November.” On Nov. 30, the tax credit for first-time homebuyers of up to $8,000 expires. To qualify, first-time homebuyers must close their real estate transaction by that date, a process that requires anywhere from 14 to 60 days or more.

WHEN WILL RECESSION END?

COLLEGE STATION (Real Estate Center) – Three things have to happen before the current recession can be declared ended. One is underway, said Dr. Mark Dotzour, chief economist for the Real Estate Center at Texas A&M University.

"I think the economy will begin to turn for the better once the health care and cap-and-trade issues are settled. Those two political debates are creating substantial uncertainty for business owners and investors," he said.

The personal savings rate is the second trend to watch, said Dotzour.

"Over 70 percent of the U.S. economy is consumer spending," he said. "When the savings rate finally levels out, consumer spending will start to increase again."

Increased corporate profits are the third trend that must occur to bring the recession to an end. There is some indication that has already begun. The last three data points were all up. Rising profits lessen the urge for companies to lay off workers.

Research Economist Dr. Jim Gaines added that the increased corporate profits have come from reduced costs, not the kind that leads to expansion.

"Keep your eye on these three issues," Dotzour said. "When they are resolved, the economy will begin to turn the corner."

Report says recession ended in August for Austin - Austin Business Journal:

Report says recession ended in August for Austin - Austin Business Journal:

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8,000 Reasons To Buy

By Michele Chan Santos

SPECIAL TO THE AMERICAN-STATESMAN

Sunday, October 11, 2009

If you've been dreaming and saving to buy your first home, the next few weeks present a unique opportunity.

For first-time home buyers whose income falls within certain limits, purchasing a house, condominium or townhome might make them eligible for a tax credit worth 10 percent of the purchase price of their home, or $8,000, whichever is less. This amount reduces the amount of taxes you owe, or increases your refund, dollar for dollar, according to the IRS. For example, if you normally would have a refund next spring of $100, with a qualifying home purchase your refund could be $8,100.

Because of the tax credit and other factors, "my perception is that it's a great time to buy," says Carol Dochen, who has been in real estate for 28 years. She is the owner of Carol Dochen Realtors.

"Interest rates are at a historic low," Dochen says. "Because the market has dipped, you will be buying at a lower price point instead of a higher one."

Amy McGowan, an agent with Keller Williams, says she's been urging her clients to understand the unique benefits of this tax offer.

"The biggest thing I try to tell them is, say they are looking at a $200,000 home, the tax credit is equal to a 4 percent appreciation in value," McGowan says. In fact, it's a financial bonus that requires little effort on the buyer's part. "It's money that comes to you in your mailbox."

Here is a guide to what you need to know to take advantage of the tax credit and get into your first home before the holidays:

Who is eligible for the credit?

People who filed individual income taxes for an income of $75,000 or less, or couples who filed jointly with an income of $150,000 or less. You must not have owned a home within 36 months of your date of purchase. You must occupy the property you buy as your primary residence (this program is not for people who want to buy something and rent it out, nor does it apply to vacation homes).

When do I need to have found a house?

Right now. Late October might be pushing it. "The program as we know it ends Nov. 30," says Diane Dopson, owner of Diane Dopson Properties. "This means that you must have closed on the house by that date. It is possible that the government will extend the deadline, but in case this does not happen, the latest time to have a house under contract would be mid-October," Dopson says. "Loan approval is taking four to six weeks." In other words, once you find a house and put it under contract, it could take another four to six weeks before you are able to close on it, and that needs to be done before Nov. 30.

"Try to be under contract no later than Oct. 25," Dochen says.

What should I do first?

If you have not already done so, you should get preapproved for a home loan and find a reliable real estate agent to help you shop for a home. You need to know what price range to search, as well as the part of town you'd like to live in.

"We sit down with our clients and have them talk to a lender, so we can show them the right-priced property, and we match neighborhoods to that price range," Dochen says.

Should I buy a house just because the tax credit is available?

"Be careful and make sure that for your personal situation, you are ready," says Nancy Taute, an agent with Carol Dochen Realtors. "You need to be ready to accept responsibility for homeownership." She cautioned that buyers need to be prepared to be able to sustain six months to a year of mortgage payments in case they lose their jobs.

For those who are financially ready, the time couldn't be better.

"If you are prepared, if you have done your budget and your job is secure, it's time to get serious," McGowan says. "The combination of low interest rates, the tax credit and affordability in the market" make it worth pursuing homeownership now, she says.

What types of properties does the credit apply to? Can I buy the property from anyone?

You can buy a single-family home, townhouse, condominium or mobile home (and the land under the mobile home), as long as it will be your primary residence, according to the IRS. You cannot buy the property from your parents or grandparents, or from your children, grandchildren or your spouse.

If I buy a house and receive the tax credit, but end up moving next year, do I have to pay the government back?

Yes. You must repay the credit if the house stops being your primary residence (your home) in the 36 months following the purchase date. As long as you live in the house for 36 months after you buy it, you don't have to pay the credit back, Dochen says.

How do I receive my tax credit?

You can file an amendment to your 2008 taxes, or wait and file it with your 2009 tax return. You will be filing Form 5405. Go to www.irs.gov for more information at http://www.irs.gov/newsroom/article/0,,id=205416,00.html.

What price range are most first-time home buyers looking in?

Most first-time home buyers are probably looking at properties between $100,000 and $350,000, Dopson says.

Angela Brutsch?, spokeswoman for the Austin Board of Realtors, says there has been a definite rise in the percentage of sales in houses in the $100,000-to-$150,000 range.

In August 2008, sales in this category made up only 3.7 percent of the houses sold that month, but this August, that category made up 7.9 percent, more than double the former amount.

In August, 55 percent of the houses sold were in the $100,000-to-$200,000 range, and another 19.2 percent were in the $200,000 to $300,000 range. Together these made up 74.2 percent of the homes sold.

The number of sales in "these price ranges are trending higher than last year," Brutsch? says, because they are popular with first-time buyers taking advantage of the tax credit.

What Central Texas neighborhoods are popular with first-time home buyers?

First-time home buyers looking in the $100,000-to-$200,000 range and seeking a three-bedroom, two-bath house are looking in Cedar Park, Leander and Round Rock, as well as in Rancho Alto in Southwest Austin and Olympic Heights in South Austin, McGowan says.

Other neighborhoods popular with first-time home buyers include Maple Run, Westcreek, Cherry Creek, University Hills, Windsor Park, Balcones Woods and Pioneer Crossing, Taute says. Pflugerville, Buda and Kyle are also in demand.

Any other last words of advice?

The real estate agent's mantra is "location, location, location," and that holds true in this situation as well, the agents say. "Make sure the location works for you, job-wise, community-wise, school-wise," Dochen says.

Arlene Maze, an agent with Carol Dochen Realtors, says, "Do the morning and afternoon commutes from the house. Go to your activities to and from there. It has to work with your lifestyle."

Where can I look if I have other questions?

Talk to your real estate agent. In addition, there is a lot of information about the program at the IRS Web site: http://www.irs.gov/news room/article/0,,id=206291,00.html.

Upscale Riverside development a test case for lakeside high-rises

Houston developer offers to pony up for affordable housing - but is it enough?

By Marty Toohey
AMERICAN-STATESMAN STAFF
Thursday, September 24, 2009

As part of a special zoning agreement, a developer who wants to build an upscale East Riverside Drive apartment complex has offered almost $4 million for low-income housing in Austin. But as the City Council prepares for a possible vote today on the plan, a last-minute question has emerged: Is $4 million enough?

Grayco Partners says it's giving the city a generous contribution to offset the loss of 600 relatively low-cost units, in addition to enhancing public waterfront access and numerous other concessions.

But critics of the project say that, based on an opinion issued late Tuesday by the city's legal department, Grayco should have to pony up closer to $8 million — an amount Grayco says would kill the project.

The $200 million project — which pits a Houston developer, Grayco, and advocates of a denser urban core against neighborhood activists who oppose high-rise development near Lady Bird Lake — was postponed by the council a month ago and has become a test case for new city zoning rules and priorities.

Differing interpretations of those rules have bogged down the project and may further delay a final council vote.

Grayco and city officials were working frantically Wednesday to resolve those differing interpretations.

Council members said some significant questions remain unresolved going into today's council meeting.

"Clearly there's some confusion in all this," said Council Member Randi Shade, who added that she thinks a final vote is unlikely today.

The developer wants to build four buildings, with 1,200 apartments and 97,000 square feet of street-level retail space, on about 30 acres bounded by Riverside, South Lakeshore Boulevard and Tinnin Ford Road.

Grayco wants permission for one building to be up to 120 feet tall and two others to be up to 90 feet tall.

But the area's zoning rules cap heights at 40 feet.

So Grayco is asking for special status as a "planned unit development" — a designation that allows the City Council to waive height limits and other zoning regulations.

The over-arching idea is that a development can be higher, denser or otherwise different than zoning normally allows if its builders can prove the changes make it "superior."

That judgment is at the discretion of the City Council.

Previously, debate had centered on whether Grayco's buildings were too tall and whether the development would give the city enough other goodies to be worth the extra height.

Grayco's proponents said the project's height is fine given what the developer is offering in exchange: more people living in the city center, increased waterfront access, $25,000 for renovation of the historic Norwood House nearby, and a retention pond that will capture about 22,000 pounds of pollutants that wash into Lady Bird Lake every year, among other concessions.

But critics said the project violates the spirit of new height limits established along the lake earlier this year. Neighborhood activists pushing for those limits said they feared high-rise projects could spoil vistas of the lake and block public access.

Late Tuesday, the city's legal staff threw a curveball.

Earlier this year, the council passed guidelines to set criteria for a "superior" development worthy of special zoning status.

Among those criteria was a donation to build low-income housing or pay property owners to provide it. In this case, low-income means a household income of $58,650 for a family of four.

Grayco figured that amount was about $3.7 million to help replace elsewhere the 600 units that would be torn down to make way for the project.

But the city's legal department, interpreting the guidelines differently, calculated Grayco would need to contribute $7.8 million, according to a memo sent Wednesday afternoon to council members.

Steve Drenner, Grayco's attorney, said the requirement is "beyond the pale."

"We can't get anywhere near it," he said.

The council has discretion to deviate from that, or any other, criteria.

Council members reached this week said they generally wanted to follow the rules, but some were considering whether to make an exception. Council Members Bill Spelman and Chris Riley said they were still trying to determine the proper trade-off for 600 units.

"I'm pleased to see this kind of redevelopment in such a crime-filled area," Council Member Sheryl Cole said. "From what I can see, it meets our criteria and should be approved."

Council Member Laura Morrison, a Grayco critic, said the council should require the entire $7.8 million. Morrison said that's one of a number of problems she has with the project.

"At this point," Morrison said, "I'm not inclined to support it."

Austin among best performing U.S. metros

Tuesday, September 15, 2009

Austin Business Journal

Austin and San Antonio will be the first two U.S. cities to recover from the recession, according to a new national forecast from IHS Global Insight.

The forecast from the Lexington, Mass. economic research firm suggests the two Texas cities will bounce back to their pre-recession job levels sometime next year.

Eight other metropolitan areas are predicted to recover by 2011, a group that includes Texas’ two largest markets, Dallas-Fort Worth and Houston, along with Washington, D.C.

IHS Global Insight said most metros will start adding employment next year, but the increases are likely to be tepid. “Solid gains will not return for the majority of the country until 2011,” the report said.

Austin is also named one of the 20 best performing metropolitan areas in the second quarter of 2009, according to a study by the Brookings Institution.

The second quarter MetroMonitor report tracked nine metrics in 100 U.S. metro areas, and found Austin was a leader in many of those, from percent change in gross metropolitan product to percent change in housing prices.

Employment in Austin fell 0.5 percent from its pre-recession peak, that was the second-narrowest gap in the nation. The Texas Capital was also one of only three metro areas that surpassed their pre-recession peak output by the second quarter of 2009. Along with the other two cities, McAllen and Washington D.C., Austin was one of those least affected by the downturn.

The report’s authors said the figures reveal some stark differences in economic performance among metro areas.

“Signs at the national level that job and income losses are slowing continue to mask the highly variable performance of individual metropolitan economies,” said Alan Berube, co-author of the report. “While several metro areas may have reached a turning point, there are many others that still have not touched bottom, as well as a few that have almost fully recovered.”

Texas had the strongest showing, with six cities among the 20 strongest metro areas: Austin, Dallas, El Paso, Houston, McAllen and San Antonio. Florida dominated the list of the 20 weakest metro areas with eight, including Bradenton, Cape Coral, Lakeland, Miami, Orlando, Palm Bay and Tampa.

For the full report, click here.

Rehabbing? Value Added Repairs Are Crucial.

What repairs should you do when rehabbing a home?

When investing in rehab properties, you often run into homes that are in really bad condition. These are the homes I love that are in complete disrepair, ugly and unlivable. To many this is a turnoff and says headaches. To rehab investors it says profits and the evaluation process begins. When creating your rehab list and budget, it is crucial to focus on completing Value Added Repairs. Items that add value usually have to do with Kitchens, Bathrooms and Curb Appeal.

It is key to get people to fall in love with your property and get emotionally attached. They must imagine themselves living in the home and it starts with the property being inviting when they first lay eyes on it. The first impression must be “WOW.” The home is inviting with nice landscape, fresh paint and some pop in the colors used. Sometimes it is as easy as adding a little paint and cleaning up the landscaping. Putting about 2K into Curb Appeal can often increase value significantly.

Then they enter and find warm neutral colors and new or at least nice flooring. But the Kitchen is usually the place they head. Women love kitchens and this will be a huge part in the purchase decision. Don’t overdo it though, putting in a 40K kitchen into a 100K home does not make sense. Spending 5K could with nice appliances can already get the buyers thinking about cooking and enjoying dinner with family and guests.

The 3rd part of the home where significant value can be added is the Bathrooms, especially the bath in the Master bedroom, the one the buyers will be using. They will instantly imagine using the bath and what it will be like to sleep, live and spend time in this Master bedroom and bathroom. Adding a bathroom or converting a half bath to a full bath can also add significant value to buyers with children.

Finally, the mechanics, plumbing, electrical, roof, foundation, etc must not create red flags during the inspection period. That can kill a deal really quick. It is important to not go overboard on items such as finishing a basement, materials that overshoot what is common and expected in the neighborhood and doing any upgrades that will not add value. If you ask yourself, will the $ I am spending on this repair add value to the sales price? If not, save the money. Focus on Value Added Repairs with Kitchens Bathrooms and Curb Appeal.

source real return | real estate

Austin Home Sales Reaches 2008 Pace for July

Area Market Statistics

Austin-area home sales volume continues momentum, reaches 2008 pace for July

Austin Board of REALTORS® releases July 2009 real estate statistics

August 20, 2009 - According to the July 2009 Multiple Listing Service report by the Austin Board of REALTORS®, the volume of Austin-area home sales reached 2008 levels for the first time this year.

In July 2009, 2,069 homes were sold, statistically unchanged from the 2,068 homes sold in July 2008. The median home price for Austin in July 2009 was $191,500, a two percent decrease from the same month the prior year.

“The sales volume momentum in Austin continues, now reaching 2008 levels. That’s good news, but I think it’s even better news that we’ve achieved that increase while maintaining a steady median home price,” said Jay Gohil, chairman of the Austin Board of REALTORS®. “Throughout 2009, the median price has fluctuated only slightly compared to 2008. Looking back further, prices have remained above 2007 levels, one of the most lucrative years of the last decade in Austin real estate. That long-term price stability, particularly in the face of market fluctuations, bodes well for Austin’s future.”

July 2009 Statistics

• $508,810,549 was the dollar volume of single-family properties sold

• $191,500 was the median price, a two percent decrease from one year ago

• 2,069 was the number of homes sold, unchanged from July 2008

House Hunting & Battle of the Sexes

PARSIPPANY, N.J. (Coldwell Banker) – Men may be from Mars and women from Venus, but every day millions of couples must work through those differences to make life-altering decisions. Like buying a home, for instance.

Coldwell Banker Real Estate LLC recently enlisted International Communications Research to survey 1,000 individuals to find out how much men and women differ in the homebuying process.

Some highlights from the study:

• When asked how long it took before they knew their home was “right” for them, almost 70 percent of women had made up their mind the day they walked into the house, versus 62 percent of men.
• Fifty-five percent of women find it more important to be closer to their extended family than to their job, compared with only 37 percent of men.
• Sixty-four percent of women said that if they found the home of their dreams but had concerns about its security, they would no longer be interested. More than half of men agreed (51 percent).
• When respondents were asked how they would use a spare 12x12 room, the uses that proved most popular with both men and women were bedroom, office/study and family room.
• Of the 8 percent who indicated they would turn that spare room into an entertainment center, it was a preponderance of men leading the charge. In fact, four times as many men as women said they would use the extra space for recreation and entertainment.

Austin Homes Sales Hit Highest Level In A Year

By Claudia Grisales
AMERICAN-STATESMAN STAFF
Tuesday, July 21, 2009

Austin-area sales of existing homes hit the highest level in a year last month, according to figures Monday from the Austin Board of Realtors.

Last month, 2,135 single-family homes were sold in the area, down 4 percent from a year earlier. That was the smallest decline since a 2 percent drop in July 2007, when the market began to soften amid an emerging national mortgage crisis.

This year, sales were down 19 percent in May and 18 percent in April from a year earlier.

Pending sales — those in the pipeline to close in July — were up 4 percent, to 2,084.

"We've seen the year-over-year gap in sales volume close steadily throughout 2009, and that momentum continues this month," said Jay Gohil, chairman of the Board of Realtors.

Jim Gaines, research economist for the Real Estate Center at Texas A&M, said there's not yet a clear signal that the Austin market has hit bottom.

"That's the $64 million question," he said.

He said Texas is seeing more signs that the recession has landed with full force, such as a weakening job market — including in Central Texas — and falling sales tax revenue.

But there is growing evidence nationwide that the housing market is starting to stabilize. Combined, sales of new and existing homes hit an annual rate of 5.1 million in May, the highest level this year.

In Central Texas, the market is benefiting from low mortgage rates and a healthy supply of homes for sale. Another strong incentive: an $8,000 federal tax credit for first-time buyers who close on a home before Dec. 1.

But the market faces a long climb back. Home sales last month were down 23 percent from June 2007.

Mark Sprague, Austin partner for Residential Strategies Inc., which tracks the housing market, said the Austin market appears to be improving.

As fewer developers build homes and the number of available lots continues to shrink, it will mean more demand for existing homes, he said.

"Resales are a little better," Sprague said. "I'm cautiously optimistic."

Sprague reiterated that the Austin market has not slumped as deeply as the national market. The median home price in Austin last month was $199,900, unchanged from a year ago. Nationwide in May, the latest data available, prices were down 15 percent from a year earlier.

Mortgage broker Ashley Hall said June was a busy month for her firm, with a large percentage of homebuyers looking to move to Austin from destinations such as California and Arizona.

"We have seen a great deal of activity," said Hall, president of Barton Hills Mortgage.

Hall said her firm saw purchases increase about 15 percent in June. Of those, 60 percent were buyers moving from other cities or states, and 40 percent were previous customers moving to bigger or better homes. The average purchase price was in the $450,000-to-$500,000 range, with a few sales over $1 million.

Tom Polk, a broker associate with Stanberry & Associates, said June's figures finally reflect what he's been seeing in his own business.

Polk said he's also received interest from prospective homeowners looking to move to Austin as well as investors.

"It's about time," he said. "There is a distinct change in activity and attitude out on the street."

Austin market shows strength in second quarter 2009

Austin Board of REALTORS® releases June 2009 real estate statistics

July 20, 2009 - According to the June 2009 Multiple Listing Service report by the Austin Board of REALTORS®, the volume of single-family home sales in June 2009 was 2,135, down four percent from June 2008, and the median price was $199,900, unchanged from June 2008.

"We've seen the year-over-year gap in sales volume close steadily throughout 2009 and that momentum continues this month," said Jay Gohil, Chairman of the Austin Board of REALTORS®.

Home prices in the Austin area have also continued to gain momentum from the beginning of the year. Over the first two quarters of 2009 (January 2009 to June 2009), the average sale price for a single-family Austin home has increased $20,824, while median sales price has increased $24,400.

Also, from January 2009, sales volume is up 61 percent and active listings are up 14 percent. “This signifies a healthy Central Texas real estate market and good news for both local home buyers and sellers,” said Gohil.

June 2009 Statistics

• $537,981,570 was the dollar volume of single-family properties sold

• $199,900 was the median price, unchanged from one year ago

• 2,135 was the number of homes sold, a 4 percent decrease compared to June 2008

Need a fresh start? Move to Austin!

According to a recent report from Relocation.com, Austin, TX is the BEST city in America to start over and seek out new economic opportunities.

75% of my clients have relocated from outside the state of Texas. What brings them here? Job opportunties, affordable real estate and a better quality of living. Yes, it's hot here...but Austin, TX has such a cool vibe.

Read the Relocation.com report at http://www.relocation.com/library/fresh_start_release.html

Austin, TX...A Booming Technology Center

Bizjournals recently developed a "5 part formula" to identify cities with the highest concentration of high-tech companies, technology oriented jobs, and employees with advanced degrees. It's a no-brainer that San Jose ranks first. However, not too shabby that Austin, TX comes in at #7. Too bad that American Airlines is cancelling the "nerd bird" direct flight between these two high-tech hot spots.

Read more at http://austin.bizjournals.com/austin/stories/2009/05/11/daily7.html?ed=2009-05-11&ana=e_du_pub

Texas Dominates In Job Growth Potential...Austin #1 On List

The trend for Texas is to continue bucking national trends. All this good press is good news for the Austin real estate market.

Austin ranks No. 1 on the list of big cities for employment potential from NewGeography.com. See the entire list at http://www.newgeography.com/content/00745-large-cities-ranking-2009-new-geography-best-cities-job-growth

Ten Cities Where Americans Are Relocating

In Forbes Top 10 List of these cities, the state of Texas fares well with people seeking new opportunities and change. Many Texas cities are popular relocation destinations...Austin is tops ...coming in at #2 nationwide. What sets Austin apart? One of the lowest unemployment rates in the country, and of course, its vibrant music, film and fine arts scene.

Read more at http://www.forbes.com/2009/03/30/americans-moving-cities-lifestyle-real-estate-relocating_slide_10.html?thisSpeed=15000

Construction Down Now...Supply Down Later

New home construction down 47%. The Austin area is moving towards some of the lowest new home inventory levels we have seen in our market the last 10 years.

Forbes: Top 10 Things To Buy Before Recession Ends

"Housing" is #1 on the list...(Diamonds also make the list...go figure)

Read more at http://tiny.cc/ovkHs

Austin 2nd Fastest Growing City In The Nation

Austin was the nation’s second-fastest-growing metropolitan area between 2007 and 2008, according to new data from the U.S. Census Bureau.

Read more at http://austin.bizjournals.com/austin/stories/2009/03/16/daily51.html?ana=e_du_pub

Why people relocate to Austin...25 reasons to name a few

"The quirky Texas capitol sways to the strum of its own guitar"

Read more at http://www.msnbc.msn.com/id/29035482/