I visited Gabardine today to see what it’s like.  I pass it almost daily on my drive, and I’ve heard from another Realtor that it is a neat community.  The first phase consists of 53 homes, all 2-story, mostly in the lower price point of $170K-$250K.  A second planned phase will have larger homes, including 1-story homes, and a community center and pool.  The first phase of homes all have 1-car garages and small yards which are maintained by the HOA.  The monthly HOA fee is $155, similar to a condo fee, and like condos all exterior maintenance will be handled by the HOA. 

The neighborhood is really quite different from those around it.  While Shady Hollow, the Estates of Shady Hollow and Barker Ranch all tend to feature larger lots and lots of trees, Gabardine has very small lots and not as many trees yet.  The homes are craftsman style, no brick or stone exteriors.  The neighborhood is gated, and some of the homes have a courtyard between the garage and home.  Located on the side of the first phase is a 13-acre park with a creek running through it. 

So far the neighborhood has a certain charm to it.  It has a nicely landscaped entrance and each home is painted a different vibrant color.  The courtyard is set up with vibrant, colored chairs and a neat fountain in the middle.  Maybe one day it will be host to neighbors gathering around to talk to one another.  The homes feed into highly regarded schools: Baranoff, Bailey and Bowie. 

Overall, while this is no Shady Hollow, it is it’s own cute and quaint community that I believe will flourish.  I’ll check back in a while and see how far along it has come.  Click here to see homes for sale in the community, and check with me for more information and price opinion.  Vikki Goodwin, REALTOR®, Homes ATX, 512-426-9090.

It’s official now, an extension of the first-time home buyer tax credit was signed into law today.  The law expands upon the $8000 credit by now offering a $6500 tax credit to buyers who have owned a home for at least 5 years.  The home purchase price must be less than $800K.   The law passed the House of Representatives with a 403-12 vote.  The new law also raises the income limits up to $125K for singles and $225K for couples.  Because of questionable claims made under the previous law, the new law include measures to prevent fraud.  It’s estimated that the previous law resulted in $10 billion of lost revenue just through Aug. 22.

It is difficult to find homes on acreage in the Lakeway area without the price tag going over $500K, so this home, priced at $435,000, really stood out when I saw it last week.  Situated on 2.52 acres, the 2865 sq ft home was built in 1998 and has 3 bedrooms plus a study, and 3 baths.  I really liked the feel of the home from the moment I walked in the door.  The living room is open with big windows to the hill country, panoramic views, and the kitchen is completely open to the living room and dining area.  There are two bedrooms and baths downstairs, and one bedroom and bath upstairs.  The home is located in the Majestic Hills Ranchettes.  Click here to see more, or call Vikki Goodwin, REALTOR, Homes ATX, 512-426-9090, for further details.

Have you heard the radio commercial advertising foreclosures going for under $20K and allowing people to buy homes for under $200/month?  I truly wish the radio station owners would refuse to allow such misleading ads to be aired on their stations.  There are no homes for sale in Austin for under $20K – not even foreclosures.  Now maybe you can find a dilapidated, foreclosed mobile home in Neiderwald for that amount, and granted the commercial doesn’t specify what you’ll get or where…  Besides, taxes and insurance alone will start at $200/mo.  On average, I find that foreclosures aren’t marked incredibly low, except in rare instances in which the remaining loan balance is very low and the bank can afford to give it away.  This mainly applies to older properties, usually in a bit of disrepair.  There are deals out there, but often you get what you pay for.  If you’re interested in finding a good deal, either as a home or an investment, just let me know.  This year I’ve purchased investment properties for myself, and I’ve helped several of my clients find good investments.  For help with investments, contact Vikki Goodwin, REALTOR®, Homes ATX, 512-426-9090.

Recently I’ve come across a number of homes with converted garages – or garages that were turned into living space.  One homeowner went to great lengths to make it unnoticeable from the exterior by adding stonework where a garage door once was.  While this gives a homeowner added living space, it takes away storage space and/or space for a motorcycle, tools, workbench, 2nd refrigerator, etc.  Buyers usually want the garage space instead, making homes with converted garages a tough sale.  I’ve even seen one garage turned into a music studio.  Naturally it was sold prior to me meeting my musician client looking for just such a set up! 

Right now in Austin, there are 3500 homes for sale.  Of those, 633 have no garage (or a converted garage), 262 have a 1-car garage (typical of older homes in central Austin neighborhoods), 1,922 have 2-car garages (most typical), 582 have 3-car garages, and 101 have 4+ car garages.

I viewed a number of homes in the Zilker area this week – a few that are updated, one that claims to be updated, and one tear down.  For $180K, you can buy a small lot (.159 acre ) near the corner of Kinney Avenue and South Lamar.  Currently there is a 756 sq foot house on the lot, but it would probably be easier and safer to tear down the existing home than to try to fix it to current standards.  A home for sale on Oxford Ave shows some promise, but needs work.  It was remodeled in 2000 and was taken down to the studs at that time, but it is currently somewhat needy, although that’s reflected in the price ($299,900 for 1309 sq feet).  Two of the homes seem ideal for someone who travels a lot or doesn’t live there full time.  These two homes have been completely remodeled and are beautiful but small, two bedrooms, two baths each.  They share a driveway and share a lot that has been divided, but they don’t share any walls.  Another house down the street is said to be “beautifully remodeled” but it didn’t appeal to me as much as the previous two updated homes.  The steps from the kitchen to the family room seem somewhat perilous, and the berber carpet seems more appropriate for an office than a home.  The last house I saw was neat and appealed to my client as well.  I especially liked the stained glass window and the bathroom remodel. 

On average, homes in the Zilker area, 78704, are selling for $250/sq foot.  Those that are updated or new can run closer to $300/sq foot, especially the smaller homes.  For a list of homes for sale in the 78704 zip code, see my website and scroll down for the neighborhood or price range you need.

I just read an Austin Business Journal article stating that Austin is ranked eight among cities on Fortune Magazine’s  “Top Place to Launch a Small Business” list.  I know first-hand of a number of people who have been laid off this year and have used that as an opportunity to start their own businesses.  A couple of these people were clients of mine renting homes and looking forward to buying in the near future.  However, after going into business for themselves, they are now faced with waiting at least two years before they can qualify for a mortgage.  Lenders require two years of tax returns showing income before they will make home loans to those who are self-employed. 

From the Fortune article, ”The Austin metro area, which has doubled its population growth in the last 20 years, is often used as a test market by national companies because its large minority population reflects the nation’s future demographic mix.  With University of Texas college students in residence, the area offers entrepreneurial opportunities for the youth market and skilled workers for local businesses. One-third of the area’s payroll is related to technology jobs, contributing to Austin’s reputation for having one of the most educated workforces in the nation.”  On the negative side, Fortune noted the traffic problems and lack of flights to desired markets.  Ahead of Austin on the list are Oklahoma City, Pittsburgh, Raleigh, Houston, Hartford, Washington, D.C. and Charlotte.

A recent foreclosure listing in La Ventana caught my eye with all of it’s beautiful trees.  Situated on 2.63 acres, this 3279 square foot home, built in 2001, is listed for sale for $381,150.  With it’s 5 bedrooms, this home would be ideal for a family.  It feeds into a great elementary school, Elm Grove, as well as Dahlstrom and Hays High School.  The area is best suited for someone who can work from home to avoid the commute to downtown Austin.  It might also be suitable for someone working in Wimberly or San Marcos since it is so far South.  The home is close to the community pool and clubhouse in La Ventana.  The library in the home has built-in bookshelves with a rolling ladder.  The home is in a private setting and has two covered patios to enjoy the peace and quiet of the area.

Before I delve into the deep issues, let me just say that the housing market is showing improvement, the influx of people moving to Texas is greater than any other state, and builders are confident enough that new construction starts are increasing.  Now, rather than bore you with the data and statistics, I want to ask your opinion.  I enjoy a good debate over important topics.  So here’s some food for thought, and if you feel inclined to send me your opinion, I’d enjoy that.

The National Association of REALTORS® keeps sending me emails imploring me to do my duty as a REALTOR® and write or call my Congressional representatives to let them know I want the $8000 first time home buyer tax credit extended.  I am the type who does call on my representatives now and then, but on this issue I’ve been silent so far.  On the one hand, I’ve had first-time home buyer clients this year who did buy now because of the tax credit.  They would have continued renting for at least a year without the incentive.  And I’ve had a number of people attempt to purchase a home in order to get the tax credit, but they weren’t qualified.  I’ve also had first-time homebuyers who would have bought this year regardless of the credit.

So, I am torn.  Do I advocate for the credit that might further increase my sales in the coming year?  Or do I stay silent because in my mind first-time home buyers need to stand on their own two feet now?  I remember being a first-time buyer many years ago, and I remember saving and scrimping for a bit to make it happen, with no $8000 gift as an incentive. 

The tax credit is certainly likely to get more people into home ownership, which I think is a wonderful thing.  Yet, last year in a discussion of the mortgage meltdown, I remember hearing a UT professor talk about the rise of home ownership to more than 65% of the population.  It seems that 65% is perhaps the equilibrium point at which we have a balance that can be sustained; whereas having more than 65% home ownership seems to cause problems, such as foreclosures.  Consequently, I have to wonder if the tax credit will entice too many people into homes that they aren’t equipped to pay for in the long run.  In many cases, the $8000 credit is what enables them to get into the home. 

On a somewhat related subject, I’m currently on the AISD Strategic Plan Task Force.  The Task Force has set goals for the AISD, one of which is to have 100% of students at or above grade level within three years.  I can’t seem to help relating this to the goal of having 100% of the population owning their own homes.  Wouldn’t it be a beautiful place if we could all own our own homes – and if all our children/students were on grade level?  The attempt to achieve the former led to a crisis in the housing market because the bar was lowered enough that thousands of unqualified home owners were able to get loans.  Shall we lower the bar enough that 100% of our students can be on grade level?

Last week I showed homes to a client who wants to live a short distance from the LASA (Liberal Arts and Science Academy).  We have focused in on zip code 78723 which includes University Hills, Walnut Hills, Gaston Park and Delwood.  I am amazed at some of the prices – some homes are listed for $170/sq ft, even up to $199/sq ft.  The house I liked the best was 7005 Langston Drive, now under contract.  It has been beautifully remodeled, and in my opinion looks better in person than in the photos.  The investor/remodeler was originally asking $259K, but had dropped the price to $229,900 for 1660 sq ft.  I told my client that would sell fast at that price, and within a few days it was under contract.  A home that my client liked quite a bit is 3404 Lakeside Dr.  It backs to Little Walnut Creek and has a wonderful canopy of trees that make the backyard extremely private.  The biggest obstacle for that house is the steps in the master bedroom.  I’m sure most buyers are having difficulty imagining going up and down a few steps to get into and out of the bedroom (you have to take the steps up to the master bathroom).  This house also needs work done on the retaining wall which has scared off at least one buyer. 

Two other homes we saw were updated and ready for move in - 1313 Briarcliff, and 1304 Glencrest.  Briarcliff is beautifully remodeled, but it would help if it were staged.  There were a couple of corners that seemed like wasted space (in the living room and master bedroom), but with the right furniture, the space might be usable.  The kitchen is wonderful and the sunroom with it’s unique windows is truly inviting.  The remodelers did a good job turning a 1955 home into a usable floorplan for today’s homeowners.  I wasn’t as excited by the remodel job at Glencrest, but it will work for someone.  The sellers may have to come down on their price a bit, though. 

Another 5 homes we viewed all need updating – 3011 Northeast, 6905 Tulane, 7000 Bryn Mawr, 5514 Delwood and 3002 Susquehanna.  The most reasonably priced is Susquehanna at $125K.  That one is just waiting for an investor to make it beautiful!