Great City For Young Adults
Sep/100
Houston, Texas
Metro population: 5,867,489
Cost-of-living index: 91
Median monthly rent: $775 (average is $819)
Average annual wage: $41,074
Unemployment rate: 8.3%
Percentage of Gen Y residents: 23.9%
Top employers: Wal-Mart Stores, Memorial Hermann Healthcare System, Administaff, The University of Texas MD Anderson Cancer Center, Continental Airlines, Kroger, Exxon Mobil
Like its rival Austin, Houston offers great job prospects and exciting big-city amenities at a price so low, even struggling grads can afford it. Diversity is one of its unsung strengths. More than a million of Houston’s inhabitants were born outside of the U.S. H-Town’s economy is varied as well: The city has strong energy, manufacturing, aeronautics, transportation and healthcare sectors, and 25 Fortune 500 companies have headquarters here.
PROS: A small-town cost of living in the country’s fourth-largest city, rents well below the national average, one of the country’s best restaurant scenes, vibrant nightlife, an hour from Gulf Coast beaches
CONS: Oppressive heat and humidity, infamous bumper-to-bumper traffic (the average commute will last 26 minutes), heavy air pollution, a crime rate well above the national average
5 Expensive (and Unexpected) Things That Can Happen To Your Home
Sep/100
For most people, a home is one of the most valuable assets they’ll ever own. Unfortunately, there are some major perils that can befall a house and put a serious dent in the value of that asset. Many of these perils are much more insidious than a fire or natural disaster. Read on to learn about some of the most expensive damage that can occur in your home, how much it costs and how to avoid it.
Foundation
If you have bowed basement walls, cracks in walls or floors or a tilting chimney, you may be aware that these are signs of a problem foundation. But many people don’t realize that difficulty opening and closing doors and windows can also be early signs that your home is shifting. And whether you have a new home or an old one, foundation problems often require major repairs — and a big cash outlay. According to the Concrete Network, a consumer website devoted to concrete services, foundation problems can be caused by the type of soil the house is built on, an improperly laid foundation or drainage problems. Whatever the cause, a bad foundation is bad news and, depending on the severity of the problem, can cost the homeowner well over $10,000.
How to prevent it: Assuming your home was properly built, the most you can do to prevent problems in your foundation is to ensure that your home has proper drainage. This means that gutters and eavestroughs should be kept clear and in good repair, and your yard should be properly graded to ensure that water runs away from your house.
Mold
Unlike major water damage, such as that caused by flooding, minor or hidden water damage in your home, perhaps from a defective water pipe, hot water heater or window seal, can cause just as much damage — and you may not notice it right away. Similarly, if your home suffered through a flood in the past and did not adequately dry out, mold can also thrive. (If you live in a flood-prone area, flood insurance is a must.)
How to prevent it: Mold can’t grow without moisture, so it’s important that you check for and fix any leaks in your home immediately, use fans in kitchens and bathrooms to vent moisture outside and clean up any mold growth immediately to prevent it from spreading.
Water Damage
If your home isn’t water tight, this isn’t something you can ignore. Beyond the possibility of mold, long-term water damage can cause rot, which can lead to all kinds of expensive repairs to the structure of your home. It’s difficult to estimate the cost of this type of repair, but it can easily run into the thousands depending on how much wood needs to be replaced and how intrusive the repairs are.
How to prevent it: Be vigilant about water damage in your home; if you find leaks or areas that tend to be damp, have them repaired before long-term damage occurs. If you find rotten wood in your home, repair the problem before it gets out of hand.
Bedbugs
If you’re a homeowner rather than a renter, you may think you’re immune to this one. Not so. According to Bloomberg, a recent nationwide infestation of bedbugs has seen the little blood-sucking critters popping up all over the place — including movie theaters, office buildings and hotels, making it very easy for anyone to bring the infestation home. And, because many of the most effective chemicals for killing bedbugs have been found to be dangerous, eliminating the spread is harder than ever. According to a July 2009 story in the New York Times, paying more than $5,000 to eliminate a bedbug infestation is not uncommon.
How to prevent it: Avoid bringing home used furniture, mattresses or bedding. If you travel, inspect your hotel carefully for bed bugs (even upscale hotels have suffered from this problem), and avoid placing your luggage on the floor. If you find bed bugs in your home, contact an exterminator.
Sewer Line Problems
The portion of the sewer line that extends out from a home and onto city property is often the homeowners’ responsibility when it comes to repairs. Sewer line problems are most common in older neighborhoods, where the line may have sagged or has been damaged by tree roots. If you have slow running or gurgling drains, frequent backups in your plumbing system or sewage smells outside your home, these may be indications of a problem. Again, your home insurance policy may cover this cost, expect this doozy to cost anywhere from $5,000 to $15,000 for a 100-foot sewer pipe.
How to prevent it: If you experience signs of sewer problems in your home, have a professional inspect your lines. Clogs and tree roots can often be removed at a lower cost, without complete replacement of the pipe.
The Bottom Line
With careful inspection and proper maintenance, you can avoid many of the worst perils that can befall your home — or at least fix them before they become so expensive. Homeowners should also create an emergency fund to pay for unexpected home repairs.
Sellers Market or a Buyers Market?
Sep/100
My last article questioned whether it is a Seller’s Market or a Buyer’s Market; it was determined that it indeed is a Buyer’s Market. Thought I would give a few statistics comparing closings (solds) for August, 2010 to closings (solds) for August, 2009.
MLS area 39 contains Lake Conroe area, north to the Walker County line, and west of I-45 almost to Plantersville. Area 15 consists of the area south of the San Jacinto River including the Woodlands, Oak Ridge North, Shenandoah, Magnolia, Pinehurst, etc. Area 19 encompasses Conroe proper, east almost to Fostoria along the San Jacinto County line, north to the Walker County line, and south to include Woodloch area. Area 40 includes the areas Splendora, Porter, Roman Forest, Patton Village east to the Liberty County line.
These stats were taken from the Houston Association of Realtors Multiple Listing Service and are deemed to be reliable. Some listings that sold in August, 2010, may not be closed in MLS, but these are the latest available!
Here are the stats:
AREA DATE SOLDS PRICE RANGE
39 August 2009 117 $37,900-$762,500
39 August 2010 77 $40,000-$842,500
15 August 2009 305 $14,000-$1,750,000
15 August 2010 241 $37,000-$2,500,000
19 August 2009 72 $32,000-$380,000
19 August 2010 57 $24,000-$415,000
40 August 2009 30 $34,500-$460,000
40 August 2010 31 $33,500-$755,000
Notice that the price sold in August, 2010 is higher than in August, 2009. That is GOOD NEWS!!
According to Dr. Mark Dotzour, Texas Real Estate Center at Texas A&M University, “When it comes to home price appreciation, Texas is standing strong.” Dr. Dotzour also says, “The strong price trends in Texas are because we didn’t have a price bubble in the previous decade.”
Over the years I have had Sellers compare our area to Arizona, Nevada, California prices and asking , “Why does Texas not appreciate like that?” For many years Texas prices increased a nominal 3 to 5 percent per year, while those areas mentioned increased 30 to 50 percent per year. Have you noticed what has happened to California, Nevada, Arizona prices? We need to get down on our knees and be ever so thankful that we live in this wonderful area.
Dr. Jim Gaines, Research Economist, maintains that, “Texas was one of only five states that reported increases in home prices during the past year.” As a matter of fact Texas was one of only five states where values had more than a 15 percent gain within the past five years.
In conclusion, let me say this-values are rising, buyers are buying, sellers want to sell-therefore, TIME IS OF THE ESSENCES to BUY or SELL!!!
Please e-mail questions to Kim at Kim@FrankeTeam.com. Kim is a member of the Marion Franke Team and a Top Producing REALTOR® in Montgomery County. Kim is a Buyers and an Accredited Luxury Home Specialist.
Article written for Marion Franke
COMMERCIAL ARTICLE FOR September 12, 2010
Sep/100
According to an article in the REDNEWS Magazine …”it looks like the worst of the recession is over…” This is a quote from Commercial realtor ® Ray Hankamer. We believe that this statement has credibility. Certainly, we feel there is a requirement to be “cautiously optimistic”. The Real Estate Roundtable in the publication reported some good news. Last quarter’s analysis that commercial real estate markets have stopped descending has been verified this quarter and values for high quality assets show strength.
Did you realize that Texas real estate is the third most important private industry in Texas? The US Bureau of Economic Analysis reports that real estate “accounts for between 7.8 and 12 per cent of the State’s Gross Domestic Product.” Truly amazing! The US Bureau of Economic Analysis report states, “What happens in Texas affects the rest of the USA, and, more than likely, the rest of the world.” What a huge job we have as Texans! Bottom line is that Texas influences finances of other states. Seems to me like “when Texas talks-everyone listens”.
Here are some highlights of the US Bureau’s report:
• Every $1 million dollar of revenue in the Texas Real Estate Industry generates half a million dollars of revenue in other parts of the state economy and impacts on out of State economies for at least a quarter of that.
• Every $1 million dollars of revenue generated by the Texas Real Estate Industry generates 5.16 jobs in Texas Real Estate industry and five jobs in other industries in the State.
• Every $1 million dollars of sales tax in the Texas Real Estate industry leads to $1.26 million dollars of sales tax revenue in other related industries in the Lone Star state, which are impacted upon by its real estate.
• The Texas Real Estate industry has the highest proportion of self-employed people of all industries.
• Over half a million people work in the Texas Real Estate industry, which represents 3.9 per cent of statewide employment.
• Texas commercial real estate was valued at $251 billion dollars. Texas industrial real estate was valued at $85 billion.
• The Real Estate industry in Texas is responsible for nearly 20% of all business taxes revenue for the entire state.
• Texas real estate owners paid an estimated $24 billion in school tax fees in recent years.
Seemingly, Texas real estate tax revenue enables the State government to continue in the black and do business with other agencies in other States supporting their less than healthy economies.
The Texas Real Estate Magazine maintains that Texas Real Estate has not “gone sub-par.” In other words, our state is almost “recession proof”.
Texas, our area especially, is an ideal place to find land to be used for residences, hunting, recreational activities, raising livestock, and equestrian activities.
While prices are good for Texas real estate, the one entity you have working against you is TIME!
Real estate in Texas and Montgomery County truly is an economically secure investment. Call us today!
Please e-mail questions to Kim at Kim@FrankeTeam.com. Kim is a member of the Marion Franke Team and a Top Producing REALTOR® in Montgomery County. Kim is a Buyers and an Accredited Luxury Home Specialist.
Commercial Article by team member Dixie Estep.