AUSTIN’S HOUSING MARKET IS STRONGER THAN EVER

AUSTIN’S HOUSING MARKET IS STRONGER THAN EVER

According to the latest Multiple Listing Service (MLS) report released by the Austin Board of REALTORS® (ABoR), the volume of Austin-area home sales was up 29 percent between May 2013 and May 2012.  That also marks two straight years of sales volume increases and the most home sales in May on record.   On average, homes spent 44 days on the market, which is a decrease of 19 days from one year prior.

Austin Real Estate May 2013 Statistics

• 2,991 – Single-family homes sold, 29 percent more than May 2012.

• $231,500 – Median price for single-family homes, eight percent more than May 2012.

• 44 – Average number of days single-family homes spent on the market, 19 days fewer than May 2012.

• 3,735 – New single-family home listings on the market, 11 percent more than May 2012.

• 5,735 – Active single-family home listings on the market, 24 percent fewer than May 2012.

• 2,857 – Pending sales for single-family homes, 10 percent more than May 2012.

• 2.7 – Months of inventory* of single-family homes, 1.7 months less than May 2012.

We've seen an increase in activity this year for both buyers and sellers across town.  Here’s a list of the fastest selling areas:

• Downtown Austin where median prices have increased 14 percent in the last year.
• Central Austin just north of West Campus.
• West Austin near MoPac which includes Tarrytown, Pemberton Heights and Clarksville  where median prices rose 16 percent in the last year.
• East Austin between MLK and Riverside where the median prices have increased 17 percent in the last year.

AUSTIN HOME SALES HIT 9-YEAR HIGH

AUSTIN HOME SALES HIT 9-YEAR HIGH

According to the Austin Board of REALTORS® latest MLS report, the volume of Austin-area home sales continues to rise. April marked the 23rd straight month of year-over-year sales volume increase and saw its most home sales since 2004.

According to the report, 2,563 single-family homes were sold in the Austin area in April 2013, which is 32 percent more than April 2012. On average, homes spent 50 days on the market, which is a decrease of 19 days from one year prior.

In April 2013, the median price for Austin-area homes increased eight percent more than the same month last year to $227,250. Additionally, the market featured 2.7 months of inventory in April 2013, which is 1.3 months less than April 2012.

Austin Real Estate April 2013 Statistics

• 2,563 – Single-family homes sold, 32 percent more than April 2012.

• $227,250 – Median price for single-family homes, eight percent more than April 2012.

• 50 – Average number of days single-family homes spent on the market, 19 days fewer than April 2012.

• 3,561 – New single-family home listings on the market, 10 percent more than April 2012.

• 5,488 – Active single-family home listings on the market, 25 percent fewer than April 2012.

• 2,976 – Pending sales for single-family homes, 20 percent more than April 2012.

• 2.7 – Months of inventory* of single-family homes, 1.3 months less than April 2012.

* The inventory of homes for a market is measured in months, which is defined as the number of active listings divided by the average sales per month of the prior 12 months.  The Real Estate Center at Texas A&M University cites that 6.5 months of inventory represents a market in which supply and demand for homes is balanced.

With summer finally here, it’s a great time to buy and sell real estate in the Austin area.   More than a hundred people are moving to Austin every day and once you are here, you will fall in love with our city! Contact TCP today to find out your Austin home’s current value in today’s market or to sign up for a FREE Austin buyer search of area homes sent directly to your email with daily alerts of new listings.

AUSTIN-AREA HOME SALES ARE UP AGAIN

The Austin Board of REALTORS® released real estate statistics for March 2013 this week and according to Multiple Listing Service (MLS) statistics, the volume of Austin-area home sales continued to rise in March.  That’s the 22nd straight month of sales volume increase and the most home sales in March since 2007.

According to the report, 2,166 single-family homes were sold in the Austin area in March 2013, which is 16 percent more than March 2012. On average, homes spent 64 days on the market, which is a decrease of 20 days from one year prior.

In March 2013, the median price for Austin-area homes increased to $220,000, which is 10 percent more than the same month in 2012. Additionally, the market featured 2.6 months of inventory in March 2013, which is 1.8 months less than March 2012.

The total dollar volume of single-family properties sold was $616,354,794, or 28 percent higher than the same month last year. The market also featured two percent fewer new listings, 28 percent fewer active listings and 18 percent more pending sales in March 2013 compared to the prior year.

March 2013 Statistics

• 2,166 – Single-family homes sold, 16 percent more than March 2012.
• $220,000 – Median price for single-family homes, 10 percent more than March 2012.
• 64 – Average number of days single-family homes spent on the market, 20 days fewer than March 2012.
• 3,283 – New single-family home listings on the market, two percent fewer than March 2012.
• 5,218 – Active single-family home listings on the market, 28 percent fewer than March 2012.
• 2,754 – Pending sales for single-family homes, 18 percent more than March 2012.
• 2.6 – Months of inventory* of single-family homes, 1.8 months less than March 2012.
• $616,354,794 – Total dollar volume of single-family properties sold, 28 percent more than March 2012.

The report all listed other sections and trends of the Austin real estate market:

Townhouses & Condominiums
The volume of townhouses and condominiums (condos) purchased in the Austin area in March 2013 was 275, which is 27 percent more than March 2012. In the same time period, the median price for condos was $181,750, which is three percent less than the same month of the prior year. When compared to March 2012, these properties spent one percent less time on the market, or an average of 87 days.

Leasing
In March 2013, a total of 1,205 properties were leased in Austin, which is nine percent more than March 2012. The median price for Austin-area leases was $1,380, which is six percent more than the same month of the prior year.

** Home sales statistics are released by ABoR on a monthly basis.  The inventory of homes for a market is measured in months, which is defined as the number of active listings divided by the average sales per month of the prior 12 months. The Real Estate Center at Texas A&M University cites that 6.5 months of inventory represents a market in which supply and demand for homes is balanced.

If you are looking to buy, sell or lease Austin properties, contact Texas Capital Properties today to get started.  Our team of professional real estate agents can help you with any of your Austin real estate needs!

Tips for Home Buying and Home Selling

TIPS FOR HOME BUYING AND HOME SELLING

Our experienced real estate team of agents have helped countless buyers and sellers throughout the Austin area and want to share their knowledge and tips of what works for home buying and selling with you.

Home Buyers Should be Prepared to Modify Their Lists – Right now, many home buyers in Austin are facing a challenge finding suitable properties.  Homes are receiving multiple offers and buyers are feeling frustrated at the lack of homes available.  Consider making adjustments to your wants and needs list.

Home Sellers Should Beware of Being Greedy – Often the first offer is the best offer but sellers tend to get greedy and think they should hold out for another buyer to come along.  After the first wave of excitement, buyers tend to lose interest and move on to the next property.  If your property doesn’t receive an offer in the first few weeks or month on the market, think about readjusting price or showing condition.

Home Buyers Need to Be Ready to Purchase – Sellers like offers from home buyers with their financing ready to go.  Be sure that you have your lender’s pre-qualification and pre-approval letter attached with all offers.  And the fewer conditions you have, the more attractive you will be to the seller.  Which leads us to the next tip….

Sell Your Home First if You Can – If you are a move-up buyer who needs to sell their current home to purchase a new one, then you’ll need to make a decision on whether or not to sell your home first.  Many times,  your home buying purchase will be contingent on selling your home.  If so, then you will want to make your home buying offer as attractive as possible.  If something does go south with your home sale it could jeopardize your home purchase.   Another option is to close on your current home and ask if you can lease back the property until you close on your new home purchase.

Experience Counts When It Comes to Your Real Estate Agent – Pick a real estate agent and brokerage that has experience and knowledge with the local market.  Ask friends, family and coworkers for referrals.   It’s also important that you feel comfortable with the agent you choose since you will need to trust them with one of the most important transactions of your life.

Whether you are looking for your first home or moving up to your dream home, our team of professional Austin real estate agents can assist you with your Austin home search and any of your realty needs.  Our team of professional agents are dedicated professionals who help buyers and investors locate properties that best suit their needs and price.

Our team helps sellers navigate through the home selling process through careful market analysis and staging of their homes.  No matter if you are buying or selling a residential single-family home, condo or town home, or acreage property, our experienced and knowledgeable Austin real estate agents will exceed your expectations.

MORTGAGE RATES CONTINUE TO REMAIN STABLE

Mortgage rates continued to remain stable this week, even as the stock market rallied on signs of a strengthening economy in the United States.

.

The benchmark 30-year fixed-rate mortgage remained at 3.73 percent, according to Bankrate.com’s national survey of large lenders. The mortgages in this week’s survey had an average total of 0.36 discount and origination points. A year ago, the mortgage index stood at 4.11 percent; four weeks ago, it was 3.76 percent.

The benchmark 15-year fixed-rate mortgage was 2.96 percent, the same as last week. The benchmark 5/1 adjustable-rate mortgage stayed at 2.68 percent.

So will the Fed keep mortgage rates low? Mortgage rates may fluctuate in the near term, but they are expected to remain low as long as the Fed continues to purchase $85 billion worth of U.S. Treasury bonds and mortgage-backed securities.

National data also indicates that the housing recovery continues to gain momentum.  The Commerce Department reported this week that new home sales surged in January to the highest level in 4.5 years.  Sales of new single family homes were up 15.6% to a seasonally adjusted 437,000 annual rate which is the highest since July 2008 and was the largest gain since April 1993 and up 28.9% from January 2012. The S&P/Case Shiller composite index of 20 metropolitan areas showed that home prices increased 6.8% last year from 2011 numbers which was the largest gain in more than six years. The index increased 0.9% in December on a seasonally adjusted basis.

If you are thinking about buying or selling in Austin or the surrounding area, now is a great time! Contact Texas Capital Properties today to get started.  Our team of professional Austin real estate agents can assist you with any of your real estate needs.

Homeowner's Guide to Tax Deductions

HOMEOWNER’S GUIDE TO TAX DEDUCTIONS

If you own your own home, it can pay off at tax time!  For 2012, see if you can take advantage of these home ownership-related tax deductions, credits, and strategies to lower your tax bill with our homeowner’s guide to tax breaks!

One of the most popular deductions itemizing home owners can take advantage of is the Mortgage Interest Deduction.   To get the deduction, your mortgage must be secured by your home.  Interest you pay on a mortgage of up to $1 million — or $500,000 if you’re married filing separately — is deductible when you use the loan to buy, build, or improve your home.

You can also deduct the cost of Private Mortgage Insurance thanks to the government extending it through 2013.   However, you must itemize your return and it only applies to loans taken out in 2007 or later.  Private mortgage insurance, also called PMI, usually occurs when you don’t have a sizable down payment and the lender requires the mortgage to be insured.   The premium on that insurance can be deducted, so long as your income is less than $100,000 (or $50,000 for married filing separately).

If your adjusted gross income is more than $100,000, your deduction is reduced by 10% for each $1,000 ($500 in the case of a married individual filing a separate return) that your adjusted gross income exceeds $100,000 ($50,000 in the case of a married individual filing a separate return).

Prepaid Interest, also called points, is also 100% deductible in the year you paid them along with other mortgage interest.  If you refinance your mortgage and use the money for home improvements, any points you pay are also deductible in the same year.  However, if you refinance to get a better rate or use the money for something other than home improvements, you’ll need to deduct the points over the term of the loan.

The government extended the Energy Tax Credit for 2012 and 2013, although significantly reduced.   If you upgraded one of the specific items listed on the EnergyStar website, you can receive 30% tax credits on projects geared toward environmental-friendly homeowners.

Of course, you can also deduct the Real Estate Property Taxes you pay. If you have a mortgage with an escrow account, the amount of real estate property taxes you paid shows up on your annual escrow statement. If you bought your home in 2012, check your HUD-1 Settlement statement to see if you paid any property taxes when you closed the purchase of your house. Those taxes are also deductible.

HGTV Dream Home Giveway 2013

HGTV Dream Home Giveaway 2013

We love any contest that offers a home as the prize!  Now through February 15th, enter for your chance to win the furnished HGTV Dream Home 2013 - a low country Zen coastal cottage located on Kiawah Island in South Carolina, PLUS a new GMC® Acadia® Denali® and $500,000!

You may enter twice a day online - once on HGTV.com and once on FrontDoor.com.  Visit HGTV for the official rules of the Dream Home contest.

And don't forget if you are looking for Austin real estate and homes for sale, contact Texas Capital Properties!  You can find your own dream home right here in the Capital of Texas!

Myths About Buying a Home

5 MYTHS ABOUT BUYING A HOME

There are many real estate myths about buying a home.  Whether you are a first time home buyer or seasoned investor, it’s important to distinguish between fact and myth.  Knowing the difference between the two can save you thousands and peace of mind.  Here are 5 myths about the home buying process to help you on your way to home ownership.

Myth #1: You’ll Find the Perfect Home

As a first-time home buyer, you may get caught up in the excitement of buying.  But you need to remember that just because you have a vision of your dream home that doesn’t mean you’ll find it.  Not every home is going to meet your expectations.  Most homes will have a flaw or two, and sometimes many more.  It’s important to look at the big picture and not obsess over finding the dream home.  If you find a house that meets most of your needs and wants, then you’ve done a pretty good job in finding the right house for you.

Myth #2: You Should Buy a Home You Can Grow Into

Many first-time home buyers may have heard this before – look for a home you can grow into.  Not so, especially if you consider that most first-time home buyers spend less than 5 years in their first home.  You need to think about where you plan on being in the next few years, but many things in life are unexpected.  You may need to relocate for a job or school.  You may decide you like another area.  You just never know what circumstances will change in the future.  Do you really want to buy the 5 bedroom home so that you can accommodate all the future kids you plan on having?  Look at your current needs and any short-term goals you have and go from there.  Buy a home that suits you for today and that is affordable.

Myth #3: The Best Deals are Distressed Properties Like Foreclosures

In the past five years, we’ve seen an influx of foreclosures and short sales in the real estate market.  Some are offered below market value and some are not.  Some need very little work and some need a complete overhaul.  If you are only focused on finding the lowest price, you will miss out on some great homes.  Figure out what’s important to you in terms of fixing up and affordability.  There are many motivated sellers willing to negotiate with the right buyer.

Myth # 4: You Must Have Perfect Credit to Buy a House

While it’s true that lenders have tightened up lending standards the past few years, you certainly don’t need perfect credit to purchase a home.  The best thing to do is get in touch with a reputable lender to go through your credit report with you.  The sooner you get your credit in order, the better prepared you’ll be when it comes time to start looking for a home.

Myth # 5: You must have at least a 20% down payment.

The traditional down payment of 20% percent is not needed to buy a home.  If you qualify, consider an FHA loan where the down payment is as little as 3.5% down.  A VA loan requires no down payment at all and is available to all eligible veterans.  The important thing to remember is that there are programs out there that can help you purchase a home.

Buying a home is one of the biggest investments you can make.  Our goal at Texas Capital Properties is to help you find the right home, negotiate the best price and navigate the home buying process as smooth as possible.  Our Austin real estate agents represent buyers throughout town looking for new construction, resale homes, distressed properties, and downtown condos.  We are the Austin-area real estate experts to help you find your home today.  Contact 512-587-3732 or visit our website to get started.