My Lake Conroe Blog Lake Conroe Real Estate Information

COMMERCIAL ARTICLE FOR September 12, 2010

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.