Archives
May 2008
May. 30, 2008 - Removing Countertops
One of the most cost effective ways to renovate your home is to “do-it-yourself.” From sanding and painting to digging and planting, there are many projects that a determined homeowner can accomplish. There are some jobs, however, that are better left to the professionals. These jobs are too heavy, too labor intensive or require specialized tools and skills.
Case in point: installing new granite countertops. The weight of the granite alone is enough to send anyone running to a phone to call for professional help. If you have new countertops on the way complete with the manpower do get it done, you are probably thinking you get the day off. But don’t lay down your tools just yet. There is a way to cut costs on this otherwise costly project—by doing the demo work yourself. Some contractors charge as much as $550 to remove the old countertops, a relatively easy job that even the most inexperienced handyman can handle.
First, remove all the drawers from your cabinets. This makes it much easier to gain access to your work area. You will also need to remove the contents of your cabinets so you can get underneath to work. Fortunately, these are things you will need to do before your new counters are installed anyway, so you are already ahead of the game.
It will also be necessary to remove your old sink. To do this, simply detach the plumbing from the drains and faucet (don’t forget to turn the water supply off), and remove the fasteners from the underside of the sink. There will be some sealant around the edge of the sink, but it should easily lift from the countertop.
If you look at your existing laminate countertops, you will see that they are in sections. Each section is attached to the cabinet base by screws drilled through the underside of the countertop. The next step to removing the old countertops is removing all these screws. This requires getting down on the floor and inside the cabinets at all kinds of uncomfortable angles. Luckily, a power screwdriver can speed this process along (although a manual screwdriver may still be needed for those hard to get to angles).
Next, remove the sealant from the edge of the backsplash. You can use a putty knife or screwdriver to do this. Be careful to remove as much as you can from any surface that you plan to save, so that when you pull off the counters, it doesn’t damage the wall.
Before you try to remove the countertops, make sure you have removed any outlet covers that may be attached to your backsplash. Also, keep in mind that there may be some glue adhering the backsplash to the wall, requiring a little more elbow grease to remove.
Finally, you are ready to take the old counters off. Have someone assist you with the lifting and removal. If you have trouble getting a section off, double check that all your screws have been removed. If the backsplash adhesive is giving you trouble, try sliding a putty knife behind the backsplash to break the bond.
Now your old counters are gone, your kitchen is ready for the new ones, and you saved yourself a little money. Now, all that’s left to do is watch the professionals get to work.
Ki helps individuals looking for houses in the Austin real estate market. His site has information on mortgage interest rates along with a graphical search of the Austin MLS.
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May. 29, 2008 - Mortgage Interest Rates This Week
Mortgage rates on 30 Year Arms and 15 Year Arms jumped up this rate. 30 Year Mortgage Rates went from 5.98 to 6.08 and 15 Year rates went fom 5.55 to 5.66. Rates on 5 and 1 year ARMS remained relatively unchanged.
May 29,2008
30-yr 6.08 15-yr 5.66 5-yr ARM 5.62 1-yr ARM 5.22
May 22,2008
30-yr 5.98 15-yr 5.55 5-yr ARM 5.61 1-yr ARM 5.24
May 15, 2008
30-yr 6.01 15-yr 5.60 5-yr ARM 5.57 1-yr ARM 5.18
May 8, 2008
30-yr 6.05 15-yr 5.60 5-yr ARM 5.67 1-yr ARM 5.29
May 1, 2008
30-yr 6.06 15-yr 5.59 5-yr ARM 5.73 1-yr ARM 5.29
So using our free mortgage calculator lets see what these numbers translate into for a 200k mortgage.
May 29th
30-yr $1209.4
15-yr $1651.19
5-yr ARM $1150.68
1-yr ARM $1167.36
May 22th
30-yr $1196.53
15-yr $1639.47
5-yr ARM $1149.41
1-yr ARM $1103.16
Since the FED has signaled that they are not going to continue to cut rate I expect rates to go higher over the course of the summer. Here are rates over the last few weeks.
Ki is a realtor working with investors in the Austin real estate market. He provides visitors a graphical search of the Austin MLS and updated commentary on the market on his Austin real estate blog.
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May. 25, 2008 - Zilker Park in Austin
During Austin’s warm spring and summer months, Zilker park puts on a wide array of activities for the entire family to enjoy.
Every year in March, the Zilker Kite Festival is held, bringing thousands of spectators with almost an equal number of kites, to the park. In 2008, the Zilker Kite Festival celebrated its 80th anniversary. The Exchange Club of Austin began the Zilker Kite Festival in 1929 as a way to promote creativity among Austin’s children. Today, while promoting family time, the Exchange Club of Austin also raises money through t-shirts sales and concessions as a fundraising measure to split among charities preventing child abuse and dolling out college scholarships.
The Zilker Kite Festival is free to the public, and anyone can join in the kite competition, which has a variety of categories like highest flying, most unusual, and strongest pulling. The only stipulation is the kite must be handmade. For those without kite making abilities, bringing a premade kite is acceptable, but one can also learn to make a kite at the kite making workshop.
Built on a sloping hill across from Barton Springs pool is the Beverly S. Sheffield Zilker Hillside Theater. Since 1959, Broadway musicals have been entertaining Austinites on warm summer nights, and the Zilker Summer Musical is now the longest running outdoor “pay-what-you-want” production in the U.S. Run by Zilker Theater Productions, the Zilker Summer Musical brings in about 40,000 audience members every year. The organization also hosts performances by the Austin Symphony and the Austin Civic Orchestra on their hillside theater, where spectators can spread out blankets, bring a picnic, and enjoy the show while being surrounded by 100 year old pecan trees.
The 4th of July will bring over 100,000 spectators to the park who will find a spot for their family along the shores of Lady Bird Lake. The Austin Symphony Orchestra, which plans and produces the entire event, will set up and play from the new Long Center for the Performing Arts. The orchestra runs through a variety of patriotic songs, and during the 1812 Overture, cannon shots punctuate the music, and cue the fireworks to begin.
Blues on the Green is held at the huge outcropping of rock in the middle of Zilker park known as Rock Island. Another free event, Blues on the Green brings local acts to Austin’s music loving crowd, with genres ranging from pop to bluegrass, and country to blues (obviously).
Across the park from the Rock Island is the Zilker Botanical Garden. At the end of March, the Garden put on their 51st Annual Zilker Garden Festival. The festival brings in over 100 vendors from around the area selling a wide variety of plants, herbs, and garden related items. The Garden Council, which is made of 39 different clubs, runs the garden and recently teamed up with ACL Festival promoters C3, who brought in 12 different musical acts to entertain the garden shoppers. Throughout the summer months, the Zilker Botanical Garden will host many other events and seminars such as the Cactus and Succulent show, and Basics on How to Build a Pond.
Though Austin in the summer can be a taxing time to be outside, Zilker park has several reasons to get out and enjoy its wide open spaces.
Ki is a Austin realtor that helps buyers and sellers looking for Austin real estate. His site provides information on mortgage interest rates and a free search of the Austin MLS.
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May. 25, 2008 - Keep Austin Wierd
The term “Keep Austin Weird” has become overly used, and some would say Austin’s “weirdness” is growing increasingly hard to find, with the mass influx of those from other areas bringing their normality to town. Luckily with events like Spamarama, the shrine known as the Cathedral of Junk, and the annual Eeyore’s Birthday Party, the city’s weirdness shines.
In 1978, David Arnsberger, Dick Terry, and George Majewski shared some beer and an idea- they were bored of chili and BBQ cook-offs, and thought it would be more impressive if people could make something like Spam taste delicious, and Spamarama was born. Today, the Spam cook-off is divided into a professional division for restaurants and caterers, and the open division for the general public. Not only do celebrity judges give trophies to the best tasting entries, like Spam flautas and Spam Cordon Bleu, but a “Worst of Show” trophy is also handed out to items like Spam-Alama Ding Dongs.
Though every year there is a Spam Eating contest, in 2004, the International Federation of Competitive Eating sponsored the event, and brought competitive eaters from around the country to enter the challenge. Rich LeFevre won that year, finishing off six 12 ounce spamburgers in 12 minutes. Other events are fun for the whole family, such as the Spam toss, the Spam can relay, and the Spam call- akin to the hog call.
Down in deep south Austin, at 4422 Lareina Drive, lives a humble man by the name of Vince Hannemann. Hannemann lives in a modest home, and you’d never know his backyard houses the Cathedral of Junk. He began to build the cathedral in 1988, because it was fun, and it’s become his passion ever since. It’s made of improvised trusses that Hannemann has wrapped with wire and covered with over 60 tons of junk, ranging from discarded bicycles and lawnmowers to beer signs and unrecognizable flashing electronic parts. Wind turbines top two minarets, and once inside the cathedral, one can climb to different levels, or sit in the throne room and take in the vaulted ceilings. Many people bring along their own discarded items in hopes that it will become part of the cathedral, but Hannemann is a discerning builder, and only takes items he likes. The Cathedral of Junk has hosted events from weddings to bachelor parties, and CD release parties to school kids on field trips. Hannemann works during the week, but allows anyone interested to stop by on the weekends to walk around his backyard.
In 1963, UT English professor Lloyd Birdwell Jr. held a picnic on the UT campus for his students before final exams. The picnic’s theme revolved around the Winnie the Pooh character Eeyore. There was a trashcan full of lemonade, a slew of honey sandwiches, a donkey draped in flowers, and a maypole at the picnic. Eeyore’s Birthday Party was born. Since then, it’s been an annual tradition, and moved to its current location in Pease Park in 1974.
Today, the maypole and the donkey are still present at Eeyore’s Birthday Party, and the event is run by the Austin non-profit organization, Friends of the Forest, who set up local vendors for food and drink, and distribute the money brought in amongst local charities. Many costume clad Austinites show up on the last Saturday in April. There are games for kids to play, live music, and the ever present drums circles, sometimes numbering in the hundreds. Eeyore’s Birthday has become so popular that Friends of the Forest began bussing in attendees from downtown, due to the lack of parking near the event.
Spamarama, the Cathedral of Junk, and Eeyore’s Birthday Party all have one thing in common- they all began by people out to have fun. They are all unique, and have grown to become Austin institutions, and are truly keeping Austin weird.
Escapeso Realty helps people navigate the Austin Texas real estate market. Their website provides visitors a graphical search for Austin Homes along with a blog covering Austin real estate.
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May. 24, 2008 - Mortgage Interest Rates This Week
Mortgages rates fell this week for 30 Year loan (6.01 to 5.98) and 15 year rates (5.6 to 5.55). Rates on 5 and 1 year arms increased (5.57 to 5.61 and 5.18 to 5.24) respectivly. Another interesting point is that 30 Year rates have now fallen for 4 weeks in a row which is an encouraging sign although it would be nice to have seen rates fall a little more.
May 22,2008
30-yr 5.98 15-yr 5.55 5-yr ARM 5.61 1-yr ARM 5.24
May 15, 2008
30-yr 6.01 15-yr 5.60 5-yr ARM 5.57 1-yr ARM 5.18
May 8, 2008
30-yr 6.05 15-yr 5.60 5-yr ARM 5.67 1-yr ARM 5.29
May 1, 2008
30-yr 6.06 15-yr 5.59 5-yr ARM 5.73 1-yr ARM 5.29
So what would these rates translate into for a mortgage. Using our free mortgage calculator lets run some numbers.
Using our free mortgage calculator lets run the numbers on a 200k Loan
May 15th
30-yr $1196.53
15-yr $1639.47
5-yr ARM $1149.41
1-yr ARM $1103.16
May 15th
30-yr $1200.38
15-yr $1711.46
5-yr ARM $1144.37
1-yr ARM $1095.75
At this point I would still favor a 30 Year loan over an arm. But getting an arm over a 30 Year arm you would only save $47.12 which considering rates will probably be higher when the loan resets does not really seem worth it.
Ki works with buyers and sellers in the Austin real estate market. His site has a free search of the Austin MLS along with information on his Austin real estate blog.
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May. 23, 2008 - Mueller - Austin's Largest Urban Development Project
When Austin’s airport moved to its current location at the old Bergstrom Air Force base, the Robert Mueller airport became 711 acres of land just east of Interstate 35 ripe for developing. The city of Austin, along with the Catellus Development group, have created a master plan that includes a variety of housing styles, private businesses and retail stores, and are attempting to make the entire “city within a city” as green as possible.
This area, now referred to as the Mueller development, has three housing types available in their first phase of building: yard houses, garden court houses, and row houses. The prices for the first phase range from the $180,000s to the $600,000s, and are 900 square feet up to 3,700 square feet in size. Though 350 homes will be built in the first phase, the development is planning to build 2,200 in total. Six different home builders were chosen to participate during phase one, including 3 locally based builders, Saldana Homes LLP, Streetman Homes Inc. and Muskin Co.
Though some of the homes may be a little cookie cutter in appearance, others are built in a traditional Austin bungalow style, and seem to fit in with their new central location. None of the new homes are built in the currently popular modern style, but it’s possible that different builders will be chosen for future phases of building, to diversify homes as much as possible. All homes built in the Mueller Development have alley ways behind them, with garages built on the backside of houses leaving the fronts garage-free, with more room for larges porches. This also makes the streets and sidewalks more pedestrian friendly.
The initial phase of homes created a large amount of interest, and Catellus Development set up a lottery-style system by hiring a company to randomly create a priority list of buyers. To keep in line with the development’s vision of a mixed income neighborhood, a certain number of homes were set aside for families making at or below 80 percent of Austin’s median income. All of the “affordable housing” homes were sold, and 265 total homes were purchased, with the remaining homes offered to the public.
Many of the businesses in the Mueller Development opened before any residents moved in. Some big box stores are already open, such as Best Buy and Bed, Bath, and Beyond, but other private businesses are also moving in. Seton Family of Hospitals is building their 165,000 square foot headquarters in the development. Not only are they the second-largest private employer in central Texas, but this will also be the first headquarters of a large company to move east of interstate 35. Seton’s new facility, the Dell Children's Medical Center of Central Texas, will open next to the new headquarters in 2009.
One of the Mueller Development’s major objectives is to be as green as possible from the ground up. They will have shops, recreation, entertainment, jobs and transit close at hand, in hopes that driving will be kept to a minimum. Giant solar collectors are being built along the new hike and bike paths to provide shade in the daylight, and light up the paths in the evening. Austin Energy has also built a new power plant on site that not only supplies electricity to new residents, but also sends chilled water for air conditioning to nearby businesses. The power plant generates power in a cleaner fashion, while the shared HVAC system lowers energy costs.
The Mueller Development is the right spot for those looking for a newly built, centrally-located home, offered at a reasonable price.
Escapeso Realty operates in the Austin real estate market. They provide a search of the Austin MLS along with a free mortgage calculator.
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May. 23, 2008 - Cool Parks in Austin
There is no shortage of beautiful scenery and greenbelts in the Austin area, where there seems to be a walking trail around every corner, and a park around every bend. One of the more unusual of these is Champion Park in Round Rock. It has a little of everything, from a kid-approved playground to a scenic trail by the creek. It’s a great place to spend a Saturday or a weekday afternoon. Just make sure you bring plenty of sunscreen, snacks and drinks because you’ll want to stay all day. Of course, a few extras like towels, sand shovels and buckets will come in handy, too.
The park is an immense 33 acres. With plenty of open space, it’s the perfect place to play a game of catch or tag, and then, if the weather is hot enough, to meander over to the play area where sprinklers shaped like whales spout cool water into the sky. When you cool down enough, you can head over to the rock climbing area for an invigorating romp on specially designed boulders, or the sandpit where concrete casts of massive dinosaur bones lay waiting for discovery. You can dig, build and bury in this huge covered sandpit for hours and never get enough. There’s plenty of shade, and don’t forget the nearby sprinklers, so a summer day will never get too hot.
The Brushy Creek Regional Trail passes right by the park, and the creek itself is only a few feet away, bringing with it a glimpse of nature right up close, and making this area both relaxing and scenic. A bridge across Brushy Creek connects to a fishing area for those who want to try their hand at catching lunch. For everyone else, there are many great places to have picnics and the park sports two pavilions with grills that can be rented separately or together.
After a nature hike down the beautiful Brushy Creek Trail, a hard day of digging and excavating in the sand, and hours of refreshing fun in the sprinklers, what more could you want? Restroom facilities—a very important factor when considering an outdoor outing—and free, available parking. With these final elements, the park is complete and a perfect place for your family to spend the day. Champion Park is located at 3900 Brushy Creek Road in Round Rock and is open from 7:30 a.m.-10:00 p.m. Admission is free, so come early and stay long.
Ki helps buyers interested in Austin real estate. His site provides information about mortgage interest rates along with updated market stats on his Austin real estate blog.
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May. 21, 2008 - How To Properly Hang A Picture
Are your pictures too high? Too low? Are there extra nail holes behind those family pictures on your wall from when you tried to “eyeball” it?
If you don’t have the faintest idea how high a picture should be hung on the wall, or know anything about grouping pictures or designing an arrangement, don’t despair-- there is hope.
Hanging a picture sounds easy enough, but the reality is there are many elements to this deceptively simple process that can make it frustratingly difficult and leave you with a ridiculous number of holes in your wall from failed attempts. Luckily, there are a few tips that can help you avoid butchering your wall and almost guarantee your pictures will be sitting pretty.
First, remember that the center of a picture should be at eye-level. This applies to a grouping of pictures, too, only using the center of the combined collaborative instead of the individual piece. Because height can vary dramatically from person to person, the default measurement is approximately 66 inches from the floor to the center of the object. There are exceptions to this rule, of course. For instance, if you are hanging a particularly large painting or mirror, 66 inches isn’t always spatially correct. Adjust accordingly and with great prejudice. Remember, too much “eyeballing” can lead to too many holes.
Another good rule is to use two picture hooks with picture hanging wire on the back of your frame. This prevents shifting and tilting, so you won’t have to be forever straightening your pictures. It also provides extra support for heavy objects. To determine where to place your hangers, measure and find the center of your picture. From this point, measure equal distance to a point that’s about half to two-thirds the length of the picture. You will need to remember how far these hooks are placed apart from the center when finally driving the nail, so make sure you write it down or commit it to memory.
Now, the moment of truth: hammering the nails (or drilling the screws, which may be a better option for really heavy objects. Using wall anchors with screws to hang your art will definitely keep things where they’re supposed to be.) When deciding how high to hang your picture, don’t forget to measure it first and find its center. You will need to measure from this point vertically to the wire and add x number of inches to 66 to allow for this space. Mark on the wall lightly with a pencil 66 inches from the floor where you want the center of the picture to be. From there, you will use a level to mark two more places the distance from the center to the picture hooks (you wrote it down, remember?). This is where you want to put your nails. After you hammer them in, it’s just a matter of hanging you picture!
If you have more than one picture of the same size and need to repeat this process, it is easy to hang them together symmetrically. If you have multiple pictures of varying size, sketching out a composition before trying to hang them is a good idea. It can help to visualize the smaller pictures as pieces of a larger whole
Ki helps people investigating the Austin real estate market. You can start your search by using his site to search the Austin MLS along with researching current market trends on his Austin real estate blog.
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May. 21, 2008 - Austin's New Urban Village : The Old Airport Revitalization
An area of Austin which is currently undergoing revitalization is the old Mueller Airport area, near the intersection of Manor Road and Airport Boulevard in East Central Austin. This location offers residents and visitors alike many interesting opportunities. Housing is very affordable in the area, including single family homes and duplexes, and also numerous nice but inexpensive apartment complexes. Since this area is just a few miles from the University of Texas campus, it is ideal for students and faculty members, as well as downtown area employees who are looking for a neighborhood which is affordable yet extremely close to downtown business and entertainment districts and the college area. Manor Road itself is home to many fine restaurants, including El Chile, and El Gringo, both wonderful restaurants specializing in Mexican cuisine, and Hoover’s , a southern-style restaurant specializing in BBQ and various other regional Texas specialties. The Eastside Café, a popular restaurant which specializes in natural and fresh from the garden choices, is situated on Manor Road just across the interstate and is very convenient for U.T. students, faculty, and visitors to the campus area. The Eastside Café has a reputation for very fresh seafood as well as tempting steaks and other entrees. All of these restaurants have been patronized by well known political visitors recently, including Bill Clinton’s visit to Hoover’s while campaigning in Austin with his wife Hillary and family.
The University of Texas sports facilities are also very close to the east-central vicinity of Austin, especially Dish Faulk field, for Longhorn baseball fans, and Royal Memorial Stadium, for Longhorn football fans. Both of these sports venues are near the intersection of Interstate 35 and East Martin Luther King Blvd, which runs somewhat parallel to Manor Road, east of Interstate 35. The Erwin Center is also just a stone’s throw away, at Red River and Martin Luther King, just west of the interstate.
Prior to closing in 1999, Mueller Airport was the oldest municipal airport in Texas, and it originally opened to the public in 1930. After the new Bergstrom International Airport was established south of Austin at the site of the old Bergstrom Air Force Base, Mueller Field closed to air traffic, and is presently being redeveloped as a center for the arts, affordable homes, and many other exciting businesses and attractions. The old airport site encompasses 711 acres of space, and is designated for “mixed use” development now, including many movie-making related facilities. The site is home to the new Austin Studios film-making complex, which includes soundstages, sets, and various other commercial ventures associated with Austin’s burgeoning motion picture, theater and arts communities. Many of the old airport hangars have been converted to use as soundstages for these endeavors, and the area is ideal for this type of activity, since it is such a large area, and so conveniently located, but is still very quiet and has a rural feel to it since it has not been developed or inhabited much in the past, especially since the airport relocated.
The site will eventually be home to 10,000 residents and has been referred to as an “urban village”, with its proximity to the major urban areas yet its small town flavor. The site will eventually include schools, shops, homes, apartment complexes, entertainment and various other businesses and services. In addition to these exciting, revenue-generating ventures, the area is projected to include 140 acres of public open spaces and 13 acres of hike and bike trails, making the neighborhood very pedestrian-friendly as well as offering immediate access to Austin’s fine mass transit system, the Cap Metro bus routes.
Right across Manor Road from the old airport entrance is another attraction for sports fans, the Morris Williams Golf Course, which is an eighteen-hole public golf course, with green fees of twenty dollars or less on a year-round basis. This area is also very accessible to out of town visitors, since both Manor Road and Martin Luther King eventually intersect with U.S. Highway 183 when travelling east or northeast. U.S. 183 serves the Austin metro area as a loop around the eastern perimeter of the city, where it is referred to as Ed Bluestein Blvd. It also intersects with Highway 290 East and Highway 71 East, as well as Interstate 35, so it is very convenient to get in and out of the east-central community around the old Mueller Airport.
This area is sure to become a vital part of Austin in the very near future, and offers the finest attractions and amenities now for every segment of the population, young and old alike!
Ki works as a Realtor in the Austin area. His site is filled with information about Austin real estate and provides visitors a free search for Austin Homes. You can also find updated information on mortgage interest rates.
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May. 21, 2008 - Central East Austin
Just east of IH-35, in the center of Austin, lies an area that is becoming a popular destination for Austinites looking for a central location that doesn’t come with the price tag one would pay in other centrally located areas. They also don’t lose any of the historic charm or lack of small local businesses within walking distance by moving to East Central Austin.
There are several small central east side neighborhoods, such as Blackshear and East Cesar Chavez, but the Cherrywood area is quickly becoming a new favorite; its subdivision known as French Place is being referred to as the new Hyde Park. Lying between 35 and Airport boulevard, north of Manor and south of 38th ½ Street, French Place was originally owned by the Giles family in the 1940s. It is filled with one story single family homes and some multi family duplexes, located on wide, tree-lined streets. The majority of the single family dwellings hover around the 1,000 square foot mark, and have been well maintained throughout the decades. The area has a wide variety of homeowners of different ethnicities and professions, as well as many students due to its close proximity to Concordia University and UT. Each December, the Cherrywood Art Fair is held, showcasing pieces from the area’s artists, accompanied by all day music and activities for the kids.
Central East Austin is home to several historic sites. The French Legation Museum is touted as being Austin’s oldest structure still on its original site at 802 San Marcos Street. The home was originally built in 1840 for a French representative sent by King Louis Philippe of France to determine if the Republic of Texas should be considered its own country. In 1848, the French Legation became the home of Dr. and Mrs. Joseph Robertson, and it remained in their family until 1949, when it was taken over by the state of Texas.
There are two historic cemeteries in Central East Austin. The Texas State Cemetery was established in 1851, and is the final resting place for many of Texas’ state officials, dating back to the Republic of Texas days as well. Famous Texans such as Stephen F. Austin and Lieutenant Governor Bob Bullock are buried here. The Oakwood cemetery is located just north of the Texas State Cemetery, and was established in the mid 1850s, and legend has it the first bodies laid to rest were victims of a Comanche Indian attack. Different sections of the cemetery are dedicated to Austin’s black, Latino, and Jewish populations.
There’s plenty of entertainment and local eatery options for those in the Central East Austin area. Live music can still be found at the historic Victory Grill, established in 1945, and was part of the original “chitlin circuit”. Across the street from the Victory Grill on East 11th street is the Longbranch Inn, a nice little bar that became so popular the owners had to buy another place on East 4th, the Scoot Inn, to make room for the crowds and live music acts. Hoovers restaurant, run by Night Hawk alum Hoover Alexander, is a great mix of BBQ, Cajun, Tex Mex and soul food. Down Manor road lies El Chile, opened by ex Jeffrey’s employee Carlos Rivero, and serves top-notch interior Mexican food and Tex Mex, with their to-go eatery El Chilito down the road. Joe’s Bakery and Coffee Shop on East 7th Street has been in business since 1963, serving up Mexican and baked goods from family recipes for over 40 years.
Moving to East Central Austin could snag a house hunter a nice home at a fair price, but even those not in the market for a house can spend some time taking in the history and a great meal or two.
Escapeso Realty operates as a small company in the Austin real estate market. Their site has a free mortgage calculator along with a free graphical search of the Austin MLS.
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May. 18, 2008 - Investing in a Down Market
All investments depend on making returns, which in turn are affected by macro cycles such as the Great Depression or the dot-com boom. When a market is receding, it makes more sense for long-term, stability-seeking investors to look elsewhere upon first glance. However, in the case of the housing market of many parts of the US, the likelihood of long-term housing depression are still relatively slim. Furthermore, other factors will continue to influence the stability of housing pricing in the short term.
Likely investors in most areas will be able to get great values for some time, but housing prices have statistically increased on a per-capita level for the vast majority of the past century. Even with the 30% decrease in home prices during the years of 1930-33, economic stimulus eventually prevailed. The Depression was also the primary topic of a young Ben Bernanke who, before his current position as head of the Federal Reserve, wrote a 350-page report on how the US' largest recession was due to the blunders of the then newly-created institution. Bernanke has also taken more unprecedented steps to help preserve large investment banks than homeownership, citing a housing bubble which needs a necessary (though unfortunate) correction.
As foreclosure rates continue to increase, many properties are being revalued at less than the price they were purchased at. However, this is only half the story. America's losses are oft distributed unequally. And while the Midwest generally experiencing the worst effects of past recessions, this time may be a little different. Across middle America, home prices have depressed for seven straight months, but several previously hot markets have deteriorated below pre-bubble prices. Southern California and Arizona are two examples that stand out, particularly in terms of how rapidly falling home values have affected previously booming areas.
Now consumers are hit with two difficulties which make housing slumps particularly viscous: rising mortgage payments and loss of home equity, which has restricted lines of credit for homeowners. Furthermore, the advantages of America's size are diminished in a housing slump because homeowners are unable to migrate to other areas. Historically, there have been many such exoduses from economically depressed areas in search of higher wages, but homeowners are increasingly unable to do so unless they sell their homes at a loss.
This stagnation also means that markets with rising values will continue to attract investment, while government intervention may be necessary to lift more blighted areas. The Northwest continues to experience positive property values, despite the prospects oflooming layoffs from troubled financial firms. Texas continues to experience exceptional developmental growth, and relatively stable house prices in his area likely contributed to the Dallas Fed's dissenting vote against the recent record Federal Funds Rate cut. In central Texas, development has continued relatively unabated, in contrast with other areas where property values have dropped more considerably. This reasoning indicates that these markets are likely to accelerate growth as the larger economy recovers from the sub-prime crisis, and will probably be more valuable in the mid-term by comparison to more depressed areas.
Either way, the US recession is not likely to remain too deep, thanks to the generous monetary policy of the Fed. Should current inflationary pressures continue their current trends, home prices will necessarily rebound, although not quickly enough to facilitate speculative short sells. Therefore, for those looking for the long haul, deals are out there.
Ki operates as a realtor working in the Austin Texas real estate market. He writes a blog covering Austin real estate as well as providing a free search of the Austin MLS.
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May. 18, 2008 - How Will The US Economy Recover?
You would probably have to have been living on a remote desert island for the better part of two years to not see any signs of the slowdown in the economy of the United States. Since August of 2007, the real estate market has been reeling from plummeting house prices, due primarily to increasing defaults on sub-prime mortgages. While these mortgages were issued to millions of borrowers with patchy or relatively poor credit ratings over the past several years, interest rates remained unusually low before the Federal Reserve began to increase rates over 2005-2006.
Up until late 2006, this process was self-reinforcing, mainly due to the delayed impacts of interest rate changes, not to mention encouraging profits for lenders, who would often repackage the loans into securities which could be sold to investors globally. Many analysts called it a new era in risk management, justifying the arcane nature of many of these new investment entities with ever-larger profits.
But just as higher interest rates began to take their deflationary effects on the larger economy, millions of sub-prime mortgages began to reset, their rates immediately dependent on available credit. Moreover, many borrowers were not made aware of the insidious nature of their home loans.
Often, their interest rates are artificially low for some period of time, usually one to two years, and then change to reflect market rates afterward. These "teaser" rates were designed to lure more potential homeowners, and they worked: all estimates of the amount of sub-prime mortgages number in the millions, and many consumer advocacy groups have decried the skyrocketing incidence of "predatory loaning" leading up to the credit crunch. Defaults have continued to increase, which has forced the financial institutions which invested in mortgage-backed securities to write down billions, eventually leading to the spectacular collapse earlier this year of Bear Stearns, formerly Wall Street's fifth-largest investment bank.
Since the securities made from these increasingly worthless mortgages have been so widespread, any effort towards recovery must first be focused on stabilizing borrowers, who are increasingly behind on payments. In this respect, the government has taken several different courses of action. In an effort to stop unnecessary foreclosures, the US Treasury has begun an initiative to freeze mortgage payments at current levels for qualified recipients. However, its restrictions make less than 5% of homeowners eligible for the program.
In addition, the Treasury has introduced a plan to reorganize and regulate the lending industry over the next several years, which should help streamline the financial system in the future. However, its greatest effect so far has been to distract from more immediate economic problems.
By far, the greatest player in the recovery effort has been the Federal Reserve, which reversed its previously hawkish view to drop mortgage interest rates multiple times, from 5.25% last summer to 2.25% now, with a further cut of 25 basis points highly likely at the next meeting. They have also taken the unprecedented move of making its "discount window" rate loans available to investment banks. This access has historically only been available for commercial banks up until this point as a matter of last resort, but by bailing out Bear Stearns, the Fed made a commitment to help troubled investment banks weather the credit crisis. A recovery will require a combination of liberal monetary policy, further government intervention on behalf of mortgage holders, and enforceable regulation in order to prevent another bubble.
Ki is a real estate agent in Austin Texas. He runs a site filled with information about Austin real estate. His site provides information on mortgage interest rates along with a search of the Austin MLS.
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May. 16, 2008 - Mortgage Interest Rates Update
Here is a breakdown for the last few weeks.
May 15, 2008
30-yr 6.01 15-yr 5.60% 5-yr ARM 5.57 1-yr ARM 5.18
May 8, 2008
30-yr 6.05 15-yr 5.60% 5-yr ARM 5.67 1-yr ARM 5.29
May 1, 2008
30-yr 6.06 15-yr 5.59% 5-yr ARM 5.73 1-yr ARM 5.29
April 24th, 2008
30-yr 6.03 15-yr 5.62% 5-yr ARM 5.68 1-yr ARM 5.29
So what would these rates translate into for a mortgage. Using our free mortgage calculator lets run some numbers.
Using our free mortgage calculator lets take a look at what the mortgage payment would be for a 200k loan. The mortgage payment is $1.29 less than what it would have been last week. Considering that the FED cut rates I was a little dissappointed. I was hoping for rates to drop a little more this week.
May 15th
30-yr $1200.38
15-yr $1711.46
5-yr ARM $1144.37
1-yr ARM $1095.75
May 8th, 2008
30-yr $1205.53
15-yr $1711.46
5-yr ARM $1157
1-yr ARM $1109.36
Ki helps clients in the Austin real estate market. His site has a free search of the Austin MLS along with information on his Austin real estate blog.
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May. 11, 2008 - Liquidity Problems Remain
On May 2nd, The Federal Reserve issued a statement about the crisis in liquidity which has bottlenecked global growth for several months. Since last August, banks have written down $300 billion in sub-prime related securities, but the IMF has predicted that the eventual cost will exceed $1 trillion. As major banks unloaded debt over the last half of 2007, their balance sheets became spread too thinly. As a result, they have become increasingly less willing to lend, especially to each other, preferring instead to shore up capital.
The resulting credit crunch has had a knock-on effect on the larger economy, prompting the US central banks to slash the key Federal Funds rate seven consecutive times in as many months, from 5.25 percent to 2%. This policy has resulted in flat or slightly negative real interest rates, but mortgage and other interest rates remain artificially inflated, thus mitigating some of the benefits. Another problem with lowering interest rates is that it is difficult to gauge their effects on market conditions, as they typically take some time to work their way through the financial system.
Indeed, while interest rates have taken most of the headlines, the central bank has also taken extensive action in direct lending to banks. The most well-known example of this marked shift in policy is the Fed-backed bailout of the troubled investment bank Bear Stearns earlier this year. The floundering securities firm had problems with one of its hedge funds in early 2007, leading up to a well-publicized meltdown in March as other banks became wary of lending to them. This eventually forced them to seek emergency assistance, resulting in their buyout by JP Morgan with a guarantee of funding by the Fed to the tune of $29 billion. By extending the so-called "discount window" to an investment bank, the central bank took a de factor role as lender of last resort, a privilege usually reserved for commercial banks. Whether they overstepped any boundaries is now moot, of course. Likely the ensuing panic upon the failure of one of the largest US banks would have been worse than keeping them afloat. Their decision has proven to help provide short-term stability for markets.
Despite regular injections of capital from the European Central Bank, the Bank of England, and the Federal Reserve, investors seem unsure that the end of the credit crunch is nigh. Inflation has reared its head in recent months, leading to global food riots and record gasoline prices. The weakening dollar has contributed greatly, as the oil-producing nations which price their exports in the US currency are forced to raise prices accordingly. Interest rate cuts are likely over for a long while, as the Fed tries to balance continuing liquidity issues with inflation. $600 billion in Fed-issued loans has covered much of the cost of the credit crisis so far, but IMF estimates are only applicable for the numbers used to make them. Unless banks are growing, building capital, or both, liquidity will continue to hamper recovery. It will take time, but restoring confidence for investors and lenders is the only way economic growth can resume.
Ki provides information and analysis on his site about Austin real estate along with providing a search of the Austin MLS. He also posts regular market updates on his Austin real estate blog.
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May. 11, 2008 - Exterior Renovations
Many people consider home renovating to be an inside affair, but there are also many exterior renovations that can help beautify a home and encourage spending more time outdoors. Like interior renovations, with the proper planning, and research, fixing up the exterior of a home and its surroundings can be accomplished by the do-it-yourselfer while also saving money.
If a major renovation, such as replacing siding or roofing, is not urgent, taking the time to search for the best deal is advisable. Putting up siding, and replacing a roof might be best left to a professional contractor, unless the homeowner has some prior experience. One great way to get experience, and help out someone in need at the same time, is to volunteer for Habitat for Humanity. Volunteers can ask to learn a certain skill, and gain valuable experience. Also, try stopping by the Habitat Re-store to find deals on a variety of home improvement items for the interior and exterior. A good way to spruce up the home’s exterior, without contractor skills, is to apply a new coat of paint- just remember to prep the surface first with a good wash, or by sanding off old paint.
Improving a home’s lawn can do wonders for its appearance and curb appeal. Though some signs of improvement can be seen within a few months, know that the lawn may have to go through a couple growing seasons to see vast improvements. First remove thatch from the yard. Thatch is the dead layer of turf grass between the soil and the green grass. This is done by mowing the grass and raking out the thatch. If it is really thick, you may want to rent a power rake. Remove weeds with a hoe, and treat serious areas with weed killer. Eventually, the grass with grow thick enough to choke out the weeds. If there are unlevel areas in the yard, fill them with topsoil and compost, and rake until it’s level. Add new grass where necessary, either with grass seed or new sod. Fertilizing the lawn four times a year will help in grow strong and stay healthy.
Installing plants and trees can add new color and texture to a yard, and can also be used as a natural screen or fence to block out any undesirable views. Shrubs generally come in 1, 2, 3 , 5, 7, and 15 gallon sizes, with trees coming in the 7 and 15 gallon sizes. Trees larger than 15 gallons should be installed by a professional, and will usually involve heavy duty equipment. Dig a hole twice the size of the root ball, while keeping the depth of the hole the same as the height of the root ball. Loosen the roots, and place the plant or tree in the hole, and fill the hole halfway, then water it. Fill up the rest of the hole, and add mulch around the plant to preserve moisture and keep weeds from growing.
To create a nice outdoor area for entertaining, making a patio out of pavers is a good task for the do-it-yourselfer, and more pleasing to the eye than a professionally poured concrete slab. First, remove grass from the area which is easily achieved by renting a sod cutter from a home improvement store. Level out the area, and define the patio’s perimeters with plastic edging or treated wood. Spread about 2 inches worth of coarse sand inside the form, and lay down the pavers snuggly against each other. Once all the pavers are in place, spread sand across the top of the patio, and work it into the spaces between the pavers with a broom, and the new patio is complete.
After a nice renovation to a home’s exterior and its surroundings, coming home will be a pleasure before the front door is ever opened.
Ki runs a website dedicated to Austin real estate. His site has a mls Austin search along with information on current mortgage interest rates.
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May. 9, 2008 - Things to Do in the Campus Area in Austin
With over 50,000 students there are numerous entertainment venues around the University of Texas. Austin is frequently referred to as the live music capital of Texas. And although when people talk about the music scene in Austin they usually think of downtown the campus area also reflects this saying with nightspots such as the Hole in the Wall, which is an Austin institution and has been the home of many local recording artists for more than twenty-five years, as well as the U.T. campus itself, which hosts regular live music performances in the Cactus Café, which is adjacent to the student union and which is located in the West Mall area. There are also faculty-oriented clubs and restaurants such as the Campus Club, at the corner of 24th and Guadalupe, which offers a daily special and a variety of top-notch choices in a buffet-style setting.
Other notable establishments in or around the campus area include the Frank Erwin Center, which hosts Longhorn basketball, and many other national as well as local sporting events and concerts and is located on the eastern rim of campus, adjacent to Interstate 35. The Darrell K. Royal Memorial Stadium, which is a few blocks north of the Erwin Center, is home to the University of Texas Longhorn football team, and nearby Disch-Falk Field hosts U.T. Longhorn baseball games, and is directly across the highway from Royal Memorial Stadium on Interstate 35. One of the largest Austin metropolitan area hospitals, Brackenridge-Seton Hospital, is also just a few blocks south of campus, and is the oldest public hospital in Texas. The hospital complex includes the Children’s Hospital of Austin and the University Medical Center, all of which offer first class medical treatment for acute as well as long term care, ample parking, and many other facilities in a very convenient location.
In addition to football and basketball, the university sports and recreation department provides track facilities, including one of the only lighted intramural fields in the country, at the intramural fields complex, which is situated along the intersection of 51st and Guadalupe Streets in the North Loop neighborhood. The complex is about a mile north of the campus itself, and the intramural fields are home to the U.T. Rugby team. In the neighborhood of Hyde Park, just north of the University of Texas, there are also museums and golf courses including the Elizabet Ney Museum, which is one of the oldest museums in Texas. The Hancock Golf Course, which was established in 1899, is just a few blocks away as well, and allows golfers to play the course on a daily fee basis. All and all, the University of Texas campus area in Austin offers something for everyone, and is one of the most popular destinations for locals, University students and tourists alike. There is always something to do on or near campus.
Ki works as a realtor in the Austin Texas real estate market. His site provides visitors a free search for Austin Homes along with updated market commentary on his blog covering Austin real estate.
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May. 9, 2008 - What Is Going on With Mortgage Interest Rates
So what happened with mortgage interest rates this week? Not much. For the second week in a row mortgage rates pretty much stayed the same.
May 8, 2008
30-yr 6.05 15-yr 5.60% 5-yr ARM 5.67 1-yr ARM 5.29
May 1, 2008
30-yr 6.06 15-yr 5.59% 5-yr ARM 5.73 1-yr ARM 5.29
April 24th, 2008
30-yr 6.03 15-yr 5.62% 5-yr ARM 5.68 1-yr ARM 5.29
April 17th, 2008
30-yr 5.88 15-yr 5.40% 5-yr ARM 5.48 1-yr ARM 5.10
Using our free mortgage calculator lets take a look at what the mortgage payment would be for a 200k loan. The mortgage payment is $1.29 less than what it would have been last week. Considering that the FED cut rates I was a little dissappointed. I was hoping for rates to drop a little more this week.
May 8th, 2008
30-yr $1205.53
15-yr $1711.46
5-yr ARM $1157
1-yr ARM $1109.36
May 1st, 2008
30-yr $1206.82
15-yr $1643.73
5-yr ARM $1164.60
1-yr ARM $1085.89
At this point I don't expect rates to drop in the near future. The FED basically said at the last meeting that they didnt plan on making any more rate cuts. So until banks start to develop a more positive outlook on the economy I would not expect rates to come down any more. So if you are thinking of doing a refi or locking in an interest rate on a house this might not be a bad time.
Ki works as an Austin realtor helping clients look for homes in the Austin Texas real estate market. His site provides a free search for Austin homes.
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May. 8, 2008 - What To Do With Your Unneeded Moving Boxes
You packed. You moved. You unpacked. Now all those boxes are sitting there, empty, taking up space, getting in your way. Moving boxes are great—when you’re moving—but afterward, the only purpose they seem to serve is filling up the trashcan. There are a few alternatives to a landfill, however, so before you send those boxes to the curb, consider these options.
Good, quality moving boxes are expensive, and it’s a shame to just throw them away. Businesses such as Eco Boxes will take those unwanted boxes off your hands and sell them at a greatly reduced price, saving the consumer money and saving the environment at the same time. Eco Boxes provides pick-up service if you have large quantities of boxes, and will either pay you a few cents for each box (those pennies add up when you have a lot of boxes!) or they will donate that money and match it penny for penny to charity. They will also accept packing paper, so you won’t have to throw that away, either.
Another option is to list your moving boxes in a newspaper want ad, or on a website such as Craigslist, which allows you to list an ad for free and target your local area. There are always people looking for boxes, so pass your unneeded ones along and help a fellow mover while at the same time keeping those boxes from cluttering up the garbage bin. You can either list your boxes in your own ad or check the “wanted” section for ads specifically looking for boxes. Someone will be more than happy to give your boxes a new home!
Of course, some boxes are beyond reusing, so if that’s the case, recycling is your next best bet. Many cities offer curbside recycling services, so check with your waste management office to find out their policies (most require that the boxes be broken down and stacked flat for pick-up). If recycling service is something that isn’t available in your neighborhood, don’t give up! There will undoubtedly be a recycling center nearby that accepts cardboard. Finding and using one is just a matter of checking the phonebook or the internet and then hauling the boxes to their location.
Remember, one person’s trash is another’s treasure. So reuse and recycle, and get those bulky boxes out of your way!
Escapeso Realty is a small company working in the Austin real estate market. They provide a free map based search of the Austin MLS along with a mortgage interest rates widget.
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May. 6, 2008 - Putting In A Flowerbed
Putting in a flowerbed is a great way to add a splash of color and charm to your lawn, and turn an ordinary yard into a place to stop and smell the roses. All it takes is a little dirt work and a weekend afternoon, and you’ll be ready to plant azaleas and daisies to your heart’s content.
The first step is to decide the “where and how big?” question. There are a few things to keep in mind when making these choices, such as proximity to a water faucet (Or whether you need to buy a new, longer hose), what types of flowers you want to plant (Do they need full-sun or shade? Keep in mind that if your location will receive less than six-hours a day of sun, you will need to choose shade varieties of flowers, while more than six hours of sun requires sun-loving varieties), and how much time you want to commit to maintenance (Weeds love flowerbeds, too, and a smaller flowerbed means less to weed). Once you have chosen a location, you can mark the perimeter of the flowerbed using string or a hose. This provides a great visual that can easily be adjusted before you commit to digging.
After you have the flowerbed marked out exactly how you want it to be, it’s time to start digging. Use a shovel or spade to cut through the sod and remove the grass and roots from the flowerbed area. Take your time--this can be backbreaking work! Make sure you put all the sod into a wheelbarrow or bucket and dispose of away from your work-zone, or your flowerbed will inevitably revert back to its origin as part of your lawn.
Once you have the sod removed, surround the flowerbed with whatever edging you have chosen. There are lots of options, from brick, stone, and pavers, to landscaping timbers and vinyl. You will need to dig down a few inches to install your flowerbed perimeter, depending on your edging choice, in order to imbed the edging and ensure stability. If the soil is especially bad in your yard, it can be easier to build your flowerbed edging up and add garden soil, creating a raised flowerbed, than to dig the existing ground and amend the soil.
Now that the edging is installed, it’s time to prepare the dirt. If your flowerbed is raised, this is just a matter of filling it in with garden soil, humus and organic compost, and mixing with either a tiller or turning it over by hand with a shovel. If you have a lower flowerbed, or if you want to use some of the native soil in your flowerbed, it’s digging time again. You will need to dig down approximately eight-inches to a foot, loosening the soil and removing any rocks. Once you have dug up the entire flowerbed, add soil amendments and mix well. A consistently good amendment choice for flowerbeds is organic composts and manures, in addition to whatever amendment you may need for your soil type.
Now, the only thing left to do is add flowers and enjoy. (A little mulch for weed control wouldn’t hurt either).
Ki helps buyers looking to invest in Austin. His site provides a search of the Austin MLS along with statistics and neighborhood descriptions about Austin real estate and a mortgage calculator for visitors to use.
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May. 6, 2008 - Real Estate: Where's The Bottom?
In recent months, the US real estate market has seen its fair share of turbulent weather as house prices continue to fall. While the Federal Reserve has taken significant steps towards making lending cheaper, interest rates remain artificially high as the troubled financial sector continues record write-downs. So far, only a quarter of the IMF-estimated $1 trillion in sub-prime losses have been reported, which means mortgages won't be affordable for a long while, even if homes continue to decline in value. According to the Case Schiller house price index, which covers 20 major metropolitan areas, house prices are depressing at an annual rate of 12.7%, though its rate of descent is accelerating. As long as homeowners continue to lose equity, loans will become increasingly difficult to obtain.
As this feedback loop works itself out, a regionally dependent phenomenon has begun to emerge. Although home prices averagely dropped in the US the story doesn't end there. Despite lowered economic growth forecasts and commodity-related inflationary pressures, (which are felt much more diffusely throughout the economy) several metropolitan areas have remained more robust, which explains dissenting votes on the past two rate cuts by the regional Fed chairs from Dallas and Philadelphia, respectively. Part of their reasoning is based on working against what they view as a misconception about the scope of the Fed's powers among many investors; namely, that the central bank is the only agent responsible for assisting challenged markets. Political jockeying has and will continue to play a role in their decisions, especially in the charged climate of an election year, but their dissenting votes represent the resilience of many areas of the US that continue to experience growth. From Charlottesville, North Carolina to Austin, Texas, many metropolitan areas continue to develop quickly, seemingly insulated from much of the speculation and predatory lending that has defined tracts of the US. While some of the worst affected markets in the Southwest like Phoenix, Arizona and Las Vegas will take considerable time to rebound, some price correction was inevitable. This is partially due to property value spirals in recent years, without corresponding increases in infrastructure and demand. In markets where growth had already been steady, home prices have been relatively stable.
If the federal government steps in further to freeze or help re-negotiate more of the estimated two million sub-prime mortgages projected to default over the course of 2008, prices may stabilize more quickly. Politicians, closing ranks in a show of solidarity, will likely be reluctant to make bipartisan efforts a priority while the presidential race remains in the limelight, which makes investment in the near and medium term likely to be more profitable, both in markets where prices have overcorrected and in stable markets. This is because any government-based mortgage interest rates freeze may be less favorable than current rates, which are firmly negative. Moreover, refinancing remains available should climates change. In any case, the worst may not be over for a lot of America, but some places have weathered the past eight months relatively unscathed.
Escapesomewhere Real Estate is a small brokerage working in the Austin real estate market. They host a free search of the Austin MLS along with providing updated commentary on their Austin real estate blog.
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A general blog about real estate with random tips and observations.
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