Aaron Layman's Katy Texas Real Estate Forum

Treasury Secretary Paulson Plans Temporary Rate Freeze For Loans

According to a Wall Street Journal report, Treasury Secretary Hank Paulson is close to an agreement that would temporarily freeze interest rates on almost 2 million mortgages that are due to reset in the next two years.  This band-aid for the housing sector might provide some relief, but it is hard to see how there would be any significant benefit, considering many of the troubled loans will go into foreclosure even before the interest rate resets.  Paulson's plan simply extends the bad loans with more poorly documented, rubber-stamp rate freezes.

The reality is there were too many loans issued on poor underwriting standards and too much speculation in the real estate market.  Paulson's rate-freeze plan is being met with the same type of scrutiny that accompanied his proposal for an SIV super-fund.  I would say that the scrutiny is well deserved.

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.

New Katy Fire Station To Be Built on Franz Road

The old West I-10 fire station has been demolished.  A new larger fire station will be located at the site located at 22855 Franz Road, north of I-10.  The project is scheduled to be completed next summer.  Plans are also in the works to replace the temporary facility for Station 5 at Clay & Fry roads with a permanent facility.  As the growth continues in Katy and West Houston, so does the need for emergency response.

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.

Foreclosure Investing in Katy, Houston Texas

If you have ever thought about getting rich in real estate by investing in foreclosures, you are not alone.  Scores of books, seminars and get-rich-quick schemes seem to be popping up across the country.  The U.S real estate market is awash in foreclosed homes, and there are plenty of people looking to capitalize on the feeding frenzy.

A closer look at the situation reveals that the only easy money being made will come to those who are selling their get-rich-quick seminars, books and other advice to the unsuspecting public.  Foreclosure investing is ripe with difficulties, and the money to be made is rarely the bonanza that the some would lead you to believe.

A recent trip to a Houston area auction by US Home Auction (Real Estate Disposition Corp) only confirms my point.  I watched home after home get bid up to close to market value, or even beyond in some cases.  The auction atmosphere reminded me of a game show.  While the auctioneer is rattling off numbers, there are a half-dozen other salesmen in tuxedos roaming the crowd shouting numbers, trying to get you to up your bid.  There is even a healthy supply of free Starbucks coffee on hand to help get your adrenaline going.

Other resources and websites like Foreclosures.com advocate calling distressed homeowners to reach homeowners before the bank starts foreclosure proceedings.  The idea is to get the homeowner to sell, and run to the bank with all of the equity you have pocketed.  The only problem with this strategy is that there is often little if any equity in most of the foreclosures coming on the market.  The flood of easy money and 100% financing that got us into this foreclosure mess will also make it difficult for investors on the foreclosure side.  Declining home values in many areas have also erased any equity that existed.

If you are looking to make money in real estate, join the crowd.  The American Dream is alive and well, and you wont have to look too far to find a book or seminar telling you how you can get rich investing in real estate.  A closer look shows that the path to riches contains plenty of potholes.

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.

Foreclosure Relief Gets Mixed Reception

With all of the foreclosure stories making headlines this year, it's hard to ignore the drain on the economy and the turmoil experienced by many people who have lost their homes.  As the foreclosure filings mount, banks are more hard-pressed to consider any and all alternatives that might avert disaster and control the damage to their balance sheets.  This explains the growing trend among banks to seek the help of counselors and other non-profits to try to help people hold on to their homes.

The flip side of this disaster is that there are many foreclosure victims who had little or none of their own money invested in the properties they are losing.  100% financing and flexible investor financing created a growing tidal wave of defaults that was doomed from the start.  Responsible homeowners have been insulted by the restructured loans and generous offers made by banks to keep some people in their homes.  It's hard to feel sorry for a foreclosure victim when they made no down payment, drive a brand new car, and have a boat in the garage.  Such lifestyle issues and irresponsible behavior are a common thread among foreclosure filings.

Banks deserve a lot of the blame for the pain we are experiencing.  It would be foolish to ignore the greed of consumers who also looked to capitalize on the cheap money that was floating around.  The current situation reminds me of an interview I once watched with Donal Trump.  He said that if the bank owns most of your loans, you are at the mercy of the bank.  If, however, you own most of the debt on the bank's balance sheet, then you own the bank.  A lot of banks have a new owner, FORECLOSURE!

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 Planning & Zoning Commission Considering Commercial Development in Woodcreek Reserve

Residents of Woodcreek Reserve may be in for a rude awakening if the Planning and Zoning Commission approves commercial development within the community.  Originally platted as green space, a small strip of land on Kingsland may be re-zoned for commercial use.  Kingsland Boulevard is already scheduled to be connected from Grand Parkway to Woodcreek Reserve along FM 1463.   That alone will bring a rise in traffic.  The addition of commercial development would only exacerbate the problem.

For more information you can attend the public meeting at City Hall on December 11th.  The meeting starts at 7:00 PM.

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 Committee Resolves New Elemetary Zoning For Avalon At Seven Meadows

After taking public feedback into consideration, KISD officials gave their blessing to a new zoning proposal for Elementary 31.  It appears that all Avalon residents will now stay at Griffin Elementary.  The newly revised proposal keeps all Avalon residents at Griffin Elementary.  The previous consensus had Avalon Lakes residents going to the new Elementary 31.  This revised proposal is scheduled to go the board for approval on December 17th.

For more information about the re-zoning of Elementary 31 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.

Methodist Hospital Plans New Location In Katy

Methodist Hospital announced construction of a 192-bed facility on the north side of the Katy Freeway west of Barker Cypress.  The $300 million project is scheduled to start next year and be completed in 2010.  The new Methodist Location will be adjacent to the new Texas Children's facility also scheduled for completion in 2010.

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.

Shops At Bella Terra, Wal-Mart Supercenter To Open In 2008

Moody Rambin Interests continues development on its retail complex along the Grand Parkway between the Westpark Tollway and Bellaire Boulevard.  The Wal-Mart Supercenter is scheduled to open in April of 2008.  The complex will also boast a Kohl's, PetsMart, Ross, Famous Footwear, Wachovia and Whataburger.

For more information on the development, you can visit www.moodyrambin.com

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 Property Tax Bills Reflect Lower Tax Rates For 2007

Like many Katy area homeowners, you have probably received your Katy ISD property tax bill for 2007.  This year's bill reflects the last phase of the property tax relief which was passed by the legislature.  While the 28 basis point reduction certainly helps, some area homeowners are probably a little disappointed to find that the rise in property values mitigates their actual savings.  Rising home prices continue to erode the overall effect of the tax relief.  While legislators downplayed this scenario, the need for a smaller appraisal cap still exists.

Here is a summary of some of the new area school tax rates for 2007 and the tax bill on a sample $250,000 home:

Katy ISD - $1.526                               2007 Tax Bill - $3815

Cypress Fairbanks ISD - 1.324      2007 Tax Bill - $3310

Fort Bend ISD - 1.25                         2007 Tax Bill - $3125   

Houston ISD - 1.156                         2007 Tax Bill - $2890

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.

South Katy Home Prices Continue Upward Trend in October

Master planned communities such as Cinco Ranch, Seven Meadows and Grand Lakes continued to post marginal price gains during the month of October.  While the South Katy area saw a decrease in the number of October sales compared 2006, prices have continued their upward trend.  This is welcome news given the softening market conditions in the Houston area.  Many Houston area neighborhoods continue to show stability, but the lower end of the market continues to struggle.  Area builders are offering attractive incentives to close out available inventory by the end of the year, and that will likely make it more challenging for sellers of existing homes.

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.