October 2009

Welcome Back Canadian Fronts!

Well, here we are wrapping up summer and the market continues to slow overall when compared to last year. Median prices are down 1% for houses, 10% for condos and 8% on multi-family products. The number of units rented are up 17%, however, prices have remained constant from one year ago. Pending sales for houses and condos are in the black this month, surely a sign of the tax credit. However, pending sales are down for the year across the board preventing a reassuring outlook market wide. Still, areas close to town with modest pricing remain strong.

 Type	  Sales(Units)	  Δ    Supply(Mos.)     Δ

 Homes	     12516	 -17%	   6.18	      -13%
 Condos	      1167	 -29%	   10.5	      -17%
 Multifamily   277	 -31%	   11.9	      -16%

Featured Listings

Wonderful family home with spacious master, study, formal living and family rooms down. 3 bedrooms and double gameroom up. Could easily be 5th bedroom. Custom salt water pool and spa with native rock work and deck. Large island kitchen with corian type counters and recent stainless appliances.  Recent carpet throughout. Move in ready. Prequal required with all offers.

350000 below TCAD value because this house needs to be finished. Seller is motivated to sell and to bring forth any and all offers. Seller will not pay for any home warranty. Viking appliances, granite type counters, almost complete sauna, much more. No survey or disclosure to provide. Proof of funds required with all offers. Seller choice of Title Company please. Security gate manned until 7 pm.

House or Condo?

Right now many people are faced with the question, “Should I buy a condo or a house?” My answer’s usually the same: it depends on your core wants and needs…and how you plan to spend your time and money down the road.

For some, the time and maintenance associated with owning a home have little appeal, especially for those who may be single and buying a house on their own or those who don’t want to spend their weekends working on home improvement projects. Some may desire a location very close to town where they can enjoy ‘city living’ and avoid a long commute to work. If you’d rather spend your weekends at Lady Bird Lake or enjoying the nightlife of downtown rather than mowing the lawn or repainting your house a condo could be the right choice for you.

Some folks want to use their home as an investment. They want to buy a house that is under-valued because it may need to be updated or is an area that is on the fringe. Purchasing smart and putting a little sweat equity into a home can often lead to lucrative appreciation. Furthermore, if one lives in the house for two years (during the last five years), capital gains taxes on the equity can be avoided.

With a condo or a townhouse, in most cases, all landscaping and exterior maintenance will be provided; although not without a cost. In addition to your monthly mortgage payment, most, if not all condos (and many new homes) require a monthly Home Owner’s Association (“HOA”) fee. HOA fees can range from $30 to $300 and have variable coverage. The more expensive HOA’s of many condos include all exterior maintenance and sometimes include cable TV. Interior maintenance is not covered and requires the homeowners to assume responsibility. This situation is appealing to many who do not want to deal with yard work or a lot of exterior upkeep.

Owning a single family home in an established neighborhood is a preferable choice for someone who wants the freedom to individualize their property. The exterior of a house should be painted every 7 years, the roof should be replaced every 25 years (35 years for dimensional shingles), and the lawn needs to be maintained regularly. Soil around slabs should be kept at a consistent moisture level...especially during drought. That being said, a single family home often provides more privacy and space.

It’s really important to weigh your values between time and home appreciation. Below is a list of resale property to give an idea of appreciation among a few property types. Maintenance costs average one percent of a homes value per year.

Random Fitness Tips:

Remember to mix your routines whether you’re riding, running or lifting. Your body adjusts quickly to repetitive routines, promoting the plateau effect.
Stretch after you warm up. Its pointless to stretch before warming up. Think of your muscles as taffy candy. I prefer to stretch during and after a routine.
Try pausing at peak muscle contraction to mix up your routine while lifting weights. Remember muscle fibers have two qualities, slow strength and quick twitch. Pausing when the muscle’s contracted emphasizes the slow strength fibers. Less weight is okay!