Cliff's Blog

Kingwood’s Own Takes The Gold

2008-09-10T16:48:45Z

Jennifer Shuble, a graduate of Kingwood High School, has won the Gold at the 2008 Olympics.

Jennifer won the Olympic Gold Medal for her performance in the Paralympic Games' Women's Cyclist 500m Time Trial. She not only won the Gold but broke the world's record! Jennifer has set a new record for the CP4 class. Not bad for a newcomer to the U.S. track cycling program, which she joined in 2006.

Jennifer's name may not have been world known before, but it is now. Before her win, she wasn't even considered a "big contender". However, other cyclists and cycling enthusiasts now know that Jennifer is a competitor to be contended with.

Jennifer's family and friends already knew she was a champion to contend with long before the Olympic Games. Jennifer received the high honor of being appointed a West Point cadet. While at West Point, she received a brain injury during a hand-to-hand combat session. A few years later, Jennifer had the misfortune of suffering another traumatic brain injury in a car accident.

Being the stuff champions are made of, "a little ole bump on the head" was not going to stop Jennifer from her personal best. She turned her attention to athletics and began participating in triathlons. In 2006, Jennifer turned her athletic focus on to cycling. In just 18 months, she has gone from "beginner" to champion and Gold Medal winner.

Let's all give a big Texas "rebel yell" to Jennifer, so loud that she will hear it in Beijing!

Thank you, Jennifer for making us proud and for the example you have given to all the world to never give up and always reach for the Gold.

Read more about Jennifer and her triumph:

2008 PARALYMPIC GAMES - CYCLING: Jennifer Schuble
Vulcan Triathletes - Congrats to World Champ Jennifer Schuble
Lakeshore Foundation
An American Gold Medal at the Beijing Velodrome - 2008 ...

We raise some pretty great kids, here in Kingwood!
- Read about another Kingwood great: A Salute to One Of Kingwood's Own

Never Forget 9/11/2001

SA: Summer Creek High School's Boundary Lines - Public Meetings To Be Held

2008-09-03T20:44:02Z

Public meetings will be held regarding new school boundary lines for Summer Creek High School and Middle School #8. The Public Meetings will be held at 7p.m. starting Monday, Sept. 8th in the Atascocita High School Auditorium. The second meeting will be held on Thursday, Sept. 11th at the Humble High School Auditorium. The third and final meeting will be held on Monday, Sept. 15th at the Humble Middle School Auditorium.

Our new Summer Creek High School (currently under construction) will be opening next fall (2009). What does every school need above all else? Students!

Public meetings are being held so that the community may participate in the forming of the boundary lines for Summer Creek High School and Middle School #8. The boundary lines will determine which students will attend Summer Creek High School and Middle School #8 which will open in the fall of 2010.

The Humble Independent School District is interested in hearing from you. So, please attend and make your voice heard.

Five boundary options will be presented at these meetings. The committee will hear questions and take comment cards from those in attendance. Boundary options, to be presented to the attendees, were based on the findings (of the company) Population and Survey Analysts, which has assessed Humble ISD's enrollment, geo-coding each student in the district. Of the five options, two will affect the Summer Creek High School students.

John Widmier (facilitator for Humble ISD's Citizens Boundary Advisory Committee) assures us that public opinion does matter and will have an impact on the final recommendations that will be submitted to the Humble ISD's superintendent.

Summer Creek High School will serve the subdivisions of Summerwood and Fall Creek as well as some of the surrounding areas south of the district. By the way, the name for the High School is a reflection of these two communities. (SUMMERwood and fall Creek). Similarly, Kingwood received its name much the same way.

The Observer article

Boundary Options

Kingwood Has It All

2008-08-27T17:08:22Z

Do you ever wish you could have it "all"? If so, you need to be considering making Kingwood, Texas your home!

The beautiful community of Kingwood does have it all. We are located in the " Livable Forest" complete with trails and wildlife.

Kingwood is just a hop, skip and a jump from scenic Lake Houston.

Kingwood has great schools for all of our great kids.

Kingwood is a master-panned community made up of several villages which are home to the best neighbors in Texas.

Kingwood, Texas is experiencing a great economy. There is no recession here!

Kingwood is a suburb of Houston, which has just been named as ranking #1 on the Best U.S. Cities For Earning A Living list by Forbes.com.

According to Forbes, the City of Houston won the honor of ranking number one because of its dynamic business environment, high wages and low unemployment. The largest Census-defined metro areas (40) were studied by Forbes for the quality of each area's business environment for large and small businesses. Remember, if big business is doing "big business", then small business thrives as well.

Forbes, Moody's Economy.com and The Real Estate Center at Texas AMU, predict that these facts are not likely to be changing in the near future. Forbes predicts that Texas ranks #4 for strength in future economic health. The (AMU) Real Estate Center is predicting a robust economy for the state of Texas for at least the next 20 years! With the recent study by Forbes and the data from Moody's Economy.com, it would appear that Houston will be the leading city for the state.

In May, I reported in my blog that Houston was ranked #7 as the one of the 10 most recession proof cities. Well, we have moved along way beyond that in just a few short months. In July, I reported that Houston was not experiencing a down turn, but instead, an upswing in its economy. Now here it is not even September, and the Houston area has done it again - moved ahead. This time we not only made the list - We topped it! HOUSTON the #1 Best U.S. City For Earning A Living.

I'm going to tell you one more time - Kingwood has it all. We are part of the Houston area and the benefits of its economy. So, "come on down" and live in wonderful Kingwood, locate in the livable forest next to Lake Houston and only 25 minutes from downtown Houston.

You You can have it all, too!

My Blogs:

July 2 Houston: Energy Capital of the World - A Real Gusher

May 14 Lucky #7

In My Backyard

Related Articles:

Chicago Tribune: Houston Doesn't Have a Problem

Houston. Newsweek: Houston, We Have No Problems

Washington Post: Houston's Pipelines of Prosperity

Tax-Free Holiday

2008-08-13T18:12:26Z

Although most people in Texas are aware of our "Tax-Free Holiday" weekend, I thought I would do my part to spread the word.

If you are reading this blog and do not live in Texas, then here is another good reason to become a Texan.

I am so blessed to live in such a wonderful community as Kingwood and that blessing is doubled because Kingwood lies in the great state of Texas. Texas cities have been on almost every "Best List" released this year. Texas currently has the strongest economy in the nation. So, the nation finally knows what Texans have always known: we live in the greatest state in the union.

Here is one of the "little" things that make living in this state great. Saving taxes! In a time when most cities, counties and states are experiencing budget woes, our state offers a helping hand. This weekend and this weekend only, which begins on Friday by the way, (August 15 -17) is a tax-free holiday weekend in Texas. The tax-free holiday day will save a minimum of 8% on every tax-free item.

The sole purpose of waving all state and local taxes is to help families with their children's back to school needs.

What a great place to live - Texas!

List of Tax Free and Taxed Items (Texas Comptroller's webpage)

Kingwood School Report Cards Are In

2008-08-06T17:50:40Z

Each year in August, the Texas Education Agency releases its accountability ratings for all Texas schools.

I am proud to say that the Humble Independent School District saw several of its schools achieve higher academic ratings this year. In 2007, the Humble Independent School District had five recognized campuses; in 2008, the number of campuses with a recognized rating more than doubled. There are now 12 schools in the Humble Independent School District rated as Recognized by the Texas Education Agency (TEA).

A total of nine elementary schools in the district moved up in the ratings from Acceptable to Recognized, as did Kingwood High School.

Woodland Elementary achieved a rating of Exemplary this year, up from its rating of Recognized in 2007. Seven of the district's elementary schools have attained and/or maintained an exemplary rating, the highest rating that a Texas school can achieve. Exemplary ratings are given to schools which had 90% (or higher) of its students pass the Texas Assessment of Knowledge and Skills (TAKS) test.

Two elementary schools made a huge jump in their ratings, moving from the lowest rating of Unacceptable to Recognized in 2008. That is an amazing move up in just one year.

Humble Independent School District oversees 23 elementary, seven middle and five high schools. Fifteen of those schools are located in Kingwood. There are seven elementary schools in Kingwood, five rated as Exemplary and two are rated as Recognized. Kingwood has three middle schools and three high schools. Riverwood Middle School and Kingwood High School now hold ratings of Recognized with the remaining schools holding ratings of Acceptable.

The Texas Education Agency released the accountability ratings on August 1. Ratings are based on the results of the annual Texas Assessment of Knowledge and Skills test as well as the drop-out rate for each school. Texas schools are rated (lowest to highest) as Unacceptable, Acceptable, Recognized and Exemplary.

Kingwood schools which moved up in ratings in 2008:
Kingwood High: Recognized
Kingwood Park High: Acceptable (this school was not rated in 2007)
Foster Elementary: Recognized
Woodland Hills Elementary: Exemplary
Elm Grove Elementary: Exemplary

Texas Education Agency Links:
2008 Accountability Ratings
More Districts and Campuses Earn Exemplary Rating

A Salute To One Of Kingwood's Own

2008-07-30T17:08:38Z

I would like to salute Air Force Capt. Brian Erickson, a Kingwood High School Graduate (1997) who was awarded the Distinguished Flying Cross with Valor on July 11, 2008.

Captain Erickson is credited with saving the lives of six German (part of the Army coalition ground forces) soldiers who were pinned down in a dark valley in Afghanistan on October 16, 2006.

A B-1B Lancer bomber was sent to support the embattled German team but was forced to give up due to weather conditions and the steep mountain terrain which restricted the bomber's effectiveness. The daring two hour mission is a true "Top Gun" story of a pilot and his wingman. Erickson's wingman flew above the weather to guide Erickson, who essentially was flying blind. Captain Erickson was forced to turn off his infrared screen because the ground fire would interfere with his night vision goggles, literally blinding him and impeding his ability to navigate the deep and dangerous canyon. Erickson drew fire upon his own aircraft in order to locate the insurgent's position. Once Captain Erickson located the insurgents, his wingman lit up the area so that Erickson, in a single pass, could stop the opposition, which he effectively did.

As with all true heroes, Captain Erickson was honored to receive one of the Nation's highest honors but discounted his own heroic actions as being minor in comparison to the lives that were saved and the team effort involved.

Here is the quote by Captain Erickson: "We train every day to support Army coalition ground forces with CAS*... It's an honor to be awarded the Distinguished Flying Cross with Valor for doing the job I'm trained to do. But the real reward was returning those six coalition soldiers safely to the village they were working at as part of the PRT team."

About his wingman, Captain Erickson makes it clear that it was a team effort and not only his actions that made the mission a success:
"He helped me find the insurgents. He was above the mountain tops and we were both trying to sort out things going on. It was team work that made it possible."

Thank you Captain Erickson, your wingman and all of our troops for a job well done.

*close air support

Educating Kingwood

2008-07-23T18:51:40Z

Public school or private school, Kingwood is known for its quality education. Our schools are a reflection of the Kingwood community.

Aside from being a great place to live in the forest on the lake, Kingwood offers its children some of the finest educational opportunities in Texas from preschool to the college level.

I am very proud to tell you that all public schools in Kingwood have consistently been rated as either "Exemplary" or "Recognized" by the Texas Education Agency. These rankings are the highest that any school can attain. To achieve such high rankings is an honor and a tribute to the dedication of our teachers and the involvement of the community.

Elementary and High School students attend schools governed by the Humble Independent School District. A small portion of Kingwood falls within the Montgomery County borders. The students living in Kings Manor, North Woodland Hills and Oakhurst villages attend schools in the New Caney Independent School District.

Three High Schools serve Kingwood: Kingwood High School, Kingwood Park High School and Quest High School. Quest High School is a magnet school located in Atascocita. Quest High School is a school of choice, meaning that all students in the Humble ISD have the opportunity to select the school as their school of choice rather than attending the high school assigned by district boundaries.

Lone Star College - Kingwood is a two-year community college which offers the standard two-year community college degree. In addition, the college offers specialized training programs such as interior design, dental hygiene and respiratory care. The college serves the educational needs of approximately 9,500 students.

Lone Star College - Kingwood is also commonly known as Kingwood College and was established in 1984. The Lone Star College System serves the north portion of the Greater Houston area. The Lone Star College System began in 1972 under the name North Harris County College. In 2007, the name was changed to the Lone Star College System.

The high standards of the public school system have set the bar for private education in Kingwood. Our private schools also offer the best in education to their students.

Humble District Accountability Rating for 2007

Kingwood Schools List with Private Schools Included

Kingwood: More Than A Name and More Than A Home

2008-07-17T14:09:10Z

Kingwood is more than just a name of a community; it is more than just a place to call home. Kingwood is history, nature, neighbors, and quality in every aspect of daily life.

The Kingwood name is derived from two famous sources: the King Ranch and the Friendswood Development Company. The 14,000 acres on which the Kingwood community was developed, was once part of the legendary Kings Ranch. In 1969 the Friendswood Development Company purchased the land for development. In honor of the historic ranch, which is so much a part of Texas' history, and their own company, Friendswood combined the names. Kingwood soon became one of the nation's premier master-planned communities.

Kingwood is also called "The Livable Forest" because of the careful planning that went into the development of the community, which would take advantage of everything that nature freely offered, without sacrificing the very gifts that made it such a desirable place to live. Kingwood is known as a community that co-exists with nature and has become a model for the rest of the nation. "The Livable Forest" has over 20 varieties of shade trees in addition to its tall pines and stately magnolias. The forest is home to a varied multitude of wildlife including deer and is a bird-watchers paradise.

Nature contributes to the small town feel of Kingwood. Over 500 acres have been dedicated as nature preserves and parks. Kingwood features a greenbelt made up of over 75 miles of hike and bike trails where neighbors can greet each other as they stroll or ride the trails. These same trails service as connectors to the various villages

The Kingwood name now represents 25 villages, in a 10 mile radius, and is home to over 200,000 residents, who enjoy living in a naturally wooded area, located on the shores of Lake Houston.

Kingwood is known to be one of the most beautiful communities in the Houston area because of its well maintained neighborhoods, quality built homes and natural surroundings.

Residents of Kingwood enjoy living in a small town atmosphere with trails which connect villages and shopping. The commercial center of Kingwood is a beautiful green space, appropriately named "Kingwood Town Center" The Center offers services, retail shops, and dining owned by big name companies as well as local small business owners. The Town Center also serves as a community gathering place which hosts such events as art festivals, concerts and town celebrations.

Small towns bring to mind neighbors working with neighbors to continually improve and protect the community. This is exactly what happens in Kingwood. There are over 100 different organizations and clubs which contribute to the quality of life in Kingwood.

Related Links:

In My Backyard

Kingwood Greenbelt Map

Kingwood Picture Tour

Kingwood - A Super Neighborhood

2008-07-09T16:53:31Z

Kingwood is a super neighborhood because of its location and the people who live there.

Kingwood is also officially recognized as a Super Neighborhood by the City of Houston . A Super Neighborhood is a neighborhood where residents, businesses, civic organizations and institutions work together for the betterment of the community by identifying its needs and concerns.

A council is elected and serves as a forum where issues affecting the neighborhood can be discussed and addressed. When a consensus of opinion is reached in regards to the various needs and concerns of the neighborhood, the council then implements a plan of action (SNAP- Super Neighborhood Action Plan) to prioritize and address them.

The super neighborhood council works closely with the City of Houston 's City Council and the city's various departments in order to bring more self-sufficiency to the neighborhood while, at the same time, helping the city to be more effective in delivering the services needed by the community.

Currently there are 85 neighborhoods in the City of Houston participating in its Super Neighborhood program but only 49 of these have been officially recognized by the Mayor. A council is recognized and a community designated as an official Super Neighborhood when all the City's requirements have been met. Kingwood has been an official participant recognized by the Mayor since August 24, 2000 .

Houston: Energy Capital of the World - A Real Gusher

2008-07-02T16:47:01Z

In my post Lucky #7, I told you that Forbes.com had found the Houston area to be one of the most recession proof cities in the nation. Circumstances have improved since that report. Houston now has the strongest economy in the nation!

The Chicago Tribune has published an article (Houston Doesn't Have a Problem) about the strong economy in Houston. Newsweek (Houston, We Have No Problems) and the Washington Post (Houston's Pipelines of Prosperity) have published articles on the Houston economy as well.

The economic turn down and energy crisis has affected the majority of the states but in Houston the energy crisis has actually stimulated our economy. The Houston economy is no "bubble". The City of Houston has worked hard to provide a quality lifestyle for its citizens. If you are going to enjoy a quality lifestyle, there must also be jobs available and, jobs there are. Job growth has increased by 2.8% in the past year alone.

The City of Houston, after suffering the economic oil boom and bust in the 1980s, has worked to diversify its economy and to place itself in the top of the global market. Exports are on the rise and technology is in the forefront, providing white collar jobs with high pay for the skilled professional. The trickle down effect will provide more jobs in all sectors, such as health care, retail sales and services. The predictions for the Houston economy, as well as for the great state of Texas, are that we will experience a robust economy through the year 2030.

The Houston real estate market is expected to stay ahead of the nation with affordable housing for its work force as well. Affordable living is available, throughout my favorite part of the Houston area, Kingwood (by the way, Forbes Thinks So Too). My community, The Livable Forest, stands as a model to the rest of the nation; not only as a premier master planned community, but also as example of how a modern society can blend with nature (My Backyard).

Since its frontier days, the Lone Star State has had a reputation for its individualism and for standing tall and separate from the rest. Today is no exception. Now we stand taller than all the rest in the economic sector.

If you are not already living in Houston, maybe you should consider taking a boat, plane, train or automobile and get her as fast as you can.

Renting in Kingwood Texas?

2008-06-25T17:08:24Z

Buy versus Rent? There are many factors involved in this equation and like all things when considering real estate, location is key.

If you are talking about areas where affordable housing begins at $350,000 and up, renting may be cheaper than buying. In Kingwood, Texas, I believe the advantage is to buy versus rent.

Apartments in Kingwood for a 3 bedroom/2baths average $1375 with a luxury apartment renting for $1575. A monthly payment of $1575 will purchase a home in Kingwood with a sales price of $212,000 (Principal, Interest, Taxes and Insurance).

Renters don't pay property taxes. False: The landlord must pay property taxes on his rental unit. Where does that money come from? Your rent. You are paying the taxes for the landlord, who at the same time is gaining equity and growing his investment dollar while you pay down his debt.

Renters don't pay interest. True: Although a large portion of a house payment is allocated to interest in the beginning of the loan, this amount decreases each month while the amount that will pay down your debt increases. Also, a homeowner has the option of making a larger payment than required. By paying just an extra $100 a month, the homeowner will save thousands of dollars in interest and the home will be paid off in 20 years instead of 30 years.

Renters don't pay Homeowners Insurance. False: Just as property taxes are factored into your rent, so is the insurance the landlord has to protect his investment. In addition, smart renters do pay renters insurance to protect their contents. Remember that in the house payment figures of $1,575, homeowner's insurance was included.

Renters don't need an initial investment. False: A renter has a smaller initial investment (security deposit, etc) but that investment never earns a cent of interest for the renter although the landlord is using those funds to his advantage. A home will, over time. give the homeowner his initial investment back in equity.

Renter or homeowner you are paying for shelter. One will give you a return on every dollar spent and the other will have the landlord thanking you for the return on his dollar.

A point to remember is that you will see many rent increases throughout the next 30 years. Based on an inflation rate of 4% per year, over the next 10 years, your rent will increase from $1,375 to $1,957 per month. The return on your investment is "zero". If you would invest $10,000 today, in thirty years the expected return is $116,000.

The homeowner will still be paying $1,575 and based on a 1% increase in property value per year, the home purchased for $212,000 will be valued at $234,000. If you used the same $10,000 for a down payment on a home, the value in 30 years is expected to be $620,000.

There are over a 100 homes in the Kingwood area for under $212,000. You may be able to purchase a home with more square footage, more amenities and your own piece of the world for less than what you are paying for rent.

Need help determining your buying power? Want to know what homes are available that equal your rent or less? Contact me and I will help you with both.

Homes For Sale In Kingwood

Please note that the figures used in this blog are accurate but may not be exact.

Are You Losing Your Edge?

2008-06-18T21:06:58Z

A recent report released on House Prices in America, by Global Insight, Inc and National City Economics., has found that the Houston area's real estate market is under-valued by an unbelievable 33.1%! Factors in determining an area's value were based on population, income and interest rates, among others.

According to the newest sales data released by the Houston Association of Realtors®, sales have declined by as much as 12% since last year but the days on market declined by 3 days last month and home values have risen by 0.5% each month for the last three months.

The market is in the buyer's favor as far as selection and lack of competition. The market still favors the seller because home values are increasing. A buyer should not expect a seller to meet demands in regards to price, terms and conditions of a sale; but neither should sellers refuse to consider a buyer's reasonable offer.

Just two weeks ago today, in my blog, Interest Rates: Up and Down, I told you that interest rates were on the rise and expected to continue. At that time, rates were 6.125%, today's rate is 6.8% and some loan programs have already reached the 7% mark.

Last week I asked: What Are You Waiting For? At that time I stated that prices were still rising in the Kingwood - Lake Houston Area although sales were not as brisk as last year. A home selling for $211,000 in April now sells for $213,115 based on a the monthly increase released in the Houston Association of Realtors® report.

Not a crazy price increase and only a few more dollars a month right? Wrong! You are losing your buying edge. The longer you wait to purchase a home in the greater Houston area, the more you will lose the edge in return for your dollar and, more importantly, in your purchasing power and your budget.

Many people will "run" to be the first at a sale that features 10% - 30% off. Well, in essence, the Houston area is "on sale" for 33% off the "retail value".

I thought I would show you, what this information looks like when translated into house payments The scenario below is based on a purchase of the same house with a $10,000 down payment, reflecting a monthly increase in the sales price of 0.5%. The payments shown are principal and interest only, based on a 30 year fixed rated with the first payment date starting on June 18, 2008.

Month	April	May	June 4	June 18
Sales Price	210,000	211,050	212,105	212,105
Interest Rate	5.5%	5.8%	6.13%	6.8%
House Payment	1,135.58	1179.67	1228.66	1317.57

In just three short months your payment has gone up almost $200! These figures do not reflect debt ratio which will increase along with the price of the house or your buying power.

Your buying power to purchase this home has just disappeared before your very eyes. Based on today's interest rates, you have lost over $24,000 in buying power, which simply means you can no longer qualify for the home that sold in April for $210,000. Instead you will be buying a smaller home or purchasing in another village because your price range has been reduced to the $185,000 - $190,000 range.

Please, remember that home values are very localized so how much a home appreciates or depreciates will depend on the neighborhood. Kingwood and its surrounding Lake Houston area home values are on the rise, but how much depends on the neighborhood and the village as well as the style of home (single family versus a town-house). Your financial situation and your buying power are unique to you.

Don't lose you edge. Don't make a decision to purchase or not without consulting an expert in the real estate field. For assistance, in determining your purchasing power and which neighborhoods best match your finances and desires in living style, please contact me.

What Are You Waiting For?

2008-06-11T17:18:16Z

If you are waiting for the national news in regards to the housing market to get better, then your wait is over. Although in the news last week it was all about the 14% decline in home sales nationwide, what the media did not tell you is that the worst of the mortgage credit crisis is over.

According to the Wall Street Journal, the bottom was reached in April. Another thing to remember is that the housing crisis is in its third year. In the past the third year is typically the bottom of a bad housing market.

The longer that you wait for things to change the more chance you have of paying a higher mortgage payment both in terms of price and interest rates.

As I mentioned last week, interest rates have risen and that trend does not look like it will reverse. A barometer for mortgage interest rates is the 10 year Treasury Note. The Treasury Note has risen ½% since March 2008. Recession is no longer a fear but inflation is. Historically, when an inflationary period occurs in the economy, interest rates go up.

Nationally, you will still see a decline in home prices in the largest foreclosure areas such as California and Florida . These states alone account for about 1/3 of all foreclosures in the country. California and Florida still have a rough road ahead.

Default rates in Ohio , Michigan and Mississippi have already begun to level off. Once the inventory comes down to a normal market level, the real estate market will become stable in these states.

California and Florida have suffered the most due to high risk loans and soaring prices. Ohio and Michigan 's default rate was a mixture of high-risk loans and loss of jobs in the manufacturing industry.

The rest of the nation is expected to see an upturn in the real estate market in 2009. According to the House Price Index Report by OFHEO (Federal Housing Enterprise Oversight) in a county by county study, the majority of the nation is experiencing steady and increasing home values. Harris County is among those that stands out with a strong housing market.

So, now that I have addressed the media reports, what are you waiting for? Both home values and interest rates will continue to go up. The Kingwood and Lake Houston markets are not going to get better than they are now.

If you are considering relocation to the Kingwood or Lake Houston area, contact me. I will give you all the information you need about the community and home values. I will also help you find a lender that will assist you in determining your purchasing power.

Interest Rates: Up and Down

2008-06-04T16:10:49Z

Last week in my blog, I mentioned that interest rates had moved up slightly. Interest rates have been very volatile for the past two weeks. In the beginning of May, rates were hovering below the 6% mark but now the reverse is true. Yesterday's rates moved down somewhat due to the drop in the price of oil per barrel. Today's rate is quoted at 6.125%.

The Federal Reserve is watching home sales, the weak dollar and inflation very carefully. As of June 1, the Feds have taken on a policy of "watch and see". Wall Street is "betting" that interest rates will rise before the end of the year. Some feel it could be as early as October while others think there will be an increase no later than December.

The Federal Reserve, Economists and Wall Street are feeling more confident that the worst of the credit crush is over but at the same time, they are very concerned with inflation.

Historically, the Federal Reserve does not raise interest rates in an election year; but it seems that the recession which was being widely discussed just a few weeks ago, is being replaced by inflation concerns. If inflation fears become a reality, so will higher interest rates. If interest rates are adjusted upward, the consensus of opinion is that they will rise approximately ¼ of a point.

What does all this mean to you? Buyers are always concerned with "price and terms". If you are considering a home purchase, now may be the wisest choice in terms of a lower house payment. Prices in the Lake Houston area are still increasing in value, although home sales are not as robust as the past few years. Interest rates have begun to inch up and are expected to go even higher in a few months. Don't miss your window of opportunity. Take advantage of today's home prices and today's rates.

I am not an economist, nor do I have a crystal ball and if the Feds aren't sure what they are going to do then I certainly don't know; but I can tell you that lower interest rates mean lower payments. I can also tell you that the days of lowering interest rates are most surely at an end.

Forbes Thinks So Too

2008-05-29T16:53:58Z

In 2007 Forbes Magazine found Kingwood, Humble and Atascoctia to be some of the Most Livable Metro-Suburbs in the nation. The reasons given are some of the same I have mentioned in my previous blogs: livability, location, community, well maintained neighborhoods, affordable pricing, fine schools and living in a very livable forest as well as low crime and high quality lifestyle.

Texas has fared well in the past year of real estate and mortgage crisis turmoil. Our home values have increased in value in every major city of the state. Our economy has fared better than most. Throughout the state job growth is increasing and the unemployment rate is down. (see Blog: Lucky #7).

A recent report from the National Association of Realtors reported that out of 149 metro areas 48 showed an increase in home values. I am proud to say that Houston, among other Texas cities, was one of them.

The benchmark year for real estate nationwide was 2005. The market here in Kingwood is even better than it was then. Our market in Kingwood and the communities surrounding Lake Houston is still in the sellers favor and yet home prices are affordable.

The interest rates today compare very well with those in 2003 which was seen as having historically low interest rates. The interest rate did go up slightly this week (.0.13%). Income and debt ratios have remained about the same in terms of qualifying for a mortgage loan but loans with less that 3% down have all but disappeared. In today's market, the more down payment a buyer has will make that buyer's qualifying much easier.

Markets have changed across the nation. Loan practices and qualifying criteria have also changed. No one has a crystal ball when it comes to real estate. No one can predict when is the best time, or the right time; but there is no time like the present to consider a home purchase.