Newsletter

PATRICK BROWN, REAL ESTATE CONSULTANT

4101 Lago Viento

Austin, Texas 78734

(512) 284-8830

patrick@patrickbrownrec.com

NOVEMBER, 2016

ANNOUNCEMENTS

We have spent much of the last month putting offers out on lots and homes to resell and remodel this last month.  We have concentrated on properties with amazing views of the lake.  We have been endless researching what the proper view premiums are for panoramic, partial, main basin, and cove views.  If you have a property you need to sell, give us a call, we will be able to price it right!

We look forward in helping you with any of your real estate needs, and hope you will try our new search feature on our website, as well as read some of our thoughts about the market in the monthly newsletter.

MARKET

The charts below show the market statistics compiled from the Austin Multiple Listing Service for October, and for Year to Date.  We have shown the individual statistic for the Travis, Williamson and Hays counties, and for many of the larger school districts in those counties.

I would characterize the overall market as being largely a seller’s market still, with pockets that I would characterize as moving toward a more balanced market.  The incoming administration’s business friendly atmosphere and lower marginal tax rates is likely to continue to spur on our local real estate marketplace for at least another year.  Most of the statistics this month show that the sale activity is abating somewhat, as we are about a month into the Fall quarter, typically the slowest of the four quarters.  Hays County’s months of inventory jumped from 2.42 to 4.32, largely due to Hays County’s large increase in listings from 612 to 1,088.  This will probably increase the days on market for houses there for the last two months of the year.  When looking on a countywide basis, the average days on market is trending around 50, as the median sale price for Hays, Williamson and Travis are lower, at $246,377, $260,000, and $332,125, respectively.  When looking at school districts, there is a much higher divergence.  Round Rock ISD has the lowest days on market with 33, but it also has the second lowest median sale price, at $284,900.  The three most expensive districts have the longest selling times (average days on market), but also the highest three median sale prices.  The figures for days on market and median selling price for Dripping Springs ISD, Lake Travis ISD, and Eanes ISD are 80, 107 and 78 days, and $450,000, $465,000 and $820,000, respectively.  I am still characterizing the overall market as a seller’s market.  The slower selling times for the three highest price districts is really a function of the fact that there are fewer buyers operating in those higher price ranges.  If you have any questions you would like to ask us, or want to have us track your neighborhood, call us at (512) 284-8830.

MARKET TRENDS

Ian and I recently attended the Realtor’s Day for the Homebuilders Association of Greater Austin Parade of Homes this year, located in the Caliterra community in Dripping Springs.  There were four custom homes in the parade this year, priced from $1,199,000 to $1,475,000, with a 3,623 to 5,105 square foot range and a $274.20 to a whopping $380.15 price per square foot range.

The first trend I noticed is that most of the builders are going with a darker greyish-white fieldstone or limestone for their exterior masonry.  Three car garages are fairly standard now in the million dollar plus price range.  All of the models had rather extensive outdoor living spaces.  They included covered patios with multi paneled doors leading from living areas to the outdoor area, with some of the window/walls that retracted automatically.  The all had sinks, ranges or built in grills and food prep/service/bar countertops.  All of the models had pools, which is not unusual for this price range.  One had an outdoor fireplace.  Half baths are beginning to disappear, and more often than not, the models have as many or more full bathrooms than bedrooms.  It is becoming more common for doors to common areas to be hung on tracts and retract alongside the walls, which are very heavy and ornate, which some architects are calling “barn doors.”  Another room which is getting larger is the laundry room, which not only has a washer and dryer, but are also coming equipped with a second refrigerator/freezer.  More often than not, there is a mud room as part of the laundry room, or at least a mud area.  The master closets keep getting larger, with more built ins for shoes and dressers.  Many of them have enough room for a bench, and include mirrors, so the closet also serves as a changing room.

The Homebuilder’s Association is excited to reveal that the 2017 Parade of Homes will be at the Peninsula at Rough Hollow this coming May.

SERVICES

We are providing real estate sales, property tax representation, appraisal, leasing and building services at this time.

It looks like we may be purchasing a house needing a substantial remodel.  More about that in the next month’s newsletter.  Please call us at (512) 284-8830 for more information.

INVESTMENTS

We are actively looking for good land investments in the Lake Travis area, particularly those suited to single family, condominium or multifamily development, so if you know of any good opportunities, we would appreciate hearing from you.

We are also always looking for limited partners, so if you have an interest in purchasing a real estate project with us, give us a call.  I am sure the return we can offer you far exceeds what you are getting on your certificates of deposit, and probably more than you are getting in the stock market.

INSPIRATION

Based on the fact that about half of America is elated and half of America is in despair, and the fact that Fidel Castro died this week, I thought it might be appropriate to quote Jack Kennedy.

“Let us not seek the Republican answer or the Democratic answer, but the right answer.  Let us not seek to fix the blame for the past.  Let us accept our own responsibility for the future.” – John F. Kennedy

I hope you have found this newsletter informative, useful and entertaining.  If there are any subjects you would like us to cover in the future, please give us a call or e-mail us.

Sincerely,

Patrick Brown, MAI, MBA