Author: pladmin

Where do you go when the soul calls for inspiration, you feel the desire to feed a passion or you want to be surrounded by nature?  For me, that place is Roundtop.  Twice a year, April and September, Roundtop becomes a focal point on the map, holding the largest Antique Festival in the country.  Stretched over 12-25 miles, Round Top is a small town centered around the largest shopping extravaganza one can imagine.  The booths start in Warranton and then continue through Roundup and stretch beyond Carmine to Burton. Over 2500 sellers/booths are filled with antiques from around the country and Europe.  There is literally something for everyone – a little vintage, a little junk and a lot of finds so irresistible and some so expensive, lets just say, you keep walking.

Beside being known for antique week,  Roundtop is a quaint little town about 90 minutes outside Houston.  It’s tucked off Highway 290.  You have to take a small road, state highway 237 – just about 9 miles west of Brenham.  The exit goes to the left.  The pastures are covered in colors of green, fields are filled with bluebonnets and what is typically ranch acreage turns into an antique haven covered in cowboy boot footsteps and chic bohemian fashions.  If you haven’t been there, you must go; it’s food for the soul.

 

Article Written by Michele Marano, published Aug 30, 2016

I am not here to poke Washington in the face, but I am writing to let you know how the Presidential election will affect our nation’s real estate market.  One would not typically correlate the two, but when you put the items on the table that encompass an election; a new President, economic security, job security, and national security – the health of our real estate market is directly affected.

First of all, it’s important to understand the meaning of  globalization (go to Wikipedia, if you don’t know).  Globalization does not place our citizens, values or our country’s respect first.  Once you’ve grasped the meaning, it will become obvious to you that globalization does not put our country to work.

First and foremost, jobs in the U.S. drives our economy. Our country has a wealth of resources and jobs are derived from them.   That means oil, gas – and every segment of the energy sector- including coal.  Agriculture, fishing, water, etc., are all resources that create jobs.  In addition, we cannot generate jobs in the U.S. while companies are moving their operations overseas.  Corporate inversion doesn’t work for the American people, it takes away jobs and is used to avoid tax burdens.  It puts the wealth of large corporations above the integrity of our county.  As most of you know, we’ve destroyed our manufacturing and lost more jobs to China- and other countries.  Also, when the flow of immigration floods the lowest income bracket, there is no room for people to advance and it puts downward pressure on workers’ incomes.  This all plays into the downward effects of our economy.

We need a national economy again – not a global economy.  We need prosperity, jobs brought back to the US – manufacturing that operates here.  We need trade deals that puts the U.S. ahead of other country’s’ economies.  We need to use our resources to grow jobs.  We need policies that strengthen our security.  Our country needs to grow its core. Status quo does not make us prosper.  Jobs make us grow.  Jobs grow our economy and a healthy economy allows every American the ability to own a home.  Owning a home is not a privilege.  It’s a part of being an American; people want to work, have job security, economic security and feel safe.  That’s how this election will affect real estate.

Globalization is a movement – a direction in which our current administration has led the U.S; a path where the democratic nominee, Hillary Clinton will likely continue.  Donald Trump, the Republican nominee, does not opt for this direction.  Britain spoke and just removed itself from a globalized union. While our election in the U.S. takes place in less than 100 days, we will find out just how many Americans want to continue down this global path.  People do not purchase or invest in real estate when they are challenged by economics, jobs and security.  Economic challenges come from a lot of areas – income, expenses, taxation, and the uncertainty of it all.

 

1. By the Texas Association of Realtors:  “If a seller wants to avoid a possible violation of RESPA, the seller should not insist on a particular title company for the transaction unless the seller is paying for both the owner policy and the lender policy of title insurance.” There are 2 types of policies issued by title.  One is the owner policy and the other is the lender policy.  Most agents don’t understand this and think their seller can automatically select the title company because an owner policy is issued.  This is not true.  Typically, sellers offer to pay for owner policy title when they sell their home, and sometimes builders own their own title companies so they create a condition to make the buyer use their title company.  The title company selected should be one that is unbiased, not privy to either party of the deal.  Rule of Thumb.
2. What happens when an appraisal comes in lower than the sales price of the contract?  First, when you list a home, make sure you know the comps and are using the right ones before you price it.  If it is priced correctly, you should not have a problem when you receive an offer – in this market, the offer should not be full price.  If it is, you are paying too much if the property has not been reduced.  The offer should be supportive of the comps.  Remember, if both agents interpret comps the same, then there should be an easy agreement with price.  If not, then you could run into a problem of buying a home where the appraisal does not support the price.  This should not happen in today’s market, otherwise you go back to negotiation and most likely the appraised value will be the sales price.
3. Builders: The face of a builder’s product is the Agent they hire.  New construction is not just another pretty face on the block, nor is your Agent.  Intelligence and skillfulness are what buyers look for when purchasing from a builder.  Unfortunately, some builders are bruised, on account of hiring listing agents that demonstrate poor judgment and do not perform their responsibilities.  This is visible to clients and Agents.  I have encountered unwelcome situations and am skeptical about bringing clients to a builder where professionalism is/may be compromised by the Agent.  Builders should vie for broad business experience in this versatile market.  Remember, the client comes first, not your listing Agents.

One of my favorite builders, GracePoint Homes, brings an exceptional product to the market.  Uniquely set apart from other builders, Gracepoint Homes is all about the buyer, not anything else.  From the professionalism handled by the sales staff to the impeccable customer service, to unparalleled construction, a GracePoint Home is one you will want to own.

GracePoint Homes provides an elegant product, from Spanish styled Villas and New Orleans flair, to bungalow cottages.  Their homes are all so unique which makes their construction almost distinguishable by the grand columns, wrap around porches and carefully crafted architectural detail.

I can assure you a sound, pleasant experience when you visit GracePoint Homes.  GracePoint Homes can be found in many communities in and surrounding Houston communities.

Marion: Located in Shenandoah, starting around 600’s

Lily: Located in Shenandoah, starting around 500’s

Wrights Landing: Located in Spring, TX starting around 250’s

Stillwater: Located in Conroe, TX starting around 400’s

Sienna: Located in Missouri City, near Sugarland, TX starting around 700’s

Grand Marion: Located in the Woodlands, TX startign around 650’s

Lakeside Cove: Located in the Woodlands, TX starting around 700’s

 

If you are familiar with real estate in The Woodlands/Spring area, you’ve probably taken note of the lack of condos and town homes – compared to the variety available in Houston.

Castle Rock, a regional builder, is bringing a new town home development to Harmony.  If you are not familiar with Harmony – it’s a community within Spring -Spring Creek Greenway, which consists of thousands of acres of nature, greenery and a preserve exclusive to its’ surrounding communities.

The new development called “Solstice” will be located just within feet of entering Harmony’s residential community.  The development will offer 2 story units, ranging from 2800 sq ft to 3500.  Each building will have 4 units for a total of 112 on the grounds.  As an owner, you will be part of the Harmony HOA, for $800 per month, which gives you everything from the clubhouse access to recreational activities, planned by the Harmony community.

My Recommendation : Moderate to High 

Considering the price, this would be a good investment property, with little competition for this housing segment type, although all units will need to sell.  Also, for the amount of money you could spend on a single family new home in this area, this would be an ideal situation for someone who doesn’t want to be burdened with maintenance and grounds of a single family home.  The community is offering per-sale pricing which is very moderate for the area.  For additional info, please call 713-899-8420.

 

Whether you are a buyer, seller, builder, or agent, tips for you to know:

1. A contingency contract is not a great idea.  Contingency contracts can affect as many as 4 or more parties.  If you are not able to buy without an immediate sale of your home, you should wait until you can.  A contingency contract requires 100% accuracy for all parties – not only your side. Chances are there will be a delay in a loan, an appraisal, or a number of other issues that will affect all transactions tied to one deal.   If your agent puts  you in a contingency, then it is their job to manage the situation – even when another party falters.
2. You should have a loan approval before you go out to view homes.  First of all, you should do this as a favor to yourself.  An approval proves your financial capability of purchasing a home.  In addition, it also demonstrates your  “willingness” of going through the process to the parties that will be working with you, i.e. your Agent. Typically an agent will not take you to view homes, until you are approved.  I advise clients to shop on-line prior to an approval and get familiar with locations and pricing.  Then, when the approval is in hand, off we go!
3. Prepare to take an agent with you when you buy from a builder.  The sales team or the “listing agent” works for the builder and has their best interest over yours.  Remember, this is the law.  Whomever represents the builder is working for the builder, not the buyer.  If you think you can get a better deal with no representation, you’re wrong.  You can try to negotiate yourself, however, if you don’t know what is customary, who pays for what, how much things cost, etc., then you probably won’t know what to negotiate.

by Michele Marano

Houston is serving up a tall order to those who have longed for living high – high-rise living, that is.  From the Galleria, Inner loop to River Oaks and downtown, a skyline view of Houston is now available in almost all parts of the city.

Houston, a globally recognized city, has its share of residents pouring in from all parts of the world.  Those who’ve lived in some of the largest cites around the globe expect to find similar living environments when they move to Houston.  People want that big city feel, living in tall apartment buildings or condos.  Until recently, Houston has not offered many options, however, those who move here now will have choices.

So why the rise in high-rises?

Houston has never really been a high-rise type city.  Historically, high-rises have been the slowest moving segment in Houston’s housing.   The ones available were older units and didn’t offer the newest technology or luxury amenities that people wanted.  Also, the older the building, the better the chances of paying a high assessment fee to keep up with the repairs for that building.

High-rises just didn’t sell as fast as other single family developments and when the market suffered a blow in 2008-2009, condo units had a shelf live of years.  Some developments under planning were halted and some projects sat idle for quite some time.   Since the recovery, demand in homes strengthened, as did interest in Houston’s high-rises.

While the price of crude peaked in 2012, Houston saw a rise in its population and real estate sales soared.  Residents poured in from all over the U.S. and world, creating  demand for all housing segments.  This called for new accommodations; housing that would appeal to all styles, tastes and prices.  Finally,  builders caught on and recognized a real need.  While the 500k+ housing segment saw record sales, builders realized an opportunity to capitalize on a new housing market in Houston.  Luxury high-rises emerged.

Most projects have come close to completion and some are still underway.  Unfortunately, the only high-rise development planned in The Woodlands stalled out after a turn in oil and as real estate began cooling, so did the project.  The project should move forward, this time around structured to caterer to a broader market, not only multi-million dollar buyers.

Key factors to consider when buying new high-rise construction.

(1) When is it time to buy. Most of the high-rises are new so either you wait till builders reduce or you pay the price.  Always ask for discounts and then make your final decision based on the timing of the purchase.

(2) How long do you plan to own it? Chances are the price will take some time to appreciate and keep in mind, there are more condos in Houston now so competition is likely when you plan to sell.

Luxurious towering high-rises now flourish the city of Houston.  Sky-high lifestyles, sky-high views and price tags that some consider sky-high for Houston.  Although prices may seem somewhat steep, compared to other major cities, they are not.  And if you wait long enough, almost everything turns a profit, even a tall order.

Villas at the Crossroads in Benders Landing Estates

If you haven’t been to Benders Landing, it’s worth taking a view.  The Crossroads at Benders Landing is a community within a community.   This is Trendmaker’s only community in Spring – minutes from the Woodlands, a short distance to the ExxonMobil campus, 5 minutes to the Grand Parkway and 30 minutes to downtown Houston.   Trendmaker has developed 4 multi-acre lots inside the entrance to Benders Landing Estates. One of the corners is the called The Villas; the other 3 corners,  The Estates.  The Villas are approximately 2800 – 3000 sq feet.  The Estate homes are 4600 – 5500 sq ft.  These homes are located in a private, gated community.   The Villas have 7 new spec homes for sale and 7 lots left to choose from if you decide to construct from ground up.  After the remaining 14 are sold, there will be no other Villas built – which adds immediate value to this community.  As an owner here, you have access to BLE Clubhouse, which provides tennis courts, an oversized lap pool, a children’s pool/play area, a small workout facility, basketball courts, a soccer field and a launch area for canoe size boats. Prices for these homes are conservative for the area.

For further info contact Michele@MicheleMarano.com

 

by Michele Marano, May 17, 2016

Depending on what part of the country you live, some states are showing signs of, yes – once again, a real estate bubble.

New York, which always maintains much higher real estate prices, compared to most other major cities, has soared even higher. So where can these prices go?  Although there seems to be no stopping on the upside – no apparent ceiling, are prices justified based on local economics and global demand?

If you’re familiar with any type of market, you will inherently understand that no market goes in one direction – up – forever.  Markets tend to correct at a 7 year span, so it seems historically proven.  Our last housing bubble was a result of faulty credit ratings the industry failed to recognize in 2007-2009.  While prices peaked near 2006, there was a slow but consistent turn in prices, homes foreclosed and the inflated costs steadily adjusted from New York State to California, hurting major cities in Florida, Arizona and Nevada.

Now, years after the mortgage debacle, the banking industry found comfort again in lending across all states.  With a good credit score and income to prove, you can purchase a home with as little at 10% down, at a 3% interest rate.  But really, are economics so good in these cities that prices cannot stop rising?

I don’t think so. And rates will not stay this low forever.

Typically, a market is driven by demand; good economics and scare land.  Global and local demand push prices to inflated levels, leaving fewer able to purchase, which in turn causes rentals to soar. A typical New York market.

So why doesn’t Texas ever over-inflate?  Houston, a city whose demand is typically driven by the energy industry has already had a correction in lower oil prices, the main reason real estate slows and then flattens and in some areas comes to a halt.   In addition, there is so much land annexed to the city, any growth in population, only levels out pricing.  The good news is the correction is taking place; shaken economics caused by the drop in oil prices and enormous amounts of layoffs for the past year and a half.  Although some people may have lost jobs, it doesn’t crater the real estate market – it only creates a flattening – while cities around the nation are over-inflated.

While sales have halted in areas like the Woodlands and Spring, builders have taken caution selling existing inventory before adding  risk.  Some builders, projecting  a near future increase in demand have started projects that will not be complete for 6-12 months, keeping things at a slow pace until the market heats back up – and surely it will.

So what makes Houston so attractive to buyers?  Housing costs remain lower than the national average, even when the market is soaring.  Houston, considered the Energy Capital of the World, keeps investors and foreign buyers pouring in from around the globe.  This helps maintain a momentum in sales even when things slow – housing under 250k is attractive to investors and new buyers and housing over 500k is an option to those who want to maintain a secondary residence – whether it’s for business or investment.  ( I”ll discuss Houston’s multi-million dollar high-rise market next month.)

In addition, Austin maintains “most desired” city to live for many reasons:

1. Center for Film
2. Center for Technology – Silicon Valley Southwest
3. Home of the Formula 1’s Circuit of the Americas raceway.
4. A place Fortune 500 companies are either headquartered or have regional offices which include Apple Inc, Cisco, eBay, Google, IBM, Intel, Texas Instruments, Oracle Corp., Whole Foods Market, and of course Dell is headquarter moments away in Round Rock – a small suburb.

Texas, a state which allows for a very good real estate market – unlike other cities, gives one the ability to purchase at discounts, and then profit when the market turns.  Of course, you must have the smarts of how and when to do so.  You just need to recognize when there’s an opportunity to buy and know when the time comes to sell.

While other parts of the nation may be bubbling, the risk of that happening in Texas is minimal to none, as things have already cooled off.  Oil being on the down since last year (and now slowly inching up) has allowed the market to level – a chance to sustain moderate pricing – not over-inflated levels like in some of the states I’ve mentioned.   For more info. contact Michele@MicheleMarano.

Next month, what’s up with Houston’s rise in high-rises?

 

If you are following the signs “End Road Work” and “Road Work Ahead”, it looks like more drama signs for your commute in the new year.  Traveling in and around Riley Fuzzle and Rayford Rd, or if you’re anticipating a commute utilizing the Grand Parkway, signs of completion are not that far in the horizon.  According to the Grand Parkway Association, “Segment F1, 290-249, and Segment F2, 249 to 45N will likely open first, possibly in February 2016.  The direct ramp from 45 SB to GP WB and GP EB to 45 NB will open with segment F2.  Segment G, 45N to 59N, will open later, likely in March 2016.  The ramps at Hardy Toll Road will not open until the contractor for Harris County completes their work.  That means the area around Riley Fuzzell, and the Tollway will not open until March 2016.” As far as retail near the Benders Landing community, signs are showing new businesses on the way. Other than the existing grocer, a gas station and a pharmacy, Capital Retail Properties’ site poses new commercial centers indicating AT&T Wireless, The UPS Store, Chipotle, Whataburger, Bank of America, Pollo Loco, Starbucks Coffee, Today’s Vision, Made Ya Smile Dental, Mattress Firm, Pet Supplies Plus, JK Nails, and a possibly a sushi restaurant.  In addition, there will be a Walmart Super Center and Panera Bread in the same area.  Further east on Riley Fuzzle, will be Kroger, Pet Smart, Chick Fil A, Chilis, Popeyes, and Santikos Theatre – are expected at some point in the near future. Considering long-term growth associated with the area, and ExxonMobil’s campus a short drive away, one would think a brand fashion giant would woo the neighborhood.  Convenience and value is what people look for in retail centers within their communities.  Multiple food-type eateries – other than fast, would be appealing to families and couples so it’s not necessary to leave the area.  A quaint deli, a tea room and a few white table cloth restaurants would most likely please many.  For so many of us, it would be of tremendous value to grab a nice not to far from home.