Aaron Layman's Katy Texas Real Estate Forum

Real Estate Symposium Highlights Strengths, Weakness In Katy, Houston Texas Housing Market

Yesterday's real estate symposium offered a glimpse of the Houston area housing market.  While some of the news was sobering, there were also positive signs for Houston real estate.

As Barton Smith noted in his presentation, more than a third of current pending home sales are foreclosures.  The weight of this statistic can be attributed to the large number of starter homes.  Sales on the lower end are expected to struggle into 2009, as more foreclosures work through the system.  Smith noted that a third of area sales during 2007 were made with 100 financing and he expects a lot of those to come back on the market as foreclosures.

While prices have declined on the lower end, the higher end of the market has experienced price gains.  Price gains on more expensive homes may slow as the foreclosures on the lower end trickle up.  When owners have a difficult time selling smaller existing homes that results in fewer available move-up buyers.

Katy is a prime example of the tale of two markets.  North Katy (North of I-10) has seen a large number of foreclosures, with an oversupply of starter homes.  Zip code 77449 has been hit particularly hard.  By contrast, South Katy has relatively few foreclosures and a much higher average sales price.

One positive sign for the market is that builders have been proactive in tightening their supply of homes.  Sales of new homes outpaced starts for the first quarter of 2008.  Moderate building activity should keep inventory in check and provide pricing support.

Smith also noted that Houston is likely to remain the fastest growing urban market in the country for the next few years.  This can be attributed to the surging energy market and the large number of jobs being added to the economy.

For more information about the Institute for Regional Forecasting and the annual real estate symposium you can visit www.uh.edu/irf.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Solid April Sales Numbers For Cinco Ranch, Seven Meadows & Grand Lakes, Katy Texas

These master planned communities in South Katy continued to post good sales numbers for April 2008.  Cinco Ranch rebounded from a slow March, while Grand Lakes and Seven Meadows showed modest price gains.  Prices for the three communities averaged approximately $100 per square foot for the month of April.

The market continues to remain more challenging for sellers with ample supply and generous incentives from builders for new construction.  The Cinco Ranch Model park is now open, and Cross Creek Ranch will begin selling in a matter of days.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

5 Bedroom 3.5 Bath Home For Sale In Cinco Ranch West, Woodhaven, Katy Texas

5 Bedroom Perry home in Cinco Ranch West, Woodhaven.  Open floor plan includes formal living, game room, and study.  Green Belt behind home provides extra privacy, and walking trail is right outside the front door.  Great Cinco Ranch location close to water park, outstanding Katy ISD schools, and La Centerra shopping.

2822 Nicks Run     $349,900      MLS # 6400181     Status: Active

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Trendmaker Opening For Home Sales In Cross Creek Ranch, Katy, Fulshear Texas

Trendmaker Homes (Trendmaker Development) is slated to begin home sales in Cross Creek Ranch beginning May 10th, 2008.  They hope to have a temporary information center later in June, and model homes should arrive sometime in August.

Builders within Cross Creek Ranch will included:

Trendmaker Homes - 60', 70', 80', and 1/2 Acre home sites

Village Builders - 80' home sites

David Weekley Homes - 70' home sites

Perry Homes & Ashton Woods Homes - 55' home sites

The total tax rate for Cross Creek Ranch will be 3.62% before homestead, with a MUD rate of 1.29%.  The HOA fee for Cross Creek Ranch is set at $800 per year.  There will also be a 0.25% transaction fee to fund educational development.

If you are thinking about a move to this wonderful new master-planned community, give me a call today!  I would be happy to assist you with your relocation to Cross Creek Ranch.  Cross Creek will encompass 3200 total acres, including generous open space, lakes, and trails for walking or biking.  The Amenity Center should also provide ample family entertainment and enjoyment.  Cross Creek will also be home to a high school, middle school and elementary school when completed.

Visit www.CrossCreekTexas.com for website updates.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Katy ISD Approves Contract For Elementary 32 In Pine Mill Ranch

The Katy Independent School District will open elementary 32 in 2009.  The new school will be located within the Pine Mill Ranch subdivision at the intersection of Cinco Terrace Drive and Fiona Sky Lane.  The board officially approved the contract this week at a base price of $14.6 million, with a final cost of no more than $18.6 million.

For more information about Katy schools visit www.katyisd.org.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Election Year Politics And Mortgage Bailout Schemes Bad For Katy, Houston Area Homeowners

The pending mortgage bailout proposed by Rep. Barney Frank and Sen. Chris Dodd is just one more political fix that is doomed to failure.  Government has a poor record of correcting economic imbalances that would be better left to correct on their own.  When Congress starts tinkering with financial markets to compensate for previous mismanagement and oversight, all mortgage borrowers will pay the price.  The sub-prime pain that has already claimed millions of foreclosure victims has now spread throughout the capital markets, inflating the cost of borrowing for all homeowners.

Housing markets in many parts of the country are correcting for a reason; They need to come down to affordable levels.  Market bubbles do not last forever, and the borrowers, speculators and banks that made those risky loans should bear the brunt of the losses.  Giving mortgages to borrowers with FICO scores that were low enough to disqualify even most renters was a recipe for disaster.  The same can be said for mortgages made to investors who put down little if any of their own money.

Adding more bad loans to the FHA's already burdened portfolio will not help the problem.  The financial markets are already taxed.  Additional backing by the government will just mean more taxpayer expense.

William Wheaton, a professor with the MIT Center for Real Estate, advocates letting the housing crisis run its course.  He has also noted that many homeowners facing foreclosure would actually be better off renting in the current market than trying to refinance a bad mortgage.  This is an excellent point that few, if any, politicians are addressing because it is politically unpopular.  When MIT professors and Yale economists are telling you that the market needs to run its course, I would be inclined to listen.

The housing market is adjusting, and it will be painful for a lot of families, particularly those who had their hopes set on the dream of home ownership.  I'm a huge fan of home ownership, I just don't want to be forced to subsidize someone else's high-risk mortgage.  Sentiment appears to be growing against the housing bailout.  Sites like www.AngryRenter.com and www.NationalBubble.com are seeing plenty of traffic.  It will be interesting to see if anyone in Congress is listening.   

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Rising Oil Prices Stimulate Katy, Houston Area Real Estate Market

A recent CNNMoney article noted that Houston was one of the 6 best places to buy a home.  The article selected 6 metropolitan areas where home prices were the most likely to rise, or fall the least.  It should come as no surprise that Houston would make the list.  Rising energy prices mean more jobs in the Houston area.  With convenient access to the energy corridor, the Katy area is a likely destination for relocation.  Affordable home prices and excellent public schools are both available in the Katy area.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Proposed Tolls on 1-10, Katy Freeway Add Costs For Katy, Houston Texas Drivers

Elected officials seem to be more and more adept at the policy of double taxation.  Now the Commissioners Court is looking at alternative toll schedules for the four center lanes of the newly expanded Katy Freeway (I-10)

One of the proposals calls for peak-hour, congestion pricing that would seek to keep the traffic flowing at reasonable levels.  Congestion pricing would be double the normal toll rate.  The court proposed a similar measure for the Westpark Tollway last June but withdrew the idea after negative public feedback.

Politicians' continued efforts to commercialize the morning commute have battered public trust.  What happened to plain old roads and highways that were built with taxpayer funds?  Why does our government continue to privatize, commercialize and obscure the process of building new infrastructure?  I'll tell you why...It allows politicians to hide the true costs of the projects they are endorsing.  The politicians can tout the lower up-front costs of the projects, without addressing the additional tolls and taxes placed on citizens down the road.  Politicians should be required to disclose all the anticipated tolls and taxes for their projects when they are discussing the true costs.

After the promises have been made and the roads are built, the powers that be can point to the loopholes in the contracts and start demanding additional money from the citizens who rely on the roads for their daily commutes.

Enough is enough!  Tell the Commissioners Court that you are fed up.  Tell them that the HOV system is fine and that additional tolls are just another form of double taxation.  While you are at it, give TXDot a call and let them know how you feel about the proposed Trans Texas Corridor. (See my earlier post)

Until we hold our elected officials responsible for the promises they make, this trend will only get worse.  Change does not happen without coordinated effort from the voting public.  I encourage you to become engaged and let your voice be heard.

For more information about the proposed I-10 tolls see the article in the Houston Chronicle:

http://www.chron.com/disp/story.mpl/front/5682404.html

You can aso visit the Texas Department of Transportation at this link:

www.dot.state.tx.us

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

Katy ISD Names Three New Schools

The Katy Independent School District officially named the three new campuses slated to open next year.  The new schools are:

Bonnie Holland Elementary at 23720 Seven Meadows Parkway

Morton Ranch Elementary at 2502 Mason Road

Cardiff Junior High at 3900 Dayflower Drive.

In a related note, the board also approved new procedures for the naming of future schools.  The district hopes to gain additional community input in the process as the area continues to grow.

For more information on the new Katy ISD schools, visit www.katyisd.org.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.

HOA Meeting Scheduled For Residents of Avalon at Seven Meadows

A second, follow-up meeting has been scheduled for residents of Avalon at Seven Meadows.  The new meeting is scheduled for 6:00 PM April 23rd at Beckendorff Junior High.

Taylor Morrison was ill-prepared to address the numerous questions and concerns of homeowners at the previous meeting in February.  Taylor Morrison's legal counsel did most of the talking at the first meeting of the year.  The Taylor Morrison board representatives were not prepared, nor did they have any material information to provide to homeowners.

After being inundated with questions and requests, Taylor Morrison has tried to address some of the issues in the community.  Inoperable gates, color of the lake water, and budget management were some of the primary concerns.  The main fountain is still undergoing repairs.  Some of the questions raised by homeowners have been addressed, but there is a lot that still needs to be done.  The issue of poor budget management may be something that has to be addressed with a new management company.

Avalon residents are hoping to address many of the problems in the community before Taylor Woodrow relinquishes control, likely sometime in 2009.  With more direct oversight in the community, residents will likely be able rectify some of the previous management errors.

For more information about real estate and mortgage issues in Katy or West Houston contact Aaron Layman.  He is a licensed real estate broker and mortgage broker.  Aaron is also an Avalon resident.  You can contact him directly at 281-994-5190.  You can also visit him on the web at www.AaronLayman.com.