Is there anything greater than the love a dog gives?

Our dog Molly came to us about 6 years ago through good friends who rescued her from the horrible fate of being lost or abandoned. She was in terrible shape but they caringly nursed her back to health even though they already had dogs of their own and really didn’t need another. Turns out our family was ready again for a family pet and in our family that means a dog.

We had lost our family dog Domino several years before and had finally decided it was time for another. We had searched all day from one end of town to the other including the shelter. No luck. But as soon as we got home we had a call from our neighbors (and great friends) that some friends had a dog that was one too many at their house and that we might be interested. So we all jumped in the car and went over to take a look.

What we found was an energetic, now healthy sweetheart of a Blue Heeler mix. It was love at first sight and we took her home that night. She adjusted quickly and immediately captured all of our hearts and has been with us since. So how about the bionic part?

Well, she has now had ACL surgeries on both rear legs (she’s a running, jumping athlete, but not so much anymore) and most lately a cancerous growth (benign) off her left front leg. Remember the $6 Million Dollar Man? Meet the $5000 Free Dog. And we’d do it just the same all over again.

Molly is about 7 years old now and despite her hard early life we hope for many more years with her. She is no longer a mostly outside dog but an “inside softy who goes out when she wants to” as she has gravitated to the comfort of central air and heat due to her surgeries and rehabs but mostly because of her affectionate nature that has won our hearts. 

So what’s the point of all this? Not sure, maybe none really, but perhaps these sum it up best:

• My goal in life is to be as good of a person my dog already thinks I am.  ~Author Unknown
• Happiness is a warm puppy.  ~Charles M. Schulz
• A dog is the only thing on earth that loves you more than you love yourself.  ~Josh Billings

         

I am currently working with two San Antonio homebuyers who are a perfect example of where our housing market is right now (08/25/2011). Neither is necessarily right or wrong in their approach as each are looking for a different type of home and in different price ranges.

Buyer A is new to San Antonio and a first time homebuyer. They are looking for a home in the median price range (around $150-$160K) on the northwest side of San Antonio and prefer 4 bedrooms, 2 baths, and over 2000 square feet. They also like hardwood or laminate floors and a minimum of carpet and need to move in as soon as possible.

Buyer B owns their home but does not need to sell to purchase another. They want a single-story plan, 4-5 bedrooms, 2 or 3 bathrooms or at least 2 baths plus a half bath, 1-3 acres of land, a split bedroom arrangement, priced up to the low $300′s and a newer more up-to-date design. They also prefer additional garage space and/or out-buildings and have time to search for a home that meets their qualifications.

After an intense 3 days of house hunting with Buyer A we were able to narrow their many choices to a preferred list for a second look. On day 4 we revisited those homes and made an offer on their favorite. After some negotiating we have an accepted offer and will close soon. This process was aided by ABUNDANCE and they were able to make a great deal.

Buyer B and I have been out 3 times over a several week period looking at homes. However, although we have seen several nice homes that meet most of their qualifications we have yet to make an offer and we have already seen all that are available unless we expand or compromise our criteria. This process is being hindered by SCARCITY.

The point of this is that there can be many facets to the real estate market, both nationally and locally and even within the local market. Including the desires and requirements of both buyers and sellers.

The BOTTOM LINE:  Where there is ABUNDANCE expect many choices (sometimes too many but that’s a column for another day) and the opportunity to make a great deal. Where there is SCARCITY expect few(er) choices and be ready to make the best deal you can as quickly as you can. The only other choice is time, and time is not always on our side.

Everybody has an opinion on what the San Antonio housing market. Is it up? Down? Somewhere in between? As a an active full time Realtor I have an idea of what I think the market is doing and I’ll share that with you. But first let’s take a look at the actual statistics and see if we can learn something from them.

Here is a chart of San Antonio Home sales and average price from the Texas Real Estate Center at Texas A&M:

The chart above shows us that home sales are down from the peak years of 2005-2006-2007 and that while average price is still up it has flattened out a bit. The big question that most homeowners and homebuyers want to know is whether the San Antonio housing market has bottomed and have we avoided the dreaded double dip that the national news is broadcasting? Well, that depends.

Let’s look at some more up to date statistics that our office manager, Sam Schifano, compiles for single family homes every month:

• Sales in May 2011 (1530) are lower than those from May 2010 (1900).
• Total sales this year through May 2011 (6437) are lower than through May 2010 (7322).
• Total inventory is slightly up (7.47 months supply, but let’s wait until we look at the inventory/price range breakdown).
• Months of inventory decreased in these price ranges: $75,000-$99,999 (5.98 months), $125,000-$149,999 (5.70 months), $300,000-$349,999 (9.00 months), and $800,000-$899,999 (23.29 months).
• All other price ranges either stayed the same or increased in months of inventory.

It is important to note that the above figures are also products of and resulting from the buyer stimulus package that was in effect through the end of June, 2010. this artificial stimulus definitely skewed the market and brought many buyers forward in their home buying ($8000 tax credits will do that). Now that the stimulus is gone and does not appear to be coming back the housing market will attempt to return to equilibrium due to normal market forces.

The real estate industry both nationwide and locally are watching the trends. What happens nationally affects us locally in several ways: mortgage rates, lending standards, political policy towards housing, and our own state of mind. I have my own ideas and they are these: housing locally is at or near a bottom (partly because we don’t have the wild swings up and down in value that some states have), location (as always) plays a big role in pricing and availability, buyers are in general somewhat afraid to “pull the trigger” and are shopping and bargaining hard for deals, and seller’s pricing power depends a lot on their location, price range, and condition of their home.

Over the next weeks and months I will be going deep into the statistics in popular San Antonio neighborhoods to compare where we are now with where we were 5 years ago, with a focus on what prices have done on a price per square foot ratio. If you have any suggestions on neighborhoods you want me to consider send me an email at sanantoniorealestateguy@gmail.com . Stick around and check back and until then…

All the Best!

Mark

No cookie cutter here! This immaculate home has a truly great floorplan with plenty of living space. Downstairs is a formal living and dining, a spacious family room, a GIGANTIC island kitchen with cabinets and counterspace galore plus an adjacent breakfast room and big walk-in pantry. The entire downstairs is open and perfect for family gatherings and entertaining. Upstairs the large gameroom is the focal point with the huge master suite and secondary bedrooms surrounding. Check out the features and the video below and then contact your Realtor (or me) for a showing.

This home is SOLD!

Do you remember your first car?

Maybe when you were a teenager.

Learning to drive.

If you were in high school in the early/mid ’70′s like I was your first car was probably a beater or hand-me-down. Probably took a little effort to keep it going. And you didn’t mind one little bit because that first car was your first big taste of freedom. Right on brother!

My first car was a Chevy Corvair. Turd brown (sorry mom). Tired motor. Ralph Nader special (look it up). But that puppy was a 2-door with 4 on the floor. Didn’t matter it took a head of steam to get over the BIG bridge on the way to Padre Island. It was mine.

Many cars came after the engine blew on that old Corvair. A ’66 Olds, a ’69 Impala, a ’69 SS Camaro, a Buick, another Camaro, a van (not the one down by the river), and on and on.

But none of this is the point of this post so here’s the curveball…

35 years later what is your kid driving to school as their first car? Brand new truck? 2008 Mustang? Or something more like you learned to drive in?

And have you priced used cars these days? Whereas even 5 years ago $3000 might get your kid something relatively safe and decent to drive it’s now tough to find the same under $4000-$5000. So what do you do?

Probably one of 3 things: give them your old car and go buy yourself a new(er) one, buy your kid a new(er) car, or stick to your budget, search hard, and everybody learns a life lesson that you hope sticks. Guess which we chose?

Do you know what a private transfer fee is? If you buy or sell a home in a subdivision or development that has one you you’ll find out. Specifically, your wallet will find out.

A private transfer fee is a fee collected by the original developer from the home seller EVERY TIME a property is sold. The typical fee is 1% of the sales price.

On every transaction FOR UP TO 99 YEARS.

 That’s $2,000 on a $200,000 home. $3,000 on a $300,000 home. And so on. Every time the home is sold. For up to 99 years.

Somebody has to pay that fine. Oops, sorry, transfer fee. Do you think the home seller might pass that transfer fee on to the buyer? Yep, the price of that home you want to buy just went up.

The National Association of Realtors has been fighting against this fee and the “Federal Housing Finance Agency has proposed a rule that Fannie, Freddie, and 12 Federal Home Loan Banks would no longer be able to acquire mortgages that have such fees” (Source: Dow Jones Business News, Feb. 1, 2011). 

Contact your representative about this issue. Let’s get this sneaky money grab disallowed.

So what does it really take to sell your house in San Antonio, TX.? As of RIGHT NOW, today, January 02, 2011? It’s not easy, because of why, but it’s not hard, because of how. 

Let me explain.

It’s not easy to sell your San Antonio home because today’s buyers are more picky than ever (just a fact), people are generally afraid and unsure of the economy and their jobs 9actually things are improving), the stimulus money is gone, and because we all still fondly remember and are still trying to hold onto some remnant of the good ol’ days of the 2006 real estate market (that’s called a bubble and they always pop).

At the same time San Antonio home buyers are still buying homes (1236 single family homes closed escrow in December 2010) and if you present your home well and price it right it may very well sell quicker than you could have imagined.

So what are buyers looking for in today’s San Antonio housing market? In a nutshell, this:

• Buyers want a clean, move-in ready, model perfect home (yes, this means your 35 year old home, too).
• Buyers are shopping and bargaining hard and will not buy an over-priced home.
• Many buyer’s want the seller to contribute to their closing costs (some, most, all)

If you are considering selling your home does this sound impossible to you? A royal pain in the caboose? If it does and you do not have a compelling reason to sell then you should just wait until the market comes back.

And it will. Eventually.

So what does it take to sell your San Antonio home? Do this:

• Make it sparkle. Clean from top to bottom. Make it smell fresh. And yes, this includes windows. Cost: ZERO!
• Declutter. Remove all excess furniture, knick-knacks, personal mementos, etc. This includes closets. Consider hiring a personal stager. Staged homes sell faster and for more money. Cost: ZERO to not much.
• Repairs. Got leaky faucets? Dishwasher won’t work? Rotted wood? A/C not cooling? Fix’em. The only buyers who will buy a house with lots of needed repairs will beat you up on price so bad you’ll feel like you’ve gone 15 rounds with Joe Frazier. Cost: Not as much as the deep price reduction you’ll have to give if you don’t make the repairs.
• Paint. Lots of bang for the buck with paint. Got some wild colors floating around in the bedrooms or the dining room? Daughter wanted purple walls and son wanted orange? Paint those walls back to a neutral color. In fact, if the paint all over is showing wear paint the whole house. Off-white is a safe bet but you can even use neutral-tone decorator colors. Cost: A few hundred bucks if you do it yourself  or a few thousand if you have it done professionally. Either way, it must look like a professional did it or you wasted your time and money.
• Curb appeal. Statistics show that 80% of buyers won’t buy your house no matter how much they like the inside if they don’t first like your house from the outside. So get that yard in shape. Mow it. Edge it. Weed-eat it. Water it. Plant a few flowers and shrubs if needed. Trim trees and bushes. Cost: ZERO to very little.
• Price it right. It’s a buyer’s market. Buyers WILL NOT overpay for a home in today’s market. That’s just the way it is. Don’t try to extract the last dollar out of your home. Does that mean you have to give it away? Of course not. It just means you have to be realistic and beat your competition in a competitive situation. Otherwise your competition gets the sale and you end up taking price reductions below what you could have sold it for had you priced it right to begin with.

I’m going to let you in on a little secret. REALTORS don’t sell houses. We market homes. Dreams, really. The best REALTORS are the best marketers. The best marketing exposes your home to more buyers. That’s what REALTORS can do better than you can do. Otherwise you’d do it yourself.

And we’ll sell your home for money than you can. Every. Single. Time. But we can’t sell an overpriced home anymore than you can. Get more money for your home. Price it right the first time. 

OK. Soap box over. You did want “No B.S. real estate advice, information, and representation” didn’t you? I’m hoping.  

So to so sum it up: clean it, stage it, repair it, paint it, mow it, and price it right. That’s how you’ll get top dollar in a buyer’s market.

On Tuesday, Jan. 04, I attended the SABOR 2011 Housing Forecast and as usual it was both informative and entertaining. A number of experts in the housing industry spoke and gave their unbiased views on what we can expect in the housing market for 2011 both nationally, statewide, and locally. Speakers included Charles McMillian (past president of NAR), Dr. James P. Gaines (research economist at Texas A & M), and Bob Gardner (CEO, Legacy Mutual Mortgage).

In a nutshell, the consensus is that 2011 will look a whole lot like 2010.

Let’s take a look at some charts and stats on the national level before we get to the state and local levels:

You can easily see the effects of both housing tax credits (stimulus). The stimulus brought many buyers forward and caused the precipitous drop in sales after it expired.

Nationally mortgage foreclosures and mortgages in trouble continue on the rise. As I’ll show you shortly Texas is faring much better.

This chart shows how far ahead of job growth the housing market was extended during the bubble. This was the era of “fog a mirror” mortgage loans.

Now let’s take a look at the state level (Texas):

The real estate bubble in Texas is easy to see here. We have returned to somewhat normal sales levels.

Another good look at the bubble. Notice how the trend line got out of whack, the resulting steep decline, and recovery. The next thing to watch is the little “roll-over” you see at the end. Economists at the SABOR 2011 Housing Forecast say it’s either nothing or the start of what would likely be the final (but less severe) decline in the housing market. My takeaway is either way the worst of the damage is already past us.

Take a look at the national vs. Texas foreclosure filings. Texas has faired well compared to the national statistics. Did you know that the huge majority of declines in the housing market are contained in 38 counties? And that the U.S. has approximately 3100 counties? Proof that even though events in other areas can effect us where we live all real estate is local.

Now let’s see what’s happening in the San Antonio housing market:

As you might expect San Antonio is going to look a lot like Texas and the nation when it comes to our housing market. every bubble will burst but it appears sales have about leveled out locally. Do you find it interesting that in the midst of all the doom and gloom we hear in the media that in 2010 over 16,000 households in San Antonio, TX. decided to purchase a home? That’s a lot of people and you probably know some of them.

The median home sales price rocketed upward during the bubble but hasn’t declined much. The price of new home construction has something to do with this.

Here’s where a lot of our problem lies: too much inventory (too many homes for sale). Back in 2006 we had as little as 4.5 months of inventory of homes in San Antonio. Now we have about 8 months worth. Upper price ranges have 1-2-3 years of supply.

Too many homes for sale is reflected in a rising numbers of “Days On Market”. Tough environment for sellers.

So what does all this mean? Here are a few takeaway’s:

• 2011 will look a whole lot like 2010.
• Inventory remains high in most price ranges. Good for buyers. Very competitive for sellers.
• Inventory will likely remain high for at least the next year or 2, maybe longer.
• Foreclosures remain a problem and will keep inventories high.
• Good chance the housing market has bottomed. May be a long, slow climb back.
• Good news. If you bought your house before 2002-2003, you probably have equity in your home.
• If you have equity in your home now may be your opportunity to move up. Mortgage rates are at historic lows and there’s plenty to choose from. It’s a good time to be a homebuyer.

Those are my thoughts. Let’s hear yours…

The San Antonio real estate market stinks… The San Antonio real estate market is recovering… I can’t sell my house!… I just sold mine in one week… Prices are down… Prices are up!… Sellers want to know. Buyers want to know. So which is it? What is it? To some degree it’s all of the above. And everybody wants to know which way the San Antonio real estate market is headed.

Most of us either have or know someone who has sold, tried to sell, bought, or tried to buy a home in the last 5 years. as such…WE HAVE STORIES! We might could even have ourselves a nice little rant telling those stories. WE HAVE OPINIONS! We know what we think we know. I do. You do. Let’s look at some statistics.

The above chart is from the Real Estate Center At Texas A & M University. It shows that the estimated 2010 average sales price of a home in San Antonio, Tx. will be $182,600 which is essentially flat from 2008 ($182,100). This chart also shows number of homes sold. Estimated 2010 home sales in San Antonio are 19,157, again basically flat from 2008 (19,371).

Conclusion: Number of home sales are back to 2003-2004 levels and average price has leveled off after a big run-up in 2005-2006-2007. One other note: median price for San Antonio homes is estimated in 2010 to be $148,200, almost unchanged since 2007 ($147,800).

The above chart shows a month-to-month comparison of home sales for the last 3 years (chart from Real Estate Center At Texas A & M University). Notice the spike in 2010 home sales starting in March and ending in June. This spike is due to the 2nd tax credit stimulus which ended in June. Remember the doom and gloom headlines talking about how home sales fell off a cliff in July and August and the real estate market was crashing again? Now you know why. The stimulus moved a lot of buyers forward so they could take advantage of the $8000 tax credit. Who wouldn’t?

Also notice the big spike in sales in October and November of 2009. That’s when homebuyers were rushing to get in before the 1st tax credit expired. What does our crystal ball say about headlines regarding the real estate market for comparisons between those months for 2009 and 2010?

There are several other relevant statistics for the San Antonio real estate market. A biggie is months of inventory. Right now inventory is high (13,022 homes for sale as of September 2010) and we have 8.2 months of housing inventory. Anything over 6-6.5 months is a buyer’s market. Another is Days On Market, or DOM. Currently average DOM for San Antonio is 170 days. 

So what does all this mean? What does our crystal ball say? Well, mine says that San Antonio and Texas as a whole peaked in late 2007-early 2008 and then slowed along with the rest of the nation thereafter. However, our local market has never had the wild upswings and downswings that east and west coast markets have and so we did not have to crash as they did. Pull back, yes. Stabilize for the last 3 years, yes. Also, most current statistics show lender owned sales (foreclosures) only make up about 12% of our market, not 50% like some which depresses prices. And San Antonio and Texas are faring better in the job market and we are relatively stable there as well.

So my conclusion: if you are a buyer you will enjoy plenty of good choices in homes and very low interest rates, making housing affordable. If you are a seller you can still sell your home but competition is tougher and it may take longer. You will compete either on price or by having a model perfect home and sometimes both. If you are a move-up buyer you won’t sell it for the crazy prices of a few years ago but you’ll more than make up the difference on the home you buy.  

That’s my take. What’s yours?

Do you know how easy it is to for a bad guy to kick your door in? Real easy. I know. It happened to me and my wife twice in a 2 month period several years ago. And I’ve done it myself (no, it’s not what you think) and I was only 5′ 8″ 160 pds. at the time. The point is there are bad people out there, from neighborhood punks with a drug habit that just want to grab your TV to violent home invasions meant to do you real harm. You have to protect yourself and the best way of doing that is to prevent entry in the first place. Here’s how.

Preventing a forced entry into your home is not difficult or expensive. The least expensive and still effective way is to add a boxed striker plate where the deadbolt latches. These only cost about $5 and if you are moderately handy you can install them yourself. The principle that makes these effective is that the bolt on the deadbolt inserts into a striker plate that is reinforced with a metal box and the boxed striker plate is secured by longer screws through the door frame and into the actual frame of the house. This makes it very difficult for anyone to kick your door in. However, there are other ways it can be defeated so lets move on to a similar system that is virtually impossible to defeat although a bit more costly (under $200).

Perhaps the best way to secure your door is with a stronger boxed striker plate, a higher rated and stronger deadbolt, and a door reinforcer wrap, preferably items that all work together as a unit. Items you might consider are the Schlage B600 series deadbolt, the MAG 747 Heavy Duty Strike, and the Don-Jo door plate. Go to this link http://www.thenationallocksmith.com/public.asp?2 to see the tests performed by the “The National Locksmith”. It’s a real eye-opener and proves that this setup is virtually impossible to defeat even by pros.

Additionally, it is proven that a monitored alarm system will usually make any burglar’s stay a short one. I say monitored because some are smart enough to listen for the phone to ring from the monitoring company and if it doesn’t they may decide to stick around and clean you out. Not what you want.

One other thing. If your doorbell rings or someone knocks at the door and you don’t know who it is or can’t identify them just don’t open the door. If they want to come in and use your phone to call someone because their car broke down or for whatever just tell them to give you the number and you’ll call for them or you’ll call the police for them. Again, don’t open the door unless you know who it is. Simple.

I won’t go into guns, mace, and baseball bats here for various reasons but if you decide you want a gun please go get some training and practice. Here in Texas we have concealed carry classes where you can get licensed and learn the basics but this is a decision not to be taken lightly. There is a lot to consider.

To sum it up, if you own a home you need to secure it. It is very likely that the door locks and deadbolts you have now can be defeated in a matter of seconds. Go ahead and take a little time and spend a little money to secure you and your home. You’ll be glad you did.