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Bryan Faircloth's Blog

By Bryan Faircloth | Agent in Austin, TX
  • 5 Reasons to Buy a Home in the Next 5 Months

    Posted Under: Market Conditions in Austin, Home Buying in Austin, Home Ownership in Austin  |  July 22, 2014 1:06 PM  |  109 views  |  No comments

     From Yahoo! Homes -

    Contact me if you are planning to buy a home, sell your home, or invest in real estate!

    Bryan Faircloth
    bryfair@kw.com

    A combination of market factors may make you think you're getting priced out of the home market. But one observer believes first-time homebuyers might want to consider making a move.

    "I know it's hard to face rising interest rates and rising home prices at the same time," says Ilyce Glink, real estate expert and managing editor of the Equifax finance blog. "The good news is there's still plenty of runway if you want to buy a house this year."

    Glink believes first-time homebuyers should consider these five good reasons to buy a house before the end of the year:

    Home prices are still off their highs

    Yes, home prices are rising from the lows seen during the housing crash of 2008, but they're still nearly 20% off their mid-2006 peak. According to the S&P/Case-Shiller Home Price Index, average U.S. home prices are currently at summer 2004 levels. In markets that are still recovering, first-time homebuyers could see significant appreciation over the next few years, if they buy now.

    [Ready to buy a home? Click to compare mortgage interest rates from lenders now.]

    Interest rates are expected to keep rising

    Interest rates are slowly climbing, and as the Federal Reserve concludes its economic stimulus plan, rates are expected to continue to rise. Some experts believe mortgage interest rates could hit 5% by the end of 2014 or the first quarter of 2015, according to Glink. And even a small bump in interest rates can mean a significant jump in your monthly note.

    "If you're offered a 4.2% interest rate on a $400,000 mortgage, for example, your monthly payment will be $1,961, and you'll pay more than $300,000 in interest over the loan's 30-year term," Glink says. "If your interest rate were 4.9%, your monthly payment would jump to $2,115, and the total interest paid over the life of the loan would exceed $360,000."

    Rental rates are rising

    There is always an argument to be made regarding whether to buy or rent. It's all a matter of your particular situation – as well as the status of your local housing market. If you need to be mobile -- prepared for job transfers or out-of-state promotions -- or are continuing to search for "the perfect place," renting is probably right for you.

    However, if you would like to put down some roots, and rents are high in your hometown – it might be cheaper to buy.

    "Divide the list price of the home you're interested in by the annual rental rate of a comparable property to determine the price-rent ratio," Glink advises. "If it's below 20, chances are it's a good time to buy."

    Of course, buying a home means more than a mortgage. Remember to consider the other built-in expenses: maintenance, insurance, taxes and utilities.

    [Shopping for a home loan? Click to compare mortgage interest rates from lenders now.]

    Consider your buying power

    Americans have been steadily reducing their debt load. Maybe you have, too. The lower your debt, the higher your buying power. Creditors will consider your debt-to-income ratio – how much debt you have, compared to your gross (before-tax) income.

    "Experts generally agree that you can spend between 28% and 36% of your gross income in total debt service -- that's your housing expenses plus your other debt payments," says Glink.

    With lower debt comes a higher score

    As you pay off student loans, credit cards and consumer debt, your credit scorewill improve. And that's one of the biggest factors mortgage lenders consider when determining the interest rate and terms of your loan.

    "You should definitely consider buying this year, because it's unlikely the housing market will look much rosier next year, when interest rates and home prices could be even higher," Glink says.

  • June 2014 Austin Area Housing Statistics

    Posted Under: Market Conditions in Austin, Home Buying in Austin, Home Selling in Austin  |  July 21, 2014 9:26 AM  |  98 views  |  No comments

    Good morning,

    Please let me know if you are in the market to buy a home, sell your home or invest in real estate. We are now down to average days on market of 39 days!

    Bryan Faircloth  www.BryanSellsAustin.com
    Keller Williams Realty
    bryfair@kw.com



    Austin-area home sales reach all-time high for June as listings increase;
    Mid-year results show 2014 on pace to exceed record sales volume in 2013

    Austin Board of REALTORS® releases real estate statistics for June 2014
    AUSTIN, Texas July 21, 2014– According to the Multiple Listing Service (MLS) report released today by the Austin Board of REALTORS® (ABoR), Austin-area home sales reached an all-time high for the month of June, increasing 13 percent year-over-year to 2,997 single family home sales in June 2014. Mid-year statistics show Austin-area home sales increased three percent year-over-year to 13,426 homes sold, putting 2014 on pace to potentially exceed 2013’s all-time high in sales volume.Bill Evans, 2014 President of the Austin Board of REALTORS®, explained, “The 2014 summer selling season in Austin was expected to be strong, and June 2014’s home sales activity did not disappoint. Austin’s housing stock is rising to meet the area’s continually strong housing demand, and as a result Austin saw a sharp rise in home sales in June 2014.”The rise in housing stock has led to positive figures in both monthly housing inventory and home listings. In June 2014, the monthly housing inventory was 2.8 months, the highest level of inventory seen since August 2013. New and active listings also showed positive results in June 2014, with new listings increasing two percent year-over-year to 3,701 listings and active listings increasing six percent year-over-year to 6,246 listings.Year-to-date, the monthly housing inventory has increased by almost a full month since the beginning of the year as home sales have remained strong. This is notably different from 2013, which showed consistently lower inventory figures throughout the year. In addition, new listings increased one percent, active listings decreased two percent and pending sales decreased three percent from the first six months of 2013.

    Housing development has also been a driving factor in the housing stock increase. The final Q2-2014 data from Metrostudy shows that home starts in the Austin area have increased eight percent year-over-year to 9,782 homes, as well as 6,007 vacant developed lots that have been delivered to date in 2014. In addition, the number of new homes on the market has increased by more than 500 new homes year-over-year to 4,941 homes, with new homes under construction comprising about 80 percent of that figure.

    Madison Inselmann, Regional Director of Metrostudy’s Austin market, commented, “For the first half of 2014, the shortage in Austin-area housing supply prevented the market from being able to grow. Developers are making great strides in both new home development and lot delivery to catch up with the area’s strong housing demand and are set to surpass last year’s development numbers.”

    Evans continued, “Despite the steady increase in home prices, demand had not been affected. Homes are selling as soon as they hit the market, and if Austin continues to see increases in housing inventory, we could see corresponding increases in home sales activity.”

    In June 2014, the median price for Austin-area single-family homes increased seven percent year-over-year to $252,520, whereas average price increased eight percent to $326,998. Single-family homes spent an average of 39 days on the market, a decrease of four days compared to June 2013. This the fastest homes have ever sold in the Austin-area housing market since 2001.

    Price increases are similar for the first half of 2014, with median price increasing seven percent to $239,900 and average price increasing six percent to $308,298. At the same time, homes spent an average of 47 days on the market, seven fewer days than the same time last year.

    Additionally, the total dollar volume of single-family properties sold was $980,013,006 in June 2014, a year-over-year increase of 21 percent. June 2014’s total dollar volume comprised nearly one-fourth of the total dollar volume for mid-year 2014, which increased eight percent year-over-year to $4,139,209,987.

    Evans concluded, “2014 could very well turn out to be another ‘best year ever’ for Austin-area home sales, but it’s important that Austin continue to replenish and expand its housing stock so these strong figures can continue. In the meantime, both homebuyers and sellers can expect the rest of the summer selling season to be highly competitive.”

    June 2014 Statistics
    2,997– Single-family homes sold, 13 percent more than June 2013.


    $252,520– Median price for single-family homes, seven percent more than June 2013.


    $326,998– Average price for single-family homes, eight percent more than June 2013


    39– Average number of days single-family homes spent on the market, four days fewer than June 2013.


    3,701– New single-family home listings on the market, two percent more than June 2013.


    6,426– Active single-family home listings on the market, six percent more than June 2013.


    2,797– Pending sales for single-family homes, one percent fewer than June 2013.


    2.8– Months of inventory* of single-family homes, 0.1 months less than June 2013.


    $980,013,006– Total dollar volume of single-family properties sold, 21 percent more than June 2013.



    2014 Mid-Year Statistics
    13,426– Single-family homes sold, three percent more than the first half of 2013.


    $239,900– Median price for single-family homes, seven percent more than the first half of 2013.


    $308,298– Average price for single-family homes, six percent more than the first half of 2013.


    47– Average number of days single-family homes spent on the market, seven days fewer than the first half of 2013.


    19,276 – New single-family home listings on the market, one percent more than the first half of 2013.


    5,327– Active single-family home listings on the market, two percent fewer than the first half of 2013.


    15,263– Pending sales for single-family homes, three percent fewer than the first half of 2013.


    $4,139,209,987– Total dollar volume of single-family properties sold, eight percent more than the first half of 2013.



    The following sections describe trends in other sectors of the Austin real estate market.
    Townhouses & Condominiums

    The volume of townhouses and condominiums (condos) purchased in the Austin area in June 2014 was 308, which is one percent fewer than June 2013. In the same time period, the median price for condos was $209,000, which is eight percent more than the same month of the prior year. These properties spent an average of 31 days on the market, 10 days fewer than June 2013.

    For the first half of 2014, 1,641 Austin condos were sold, which is 10 percent more than this time last year, while the median price was $213,500, or 10 percent more than the first half of 2013. Condos spent an average of 44 days on the market, 13 fewer days than the first half of 2013.

    Leasing

    In June 2014, a total of 1,712 properties were leased in Austin, which is 14 percent more than June 2013. The median price for Austin-area leases was $1,500, which is three percent more than the same month last year. In the first half of 2014, a total of 7,967 properties were leased in Austin, which is five percent more than 2013, and the median lease price was $1,450, a four percent increase from the first half of 2013.

    The Austin Board of REALTORS® (ABoR) is a non-profit, voluntary organization dedicated to educating and supporting Central Texas REALTORS®. ABoR proudly serves more than 9,000 members, promotes private property rights and provides accurate, comprehensive property listing information for the Greater Austin area. Home sales statistics are released by ABoR on a monthly basis. For more information, please contact the ABoR Marketing Department at marketing@abor.com or 512-454-7636. Visit AustinHomeSearch.com, a public resource on Austin real estate, for the latest news on the local housing market



    Bryan Faircloth
    www.BryanSellsAustin.com
    Keller Williams Realty
    bryfair@kw.com.

  • Top Golf Courses - Austin Area

    Posted Under: Quality of Life in Austin, Parks & Recreation in Austin, Home Buying in Austin  |  July 2, 2014 12:12 PM  |  105 views  |  No comments

    Bryan Faircloth
    www.BryanSellsAustin.com
    bryfair@kw.com


    The article by the Austin Business Journal lists the toughest ranked private and public golf courses in the area. Of these 10 courses 8 of them are in or linked to residential developments so you can live there as well. The top 5 private are Austin CC (Davenport Ranch), The Hills of Lakeway, Horseshoe Bay/Summit Rock (new Nicklaus design), Flintrock Falls of Lakeway and the University of Texas Golf Club (Steiner Ranch). The 5 public are Teravista in Round Rock, ShadowGlen, Wolfdancer (Lost Pines Resort), Lago Vista and Forest Creek, also in Round Rock. If you are looking to buy a home or sell your home in these neighborhoods, please contact me and I look forward to assisting in your real estate goals!

    http://www.bizjournals.com/austin/news/2013/04/26/austins-toughest-golf-courses.html?s=image_gallery
  • This Month in Real Estate - July 2014

    Posted Under: Market Conditions in Austin, Home Buying in Austin, Home Selling in Austin  |  July 1, 2014 12:06 PM  |  125 views  |  No comments
    This month in real estate for July, courtesy KW. Contact me if you are looking to buy a home, sell your home or invest in Austin real estate! https://www.youtube.com/watch?v=3w-uUJdodSg

    Bryan Faircloth
    bryfair@kw.com
    www.BryanSellsAustin.com
  • This Month in Real Estate - June 2014

    Posted Under: Market Conditions in Austin, Home Buying in Austin, Home Selling in Austin  |  June 13, 2014 8:06 AM  |  114 views  |  No comments

    This month in real estate for June, courtesy KW. Contact me if you are looking to buy a home, sell your home or invest in Austin real estate! http://www.youtube.com/watch?v=keuBfCAvj0I&feature=youtu.be

    Bryan Faircloth
    bryfair@kw.com
    www.BryanSellsAustin.com

  • Why Use a Realtor to Buy Your Builder Home

    Posted Under: General Area in Austin, Home Buying in Austin, Investment Properties in Austin  |  September 13, 2013 9:11 AM  |  582 views  |  No comments

    To see latest builder inventory:  www.AustinAreaBuilderDeals.com
    To see latest new and resale inventory:
    www.BryanSellsAustin.com

    As summer is beginning several of our local builders now have inventory available. It is a great time to buy in the Austin area and there are some excellent opportunities to own with these builders. I do want to share some reasons why approaching a builder is best done through your agent rather than direct:

     

    1. While it may appear a good idea to cut out the middleman by negotiating directly, you will NOT be able to reduce the price of the house by the amount of the realtor commission! Today's builders may have sales expenses (commissions) accounted for at the corporate level and are likely not to be priced in each home. You actually have a better chance at buying for less than asking price bringing a realtor.

    2. Buyers represented by agents are looked upon by the builder representatives as having the opportunity to shop: compare several builders, compare new versus resale, even compare new versus foreclosure (there are still a few of those!). You are much more likely to get their “best quote” and save money when you work with an experienced agent (such as myself of course!).

    3. With an experienced agent, you have the opportunity to get second opinions for financing, inspections, etc. that may save you money in the long run.

    In Austin we are fortunate to have some excellent builders that build high quality housing and score very well on customer service. It is still best to approach your next home with a Realtor in order to find out what is best for you in terms of your real estate goals. Contact me to buy your next home, either to live in or as an investment!

    Bryan Faircloth
    Keller Williams Realty
    www.BryanSellsAustin.com
    (512) 468-9791
    bryfair@kw.com

  • Austin Statistics - Jan 2013

    Posted Under: General Area in Austin, Home Buying in Austin, Home Selling in Austin  |  February 28, 2013 8:52 AM  |  219 views  |  No comments

    Area Market Statistics

    graph

    Austin-area home sales rise 33 percent, hit six-year high for January

    Austin Board of REALTORS® releases real estate statistics for January 2013

    AUSTIN, Texas – February 20, 2013 – According to the Multiple Listing Service (MLS) report released today by the Austin Board of REALTORS® (ABoR), the volume of Austin-area home sales continues to rise as January became the 20th straight month of sales volume increases—the most home sales in January since 2007.

    According to the report, 1,402 single-family homes were sold in the Austin area in January 2013, which is 33 percent more than January 2012, and the total dollar volume of single-family properties sold was $368,289,978, or 55 percent higher than the same month last year.

    Cathy Coneway, 2013 Chairman of the Austin Board of REALTORS­®, explained, “The Austin real estate market showed steady growth in demand throughout 2012 and if the first month of 2013 is any indication, this year looks to be continuing that momentum in a big way.”

    In January 2013, the median price for Austin-area homes also increased to $197,900, which is 10 percent more than the same month in 2012. Additionally, the market featured 2.5 months of inventory in January 2013, which is 1.6 months less than January 2012 and the lowest inventory figure seen in the Austin area in the last decade.

    The market also featured one percent fewer new listings, 25 percent fewer active listings and 25 percent more pending sales in January 2013 compared to the prior year. On average, homes spent 71 days on the market, which is a decrease of 14 days from one year prior.

    Chairman Coneway continued, “The inventory of homes in Austin continues to feature unprecedented lows and sales prices are starting to reflect that. Those entering the market should be prepared to compete for properties.”

    January 2013 Statistics

    • 1,402 – Single-family homes sold, 33 percent more than January 2012.
    • $197,900 – Median price for single-family homes, 10 percent more than January 2012.
    • 71 – Average number of days single-family homes spent on the market, 14 days fewer than January 2012.
    • 2,252 – New single-family home listings on the market, one percent fewer than January 2012.
    • 4,947 – Active single-family home listings on the market, 25 percent fewer than January 2012.
    • 2,045 – Pending sales for single-family homes, 25 percent more than January 2012.
    • 2.5 – Months of inventory* of single-family homes, 1.6 months less than January 2012.
    • $368,289,978 – Total dollar volume of single-family properties sold, 55 percent more than January 2012.

    The following sections describe trends in other sectors of the Austin real estate market.

    Townhouses & Condominiums

    The volume of townhouses and condominiums (condos) purchased in the Austin area in January 2013 was 177, which is 39 percent more than January 2012. In the same time period, the median price for condos was $190,000, which is 23 percent more than the same month of the prior year. When compared to January 2012, these properties spent 42 percent less time on the market, or an average of 64 days.

    Leasing

    In January 2013, a total of 1,150 properties were leased in the Austin area, which is two percent more than January 2012. The median price for Austin-area leases was $1,300, which is four percent more than the same month of the prior year.

    The Austin Board of REALTORS® (ABoR) is a non-profit, voluntary organization dedicated to educating and supporting Central Texas REALTORS®. ABoR proudly serves nearly 9,000 members, promotes private property rights, and provides accurate, comprehensive property listing information for the Greater Austin area. Home sales statistics are released by ABoR on a monthly basis. To receive sales activity updates, contact marketing@abor.com or 512-454-7636, ext. 1300.

    * The inventory of homes for a market can be 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.

 
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