Buying and Selling

The Overall Austin Market:Sales in December were up 6% over last December. This was a dramatic turn from last month which was off 27%. For the 2010 calendar year sales were off 5% to 17,905 single-family homes. The average sales price, however, was up 4% compared to 2009. 2010 was an unusual year, even considering the national economy. Last Spring saw the end of two homeowner's tax credits. This created an unusually active Spring and a less active Summer. Recently more buyers seem to be focusing on the below 5% interest rates and the increased affordability they are receiving. They are finding suppressed prices and good selection.Austin continues to be prominently mentioned among the Top Cities nationally - the latest being ABC News' naming Austin #1 to rebound economically. In a completel...

I recently read a Massachusetts REALTOR® Study Report in which they state that the "desire to own a home" was the top motivating factor cited by home buyers for the purchase of a home in 2010. Below, is a breakdown of survey responses of first-time and repeat home buyers:Desire to own a home 36%Desire for a larger home 8%Change in family situation 8%Desire for a better location 8%Home Buyer Tax Credit 7%While 55% of all homes sold in Massachusetts were made by first time home buyers, only 7% stated it was because of the home buyer tax credit. The study also showed that the median age of a first-time homebuyer is 32 vs. 30 years old in 2009.25-34 years old 54%35-44 years old 28%18-24 years old 8%Do home purchasers think that buying a home is a good financial investment? 46% of all buyers th...

I see people asking about foreclosures all of the time. The supposition is that foreclosures are the best deals. Some people think that the banks are so anxious to get the foreclosed home off their books that the homes are priced 10% or more below market value.Here are the four types of sales:New Construction: This is when you purchase a home from the builder. In our area, these homes typically sell for 3-10% above market value. People value being the first person to live in a new home. There is value to being able to pick out your finishes and live in a super-clean home with that new-home smell. But much like a new car, when you sell, you are selling a "used" home and that 3-10% extra value is gone.Resale Home: Also known as a traditional sale or "normal" sale. This is when the owner of t...

Advantages and Disadvantages of buying a house as a property investment, over a unit.As a qualified real estate agent, buyer's agent, real estate valuer, and experienced property investment advisor I have valued, bought, developed and property managed many homes and units for property investors all around Australia.Below I have outlined the advantages and disadvantages of purchasing a home as a real estate investment as opposed to a unit, villas, apartment, townhouse or condo.Buying houses/homes as a real estate investmentDisadvantages More upkeep is vital to support the asset (which equates to higher continuing costs and therefore fewer cash flow is experienced from that particular property investment) Conventionally lower rental returns due to larger land factor Easier to over capitalise...