In late March, the Federal Reserve pulled out of the mortgage-backed securities market. This caused a quick rise in mortgage rates in the first several weeks of the Fed-less mortgage market. This caused some concern in the real estate industry that the rebound in home sales would come to an end. Those concerns were alleviated over the past couple of weeks as mortgage rates have dropped dramatically. Rates fell to their lowest levels of the year, and have maintained a relative stability over the past week. Despite the lack of the Fed assistance and the expiration of the first time homebuyer program, the summer should remain a good time to buy for Houstonians.
16
Apr 10
Houston Real Estate Market Report – 1st Quarter 2010
Norhill Realty presents our 1st Quarter Market Report for the Greater Houston area. This report tracks several key neighborhoods within Greater Houston’s Inner Belt and breaks down the number of sales, median days on market, average sales price, and the months of inventory. We then compare the 1st Quarter figures with those of the same Quarter from the previous year.
In this report, it is evident that the number of home sales has improved from this time last year. The rebounding economy, home-buyer tax credits, and low mortgage rates have encouraged buyers to enter the housing market. As the economy continues to show signs of stability and improvement, we expect this trend to continue in 2010. As demand for housing returns, this should help property values rebound and encourage more home owners to sell and upgrade to larger homes.
25
Mar 10
Houston posts job gains in February
The Houston-Sugar Land-Baytown metropolitan area added 10,300 nonagricultural jobs in February — the largest gain since November 2008, theTexas Workforce Commission reported Thursday.
The unemployment rate fell slightly in February to 8.5 percent from 8.8 percent a month earlier. However, even with the added jobs, the region’s workforce is down 3.1 percent, or 80,000 jobs, for the year.
Read more HERE
23
Mar 10
Report: Gulf Coast economy outpacing that of Texas as a whole
If Houston were a nation, its economy would be the 25th largest in the world, just behind Norway, according to a new report by Texas Comptroller Susan Combs.
Following the effects of Hurricane Ike in 2008, the Gulf Coast region has shown resilience in the area economy and even surpassed the rest of Texas for quarterly sales when the state entered a national recession, according to the report.
The Gulf Coast region’s economic outlook is positive, with a diverse industry base providing support for the state and national economies.
Read more HERE
23
Mar 10
Census: Houston, Dallas fastest growing metro areas in 2009
The Houston and Dallas-Fort Worth metro areas grew faster than any region in the country last year, according to a new estimate from the U.S. Census Bureau.
The 2009 metro area population estimate shows that some 6.45 million people lived in the Dallas-Fort Worth metroplex as of July 1, 2009, up 146,530, or 2.3 percent.
That raw influx of 146,530 is more than any other region in the nation.
The Houston metro area had the second-largest influx of residents at 140,784 or 2.5 percent, pushing the region’s total population to 5.86 million.
Read more HERE
10
Mar 10
Forbes: Houston ranks 4th in list of cities where recession is easing
Houston is the fourth top city in the United States where the recession seems to be easing, according to Forbes magazine.
Houston, along with nine other metropolitan areas, are best surviving the downturn in part because they specialize in industries that are relatively insulated from economic volatility, Forbes said.
If one state is a poster child for economic recovery, said Forbes, it’s Texas, which is home to four of the 10 cities on the list. Read more HERE.
09
Mar 10
REAL ESTATE RELATED TAX TIPS
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24
Feb 10
RUNNING OUT OF TIME ON LOW INTEREST RATES
If you haven’t taken advantage of low interest rates, you may be running out of time. Over a year ago, the Federal Reserve began buying mortgage backed securities on a mass scale to help push down mortgage rates and prop up the economy. This program has generated a wave of refinances and purchases, which have had a huge impact on the economy. Through rate/term refinances, homeowners have been able to lower their monthly payments and free up money for buying cars, consumer goods, savings, or paying down credit cards. First time homebuyers have flocked to real estate offices across the country to lock in low interest rates and take advantage of federal tax credits.
Despite the results, this program is not sustainable. The Federal Reserve allocated $1.25 trillion for this program and those funds will be fully spent by the end of March. After the program ends, the mortgage backed securities market will be on its own. We don’t know how high or how fast they will rise. However, it is safe to say that they are not going to remain under 5% for a significant amount of time.
In a Business Week article called, If You Don’t Buy a House Now, You’re Stupid or Broke, Marc Roth plots the historic course of interest rates over the past 30 years. As you can see from his chart below, mortgage rates are at all time lows and they have little room to fall and quite a bit of room to rise.
12
Jan 10
REAL ESTATE MARKET REPORT – 4TH QUARTER – GREATER HOUSTON
In this month’s newsletter, Norhill Realty presents our 4th Quarter Market Report for the Greater Houston area. This report tracks several key neighborhoods within Greater Houston’s Inner Belt, and breaks down the number of sales, median days on market, average sales price, and the months of inventory. We then compare the 4th Quarter figures with those of the previous Quarter.
In this month’s report, the thing that pops out at us the most is the decline in inventory levels. Lack of significant New Construction inventories and apprehension among prospective sellers appear to be driving this phenomenon. These lower inventory levels are helping to prop up prices. Although some neighborhoods performed better than others, overall the average sales prices for Single Family Homes and Townhomes/Condos were up from the 3rd quarter to the 4th quarter. This may present opportunities for home builders in the coming months for New Construction, as well as for potential home sellers who are looking for the right time to sell and upgrade to a different community or larger home. The longer prices remain stable, the more confidence will build among market participants.