Red Home Realty

Texas Buyers and Sellers dealing with High Closing Costs

Texas now has the second-highest closing costs in the country. On average the origination and third-party fees (such as those that cover title and processing expenses) for a $200,000 loan are approximately $4700.00. The only state with higher closing costs is New York City, which averages just over $5600.00 for a $200,000 mortgage. The national average is only $3741, meaning Texas is about 20% higher than virtually any other state. The national average of $3741 is actually up a remarkable 26% over 2009.

Questions about closing costs, the closing process, title policies, or anything else related to Austin real estate? You know who to call (not Ghostbusters) – 512.814.5995.

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

New Texas Association of REALTORS Initiative Announced to Help Buyers in Texas

The Texas Association of Realtors has just recently announced a cool initiative that is designed to help more homebuyers take advantage of the numerous housing assistance programs in order to make homeownership more affordable for Texans. While there are a huge number of programs out there for assisting first time buyers, including assistance with down payments, low-interest loans, and more, the problem is one of getting the information out there.

Though it may come as a surprise for residents of the Lone Star State who are used to being the best, Texas actually ranks 44th out of 50 states in terms of overall homeownership, a fact that can be largely attributed to a lack of affordable housing in many markets. That homeownership gap is particularly enormous among the large Hispanic population in Texas – Hispanics currently account for more than 35% of the state’s population, but only 5 percent of homeowners in Texas are Hispanic.

“The good news for our state is that many programs do exist to make homeownership more affordable for Texans,” said TAR Chairman Bill Jones. “The bad news is that few people know about them and even fewer know how to take advantage of them.”

To address this issue, TAR has recently launched TxHomePrograms.org, an online searchable database of housing assistance programs in Texas. The site is an awesome resource for all types of information related to the first time homebuyers process, including many programs specifically to assist low-income Texans. They will also be partnering with local housing counselors, officials, and lenders to have programs and events designed specifically for consumers that provide information related to affordable housing, Texas-specific programs, and more.

Have more questions? Red Home Realty consultants are here to help 24/7 – 512.814.5995 or redhomerealty.com.

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

Welcome to the July 2010 edition of our Austin monthly market statistics analysis for home and condo sales in Austin, TX.

July was an interesting month in the ATX – on the one had there were large gains over 2009 in terms of key pricing numbers. On the other, overall sold listings dropped sharply over July 2009. Part of the blame can certainly be placed on the fact that the economy is still struggling and unemployment remains high. The expiration of the tax credit also likely plays a part. But the important thing to remember is that prices are still rising steadily and that there’s another key fact related to the volume vs listings that we’ll get to in a moment.

The biggest positive changes for July were in the average list and sold prices as well as the continuation of the YTD increases in both number of sold listings and total sales volume.

The Big Picture

Let’s start with the positive news for July, which per usual was quite substantial:

• The average list price in Austin increased by 18%, and the average sold price increased by over 17% over July of last year.

• While it didn’t drop as substantially as it did last month (when compared to last year), there was yet another drop in the average number of days on market until sale – 3.7%. The price per square foot for properties sold also increased 5% over last July.

• The number of new listings increased a substantial 12.6% over last year, which in addition to being an impressive number on it’s own is even more important when compared to the 11.3% two year change – a sign of continued and substantial growth for inventory.

Now on to the not-so-good news: the total number of sold listings for Austin from July 2009 to July 2010 dropped 31.5% – a huge number which doesn’t seem to mesh with the rest of the largely positive data for this year. But an important fact to put this up against is that the drop in volume since July 2009 was only 19% despite the fact that the number of listings sold dropped more than 30%. This exemplifies the extent to which prices aren’t just holding, but are rising, despite the fact that there are fewer people out there taking the plunge in the current economy.

As the chairman of the Austin Board of REALTORS pointed out this month, “To gauge trends in the real estate market, which is cyclical, we usually compare one month’s performance to the same month the prior year.” But, he continues, “this year, however, we have the unique situation of the homebuyer tax credits that inspired many buyers to purchase homes sooner than usual. Thus, it’s more meaningful to evaluate our market from a year-to-date perspective, instead of month-to-month, to gain a clear picture.”

So what do the YTD figures indicate? Continued positive performance. As Horton put it, “Looking at our market year-to-date, it’s clear that the demand for homes is still strong, based both on increases in the number of homes sold and decreases in how long it takes to sell a home. We do have more active listings on the market, which means there is an ample supply of homes for prospective buyers. The stability shown in the median price of single-family homes shows Austin real estate continues to hold its value well.”

So what does this mean for you, the potential buyer or seller? It means you’ve go the best best of all possible worlds. As a seller, you can be confident that even though it’s a more competitive marketplace than Austinites are used to, homes are still commanding substantial prices despite the economy. And as a buyer, you know that you’ve got some leverage and that the market, despite still being so strong, certainly won’t be getting softer anytime soon. This is course will equate to equity that’s at the heart of what everybody wants when they purchase a home.

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

Contract to Close: A Step-by-step Guide

Are you thinking of purchasing an Austin home or Austin condo for the first time, but are unsure about how to proceed? Or are you a move-up buyer who hasn’t purchased a home in many years? We’ve found that the majority of buyers, even if it isn’t their first time purchasing a home, are often unsure about all the steps involved in the process of purchasing a home. The number of steps are the amount of paperwork, especially for buyers who are financing through a special program such as FHA, can be overwhelming.

This step-by-step guide from contract to close identifies all the steps of the process but keeps it simple: no lengthy write-ups filled with complicated jargon that’s for real estate pros. We keep it simple and in down-to-earth language so it’s easy to learn the process and approach the buying process with the confidence that comes with a working knowledge of what’s in store.

Once you’ve found the right property (search Austin homes for sale here), the process of moving from contract to close consists of the 10 easy steps below. Don’t forget to check out the very detailed glossary of virtually every real estate term. All terms in blue italics below can be found in the glossary.

1. Earnest Money – Once the buyer and seller have agreed on the offer (“acceptance”), the first step is to write a check made payable to the title company for the earnest money. At this time you’ll also write a check directly to the seller for the option fee, usually $100. Only once this money has been received in addition to the accepted and signed purchase contract will the title company “receipt” the transaction, at which point the option period begins (the “clock starts ticking.”)
2. Title Check – In the state of Texas, a title company serves as the escrow agent for the transaction, but more importantly handles all the details of the closing process, coordinating with your agent, lender, and other parties to the deal. Perhaps the most important function of the title company is to get a preliminary title report, which is used to confirm that the seller is the legal owner of record of the property and that there are no unpaid liens or other legal claims against the property. This could include unpaid debt to contractors, banks, or unpaid real estate taxes and special assessments.
3. Homeowner’s Insurance - As the buyer, it’s your responsibility to obtain sufficient homeowner’s insurance coverage. In addition to being a smart financial decision to protect your investment, a certain amount of minimum coverage (usually the purchase price) is always required by your lender in order to secure financing. You’ll have to provide proof of insurance in order to close – your insurance agent usually coordinates with the lender directly to ensure this is completed.
4. Disclosure and Inspection – The state of Texas requires that sellers provide a seller’s disclosure that provides information about material facts, any property defects, lawsuits regarding claims to ownership of the property, etc. The buyer’s responsibility it to obtain a professional inspection on the property that includes a general property report as to material defects, pest infestations, electrical or plumbing issues, or any other problems with the property. The inspection report serves two critical functions: it provides useful information that will help you to determine if you’d like to move forward and purchase the home, and it serves as a negotiation tool to work with the seller to agree upon solutions to problems before you’re option period elapses. Your agent will assist you in negotiating with the seller to agree upon fixes or compensation for necessary repairs.
5. Appraisal of Property – An appraisal is required in order for your lender to provide your loan to purchase the property, and they will coordinate a professional appraisal of the property.  The appraiser’s report describes the physical characteristics of the property and the comparable property values that will be used to determine it’s value. Once the inspector has performed a detailed inspection on the property they’ll prepare a written report and determine the final dollar amount that the property is worth. As long as this amount is at least equal to least the loan amount, you’re good to go.
6. Loan Approval – Once all of your lender’s conditions have been satisfied and all of these steps have been completed, they will notify the title company that your loan request has been approved. The lender will then send your loan documents to the title company so that the documents can be signed at the closing appointment, which is often referred to as the “sign-off.” The Third Party Financing Addendum is the document which protects you, the buyer, in cases where your loan isn’t approved and you cannot obtain financing – talk to your agent about financing protection.
7. Closing Funds – Before your closing appointment (usually a day or so before), the title company will confirm with final amount of money due on the closing day. Your agent can assist you to insure you have the final number in advance of the closing date. The closing funds are in the form of a cashier’s check payable directly to the title company. Certain transactions may also be funded using a wire transfer or electronic payment, direct payment from a financial institution by cashier’s check, or another payment method – for more details specific to your financial scenario talk to your agent.
8. “Signoff” and Closing Appointment – It’s finally time for closing! On the designated day you’ll head over to the title company for your closing and signing appointment, which usually takes about an hour. This is when you’ll sign all the necessary title and loan paperwork and provide your cashier’s check for the amount due to close. Depending on the location of the seller and the type of transaction, they’ll sign the paperwork at the title company on the same day, they will have already signed everything, or the documents will be mailed to them for signatures.
9. Final Steps – Once all the documents are signed and all monies are received, the transaction will be recorded by the county and you’ll actually take possession of your new home. Your agent will help you to obtain the keys and any other required items from the seller, at which point the lockbox comes off, the signs come down, and you’re ready to move in to your new home!

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

http://www.redfin.com/buy-a-home/getting-a-mortgage

Welcome to the June 2010 edition of our Austin monthly market statistics analysis for home and condo sales in Austin, TX.

June was the kind of month that keeps the optimists happy in Austin, TX – there was absolutely no bad news for June when it comes to Austin homes and Austin condos. The numbers all bear it out – Austin is still a vibrant and healthy real estate market, and the positive changes of June fit with a larger year-over-year trend as opposed to just a blip on the radar screen. The biggest positive changes were in the average list and sold prices and another substantial drop in the average number of days that a home spent on the market.

What’s remarkable and these positive signs in june is that the numbers aren’t small increases – there were some MAJOR bumps particularly in the average listing and sales prices for Austin homes. And as far as the year over year numbers, they continue the trend of solid improvement from what can fairly be called a soft point in our market immediately following the economic downturn in late 2008. Read on to get the full scoop on the June 2010 numbers for the Austin, TX real estate market!

The Big Picture

WOW was June a solid month for the ATX! The biggest changes to report as far as the June 2010 vs June 2009 numbers are as follows:

• The average listing price of Austin homes jumped from about $255K to more than $338K over June 2009 – a remarkable improvement of more than 32%!

• The average SOLD price of Austin homes jumped from about $244 to more than $327 over June 2009 – an improvement of more than 34%! This stat is all the more impressive in light of the recent economic news concerning real estate such as the rising number of foreclosures nationwide and the tightening of the credit market.

• The listing and sold price when calculated on a per-square-foot basis jumped an incredible 45+% over June 2009!

• The average number of days on the market dropped 13% from an average of 76 to just 67 days for Austin homes, condos, and town homes.

Overall these numbers reveal some irrefutable data in support of the claim that Austin is A) still on the upswing and B) probably bottomed out (to the extent that it actually happened in Austin) at some point last year and home prices show no sign of falling, at least by any significant margin, in the near future. Having weathered what can be fairly described as among the worst financial disruptions of the past half century, Austin home prices aren’t just holding – they’re improving.

The year-over-year figures also contribute some extremely positive information in terms of the overall Austin real estate market picture. The 2009 total number of sold listings as of June was 9460, whereas we’re already at 10883 for 2010. That’s a solid improvement of more than 15% over last year. The total volume shows and even bigger improvement – the June to June as wel as the year-over-year totals for the sold volume in Austin are both up more than 22%. This confirms that the June numbers are hardly an aberration!

With prices on the upswing and days on the market dropping, there’s still time to get in on your Austin purchase before we come all the way out of this (relatively soft) low point. Now is unquestionably the right time to invest in Austin – call you Red Home Realty agent today!

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

We’ve done so much writing lately about the list of accolades that have been bestowed upon Austin, TX that we had a thought: why not create a comprehensive list of all the rankings lists we’ve topped over the past 18 months?

In addition to our list below, Austin holds a handful of other top rankings in innovation, intelligence, friendliness, fitness and environmentalism. Ranked 5th safest and ironically 5th drunkest, Austin has the 5th most attractive population (something the safe, drunk people must appreciate).

The self-proclaimed “Live Music Capital of the World,” Austin boasts over 1700 live music venues and is home to the musical festivals Austin City Limits and South By Southwest (SXSW) as well as the Austin Film Festival.  In 2009, SXSW generated $99 million for the city. “Keep Austin Weird,” has become the city’s unofficial slogan and attempt to maintain this creative economy by supporting “Austinite’s” creative flare and local businesses.

Large corporations like Dell and Whole Foods, both headquartered in the metro area, also boost the city’s economy. Additionally, Apple, Inc., IBM, Intel, Google and Facebook have operations in Austin. Austin’s businesses are supported by fresh minds, cutting edge technology and innovation, which the city’s institutes of higher education, most notably the University of Texas at Austin.

In 2008 the city began redeveloping its Comprehensive Plan, which by late 2010 will outline goals for future development, environment, business and social services. Other major planning departments are focusing on transit oriented, downtown and mixed-use development.

Bottom line: Austin, once defined as an eccentric, offbeat community,  is the the combination of lifestyle offerings, a diverse and well-educated workforce, and a vibrant local economy mean Austin is, and will continue to be, one of the best cities in America.

• #1 best city for the NEXT DECADE - Kiplinger’s Personal Finance Magazine, July 2010
• #1 Market for Young adults - Austin Business Journal, March 2010
• #1 Best Retail City in the US - Pitney Bowes Business Insight, Dec 2009
• #1 Best Bargain City in the US - Forbes, May 2009
• #1 City in US for Job Growth Potential - NewGeography, April 2009
• #1 City in the US for Economic Recovery - Forbes, March 2010
• #1 City for Job Growth - US Bureau of Labor Statistics, June 2009
• #1 City for a Career - WomenCo May 2009
• #5 safest city with a population of 500,000 or more – CQ Press of Washington, January 2009
• #7 on the list of America’s Tech Centers - American Cities Business Journal, May 2009
• #10 on the American Fitness Index “fit” Cities List - The American College of Sports Medicine, May 2009
• #2 Healthiest Housing Market - Builder Magazine, October 2009
• #2 of the Top 40 Economies in the US – Businessweek, September 2009
• #2 Fastest Growing Metro Area 2007-2008 – US Census Bureau, March 2009
• Best Cities for the Outdoors – Forbes, February 2009
• Top 15 Art Destination in America – American Style Magazine, April 2009
• Top 10 Greenest Cities in America – The Mother Nature Network, May 2010

PS. Whether it’s Austin homes, Austin condos, campus-area investment property, or larger-scale development, the people who stay in-the-know realize that there’s never been a better time to buy real estate in Austin, Texas.

About Red Home Realty

Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

More big news about the Austin economy and it’s incredible performance relative to other major metro areas despite the recession: last Friday’s report on May 2010 payroll jobs numbers by the Texas Workforce Commission and U.S. Bureau of Labor Statistics show that Austin continued to build on the year-over-year job growth that started two months back in April!

There were only three other large metros that showed positive growth last month (chart below), but Austin’s was (of course) the greatest rate of increase in the nation. Yet another way in which Austin is outperforming other cities during this recession! Read on to learn more about the recently released report and find out why Austin is recovering so strongly!

We all remember when the height of the recession was upon us, and though Austin fared better than most, job losses peaked at 24,400 (-3.1%) last September. However, they’ve steadily narrowed, falling to a just -0.1% in March, reverting back to positive (job growth) in April (about half a percent), and now adding 4,000 or 0.5% in May over the number for 2009. With Austin’s nonfarm payroll jobs totaling 767,700 in May, the metro is now just 2.0 below the November 2008 peak of 783,400 jobs.

To put that number in perspective, Austin’s aggregate job gains for the month of May  (4,000 jobs) are higher than Dallas (0.3%), Fort Worth (-0.3%), Houston (-0.9%), and San Antonio (-0.9%). Austin also has an adjusted unemployment rate of just 6.9%, which may seem high but is remarkable when considering the national rate is still around 9.4%!

When looking at Texas as a whole, May is the first month since the recession began with year-over-year growth. The lone star state added  more than 24,000 jobs (an increase of about .2%) while the national jobs figures continued to decline – 491,000 jobs have been lost of the last year and May 2010 marks the 25th month of year-over-year job losses. But even nationally the deficit has been narrowing somewhat since last September (the point at which many analysts say we hit bottom and started reversing).

So what industries are adding jobs despite the economy? In Austin fields such as financial services, education and health services, leisure and hospitality, and government were among those that performed the best, with the biggest gains coming in th leisure and hospitality field –  7,500 new jobs, or 8.9% just in May 2010! Education and health services were a distant second place having added 2,200 jobs (about 2.5%) in May. State-wide, the industries growing over the last 12 months are largely aligned with our local gains: education and health services, leisure and hospitality, and government were the strongest performing sectors, whereas the national gains have been huge in professional and business services as well.

About Red Home Realty

Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

Despite the fact that Austin’s downtown is solidly weathering the financial storm and has avoided the kind of collapses familiar to those who followed the condo booms in places such as Miami, FL, there’s still the occasional piece of bad news.

In a time when new projects in the heart of Downtown Austin are still being announced and there’s another boom on the horizon, the developers of the 1155 Barton Springs project have just filed for Chapter 11 protection.

The project, which has been plagued with financial and approval issues since the beginning, is located just across the street from the Palmer Events Center, and was forced to make this move after the lender decided not to renew their loan this month. But even this bad news for the developers comes with a silver lining: the project isn’t doomed, and the developers view this as nothing more than a temporary setback.

The 1155 Barton Springs project has been in the works since all the way back in 2005, and has operated under various names including “The Milan.” Financial issues are just one of the problems that they developers have faced in trying to bring the project to fruition. The first attempt to break ground was announced and scheduled for 2007, with tenants supposedly set to move in by Mid-2009, but that fell through.

The Bouldin Creek Neighborhood Association filed complaints in 2004 and the project was in three-year legal limbo due to zoning and compatibility disputes. And in the first quarter of 2008, the leaders of the company decided to simply shelve the project until such time as the downturn in the economy and the lending drought could be mitigated.

The project is now back on target (sort-of) and the developers are actively trying to resolve the current issues with their lenders so that they can move forward. Though no target date is set, the parties have now negotiated a final judgment in terms of the height of the building and the compatibility concerns, and the developers have stated that it’s only a matter of time before the project is back online.

The building (not yet named) will include 24 residential units ranging from 1,600 to an astounding 6,200 square feet, priced from about $1M to in upwards of $6M each.

About Red Home Realty

Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

The high-end condo market in Downtown Austin is, put simply, a relatively new phenomenon. The type of development that’s taken place in the 78701 since 1999 has drawn lots of national attention, and the projects currently coming on line in Downtown Austin are among the most luxurious projects ever to come to fruition in Texas. We’ve recently talked about some of the robust sales predictions for the coming year for the luxury projects downtown, another new high-rise project just announced by Constructive Ventures, and the fact that the downtown condo boom version 2.0 will soon be upon us.

But this month the big news is the opening of two of the most high-profile – and truly luxurious – of the downtown Austin condo projects: The Four Seasons Residences and the Austonian Condos.

Incredible Finishes at the Luxurious Four Seasons Residences

The anticipation and excitement surrounding these two projects has been intense since construction first began two years ago, particularly because the Austonian has so dramatically altered the Austin skyline (it’s now the tallest residential development west of the Mississippi river!). Residents will begin moving in to the Four Seasons (a 32-story building offering 148 luxury condo and incredible hotel amenities including the famous Four Seasons spa service) and the Austonian (the 56-story behemoth just north of the river offering 188 luxury condos). There’s also another major opening scheduled for December of this year at the W Hotel and Residences, a 26-story project offering 252 hotel rooms, 165 condos, and the high-profile new theater that hosts the infamous Austin City Limits live music program.

Together these buildings represent not just a subtle shift in the luxury offerings downtown, but a wholesale reconfiguration of downtown Austin’s residential market. The combined 501 luxury condos (the majority of which are over $1M) featuring amenities such as anywhere-anything concierge service, hotel services such as in-room dining, and world-class interior finishes have dramatically changed the conversation in terms of what our market can support. And with Austin as the #1 city in the United States in terms of recovery from the recession, there’s lots of reasons to be optimistic about the future development of our central business district.

Check out the interesting graphic below showing the progress of the “first wave” of Downtown Austin condo sales – it’s incredible to think that despite their relatively high prices these condos are 98% sold as of March 2010! And for a very interesting read about the possibilities (and the realities) of Austin’s booming downtown, check out the article “Up in the Air” by Harold Hunt.

About Red Home Realty

Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.

Welcome to the May 2010 edition of our Austin monthly market statistics analysis for home and condo sales in Austin, TX.

May wasn’t really a windfall month in any direction, nor were there any huge market disruptions to report. The data reflects modest changes in either direction in terms of the list and sold prices, prices per square foot, etc. The real news for May 2010 in the Austin, TX real estate market is in two critical stats: days on the market until sale and the total number of closed sales.

Especially when it comes to the YTD totals, 2010 is shaping up to be a much bigger yeah than 2009 both by volume and number of sales, despite the fact that markets remain somewhat soft. Read on to learn more about the May market data and about how things are looking in the Austin, TX real estate market!

The Big Picture

The biggest change in the “major” stats from april was in the amount of time homes were on the market prior to sale, and we’re happy to report that the trend not only continued in May, it grew. The drop of 18% is among the largest we’ve had so far in 2010 and is a HUGE stat when considering the fact that inventory is rapidly adjusting back to more normal levels. With an area average of 2 months for homes to be on the market, Austin sellers should consider themselves extremely lucky given that inventory through much of the rest of the country has exploded far beyond demand and has left nowhere for home prices to go but down.

The total number of homes sold also increased substantially over 2009 to 2165 - an increase of 15% – and the year to date increase was an even larger 19.6%! Overall this suggest that inventory is being kept at reasonable levels and that we should continue to expect solid sales throughout 2010.

There’s another big story that ties in to what we’ve written about the resiliency of Austin’s downtown market. Not only are there reports that we may have another downtown condo boom upon us shortly, but the sales data shows that despite somewhat softer prices in the luxury market there is still a MAJOR demand for property in downtown Austin. The graphic below shows the sales data for area DT (downtown Austin) for May, and the change in the number of sold listings and in the volume is truly enormous: sales volume has risen by 115% year to date in the Downtown area, and just in comparison to May of 2009 the number of sold listings nearly doubled.

These numbers speak to the HUGE demand for downtown properties despite the economy’s woes. We look to see this trend continue throughout 2010 and for much of the downtown inventory (both resale and new inventory as it becomes available) to continue selling strongly.

Downtown Austin Stats for May 2010

About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.

We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.

20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.

It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.

Connect with us at redhomerealty.com, or learn about the Austin market on our company blog. You’ve got questions – now you have help.