Why is it a great time to be a buyer or seller in the great State of Texas right now? Because the rates are low, and values are stable!
"Donna, Did you say the values are stable? But, I thought values were down across the entire country. That's what the National news tells me whenever I turn on the tv!"
Yes, I said values are stable and, in many places, values are up.
According to the main Texas real estate magazine, Tierra Grande's January 2009 issue, home prices in Texas are UP 1.4%. Granted, 1.4% doesn't sound like very much since 2007's values were up 4.8% and 2006's values were up 5.6%, but to be up in today's market, even a little, is fabulous news!
This is another example of learning your local market and not listening to the national news.
As a seller, that means you shouldn't be taking a loss on your home unless you have owned it only a couple of years as average closing costs to a seller are around 8%. Your house will need to have appreciated at least this amount to break even.
As a buyer, this means that you can buy a house today at basically the same price as last year, but have a much lower mortgage payment as rates have dropped considerably over last year's rates. On a home priced about $200,000, you could be paying upwards of $235 less a month (rates were at 6.75% and now at 4.875%).
Why wouldn't you want to buy TODAY with all that savings?!?!
With this great news for buyers, that means all you sellers who are on the fence about selling should be hopping off. There are buyers for your homes, and when your home sells, you'll also be able to take advantage of today's lower rates as well.
It's a WIN/WIN for both buyers and sellers right now.
I hear it all the time that sellers want to wait and see what happens with property values, and they'll try to sell when they see values go up some more. The bigger of the two main problems with that is if your value is going up, so are the houses you're going to look at to purchase. But, not only are the values going to go up when you finally decide to sell and buy, but rates will also go up and that just ruined not only your buying power, but also the buying power for the people who would be looking at your home to puchase as well... double edged-sword!
My professional opinion for every seller in Austin, Dallas, Houston, or anywhere in Texas, *thinking* about selling is to get your house on the market now to take advantage of the stable values and lower rates or you'll kick yourself later when you're trying to buy a house next year when rates are back up into the 6+% range.
Can I reblog this for Houston? This message can't be said enough for our Texas buyers/sellers. I really think the average Joe is starting to catch on to the media's doom & gloom reports.
Greg, By all means, re-blog away! The more this message can get out, the better! This topic came up in two of my listing appts this past week where both wanted to wait out the market for values to go up. Only one of them understood the importance of their own buying power, and that house will be on the market this week. The other one wants to wait and see. You can't educate them all, but we can try!
Values being stable is a key point Donna. Very well written.
Great points Donna! Love the numbers (mainly because I live in Texas).
Gary, Thank you very much!
John, Thanks, and real estate is all about the numbers, which gives the *real* story, not fear.
How great Donna ! -- sounds like a great time to get some listings !
Glad your market is on the ups !
:o)
Donna - What a great post... Real Estate is Local and educating buyers is one of our most important jobs... Great way to share the news.
Sheldon, Yes it sure is!
Debbie, And not just the buyers, but the sellers who will become buyers in the process. Thanks!
Oh I see.. you have to throw my 'fear' post out there huh?? LOL Received your email. I'll certainly spread the word.
Donna - Bravo! The more we can get this message across to consumers, the better!
Well said - and great use of eye catching charts and graphics in your post.
John, Just going full circle!!
Kim, Thank you!
Kate, Thank you so very much! I don't like "boring" looking blogs, so I try to spice things up when I can.
Hey Donna,
I had an Open House last week and the last person to show up thought she knew it all.
She was saying how values have been down. I just let her talk away. I was trying to give her a hint to leave because I did not want to hear anymore.
Angelia, I've learned to just smile and nod when people talk stuff they don't know. Then I get a bigger smile when they look right at me and ask for my opinion. Are you sure you want it? LOL!
Donna, GREAT information and I'm going to re-blog in my area (Wise County-North Texas) as well.
It has been a hard job EDUCATING the people around my area not to believe ALL the fear factor stories they are hearing on the news.
Thanks so much for all your information.
Happy SELL'ng from Paradise, TX.
Kathy, Thanks! And definitely reblog it. Everyone needs to hear the great news about our market!