Moving To And Living In Austin

Welcome to the Easiest Way to Find Your New Home and Neighborhood In and Around Austin....Here's How It Works:

1. Pick Up Your Free Guide to 2007 Austin Real Estate Prices. www.AustinHBCGuide.com

2.  Browse the Best Neighborhoods Austin Has To Offer.  www.AustinHBCNeighborhoods.com

3.  Begin Searching The MLS. www.AustinHBCSearch.com

Sales Volumes Down in Austin

Wondering how the real estate market is faring in your area of town?  Take a look at these area statistics:

Area RN (Steiner Ranch areas) sold 43 homes in August for a total of $24,629,110 and homes sold for 96.4% of the asking price, compared to August 07's 56 homes sold for a total of $34,122 and homes sold for 97.1% of the asking price.

Area DT (Downtown) sold 12 homes in August for a total of $4,253,892 and homes sold for 97.1% of the asking price, compared to August 07's 22 homes sold for a total of $11,218,746 and homes sold for 95.5% of the asking price.

Area 10N (South of Ben White) sold 25 homes in August for a total of $5,001,800 and homes sold for 99% of the asking price, compared to August 07's 37 homes sold for a total of $7,421,534 for 99.1% of the asking price.

If you're interested in seeing the numbers for your specific area, email us at Erin@austinHBC.com.

These numbers tell me that the market is softening a bit.  We're seeing a big decrease in the volume of homes sold, and in some areas a fairly large decrease in the selling price as well.  If you're looking to buy in Austin, this could be a good time to snag a home for less than top dollar.

For more information or a free consultation about the Austin real estate market, or what areas might be the best for you, feel free to call or email anytime at Erin@AustinHBC.com or 512-415-5182.

Real Estate Market News for Austin

How is the Austin Real Estate Market holding up today?  Surprisingly well, in comparison to other states around the country. 

The latest report from the Austin Board of Realtors reveals that the median price of homes sold in July reached $195,000, up from just $189,900 last year. 

The number of homes sold in July, however, showed a fairly significant decrease from 2007.  The number of single family homes sold  in July in Austin '08 dropped to 2,071, down from 2,621 last July.

Active listings rose to 10,913, up 15% from a year ago.  This number represents 5 1/2 months supply of the housing inventory, which is considered a stable market by real estate professionals.

Overall, these numbers show that while Austin's Real Estate Market continues to slow, it remains solid in how quickly homes are selling and the increasing value of homes.

If you're thinking of moving to Austin, this could be a great time to buy.  Call us for a free consultation at 512-415-5182.

New Development in Downtown Austin

Downtown Austin has a new exciting development in the works that stands to draw much attention and future business.  The Waller Creek Project's proposed location is between 12th Street south along I35 all the way to Lady Bird Lake.  To view a map of the proposed location see http://www.ci.austin.tx.us/wallercreek/downloads/wc_flood_plains_no_parcels.pdf

The project is already underway with geotechnical and survey work being done, with expected completion in 6-7 years.  The plan includes shopping and restaurants right along a waterway, similar to the Riverwalk in San Antonio, complete with an outdoor ampitheater.

What does this major project mean to downtown?  Well, it could draw increased business and interest to the downtown area, especially the businesses and condos in the very nearby vicinity.  It also shows that Austin is still growing its music and fine arts venues, and its overall image as the Music Capital.

Click here to see proposed pictures and plans of the Waller Creek Project: http://www.ci.austin.tx.us/wallercreek/development.htm

For more information about Downtown Austin, its happenings, businesses, etc. check out this very informative website: http://www.downtownaustin.com/

Austin Real Estate Market News

The Austin Board of Realtors just released the numbers for April of this year, and it looks like April proved to be a better month overall than March. Here are the fast facts from this month's findings:

• Single family homes spent just 66 days on the market on average, the shortest period in seven months.  This is a good indicator that the market is picking up a bit over the past few months.
• Home prices continue to rise.  April showed a 2% increase, to $187,900, in the median price of single family homes over those in the same month of '07.
• Overall sales were down 15% from this time last year.
• 58% of homes sold were in the price range between $120,000 to $250,000.
• The hottest areas continue to be in South Austin (areas 10N and 10S),  Far East Austin (area 3E), Elgin, and North Austin near the Domain (2N).
• 1,981 was the number of single-family homes sold.  A 14% decrease from last year.

So, overall Austin has definitely softened over last year, and we're certainly in a buyer's market.  But, let's keep in mind that last year was one of the biggest years on record for real estate sales, and that Austin is somewhat insulated from the volatility of other markets due to its lower cost of living, good job market, and desireability.

To learn more about the Austin Real Estate Market or the Austin Board of Realtors, go to https://www.abor.com/news_media/media_room.cfm

If you have questions about how this buyer's market affects you and your real estate plans, feel free to call or email us at 512-454-8955 or erin@austinhbc.com

Good News for Austin Real Estate

Job Creation in Austin Keeps Moving Forward

Austin added 4,100 jobs in April, according to the latest figures from the Texas Workforce Commission. 

In the last year Austin added 20,100 jobs for a 2.7% growth rate.  The biggest sectors for job growth included government and hostpitality/leisure, followed closely by professional/business and retail/trade.

Austin's unemployment rate is currently at 3.3%, while the national average is 4.8%, and Texas at 3.9%

http://www.bizjournals.com/austin/stories/2008/05/12/daily33.html?surround=lfn

Austin Voted 2nd Cleanest Water in the US

According to an Austin Business Journal recent article, Cincinnati University recently released a study of the cleanest drinking water by Metropolitan area.  Austin ranked second, just behind Des Moines, Iowa and just before Sioux Falls, South Dakota.

http://www.bizjournals.com/austin/stories/2008/05/19/daily17.html?surround=lfn

Austin Voted Most Digitally Savvy City in the Nation

If making purchases over the internet means that we're digitally savvy, then Austin takes the cake with 12% of consumers shopping online.  Cities like Sacramento, Las Vegas, and San Diego had 10% of consumers shopping online. 

The study by Scarborough Research found that digitally savvy markets tend to lead the nation in a variety of high-tech behaviors, tend to be university towns, and tend to be tech corridors.  Austin's consumers apparently are more likely to spend money on luxury vehicles, spend over $500 a year on business attire, and spend over $500 per year online.

www.scarborough.com/freestudies.php.

Austin Ranked 6th Most Desireable City for Relocation

A study by the Human Capitol Institute showed Austin as the 6th most desireable city for relocation.  The first three cities were  San Diego, San Fransisco and New York.

The study found that the 'brand' or perception of a city played a big role in a job candidate's likelihood of choosing the city for relocation.  The study also found that residents were hard to move once fully immersed in the city's way of life, and that negative perceptions of a city were often bigger deterrents than positve perceptions were attractors.

http://www.bizjournals.com/austin/stories/2007/11/19/daily26.html?ana=from_rss

Risk of a Bubble Still Low In Texas

The average price of homes in Texas rose 6.1% in 2005, 5.6% in 2006 and 4.5% in 2007.  The median price of homes sold in Texas rose 5.1% in 2005, 4.6% in 2006, and 3% in 2007.  These are all very moderate numbers that don't look anything like a bubble, according to the Texas A&M University's Real Estate Center.

House values are determined by rents.  Stock price-to-earnings ratios can be helpful when determining house price rents ratios.  Monitoring these ratios can yield a normal price to rent ratio for an area, which in turn can suggest whether a housing bubble can occur.

The research center at Texas A&M computed the house to price rent ratios for the United States as a whole, Texas as a whole, and various Texas metropolitan areas.  They discover that the P/R ratio for the U.S. was 24.5%, while that of Texas as a whole was 16.8%, again 69.1% of the national average.  These numbers indicate that Texas as a whole is not headed toward a bubble.

Home Price/Rent Ratios 2006

United States--Median House Price $185,200--Annual Rent $7,632--Ratio 24.3

Texas--Median House Price $114,000--Annual Rent $6,768--Ratio 16.8

Austin--Median House Price $164,100--Annual Rent $8,100--Ratio 21.2

Dallas--Median House Price $141,100--Annual Rent $7,536--Ratio 18.7

Houston--Median House Price $129,800--Annual Rent $7,236--Ratio 17.9

The mean-reverting nature of home prices and rents actually indicates that even higer home prices and rents can be expected in the relatively near future in Texas. 

What does this mean to you?

If you're tying to sell your home this is great news, because it means your home values are not going to plummet in response to a bubble any time soon.

If you're in the market for a new home in Austin or Texas, it means that this may be a good time to buy, since the market still has room for appreciation.

If you'd like to view the full article by the Texas A&M Real Estate Center click here: http://recenter.tamu.edu/pdf/1854.pdf

Fighting High Appraisals in Austin Homes

If you bought a home in Austin last year, chances are you're fighting your recent tax appraisal.  We've been inundated with calls from past clients about how to contest their high appraisals this year.

Property values have risen, but homes are not selling for as much as they are appraising for.  So, many residents are wondering what is going on.

According to the latest numbers released by the Travis Central Appraisal District, five Austin area school districts could be seeing double-digit increases in their property valuation.  The Eanes District will see the highest, at a 15.52% increase, followed by Round Rock at a 12.5% increase.  Austin ISD rose 12.2%, Lago Vista 12.14%, and Lake Travis 10.9%.

Values are up mainly because of Austin's strong job and population growth last year.  But, many residents are questioning how accurate these valuations are while seeing the prices of homes for sale declining in their area. 

The Travis Appraisal District assures us that this is simply due to a lag time in the market, since property values are reported almost entirely on the values from the year before. 

The good news is that state law caps the rate at which homes can increase in taxable value, no more than 10% annually for homes with a homestead exemption.  Also, depending on where your home is located, local school districts, counties and cities have the authority to raise or lower taxes according to budgetary needs; and these tax rate increases or decreases are usually set in the fall.

If you have just received your home's appraisal and would like to contest the amount, here are some links that may help with the process.  Basically you would compile a list of comparable properties for your home in the same neighborhood with similar size, year built and number of bedrooms; and go down to your appraisal district with your 'evidence' and the reasons why you think your home was overvalued.  If you have questions about this process, or would like help compiling a list of comps for your home, feel free to give us a call at 512-454-8955.

www.traviscad.org

www.wcad.org

To dispute in Williamson County here is the link:

http://www.window.state.tx.us/taxinfo/proptax/remedy07.html

Home-value averages in Travis school districts

Average homestead valuation in Travis County, by school district

2007 2008 Austin ISD $239,739 $269,035

Coupland ISD $165,867 $175,689

Del Valle ISD $107,493 $113,547

Dripping Springs ISD $189,794 $198,455

Eanes ISD $602,280 $695,755

Elgin ISD $124,537 $134,079

Lago Vista ISD $228,624 $256,386

Lake Travis ISD $374,046 $414,821

Manor ISD $132,892 $141,566

Pflugerville ISD $152,175 $161,495

Round Rock ISD $265,268 $298,615

Note: Some district data not yet available.

Source: Travis Central Appraisal District

To view the full article from the Austin American Statesman go to:

http://www.statesman.com/business/content/business/stories/realestate/04/24/0424appraisals.html

Navigating This Buyer's Market

I just ran some numbers today for two of our most highly acclaimed school districts, Lake Travis and Eanes, to see how the market is holding up over there. 

There are 828 homes currently on the market in the Lake Travis District, with only 107 pending and 162 sold in the last 3 months.  That means that there is currently a 15 month supply of homes on the market now!  A very slow market.

In the Eanes District, there are currently 272 homes on the market, 65 pending, and 105 sold in the past three months.  That means there is currently a 7 month supply of homes on the market, which is a little more balanced buyer's market, but still not a good time to sell.

If you're in the market for a home in Austin, this is a good time to buy.  Sellers have lots of competition out there, and depending on their urgency to sell, may be willing to negotiate some things.  The best way to navigate a market like this is to work with an experienced real estate agent who knows the in's and out's of negotiating, and who knows how to read the market in any given area.

If you need to sell your home in Austin now, it is wise to carefully weigh out your options.  What is important to you about selling now?  If you must get out now, consulting with an expert real estate professional in your local market is ideal.

If you fall into either of these categories and would like our professional guidance, give us a call at 512-454-8955, or email us at Erin@austinHBC.com 

To keep abreast of the current real estate market, tune into our blog every week under "Real Estate News and Stats."

The Hottest Areas in Austin Now

The Austin Board of Realtors publishes a monthly report for Realtors online that includes a breakdown of the hottest areas in the Austin Metropolitan Area.  For March, the hottest five areas in decending order are:

1. Area 3E, the area East of 183 and South of 290.

2. Area EL, Elgin which is in Bastrop County, just East of Area 3E.

3. Area 11, in South East Austin South of Highway 71 and just East of I35.

4. Area 10S, just East of Mopac, South of Manchaca and North of Slaughter Lane.

5.  And, Area N, just north of 183 and South of Round Rock. 

What all of these areas have in common is that their price ranges for single family homes are very reasonable, starting in the low $100's and average highs in near $250,000.

Some of the slowest areas right now are also some of the most expensive, like Area LS near Lakeway on Lake Travis; Area W in the Eanes Independent School District, one of our priciest areas; and area 8W in West Austin near Loop 360.

These figures lead me to believe that the lower priced homes are selling faster in this softening market, while the more expensive homes are taking longer to sell.  Usually the more expensive areas will be hit first by a downturn in the market.  This is a good clue that the Austin area market has slowed a bit over the past few months.

If you're looking to sell, especially in the upper price ranges, your home may take longer than you'd like to sell.   If you're looking to buy, this is a good time, but beware the common misconception that many sellers will be eager to discount the price of their home in a slowing market.  Actually quite the opposite is true in a market like ours that has just recenly begun to soften.  Sellers are usually willing to wait to get the price they want, rather than severely discount it.

If you would like advice and coaching on how to best market and sell your home in Austin's current real estate market, we'd love the opportunity to help.  Give us a call at 512-454-8955.

Neighborhoods in Austin: Tips for Home Buyers

Here are just a few links I wanted to add to our previous discussion about finding the right neighborhood in Austin, Texas.

To find out about registered sex offenders and other crime statistics for a particular area, address or zip code, go to:  http://crimereports.com/   This is a VERY useful site!

Also, here is another great site for discovering what environmental hazards lie in your area. Visit EnviroMapper at  http://oaspub.epa.gov/enviro/ef_home2.maps.

Don't forget to visit our Austin Neighborhoods section at www.AustinHBCNeighborhoods.com to find information about schools, locations and amenities at Austin's most popular neighborhoods.