Austin Real Estate Guy Blog

Falconhead West

Sam Chapman — Fri, 05 Feb 2010 18:59:00 GMT

I drove through Falconhead to get to the model homes in Falconhead West and was pleased to see so much new home construction. I had driven through there a couple of months ago and there was little happening. There must be a dozen new homes under construction on or right off of Vail Divide, the main road through the subdivision.

Of the perhaps 80+ homes in Falconhead West, 41 show as sold in the MLS in 2009. That is a lot of new construction in an area that has seen fairly slow home sales.

Austin Homes for Sale – How to Stand out from the Crowd!

Sam Chapman — Thu, 04 Feb 2010 23:17:00 GMT

Let’s face it. There’s a lot of competition on the market right now for Austin homes for sale, and you need to stand out from the crowd to capture a buyer. But not to worry! Here are a few of our tried and true methods to make your Austin Home shine. We’ll show you 3 big time strategies to get a buyer touring your home and falling in love when they arrive.

1. Great Photography
90% of today’s buyers rely on the internet to find Austin homes for sale. More often than not, they are looking at three inch pictures and spend an average of seven seconds viewing each listing. That means that pictures of your house must not only grab the buyer’s attention, but must also tell the complete story of your house in just a few seconds. Having great pictures of your home can mean the difference between a potential buyer browsing over your house or compelling the buyer to schedule a showing. And buyers must experience the house in person before they can make an offer. We make sure every one of our listings has great photos to captivate buyers.

2. Smart Marketing
Marketing is everything in today’s real estate environment. The era of buyers driving through neighborhoods searching for Austin homes for sale has been more or less replaced by the internet. Maximizing the home's internet presence will not only ensure your home is visible to all buyers of Austin homes for sale, but will also reel in buyers by the bucket-full. Our sellers get the full benefit of having an internet-savvy professional marketing their Austin homes for sale.

3. Stage Your Home
There is nothing more important than producing a “wow” factor when potential buyers walk in your front door. Have you ever noticed how brand new model homes look unrealistically amazing? You walk in the home and think “this is luxury.” What if your home could show like a model? It can make a big difference in the amount a buyer will offer -- $3000, $5000, $10,000 or more! After personally touring 100’s of Austin homes for sale, we tell our clients exactly what changes can make the most impact for the least amount of time and money. This one service alone ensures our clients get top dollar for their home.

And remember, you’re not alone in selling your house. If you want to make your home stand out in the crowd of Austin homes for sale, Contact Us and we will ensure your home is the shining star of Austin. We’ll ensure Your Austin Home sells fast and for Top Dollar.

Guest post from the Colorado Springs Real Estate Team.

More Austin Real Estate Market Stats From Alamo Title Co.

Sam Chapman — Tue, 02 Feb 2010 23:19:00 GMT

The Austin Market:
The number of active listings are down 4.84% from last year during the same week.

New listings are down 6.29%.

Pendings are up this week by 17.91%.

Sold residential units are up 16.67% compared to the same week last year.

Units for Sale:
Jan. 24 - Jan. 30, 2010
(compared to the same week in 2009)
New listings down this week 6.29%
Pendings are up this week 17.91%
Solds are up 16.67%

As for Average Prices:
Jan. 24 - Jan. 30, 2010
Sold average sales prices increased 6.84% to $245,733. In 2009 it was $229,997 for the same week.

Preliminary January 2010 Data:
Units for Sale: (compared to January 2009)
New listings are up 2.62%.
Pendings are up 8.99%.
Solds increased by 21.90%

As for Average Prices:
The "New Listings" average list price is down 10.93% to $285,225. In January 2009 the average list price was $320,225.
Sold average sales prices increased 6.38% to $236,985. For January 2009 it was $222,775.

Preliminary January 2010 Data:
Units for Sale: (compared to January 2009)
New listings are up 2.62%.
Pendings are up 8.99%.
Solds increased by 21.90%

As for Average Prices:
The "New Listings" average list price is down 10.93% to $285,225. In January 2009 the average list price was $320,225.
Sold average sales prices increased 6.38% to $236,985. For January 2009 it was $222,775.

Sam's Comments: lower prices are not a big surprise, but I would like to see a breakdown from low to high. The big discounting of high-end homes must be helping keep average prices across the area down. Seeing the volume of pending home sales and actual homes sold is encouraging. Let's see if it keeps up.

One thing we are seeing is fewer listings coming on the market and more listings selling. People may be waiting another month or so to put homes back on the market. But if sales stay ahead of new listings, inventory will go down. Assuming demand continues high, we may finally see enough of a reduction of inventory to push prices up.

Austin Job Growth – Where Are They Coming From?

Sam Chapman — Sun, 31 Jan 2010 17:53:00 GMT

Austin is set for a slow, but steady recovery this year and that starts with job growth. According to economist Angelou Angelous, the Austin area will continue to lose jobs in manufacturing and constructions, but we will see growth in education, health care, professional services, government, financial services and in other areas. Angelous says that the Austin area will add 26,000 jobs over the next 2 years and that over 100,000 people will move here over the next 2 years.

According to the Austin Chamber of Commerce, Absolute Software, CyrusOne Data Center, Red Oxygen and SmartSpark Energy Systems all either opened headquarters or moved offices here in 2009. The latest news is that LegalZoom may open a regional headquarters here and that could bring 600 more jobs over the next 5 years. New jobs and people moving here even without jobs is good news for the Austin real estate market.

Many of the people moving here will lease apartments or homes, but many more will purchase. This year is still likely to see flat home prices in most areas and decreasing prices above $800,000, but we may see an overall increase next year in the low and mid-price ranges. High end homes will probably struggle in terms of prices for several years. People moving to Austin who are looking at higher end homes may be able to score some decent deals for a while.

FHA Changes: It Could Have Been Worse

Sam Chapman — Sat, 30 Jan 2010 15:56:00 GMT

From guest blogger Steven Bray of Texas Lone Star Lending:

On January 20th, FHA announced changes in its residential loan programs designed primarily to prevent the insolvency of the FHA insurance fund. The fund insures lenders against loss when FHA loans go bad. More than 14.4% of FHA loans were delinquent (payments more than 30 days late) at the end of the third quarter 2009, and another 3.3% were in the foreclosure process. In its most recent audit, FHA reported that its capital reserves had fallen below the congressionally-mandated two-percent of its loan portfolio, and some industry experts are concerned that the fund eventually will require a bailout from the Treasury.

The changes designed to head this off include:

- An increase in the upfront mortgage insurance fee (UFMIP) paid by borrowers at closing from 1.75% to 2.25% of the loan amount;

- An increase in the minimum down payment for borrowers with credit scores below 580 from 3.5% to 10%; and

- A decrease in the maximum amount a property seller is allowed to contribute to the buyer's closing costs (seller concessions) from 6% to 3%.

The changes could have been worse. Most buyers add the UFMIP to their loan balances rather than pay it at closing, so the UFMIP increase is unlikely to discourage buyers. Very few lenders currently approve loans for borrowers with credit scores below 580, so the higher down payment standard will affect few potential buyers. Besides, a credit report can have a few hickeys, and the score still can exceed 580.

The most significant change is the decrease in the maximum seller concessions. The change makes FHA's guidelines consistent with conventional loan guidelines. It is said the change was aimed at arresting the practice of sellers increasing their sales prices to absorb buyers' closing costs.

FHA left the monthly mortgage insurance premium rate as it is - for now. FHA indicated it would like to increase the rate, but this requires congressional approval. An increase in this rate will reduce the number of qualified buyers because a higher premium raises the buyers' debt ratio, which, of course, is one of the primary loan qualifying factors.

Questions about mortgages in Texas? Call Steven at 512-261-1542 or 877-546-7079.

Schlitterbahn is Coming to Cedar Park

Sam Chapman — Wed, 27 Jan 2010 23:33:00 GMT

Schlitterbahn will build a 95 acre water resort park in Cedar Park. That will make a lot of people very happy. Cedar Park will pick up over 1,000 jobs and will get tons of tax revenue. She the story here.

Two different reports show anywhere from $200 million to $300 million for the cost of the resort, which will inclucde a convention center. It has been estimated that the resort could bring Cedar Park will result in around $2.5 billion of revenue in the city over 30 years. That will bring in a huge amount of tax revenue for Cedar Park.

OK, that's all well and good for the city and for people who love water parks, but what about Lake Travis? People are already up in arms about so much more water being pulled out of the lake for residential development. How much more water will be pulled by this water park?

Lakeway Condos - The Vistas at Lakeway

Sam Chapman — Wed, 27 Jan 2010 16:55:00 GMT

The Vistas at Lakeway is a fairly new Toll Brothers condominium development off RR 620 in Lakeway. The condos are set back from behind 620 behind a small field and they are surrounded by a nature preserve, making the back of many of the units quite private.

The condos have nice a finish-out and the amenities are nice. Kitchens have granite counters and stainless steel appliances. The cooktops and water heater run on propane rather than electricity. Each unit also has a built-in security system. Included in the Association fee are water, sewer, weekly trash and recycling, landscaping, exterior maintenance and insurance and common area maintenance. Also onsite is a nice amenities center with a gym, pool and cabana.

The Vistas is close to almost anything residents need. It is about half way between Lohman’s Crossing and Lakeway Blvd., making convenient to area restaurants and shops. The Hill Country Galleria mall is 10 minutes away and other major retail is just as close. In addition, a new hospital site has already done site work in Lakeway. People with kids looking at the Vistas should also know that their kids will be in Lake Travis schools, which are excellent.

The condos run from between 1,700 and 2,500 square feet and prices have been running in the low to mid $200,000s. Most units have three bedrooms, 2 1/2 baths, covered balconies, lofts, studies and two attached garage spaces. Toll Brothers has sold 27 units and they have 3 waiting to close. There will be a total of 173 units when the Vista is completely built out.

Austin Home Buyers are Back

Sam Chapman — Thu, 21 Jan 2010 21:21:00 GMT

I posted early in the month about the amount of activity on my website picking up a lot. This was based on the number of website visitors registering to use my property search feature jumping. I have another indication that things are heating up for the Austin real estate market.

I use a property search feature that give me some pretty good stats about my traffic. As of January 20, I have had 2,716 visitors on my Austin real estate website. Another thing measured is the number of maps being viewed. Any time a visitor changes something about the map, it is a new map view. So if a visitor does something like moving the map or zooming in or out, that is a map view. I have had 17,894 map views through the 20th. The way these numbers project out, my website will have more visitors in January of 2010 than in any month last year and almost aany map view as May, 2009.

Oh, one more thing... I have had more phone calls and emails for information or showings so far this month than I remember having in any month in 2009. As encouraging as all of this is, what will really tell me something is when some of these folks start writing offers. That is what I hope to see starting soon.

Lake Travis to Rise Soon?

Sam Chapman — Thu, 14 Jan 2010 20:54:00 GMT

The latest forecast is calling for fairly significant rain in south and central Texas over the next several days. Below is a map showing the rainfall forecast. If this system does what it is forecast to, the heaviest accumulations will be just to our south. However, the Hill Country could see 2-3 inches. Once the ground becomes saturated, and that shouldn't take much, heavy rain could cause water to rise over some roads at low water crossings. The heaviest rain may come tonight. It can be very difficult to tell how much water is covering a road and low water crossings can appear quickly. So if you are driving Hill Country roads after dark and there has been heavy rain, be careful.

Also, if enough rain falls in the right area, which is west and northwest of Austin, Lake Travis could come up a few feet. If the system hits a bit farther north and west, the lake could see a much more significant rise. People using Lake Travis for recreational purposes, like boating, would love to see the lake come up. People with Lake Travis waterfront homes or homes on the Pedernales River would also love to see Lake Travis rise.

Questions about Lake Travis property? Call Sam at 512-293-2422.

The End Is Near...

Sam Chapman — Thu, 14 Jan 2010 19:41:00 GMT

...for Austin home buyers wanting to take advantage of the tax credit.

From Austin lender, Steven Bray:

In November, Congress passed an extension and expansion of the homebuyer tax credit. If you're considering purchasing a home, read the details carefully. This program could put as much as $8,000 in your pocket.

The tax credit is available to both first-time homebuyers (haven't owned a primary residence in the last 3 years) and so-called "long-time" homebuyers (have lived in the same home for at least 5 consecutive years in the past 8 years). Importantly, a buyer is eligible for the tax credit if he/she uses a co-signer, even if the co-signer is ineligible. (In other words, a parent can co-sign for a child.)

The credit is 10% of the home's purchase price up to a maximum of $8,000 for first-time homebuyers and $6,500 for long-time homebuyers. The purchase contract must be dated on or before 4/30/10, and the transaction must close on or before 6/30/10. (A special provision extends the date an year for active military personnel.)

The buyer must purchase the home as his/her primary residence, and the maximum purchase price is $800,000. Multi-unit (2 to 4-unit) properties are eligible as are condos, manufactured homes, and new construction.

Income limits apply: $125,000 for single and $225,000 for married. (The credit is available up to $145,000 and $245,000 at a reduced amount.)

Important restrictions include:
- Buyer must be 18 years or older;
- Buyer cannot purchase the home from a close relative;
- Buyer cannot be a non-resident alien; and
- Buyer cannot purchase the home from a decedent.

The IRS has some okay information in its Web site. You have to poke around a bit. I found the "questions and answers section" particularly helpful.

Questions about the credit or qualifying for a mortgage? Contact Steven at 512-261-1542. Questions about Austin real estate? Call Sam Chapman at 512-293-2422.

Austin Tops Another List

Sam Chapman — Mon, 11 Jan 2010 20:53:00 GMT

I found a posting on Facebook today that shared a link to a story about the best metro areas in the country for jobs in 2010 - Texas had 4 of the top five. Said about Austin: "Due to its well-prepared grads of top research institutions and its entrepreneurial spirit as evidenced by the high rate of self-employed workers, Austin has been cooking up a hot economy in recent years. It has been recruiting a lot of technology companies, due to low business costs in the area. Plus, Austin is positioning itself well in the clean tech industry, giving it an excellent outlook for the foreseeable future."

The report did not make any of these cities look terribly exciting because none is extremely healthy, but they are far better off than many other areas of the country. Austin still seemed to have a lot of people moving here. Some are coming for jobs and some just because they can work from anywhere. Some are coming with hopes of finding work.

See the report HERE.

Austin Real Estate Stats and Thoughts About Rising Mortgage Rates

Sam Chapman — Mon, 11 Jan 2010 16:34:00 GMT

From Alamo Title Co.:

The US Real Estate Market:
Last chance to refinance below 5%
If you want to refinance your mortgage into a loan with a sub-5% interest rate, better hurry. Your window of opportunity is closing fast.
To read to full article visit the following link:
Money.CNN.com

The Austin Market:
The number of active listings are down 0.46% from last year during the same week.

Pendings are down this week by 5.13%.

Sold residential units are up 11.11% compared to the same week last year.

How are we doing on sales prices?

The Week in Review
Units for Sale:
Jan. 3 - Jan. 9, 2010
(compared to the same week in 2009)
New listings down this week 0.46%
Pendings are down this week 5.13%
Solds are up 11.11%

As for Average Prices:
Jan. 3 - Jan. 9, 2010
Sold average sales prices increased 8.82% to $263,437. In 2009 it was $242,093 for the same week.

The Month In Review:
Preliminary December 2009 Data:
Units for Sale: (compared to December 2008)
New listings are down 6.36%.
Pendings are down 3.23%.
Solds increased by 2.45%

As for Average Prices:
The "New Listings" average list price is down 7.30% to $278,378. In December 2008 the average list price was $300,316.
Sold average sales prices increased 8.37% to $258,861. For December 2008 it was $238,867.

Did You Know...?
That we had 10,154 active listings during the same week in 2009? Today there is 9,398 active listings! That is 7.45% decrease from last year.

The Longhorns Future With Garrett Gilbert

Sam Chapman — Fri, 08 Jan 2010 20:19:00 GMT

Like so many others, I watched Texas lose to Alabama last night. When Colt McCoy went out after the Th play and went into the locker room, you could almost hear the air deflate out of Texas fans everywhere. Garrett Gilbert came in as a true freshman who took hardly snaps and barely got to throw a pass all season. I watched Garrett Play at Lake Travis High School and knew he had tremendous talent.

The play calling with Gilbert came in became ultra-conservative. I think the coaches were playing things very carefully waiting for Colt to go back into the game and that just didn't happen. When the team and the crowd realized Colt was done, the game could have been over for the Longhorns. The defense, which could have become very discouraged, played very well most of the game. The offense was flat and Garrett barely threw the ball until the third quarter. The intercepted shovel pass toward the end of the first half would have killed the confidence of most teams and I think many people expected Texas to come out flat in the second half.

But things changed. Somebody decided that the game could not be won unless they let Gilbert show his skills. Keep in mind that Gilbert thres for over 15,000 yard in high school and was the most highly recruited QB in the country. Keep in mind also that he was facing one of the toughest defenses in the country. So what happened? Texas let Gilbert throw the ball.

As you would expect from any rookie quarterback being thrust into a situation like last night, Gilbert made some mistakes, but he also showed remarkable poise. His receivers dropped too many passes, but Gilbert remained confident. He showed good judgment much of the time, throwing the ball at the receiver's feet or out of bounds when his guys were covered. He pulled the ball down and ran when he needed to. Gilbert lead the Longhorn offense down the field and threw two touchdown passes. Gilbert's stats didn't look good, but neither did the score. He completed 15 of 40 passes, but threw for almost 190 yards against a very tough pass defense. Gilbert threw 4 pics and had one fumble, but three of these turnovers were not his fault. The shovel pass was bobbled by the receiver, one interception was good defense and the fumble was because a lack of protection. His performance was better than what the stats show and the game was a whole lot closer on paper than the score indicated.

It will be tons of fun to watch Garrett Gilbert in the coming years. He is tall, strong, runs well, throws well and is very coachable. If he stays at UT for all 4 years I think we will see McCoy's records fall. If the Horns defense stays strong and the offense can protect Gilbert, he may develop into one of the greatest QBs the Longhorns have ever seen.

Rough Hollow on Lake Travis Update

Sam Chapman — Tue, 05 Jan 2010 22:47:00 GMT

Rough Hollow is a large development in and west of Lakeway with Lake Travis frontage. Out of the 2400 acres in Rough Hollow, about 400 have been developed. Of the rest, 600 acres will be left as green space and an additional 500 acres will be parks, greenbelts or preserves.

I talked with a builder’s rep for Grand Haven Homes, one of the more active builders in Rough Hollow. They have two sections in which they are building right now. The Overlook has 60 and 65 foot wide home sites. Grand Haven is building 3 spec homes there right now. Homes will range in size from around 1850 to 3100 square feet. Prices in the Overlook are expected to range from around $350,000 to under $500,000.

Grand Haven is also building in a new section off of Rough Hollow Blvd., which is not open to the public yet, called The Woodlands. They have sold 8 homes in that area and all are under construction. The Woodlands has larger home sites than the Overlook and homes will be larger. Grand Haven expects to build about 50 units in Rough Hollow in 2010.

Rough Hollow is already home to an area that has a fitness center, pool, pavilion, restaurant and marina. The Grille is the restaurant and I had lunch there today. The food was excellent. Another amenities center is planned on the new side of Rough Hollow. Called the Trailhead, this will have 2 pools, a lazy river, a fitness center, a day care and tennis courts. The Trailhead is where 22 miles of hike and bike trails converge.

Rough Hollow is the largest development going in western Travis County with Lake Travis frontage. Future plans as Rough Hollow continues to develop have room for waterfront homes, ball fields, an elementary school, another amenities center with marina access and a hotel site. The target date for Rough Hollow to be built out is 2017.

What I saw today and what I have seen over the last couple of years tells me that Rough Hollow is going to be a very nice community. It should be a very attractive place for home buyers looking to move up, buy second homes or make a lateral move into a new home.

Want more? Click HERE to take a Rough Hollow video tour.

Fastest Cities to Recover

Sam Chapman — Mon, 04 Jan 2010 17:17:00 GMT

Forbes ran an article toward the end of last year talking about which cities were the to recover the fastest. As one would expect, Texas had 4 with Austin coming at number 3 on the list. Forbes looked at the top 100 metro areas in the country and ranked them based on unemployment rate, Gross Metro Product (a measure of the size of a city's economy), foreclosures, home prices and home sales rates. Metro areas in Texas included San Antonio at #2, Austin at #3, Dallas-Fort Worth at #6 and Houston at #8. Factors in Austin's favor included quick home sales, median home price and a very strong GMP. See the story here and the list here.