Register Real Estate Advisors

This article below contains information from an article by Dr.Mark Dotzour in the July 2011 Tierra Grande Magazine.  He is a chief economist with the Real Estate Center at Texas A&M University.

This year we went from extreme drought to a rainy winter and spring.  You never know what the Texas weather will bring and the housing market is very similar.

Many factors influence the underlying reasons for increases and decreases in sales volume that predicts future real estate sales.  The normal flow of the residential real estate market is affected by demand for housing.  Demand in turn is influenced by many “life events” that occur throughout peoples’ lives.  For example, they may:

• graduate from college and get a job;
• get married;
• have children and need a bigger home or a different school district;
• get promoted and move to another city or another neighborhood;
• lose their job and no longer be able to afford the house;
• get divorced and have to sell the house or move into a smaller one;
• buy a second home near their adult children;
• need to move into a smaller, one-story house with less maintenance;
• reach a point at which they can no longer care for themselves and need to move to an assisted-living facility;
• move to the United States from other countries to improve their quality of life; or
• move from other countries and buy homes here to protect their wealth and secure their safety.

The expansive Midwest flooding that made headlines for weeks this spring is a reminder that every now and then nature plays havoc with rivers.  Similarly, certain events and circumstances can cause housing transaction volume to rise significantly.  For example, increases may occur when:

• home prices increase fast enough that the investment motive spurs purchases;
• prices increase even faster and speculators buy homes to flip them;
• prices increase consistently, so people prefer to buy now rather than pay a higher price later;
• mortgage rates drop enough that many people can afford to buy a bigger house or move to a nicer neighborhood without a significant increase in their house payments;
• the government offers tax incentives to homebuyers; or
• houses are affordable to a broad segment of all households and mortgage underwriting standards are lowered to include a broader range of credit risk.

The extreme weather patterns that spawn floods do not last forever.  When they end, the river returns to the normal level within its banks.

At the other end of the weather spectrum is drought, which lowers the river’s water volume.  Transaction volume ebbs, too, when circumstances such as the following occur:

• people are worried about losing their jobs so they postpone buying decisions;
• people are worried that home prices will fall, and they might lose their equity;
• house prices rise so fast that they become unaffordable;
• lenders tighten mortgage underwriting standards, and by doing so remove potential buyers from the market;
• appraisals come in  well below the contract price agreed to by a seller and a buyer;
• cost of homeownership increases (taxes, utilities and insurance);
• lack of liquidity in the market makes it harder to sell homes;
• employers reduce corporate transfers to save money; or
• random scares, such as radon gas or black mold, make media headlines.

Buyers all over the country are still skittish because of all the negative housing headlines.  But there is evidence that Texas’ residential housing market is beginning the gradual, lengthy process of moving back to normal.

And remember, real estate operates in local markets.  What happens in Las Vegas does not really matter to a homebuyer in Abilene.  Each local market has its own story and its own dynamics.  So be familiar with where you are purchasing a home.

Real estate professionals must understand their clients’ psychology—their hopes and fears.  Careful consideration of the factors influencing home sales volume will help buyers and sellers make the best decisions for their circumstances.

The Woodlands, Texas is a lovely place to live just north of Houston.  This master planned community offers a lifestyle with art, entertainment, and healthy living.  Here you will find wine bars, restaurants, entertainment, and art scattered among the landscape.  It began in the 1970′s and has grown significantly in recent years.  Currently, there is very little commercial property left for businesses to move to The Woodlands.  There are both resale homes and new construction to choose from if you are relocating.  With a variety of home builders to choose from the prices range from $100 Thousand to $2 Million.  Hiking and bike trails run through all the villages and there are many parks.  It is a nature preserve full of greenbelts and wooded forest.  If you like to golf, you will have three courses to choose from.

When visiting The Woodlands make sure you take both a trolly ride and a water taxi.  These tours offer newcomers a great perspective of the area.  The Woodlands Mall and Market Street offer lots of shopping, dining choices, and entertainment.  The Woodlands houses the Cynthia Woods Mitchell Pavilion is one of the most popular outdoor amphitheaters in the world.  At night, Waterway Square is a great tourest attraction.  The large water wall with dancing columns of water and fountains are choreographed to music with colored lights.

The Woodlands has so much to offer.  If you work downtown, you can get to Houston by taking I-45 South or the Hardy Toll Road.  However, there are many employment opportunites in The Woodlands.

Below is a video of The Woodllands.  If you need a Realtor to help guide you through the forest, give us a call at RREA 281.288.3500.  You will be glad you did!

HOUSTON (TxDMV) – As if moving wasn’t already stressful enough, now consumers are being warned to watch out for illegal moving companies that may be out to take a person’s personal belongings on a permanent vacation.

As the summer moving season gears up, state and moving industry officials cautioned Texans to do their homework before hiring a moving company and encouraged the law enforcement community to take note of a new state law that imposes fines and jail time against unlicensed movers.

More than 60 percent of the moving complaints received at the Texas Department of Motor Vehicles (TxDMV) deal with unlicensed movers. To operate legally, a moving company must display a valid TxDMV (TxDMV licenses moving companies) or United States Department of Transportation (USDOT) license number on the truck.

Perhaps the best advice is the most basic: always know who you are dealing with before starting a move.

“[Consumers] need to stop for a minute and ask themselves ‘Who am I about to let into my home?’ because it might just be some guy living in a basement or with a criminal record who is going to show up with a rented moving truck to cart off everything you own,” said Linda Bauer Darr, president and CEO of Virginia-based American Moving & Storage Association.

And where should you never go to hire a mover? Free internet advertising sites, said John Trevino of the Houston Police Department’s Special Investigation Command.

Before hiring a moving company, Texans can find out whether the company is licensed by going to Moving Companies on the TxDMV website.

Buying and Selling Houses has become more complicated in recent years. Changes in the economy have brought about new laws, regulations, and a more conservative mortgage industry. The National Association of Realtors has statistics that show that when homeowners sell with a Realtor instead of doing a For Sale By Owner sale they get more money for their property. When purchasing, be sure you have someone on your side protecting you. Selling or buying a home is one of the biggest decisions many consumers make. Be sure to contact an experienced Realtor who can look out for you and your interests and be by your side each step of the way to make your next real estate purchase or sell a great one!

When you are purchasing a property, whether a townhouse or single family home, you need a Realtor that specializes in that area. You will want your Realtor to evaluate the community where you are considering your purchase. If you’re looking to buy a property for investment purposes, you will want to know the rental rates in the area and how long it takes to find tenants. If you are purchasing a home for your family, be sure you know the statistics of the neighborhood. For example, the foreclosure rates and owner occupancy rates will be important. These factors can impact your loan options.

If you are looking to purchase a home in The Woodlands or Spring area, go to RREA.tv to watch all of our neighborhood videos. We have created videos of most of The Woodlands and Spring communities and villages. You can see from the videos what amenities are available and how the homes look from the street. We usually add price ranges and information about the schools and surrounding areas in the videos. Choosing an area of town and narrowing down the right neighborhood for you and your family will depend greatly on your personal needs and wants. It is helpful if you make a list of your top criteria for a home so we can help you narrow down communities into a prioritized list. If you are not currently working with a Realtor, please call us at RREA. Our agents can help you with all of your buying and selling needs. We would like to help you choose your next community and find a great fit for your family. When it comes to real estate – we know our market!

Do you need to sell your home? Are you planning to purchase a home in the Houston area? Either way, now is a great time! Right now, interest rates remain low. Indictors predict they will be rising soon. So now might be the best time to purchase before rates go up. If you have good credit, stable income, and a down payment, it’s even a good time to qualify for a loan. In general, it’s usually more cost effective to buy rather than lease a home right now. On the other hand, if you are selling, it’s nice to know our Houston area home prices have not fluctuated a lot like the homes on a national level have gone down. According to the MLS, home prices are actually up now compared to last year at this time. The amount of inventory on the market has reduced, so there’s less competition on the market now. It’s a great time to consider buying or selling a home in the Houston area! Right now you can purchase more home for less money – so if you have been thinking about making a move – now could be the very best time! Call RREA today to find an agent that can meet all of your buying and selling needs.
There are a few things to consider when purchasing a home. You will need to consider factors like your finances, what areas of town you prefer to live in, proximity to your employment, and where you like to socialize. At RREA, our in house lender can pre-qualify you for your next home within twenty four hours. You can apply online anytime through our website.
Your lender will print off a list of your purchasing costs. Use that to compare lenders based on interest rates, fees, monthly expenses, and upfront costs. Our in house lender has a track record for saving our clients money on purchases. He works closely with our Realtors to find the best mortgage for your buying needs. It will take time to compile all of the necessary documents, so plan with your lender before the purchase. Lenders are asking for a lot of additional documentation these days.
The bottom line is that although now is a great time to buy or sell a home – you need someone on your side protecting your best interest. You need someone who understands the changes going on with new complicated laws, regulations, and a more conservative mortgage industry. The Realtors at RREA are very well educated on this changing market and can help protect you and maximize your savings when buying or selling a home.

Did you know that nearly half of all the jobs since 2009 were created in Texas?  I feel blessed to live and work in the great state of Texas.  The annual economic output of Texas exceeds one trillion dollars and that number seems to be growing even in this economy.  Texas is a huge state.  Did you know that if the entire seven billion people in the world move to Texas there would be more than 1,100 square feet for every person on the planet.  According to the 2010 Census, Texas had over 25 million residents.  By 2030 Texas is stimated that it will grow to 40 million residents.  It seems like everyone wants to move to Texas and join us!  That can be compared to unloading four jumbo jets in Texas every day for the next 19 years.  To learn more about Texas current market facts you can view the new Texaplex Video on our blog that will post tomorrow!

SAN ANTONIO (San Antonio Business Journal) – Only two U.S. metro areas have had increases in home values since the peak of the housing market in 2007, and they’re both in Texas: Houston and San Antonio.

According to Oxford, Miss.-based FNC Inc., Houston reported a 4.8 percent rise in home values, while San Antonio reported a 2.7 percent increase.

Nationally, home prices were down 3.5 percent at the end of 2011 compared with prices reported in December 2010.

Register Real Estate Advisors is pleased to announce that Sheryl Hunter was awarded the 2011 “Top Selling Agent” for the company at our recent awards ceremony.  As a Realtor, Sheryl is professional and has a solid understanding of the real estate industry.  She has gained extensive experience from listing and selling properties in and around the Houston area.  Among her specialties, Sheryl has acquired her Accredited Buyers Representative Designation and she is a Certified Distressed Property Expert.  She understands the current market challenges for sellers and the difficulties with qualifying for a mortgage.  Congrats Sheryl!  If you or someone you know is looking to buy or sale a property in 2012 – contact Sheryl at 281.288.3500.