central texas: Texas still attractive for relocation
- 01/04/11 02:46 AM
For the sixth consecutive year, Allied Van Lines reports that Texas enjoyed the highest level of net in-migration in the United States. Especially in Austin, there are a lot of folks who view this as a mixed blessing -- the growth, employment, and housing demand that comes with it are great, but it is more and more difficult to preserve the less metropolitan atmosphere that makes Austin Austin. That said, "it is what it is," as they say, so I went to Allied Van Line's source data and found the strength of Texas' attraction even more impressive than the report sounded. … (0 comments)
Seasonality is apparent in the Monthly Average and 3-Month Rolling Average price bars, so it is clear that average price increases during Spring and Summer, followed by declining prices in the September to November period are not unique to 2010. Obviously, the homebuyer tax credit program that expired at the end of June 2010 greatly exaggerated the changes during the 2nd quarter of 2010. Recent news reports have highlighted the month-to-month average price erosion over … (1 comments)
central texas: Higher Mortgage Rates? A little historical perspective ...
- 12/20/10 03:19 AM
Mortgage rates are on the move again, and this time it looks like increases are more likely to continue than the brief surges we have seen occasionally over the past couple of years. Here are the weekly average mortgage rates so far this year:
Clearly, rates have increased in recent weeks, and since the last "official" data included in this graph loan officers tell me they are quoting even higher rates now. This week's data, when released, will likely show that we have returned to interest rates last seen about eight months ago.
I posted last week (Mortgage … (1 comments)
central texas: What do higher interest rates mean to buyers and sellers?
- 12/16/10 03:06 AM
Planning to buy a home? Missed the tax incentives over the past couple of years but counting on low interest rates to help? If you're waiting for a better time to buy, at least in the Austin/Central Texas real estate market, don't wait too long. As I have written for many months, the Austin area never felt the housing downturn in the way the national news has described it. Despite some inventory build-up in recent months, values remain stable in most areas and it is entirely reasonable to expect that prices will be creeping upward during 2011.
More importantly, mortgage … (1 comments)
central texas: Austin/Central Texas YTD -- not so bad
- 12/05/10 07:13 AM
Real estate market activity remains volatile and unpredictable, nationally and in Austin. Over the past week I have commented on significant month-to-month changes in average home prices (see Home prices decline, but ... and Case-Shiller caution -- national index, local business). I have also noted that monthly unit sales have declined in recent months. In an effort to bring these discussions together, I have assembled several charts that I hope are helpful.
First, the number of homes sold has been down for four consecutive months from this year's May-June peak, and from year-ago levels (click image to enlarge.):
It … (0 comments)
central texas: Foreclosure sales -- Austin compared to U.S.
- 12/03/10 07:00 AM
I just posted an article at AustinMarketInfo.com discussing a dramatic decrease in foreclosure sales in Austin: Austin foreclosure sales down 37% in 3Q That 37% drop is from 3Q '09 to 3Q '10. Foreclosure sales fell 35% from 2nd quarter 2010 to 3rd quarter 2010. Undoubtedly there is some bias in these numbers because the second half of 2009 and the second quarter of 2010 offered homebuyer tax credits. That said, it's also important to note that total home sales fell 25% from 3Q '09 to 3Q '10 and 30% from 2Q '10 to 3Q '10. Still foreclosure sales dropped faster. … (0 comments)
central texas: Case-Shiller Index -- interesting, but caution for local readers
- 12/02/10 05:43 AM
This week, the S&P/Case-Shiller home price index was published, showing that the index declined 2% in the 3rd quarter of 2010, and that nationally home prices were down 1.5% compared to one year earlier. It's interesting data, and from a macroeconomic viewpoint probably useful, but I am skeptical of national averages and indices in a business that is 100% local.As I have discussed extensively, the Texas housing market has behaved very differently throughout this recession and housing crisis than California, Florida, Arizona, and Nevada. Moreover, the Austin/Central Texas market has consistently been stronger than even Texas averages. While S&P's selection of … (2 comments)
central texas: Austin/Central Texas - Still Dynamic and Growing
- 10/31/10 06:43 AM
I just posted on www.AustinMarketInfo.com a round-up of good news from recent days in the Austin Business Journal: UT, ATI and city open lab for entrepreneurs Google Ventures invests in HomeAway Pain Therapeutics moving HQ to Austin Pflugerville scooter company pushing product nationally SolarWinds income rises to $12.2M For many years the Austin area has been home to innovative ventures, and attractive to existing firms looking for a dynamic city for expansion. I have pointed out many times, Austin has avoided the worst effects of the recession. Courtesy of the Greater Austin Chamber of Commerce, here is how Austin employment growth … (0 comments)
central texas: Housing Stress -- Could be better, but ...
- 10/07/10 06:00 AM
As a happy and proud long-time Austinite, I'm always drawn to news stories about our great city. As I real estate professional, I am especially interested in articles and lists that compare Austin to other areas. The Wall Street Journal recently had an article about a "housing stress indicator" that compares many U.S. cities and their pain and continuing vulnerability in the ongoing real estate downturn: Which Cities Face Biggest Housing Risks? Of course using different contributing factors might yield different results, but this index looks reasonably fair to me. It is still true that four states -- California, Florida, Arizona, … (0 comments)
central texas: Perspective on Austin/Central Texas foreclosure rate
- 09/16/10 09:36 AM
It has been a busy week, so I have not been keeping up with this site like I should. I do want to offer some brief comments, however, about a couple of articles I just posted to AustinMarketInfo.com: Foreclosure Activity Increases 4% in August 2010 Austin's foreclosure rate rises First, an important point is concealed behind the first headline, and that good news is not at all prominent in the first paragraph: Yes, the number of foreclosure filings was up from July to August, but that number is actually DOWN 5% from the same time last year! In Austin, the news … (0 comments)
central texas: Austin/Central Texas Market Performance
- 09/03/10 02:14 PM
The National Association of Realtors® reported recently that sales of existing home sales were down in July, following the expiration of the latest round of homebuyer tax incentives. I commented then (No incentives, slower sales? No kidding!) that Austin and Central Texas matched the national trend, and that noone should be surprised. I also noted (Impressive sales performance for premium properties!) that lower priced properties, predictably, were affected most by the tax credits. That NAR report and my posts focused on single family homes. I decided now to broaden that discussion to include all residential properties, from mobile homes to condos … (0 comments)
central texas: Investor confidence in Austin and Central Texas continues
- 08/26/10 11:38 AM
There has been a lot of news lately about the housing market and about the U.S. economy in general that should be of concern to anybody who considers him or herself a realist. I have written for a very long time about the strength of the Austin/Central Texas economy, about our employment picture, about the continuing migration of employers and their employees to the Austin area, about how our culture, environment, climate, etc. continue to make Austin a desirable place to live, and about how our real estate market has been largely insulated from the effects of the recession and housing … (0 comments)
Without any doubt there is reason for concern about the near-term direction of the U.S. economy, and two rounds of homebuyer tax credits have distorted seasonal demand patterns, leaving no reliable way to predict market activity in the coming months. In the Austin area, school begins again next week and that is likely to suppress home purchases by families with school-aged children. Regarding new construction and builder confidence in the area, though, here are some charts … (0 comments)
central texas: Investing in Austin real estate
- 08/11/10 01:32 PM
The title of this post comes from an article in Yahoo! Real Estate from last week: Vulture investors are back and making a bundle The term brings back memories of just a couple of years ago. The article points out that the game has changed this time -- that investors can't count on flipping a property quickly and profitably anymore. Now, it's about positive cash flow over a long holding period. I get calls periodically from investors (and wanna-be investors) who read about hardships in the real estate business and assume that it's a disaster everywhere. As I have written many … (0 comments)
Austin/Central Texas Market Status -- Existing Homes
I commented about the general health of the Austin Metro real estate market, with an average of just 70 days on the market.
That average statistic hides huge variation, and Days On Market is just one measure of market velocity:
Note that in the overall market that averages 70 days on market, we have residential market segments ranging from 40 to 98 days on … (1 comments)
central texas: Austin and Texas -- strong employment picture
- 07/28/10 12:28 PM
The U.S. Bureau of Labor Statistics released five-year private sector employment statistics this morning (Texas cities hold top four job-growth spots), and I was pleased to see that the Austin metro area ranked third -- gaining 56,100 private sector jobs from June 2005 to June 2010. Texas cities held all of the Top 4 places in this new report. The same report also showed that Austin ranked 1st nationally on one-year employment growth.
There is a lot to appreciate about this great city -- location, climate, culture, etc., etc., etc. I have been writing for a long time about … (0 comments)
Existing-Home Sales Slow in June 2010 but Remain Above Year-Ago Levels
Typically, the Austin/Central Texas market is behaving differently. In this case, sales of existing homes in June 2010 were down compared to June 2009, even with the effect of the recently expired tax incentives for homebuyers. The good news is that last year was strong in Texas, relative to the news-making markets in California, Arizona, Nevada, Florida, and Michigan:
Of course, there is real reason for concern about the next three months … (0 comments)
As noted in the article, one month does not make a trend, but a 24% increase in new home sales (nationwide) from May to June is good news for many, especially homebuilders with significant investments in the areas hit hardest by the recession. As I have pointed out many times, just 5 states have really driven most of the "national" real estate market news over the past two years -- Michigan (whose problems really began long before the mortgage meltdown and … (0 comments)
central texas: Austin Home Sales and Inventory
- 07/21/10 01:17 PM
Today's Austin American-Statesman included an article about the state of our local real estate market: Home sales slow, listings surge The focus of the headline is on single family homes, and the growth of listing inventory this year:
I commented on the same trend on AustinMarketDashboard.com. The difference in my site and the data used by the American-Statesman is my inclusion of all residential properties rather than only single family homes. There is no doubt that sellers' expectations for the summer selling season coupled with two rounds of homebuyer tax incentives which accelerated demand has left the Austin/Central Texas market … (0 comments)
central texas: Pricing To Sell
- 07/19/10 03:09 PM
Real estate professionals are accustomed to talking with prospective home sellers about the market value of their homes. Many sellers are absolutely certain that their homes are unique, and are therefore worth more than all the "comparable" homes that have sold in their neighborhoods. Many also believe that a real estate agent's only objective is to underprice their property for a quick sale/commission. As a consequence, many sellers and Realtors® agree to "test the market" at a higher price than a market analysis suggests. After all, you can always reduce the price, right? You certainly can't increase it! This article offers … (1 comments)
For the sixth consecutive year, Allied Van Lines reports that Texas enjoyed the highest level of net in-migration in the United States. Especially in Austin, there are a lot of folks who view this as a mixed blessing -- the growth, employment, and housing demand that comes with it are great, but it is more and more difficult to preserve the less metropolitan atmosphere that makes Austin Austin. That said, "it is what it is," as they say, so I went to Allied Van Line's source data and found the strength of Texas' attraction even more impressive than the report sounded. … (0 comments)
;)
;)
