Home For Sale Near Randolph AFB & Fort Sam Houston

Click here to see a truly remarkable find for someone looking for a home with elbow room within a comfortable commuting distance to Randolph AFB and Fort Sam Houston.

http://www.sanantoniohomequest.com/MyHomeDtl.asp?lstPages=1&HomeID=801807

It’s a truly exceptional executive property, complete with a recently installed swimming pool and enough land for a horse. The home is vacant and the homeowner is highly motivated to consider all reasonable offers, so don’t miss the opportunity to bid on this fine property.

Please contact me if you have San Antonio area realty questions or need real estate or mortgage loan advice or assistance; and, when you’re ready to visit this or any other San Antonio listing, contact me and I’ll give you a guided home tour.

Randy Kelley, Realtor(R)
sanantoniohomequest.com
Keller Williams Legacy
San Antonio, Texas
(800) 201-9145 or (210) 863-2661
kelleybus@aol.com

San Antonio Homes For Sale - 30 Jan 2009

San Antonio, TX – 30 January 2008

Here are today’s single family detached home listing stats from the San Antonio Multiple Listing Service.

Homes For Sale – 11927 — up 33 from last report
Average List Price — $266,549 — down $287 from last report
Average Days On the Market — 164 — same as last report
Under Contract (Closing Scheduled) – 1267 – down 2 from last report

San Antonio is a very large city. While most of the metropolitan area offers exceptionally good home buying and selling opportunities, there are some areas experiencing serious home marketing challenges. Consequently, anyone relocating to the San Antonio area or contemplating selling a San Antonio home in 2009 should get a Realtor's (R) advice and assistance.

Ask us first.

Stephanie&Randy Kelley & Tara Kelley Guariglia, Realtors(R)
The SanAntonioHomeQuest.com Realty Solutions Team
Keller Williams Legacy
(800) 201-9145(210) 863-2661 or (210) 867-8743

Home Prices Up In Some San Antonio Areas

For San Antonio home buyers and sellers, here's a very timely San Antonio Express News article by Aissatou Sidime, dateline January 30, 2009:

While most of the San Antonio metro area saw a drop in home prices in 2008, a handful of sales areas — in Comal County and North Central and far eastern Bexar County — experienced an increase in median home prices last year, as buyers sought more rural environs, shorter commute times and more home for their money.

Buyers in search of a bucolic lifestyle helped to push the median price up 7.2 percent in area 26, which covers Comal, to $252,900 — the largest increase in the San Antonio metropolitan area.
Areas are sales regions designated by the San Antonio Board of Realtors.

The rural appeal of southeastern Bexar’s less-developed area 20, which includes China Grove and Elmendorf, was also strong in 2008. The median price there increased 2.1 percent to $98,200. Neighboring area 19 also had a boost, a 1.7 percent increase to $78,300.

“The East Central School District still offers 4-H and (Future Farmers of America programs) so those families who want their children exposed to agriculture are attracted to it,” said Eddie Callender Jr., an agent at Southeast Realtors on Goliad Road.

Last year, a large number of buyers also bought homes in areas where they could avoid heavily congested arteries such as U.S. 281 outside North Loop 1604. Area 6, which includes Hollywood Park and Hill Country Village, benefited from the trend, rising 1.5 percent to $244,000, as did neighboring area 14 and area 13, which includes the inner-loop communities of Alamo Heights and Terrell Hills. Area 14 saw prices edge up 0.3 percent to $157,900, as area 13 saw an increase of 1.7 percent to $247,200.

But buyers also were willing to move to subdivisions off less-beaten paths, such as off U.S. 87 in area 20.

“The traffic past (Loop) 1604 along the (U.S.) 281 corridor is a lot more difficult to overcome; and people were concerned that with 281 not getting a toll road, traffic would get worse,” said Judy Dalrymple, an agent with The Phyllis Browning Co. She sells homes mostly in the Shavano Park, Hollywood Park and Hill Country Village areas inside Loop 1604.

For some buyers, a key motivation was the need to buy a home in an affordable price range, which generally is considered to be under $140,000 locally.

Among the six areas to see price appreciation, buyers found affordable homes in Shady Oaks in area 14, where half of the homes sold in 2008 were priced under $157,900, and Foster Meadows in area 20, where list prices in the new subdivision ranged between the $90,000s and $170,000s, agents said. END OF ARTICLE

San Antonio is a very large city. While most of the metropolitan area offers exceptionally good home buying and selling opportunities, there are some areas experiencing serious home marketing challenges. Consequently, anyone relocating to the San Antonio area or contemplating selling a San Antonio home in 2009 should get a Realtor's (R) advice and assistance.

Ask us first.

Stephanie&Randy Kelley & Tara Kelley Guariglia, Realtors(R)
The SanAntonioHomeQuest.com Realty Solutions Team
Keller Williams Legacy
(800) 201-9145(210) 863-2661 or (210) 867-8743
kelleybus@aol.com

San Antonio Homes For Sale Today

San Antonio, TX – 28 January 2008

Here are today’s single family detached home listing stats from the San Antonio Multiple Listing Service.
Homes For Sale – 11857 — up 37 from yesterday
Average List Price — $266,836 — up $203 from yesterday
Average Days On the Market — 164 — down 1 from yesterday
Under Contract (Closing Scheduled) – 1269 – up 15 from yesterday

Don't hesitate to contact our San Antonio Realty Solutions Team for all your San Antonio realty needs.

Stephanie and Randy Kelley
Keller Williams Legacy(210) 863-2661 or (210) 867-8743(800) 201-9145
kelleybus@aol.com
www.sanantoniohomequest.com

Planned Development For San Antonio's South Side

It’s 3:00 P.M., Sunday, 25 January 2009, partly cloudy and 60 degrees in the Alamo City.

Go here for a very informative article about residential development plans for San Antonio’s south side. It’s good news down the road for employees of the southside military bases, the Toyota plant, and other business and educational activities currently under development in the area.

http://www.mysanantonio.com/business/Southern_living.html

If you need advice or assistance with your San Antonio area home buying and selling needs, visit us at SanAntonioHomeQuest.com or send an E-mail to kelleybus@aol.com.

San Antonio Home Buyer's Cardinal Rule

First and foremost, here’s the cardinal rule that home buyers should always keep in mind.

DON’T START YOUR SEARCH WITHOUT KNOWING WHAT YOU CAN AFFORD.

Sounds logical, doesn’t it, but a surprising number of buyers waste time and effort looking at houses they can’t afford. Now, if you’re wealthy enough to make a cash purchase, just make sure your money is liquid enough to bring to the closing table. But, if you’ll need a mortgage loan to seal the deal, don’t hesitate to consult with one or more lenders before starting your home quest. Mortgage loan officers want your business and, usually without charge, will happily help you determine your purchasing power based on your available assets, income to debt ratio, and credit history. So, don’t be afraid to talk with at least one lender before seriously shopping for a home.

You’ll receive more valuable hints about home buying & mortgage matters in coming messages. But, if you can’t wait or have immediate questions, send us an E-mail or give us a call and a member of our Realty Solutions Team will tell you all the things you need to know to be a SanAntonioHomeQuest power buyer.



Stephanie and Randy KelleyKeller Williams Legacy
(210) 863-2661 or (210) 867-8743
(800) 201-9145 kelleybus@aol.com
www.sanantoniohomequest.com

San Antonio Housing Forecast Update

From the Builder Housing Forecast: New home starts in San Antonio were down to 8700 for ’08. With a 2.1 month supply, San Antonio has the lowest number of new homes finished on the ground than any other major city in the United States. In 2008, San Antonio builders sold more homes than they started, thereby significantly reducing inventories. In '08, Texas started more homes than any other state, had the greatest population gain over any other state and the greatest job growth of any state. Outlook projection: Look for it to take 3-6 months to see a real pickup in sales. 2009 will likely be slightly better than 2008.

From the San Antonio Express News: San Antonio's luxury home niche is suffering from excess, with the local market having a 48 month supply of homes priced over a $1 million. The area's lowest inventory is priced $250,000 and below, which makes up 74% of the market. That's a 7 month supply while 6 to 6.5 months is considered ideal.

Also from the San Antonio Express News: Texas is still the leader in price appreciation. Texas was one of just three States showing "meaningful price increase” in the 12-month period ending 10/31/08. Texas showed a 2.7% increase in median home price. Only West Virginia and South Dakota exceeded Texas.

Lackland Air Force Base is gaining 363 new single-family and duplex units. The developer plans to invest $142 million in the new housing starting this spring

San Antonio Realty Market Expected to Improve

This very timely article was recently published in the "San Antonio Express News."

Article Take Aways:

San Antonio residential home sales should improve in 2009, but median home prices are expected to remain flat and home value appreciation may be as low as 1%.

San Antonio’s home market is fundamentally stronger than most markets nationwide.

Here’s the article.

By Aïssatou Sidimé - "Express-News"

Existing home sales should improve in 2009, based on home sale increases during the last month, according to presenters and attendees at the San Antonio Board of Realtors Annual Housing Forecast on Tuesday morning.

“I’m expecting to be at least at 2005 volumes and maybe slightly less than 2007,” said presenter Bob Gardner, CEO of Legacy Mutual Mortgage.

Still, 2009 won’t see a return to the boom days of 2006. Median home prices in San Antonio are expected to stay flat.

Gardner’s predictions were welcome news for an industry that appeared to shift closer to the ugly national picture in November when the number of home sales dropped 32 percent and the median price fell 4 percent.

Based on home sales for the last five weeks, Gardner told the audience of 650 attendees at the Omni San Antonio Hotel in the Colonnade that he’s taken the unusual step of hiring new employees in an industry that had been shrinking.

“There are people coming out of the woodwork buying housing,” Gardner said. “I thought January would be more like 2003, but I don’t think so. We are expecting to exceed our (sales) predictions by 35 percent. I’ve had to add some contract people to handle the business.”

Other presenters, including Paul Bishop, managing director of real estate research for the National Association of Realtors, and Mark Dotzour, chief economist of the Texas A&M University’s Real Estate Center, agreed that San Antonio’s housing market is fundamentally stronger than most markets nationwide.

“In 2008, San Antonio had job growth, cheap mortgages and positive price appreciation but declining volumes,” Dotzour said. “It tells me local economics are not the issue. It’s a lack of confidence in our government. And when that is repaired, buyers will start buying again.”

Bishop said these same positive forces also kept foreclosures down statewide compared to the rest of the country.

Actual data from 2008 may not show as cheery a picture, though.

Mortgage rates do continue to fall, and job growth is positive. But home price appreciation averaged less than 1 percent for the year through November 2008. The median sales price was $150,400 during that period, up slightly from $150,100 for the comparable period in 2007 And home sales declined 18 percent from 21,178 sales in the same period in 2007, according to SABOR figures.

New foreclosures were kept to just 0.6 percent in Texas versus 1.1 percent nationally in the third quarter of 2008, Bishop said. But San Antonio foreclosure postings spiked 46 percent in January to the single highest number of auction filings for one month since at least 2000.

Anecdotally, local agents also report higher home sales, but they say Gardner’s forecasted 35 percent increase is more than they expect to see. Several agents reported their December and January sales were either flat or increasing. Historically, sales dip in these months.

But, still, that’s hardly 35 percent.

“I was at 2005 levels (last year) and expect to do better,” said Missy Stagers, an agent with Coldwell Banker D’Ann Harper Realtors. Stagers said she has four deals already set to close this month, versus one in January 2008 and nine in January 2007. She expects to benefit from shrinking new-home inventories and a stronger general economy.

Presenters said the lackluster 2008 figures masked some strong sectors.

Lisa Schmidt of The Phyllis Browning Co. said downtown condo sales are ahead of projection. “Pretty much what has been finished is sold,” she said of the 910 condos built or placed under construction since 2007.

In addition, there were strong price-per-square-foot increases in several communities in 2008, including Rogers Ranch, Colonies North, Cordillera Ranch and Terrell Hills, which each showed at least a 5 percent price increase in 2008, Gardner said.

End Of Article

If you have questions or need San Antonio realty advice or assistance, don’t hesitate to contact the SanAntonioHomeQuest Realty Solutions team at sanantoniohomequest.com , Keller Williams Legacy, (800) 201-9145, (210) 863-2661, (210) 867-8743.

Risks When Buying Lender Owned (REO) San Antonio Real Estate

Written by Stephanie Kelley, Real Estate Professional in San Antonio

This excellent article is compliments of Stefani Romer, EPro. Stefani works for Old Republic Home Protection, a major provider of home warranty (protection) insurance.

Article Take Aways:

(1) REO purchases are riskier than usual real estate deals.
(2) The buyer should be prepared for higher repair and maintenance costs when buying a REO property.
(3) The buyer should consider asking the REO seller to furnish a 1 year home warranty protection plan.

Here's the article:

Prepare for Unexpected Risks When Buying A REO

Have you ever bought a “mystery gift” from a catalog company? That is when you purchase a surprise package containing, say, $100 worth of unknown items for only
$50. You have no idea what is in there, but you know it is a good deal. Buying an REO can be a lot like that.

When purchasing an REO (bank owned) property, there can be a variety of risks. Often times the utilities were not turned on prior to the close of sale, so the true condition of most of the home's systems and appliances is unclear. For that reason, the buyers may need to set a larger repair budget to cover any problems discovered when the utilities are turned on and the systems and appliances are tested for the first time.

There are also times when the buyers have a pretty good idea of the condition of the home because the utilities were on and a thorough inspection was performed. In those instances, the repair budget is more accurate.

Whether or not the buyers clearly know the condition of the home and its systems and appliances, they have set the purchase price knowing that there will be some additional out-of-pocket expenses necessary to make the home livable. There has been a “budget” set for the repairs and renovations needed in the first few weeks and months after taking possession of the property.

One can plan for what is known or anticipated. The tough part is when the unexpected happens - the heater stops working three months after close of sale, the shower valve in the master bathroom malfunctions, or any other problem that can occur in the first year of home ownership.

What happens next? The “budget” has been spent and now the buyers are facing an expensive repair with a pretty slim bank account.

Plan ahead and be prepared. Be sure to protect your own investments and those of your clients by including a home warranty on all REO transactions. More banks are willing to pay for them today, and on those occasions when they won't, be sure the buyers include them even if they have to pay for it. The home warranty is more than worth the money if a major system or appliance needs to be repaired or replaced.

For more information on the value of including home warranties on all your REO's or to order home warranties for your current transactions, call your local Old Republic Home Protection Account Executive.

Stefani Romer, ePRO
Sr. Account Executive
(800) 282-7131 Ext. 1377
StefaniR@orhp.com



Do you need San Antonio realty advice or assistance? You can contact me at swkrealtor@aol.com, visit my website at sanantoniohomequest.com or blog my realty services team at http://sanantoniorealestate.blogspot.com and http://www.trulia.com/blog/stephanie_kelley .

Are San Antonio Mortgage Interest Rates Taking An Unexpected Turn?

Are mortgage loan interest rates taking an unexpected turn? You'd expect rates to be falling with treasury bonds at a historic low and considering all the stimulating "bailout" monies that the Fed has recently infused into the lending system. But, what's really going on.

You might be surprised as you read these interesting quotes from a recent article by Charles Guy Stidham III, a VP Loan Officer at Town & Country Mortgage Services, San Antonio.

“The rates should probably be around 4.5%, but … large institutional investors are trying to fatten their margins and are not budging below 5%.”

“Matt Lauer and his “morning” gang may not know what they are talking about when rates at 4% are being bantered about.”

The apparent 5% interest rate floor is evidenced by these Town & Country Mortgage Services rates quoted in Charles’ article:

30 year fixed (with 720+ Fico score & 1% origination fee) 5.0%
15 Year fixed (with 720+ Fico score & 1% origination fee) 5.0%
FHA & VA 30 year fixed (with 1% origination fee) 5.0%
5 Year jumbo Adjustable Rate (with 1% origination fee) 6.5%

In comparison, here are some competing 30 year fixed rates quoted in Charles' article:

Bank of America 5.76%
USAA 5.45%
Wells Fargo 5.50%
Coldwell Banker Mortgage 5.61%

So, here's the message for prospective home buyers. Mortgage interest rates are highly unpredictable and the only certainty is that it pays to shop around for the best interest rate and loan settlement charges.

Many lenders will offer enhanced convenience and cost free services just to get your business. For example, Charles Stidham III offers the following promotional services:

No application fee
Free credit report for pre-qualification customers
Same day loan approval
Guaranteed call back on the same day (when referred by a real estate professional, like Stephanie Kelley)

You can contact Charles at Town & Country Mortgage Services at:
Cell 210 478-9846
FAX: 210 495-8908
gstidham@satxhomeloans.com

Do you need San Antonio realty advice or assistance? You can contact me at kelleybus@aol.com, visit my website at sanantoniohomequest.com or blog my realty services team at http://sanantoniorealestate.blogspot.com and http://www.trulia.com/blog/stephanie_kelley .

San Antonio Home Construction & Sales Down

Posted by Randy Kelley on January 5, 2009

Here’s another article showing why San Antonio’s residential realty market will most likely strongly favor buyers during the first quarter of 2009.

By Creighton A. Welch - Express-News 01/05/2009

Single-family home starts declined 32 percent in San Antonio and single-family home sales were down 29 percent in 2008 compared with 2007, a worse than expected decline.

During 2008, 8,719 new homes were started and 11,112 homes closed, according to Metrostudy, a housing research firm that presented its numbers at the annual Greater San Antonio Builders Association housing forecast.

In 2007, there were 12,800 home starts and 15,675 closings.

As a result of deteriorating economic conditions, Metrostudy expects construction and sales to continue to fall for much of 2009 as the San Antonio area remains a buyers market for much of the year.

There are 38 months worth of vacant developed lots available, and there were 8,053 lots delivered in 2008, 7,326 less than in 2007.

New home inventory did decline during the past year, falling 30 percent from 7,532 new homes in the fourth quarter of 2007 to 5,147 in the fourth quarter of 2008.

Posted by Randy Kelley, MS, BS, PA, San Antonio Realtor®

You can contact Randy at kelleybus@aol.com , visit his website at sanantoniohomequest.com or blog his realty services team at http://sanantoniorealestate.blogspot.com and http://www.trulia.com/blog/stephanie_kelley

A New Tax Credit For First Time San Antonio Homebuyers

Here’s some welcome news in recently enacted federal housing legislation: first time home buyers can get a $7,500 tax credit. Congress intends for the credit to make housing more affordable. But qualified buyers have to act quickly – the credit is only available for purchases before July 1, 2009.

Here’s how the tax credit works:

There are income limits: $75,000 for single purchasers, $150,000 for couples.

The credit is not made to the buyer in the form of a check. Instead, the credit is an itemized deduction on federal tax returns (your buyers should consult with their tax advisor).

It effectively reduces the purchase price by $7,500.

The credit is limited to first time buyers.

The credit must be repaid (at no interest) at the rate of $500 per year for 15 years.
However, if the home is sold, the seller will not repay more of the credit than they realized in profit.

The preceding article is compliments of:

Edilma (Edi) Davila Cook
Mortgage Loan Officer
Retail Mortgage Sales
Bank of America, San Antonio

Direct: (210) 525-5007
Fax: (210) 525-5085
Mobile: (210) 326-9389

Bank of America is an Equal Housing Lender.

Call Edi for rate quotes and loan qualification or pre-approval information. Mention Randy & Stephanie Kelley if you contact Edi.

To search listings, research schools, and learn more about San Antonio, visit our website at SanAntonioHomeQuest.com.

January Is The Month To Buy A San Antonio Home

Posted by Randy Kelley on January 3, 2009

Article Take Away: It’s January - the best month to buy a San Antonio home.

Hey, buyer! Are you sitting on the fence, waiting out the market, looking for the bottom? You’re not alone. Hundreds of prospective San Antonio home buyers are holding back, waiting for home prices to stabilize, and hoping to jump in and buy just when prices start to rise again.

Your logic’s good and here are some facts to make it even better:

First, San Antonio’s realty market tends to be exceptionally stable. It’s not prone to experience drastically depreciating home values and rapidly falling sale prices. In fact, the value of the average San Antonio area home has appreciated every year for decades.

Second, real estate prices are very localized and there will always be a neighborhood where, for a variety of reasons, home values and prices are depreciating. If you are interesting in finding out what’s really happening with a neighborhood’s home values, ask a real estate professional to do a highly reliable comparative market analysis for you. Or you can visit web sites like Trulia where you might get a fairly reliable ballpark estimate.

Third, and most important, every year, San Antonio’s average residential list price fluctuates according to a predictable seasonable demand cycle. List prices are lowest in the fall and winter, rise in the early spring, peak in mid-to-late summer, then slide back in early fall. You’re most likely to negotiate a good deal in November and January and least likely to get a good deal in May and June.

January has consistently been the very best month for San Antonio home buyers.

Don’t let the opportunity go by. Go buy!

January 2009 San Antonio Realty Market Report

Posted by Randy Kelley on January 2, 2009

As of Friday, 2 January 2009, here’s what sellers and buyers need to know about San Antonio’s residential realty market.

Despite dropping dramatically in December, the “for sale” home INVENTORY remains HIGH, and is projected to increase during the first quarter, 2009.

CLOSED SALE PRICES are FALLING STEADILY.

The market STRONGLY FAVORS BUYERS, however, reasonably priced and well prepared new and resale homes continue to sell well.

In November and December, home builders offered greatly enhanced buyer incentives in hopes of selling off their new home inventories before the New Year. Builders typically pull back on buyer incentives in January, but that might not be the case this year. We’ll let you know in the February report.

Although it might be a great time to buy a new construction home, it’s always prudent to diligently check out the incentives offered by the builders and particularly the loans offered by the builders’ affiliated lenders. Before signing a sales agreement, a buyer should seek the help of a Realtor ® to verify (1) that the property is reasonably priced and (2) that the lender is offering the most favorable loan, with the best interest rate, for the lowest settlement cost.

For San Antonio, the ECONOMIC DOWNTURN IMPACT is now MODERATE. Beginning in November 2008, San Antonio’s realty market was much slower than projected for the season. The downturn continued through December. Nevertheless, San Antonio still receives high marks as one of the nation’s top realty markets based on the area’s high employment rate, population growth, and better-than-average price appreciation.

AFFORDABLE MORTGAGE AVAILABILITY is EXTREMELY HIGH. Interest rates are historically low and lenders are aggressively seeking qualified buyers. A 580 credit score is acceptable to qualify for some types of mortgages. FHA insured mortgages are particularly popular.

Do you have realty questions? Do you need home buying or selling advice or assistance? Do you need mortgage loan advice? Look to the SanAntonioHomeQuest.com Realty Solutions Team to answer all your realty questions. Our never ending goal is to serve you exceedingly well.

Our team members are Randy & Stephanie Kelley & Tara Kelley-Guariglia, Realtors® at Keller Williams Legacy, telephone toll free (800) 201-9145, or (210) 867-8743 for Stephanie, (210) 863-2661 for Randy, and (210) 792-8726 for Tara.


Approximate Location Boundaries: San Antonio Metropolitan Area Including Surrounding Counties

Location Characteristics: Nations 7th Largest City

San Antonio Home Buying - New or Resale?

Posted by Randy Kelley on December 31, 2008

San Antonio home buyers always balance the pros and cons of purchasing a new home as opposed to a resale home. Based on my experience as a San Antonio Realtor(R), here are some important things that a buyer should think about.

In the San Antonio area, the appeal of new homes is so great that, over the 8 years I’ve been in the real estate business, 80% of my buyers have bought a new home. It’s easy to see why.

Each year, San Antonio builders seem to have more and more enticing features built into their products. Their new homes & neighborhoods are fresh and unspoiled. The new houses don’t have the expected wear and tear found in resale homes, no matter their age.

The builders’ lending programs are very competitive and the builders offer additional incentives to encourage the buyer to use their affiliate lenders. But, here’s a word or caution. Because home buyer incentive programs are sometimes not what they seem, it’s a good idea to have a Realtor(R), or another knowledgeable person, listen carefully to the builder’s sales pitch & advise you if there are hidden pitfalls.

Often, buyer incentives offered by builders at the end-of-the-year are particularly appealing. For example, I recently had an active duty AF buyer who was given a home buyer incentive package by a nationally recognized production builder that simply couldn’t be turned down. The contract was written in the second week of December, the sale closed on the 27th of December and the family was settled in the house in time to celebrate the new year.

The exceptional speed in closing that sale was motivated by the builder’s strong need to sell an inventory home before the end of the year. Yes, builders are like retail merchandisers. They hate to have inventory on hand at the end of the year.

Here are some other considerations favoring buying a new home.

Texas law requires the builder to warrant a newly constructed home’s structure for 10years. The home’s new appliances are warranted by their manufacturers in accordance with their standard warranty programs. The home’s non-structural components & systems are usually warranted for a minimum of 1 year and sometimes up to 3 years.

Now, let’s consider the other side. Here are some things to think about if you’re considering buying a resale home.

If a resale home is less than 10 years old, what remains of the state mandated builder’s structural warranty will convey with the property. After 10 years, there’s no structural warranty left to convey.

Even when some of the structural warranty remains, I encourage the buyer to negotiate for a seller paid 1 year home protection plan to cover repair or replacement of some of the home’s more costly appliances and systems. Usually the seller will agree to buy the plan in order to sweeten the deal and help seal the sale.

Resale homes usually come with owner installed features that new homes don’t have - things like upgraded blinds, curtain rods, garage shelving, etc. If a buyer is short on the money needed to improve a new construction home, then a resale home might work out better.

In terms of settlement costs, for a new construction home, the buyer’s cost can usually be reduced by using the builder’s cash incentive, if one is offered. For example, by using the builder offered cash incentive, my AF buyer payed no settlement charges and got back $850 at the closing table. What a deal! See why they chose new over resale?

If you need help with a resale home’s settlement costs, your Realtor (R) should help you negotiate for the seller to contribute to your closing costs. Sometimes it works, sometimes not. And, keep in mind that, for some types of mortgage loans, the lender will limit the seller’s contribution to 3% of the sales price and for other types, the lender won’t let the seller contribute at all. Conversely, for VA home loans, the seller is required to pay some of the veteran’s settlement charges.

Because the lending rules are complicated, it’s highly advisable to develop a comfortable relationship with a qualified mortgage loan officer who’ll take the time to carefully explain the best loan alternative for your circumstances.

In summary, when balancing the pros and cons of buying a new vs. resale home, there are many factors to consider and many opinions to be heard and evaluated. You usually won’t have a feel of the way you’ll go until you’ve personally seen quite a few resale and new homes, listened to some sales pitches, and driven around new vs. established neighborhoods, preferably accompanied by a Realtor(R) who can advise you about local home values, neighborhoods, and builders.

If you want to know more about San Antonio realty opportunities, visit SanAntonioHomeQuest.com, a very user friendly site for finding information about real estate listings, things to do in San Antonio, local weather, military bases, etc.

If you have questions or need advice or assistance regarding buying or selling San Antonio real estate, don’t hesitate to call me at (800) 201-9145 or (210) 863-2661 or send me an E-mail at kelleybus@aol.com. I’m honored to help.

Randy Kelley, Realtor(R) at Keller Williams Legacy, San Antonio

December 30, 2008 | Leave a Comment

The following Associated Press article addresses the pros and cons of acquiring a property via a “lease to own” agreement. Because of the many associated risks , both the seller/landlord & the buyer/tenant must be well informed and extremely cautious about lease to own contracts.

The Texas Real Estate Commission (TREC) considers a lease to own agreement to be a ”contract for deed.” A contract for deed is the most complicated and riskiest way to acquire Texas real estate. Consequently, TREC (1) has no standard form for writing a lease to own agreement and (2) requires real estate agents to refer their clients to a licensed attorney for preparation and/or review of lease to own agreements. A licensed real estate agent should be prepared to advise a client about the risks and benefits of a lease to own agreement and can help the client find an attorney that’s well versed in Texas real estate law.

To see listings or learn more about San Antonio, please visit or website at sanantoniohomequest.com or send questions or comments to kelleybus@aol.com.

Here’s the article.

By J.W. ELPHINSTONE - Associated Press

Not quite an owner, but more than a renter: A lease-to-own agreement is a bit like housing purgatory.

But the arrangement is increasingly popular in today’s market because more sellers are having trouble unloading their homes and buyers are having more trouble getting a mortgage.

Through a rent-to-own contract, a renter locks in the right to buy a home at a later date at a set price. The renter puts down a nonrefundable deposit, and sometimes — depending on the contract — part of the monthly rent goes toward the down payment.

There are pros and cons on both sides. These agreements can help a seller get through a slow market with a little cash in the pocket, but a bad tenant can spoil the deal. Renters potentially can build home equity now even though they’re not ready to buy. But it might be better to wait until you’re financially settled before jumping into a large commitment.

The Web site ForSaleByOwner.com is receiving more requests for rent-to-own listings from both buyers and sellers, and it’s working overtime to make searching for that option on their site easier, says Greg Healy, vice president of the company’s operations.

And anecdotal evidence from real estate agents around the country suggests that these types of deals are on the rise, especially in the old boomtown markets where housing prices are still unaffordable despite recent sharp declines.

“We’re seeing more of these than in a normal market,” says Steve Goddard, a broker manager for Re/Max Marquee Partners in Manhattan Beach, Calif.

The arrangement is complicated with many moving parts. Think of it as combining a purchase and rental agreement. Both parties should go into it with help from a real estate attorney or at least a real estate agent well-versed on rent-to-own arrangements.

“You need to have a strong contract to make it work, not just a good handshake,” Goddard says.

To start, the renter and seller agree on a fair price for the home. This can be tricky. A renter could lose out if the home declines in value before he or she can buy it. Or, the seller could get the short end if home prices appreciate more than expected.

Once a price is set, the renter pays a deposit, or option payment, to the seller, guaranteeing his or her right to buy the home in a set time. For example, a seller may ask for $10,000, or 2 percent, on a $500,000 home.

The two parties also must agree on a monthly payment and determine if any of it goes toward the down payment. Often, rent-to-owners are willing to pay up to 10 percent above market rents to secure the home, especially if part of the money goes toward adding to the down payment, Goddard says.

In addition to the purchase price and rent, there are many other important conditions that should be outlined in the agreement. Consider the gamut of scenarios for the sale and the rental arrangement and try to head off conflict before running into one of them.

For example, can the terms be extended if the renter can’t buy at the set time? If so, for how long and should the renter be required to increase his or her deposit? What happens if the renter falls behind on the monthly payments? Who pays for the maintenance and repairs of the house?

The eventual buyer should be ready for a vetting process that mirrors most rental applications. Prudent sellers will run credit checks and ask for income and employment verification to make sure the renter can afford the monthly payments.

The worst-case scenario for a seller is getting a tenant who can’t pay rent, trashes the place and doesn’t buy it.

Similarly, renters should treat the agreement like they’re buying a house. Get an appraisal and a home inspection. Check into the seller’s mortgage status, too. He should be making his monthly bills on time.

“You’re taking the normal steps of purchasing a home. You’re not skipping out on the work,” Healy says.

However, if you’re not financially ready to buy a home, don’t rent-to-own, says Chris Krehmeyer, a housing counselor with Beyond Housing in St. Louis. Skip the shortcuts. Wait a few years. Create a financial game plan. Clean up your credit. Save a little cash each month for a down payment.

He worries that people will jump into agreements without fully understanding the financial considerations, similar to buyers during the housing boom who signed up for exotic loans they didn’t understand and ultimately couldn’t afford.

He also suggests contacting a nonprofit credit or housing counseling service to help with the planning.

“We can set you on the path to the American Dream,” he says.


Posted by Randy Kelley | Filed Under Randolph AFB, Lackland AFB, Brooks AFB (Edit)

A look back at S.A.'s 2008 housing market

The following article from the San Antonio Express News attests to the strength of the San Antonio realty market at the close of 2008.

Visit http://sanantoniohomequest.com to research San Antonio listings.

By Aïssatou Sidimé - Express-News

As the year draws to a close, the San Antonio real estate industry saw home sale trends fall into some pretty familiar categories.
Sales and price appreciation were strong in the Hill Country. First-time and entry-level buyers were most interested in square footage while those spending $200,000 or more wanted plenty of storage, energy efficiency and privacy.
Looking at year-to-date numbers as of November, sellers saw the biggest price gains in Comal and Kendall counties and some areas in San Antonio that traditionally make the hot list, including the area south of Loop 1604 west of U.S. 281 with Deerfield, Hollywood Park and Hill Country Village, according to the San Antonio Board of Realtors.
New to the hot list this year was Southeast San Antonio.
The Smithson Valley and Bulverde areas in Comal County showed the largest increase at 7.2 percent for a median price of $252,800. Kendall County, including Boerne, saw a 0.5 percent median price to $286,000.
Area 6, which includes Deerfield, Hollywood Park and Hill Country Village, saw appreciation of 1.5 percent for a median price of $244,900.
Also tops for price growth was lower southeastern Bexar County around Loop 410 between Interstate 10 and U.S. 281. Area 20 there saw its median price go up 4.6 percent for a median price of $99,100, and area 19 saw its median price go up 3 percent to $79,100.
In other price trends, buyers were most likely to snap up homes priced under $150,000, located conveniently to main thoroughfares and that appeared to offer more space for the money.
Among first-time home buyers, the biggest draw were homes offering more space than comparably priced homes, according to real estate agents.
Scott Caballero, a real estate broker with Caballero and Associates Realty, mostly sold homes in the northwestern area between Marbach Road and Texas 151 to customers that usually were first-time buyers seeking maximum space for young families. Buyers preferred homes with lighter colors and lots of windows.
“They wanted more square footage for the buck. A big open floor plan,” Caballero said. “They like the bright, light and airy interior, which helps the home seem bigger.”
His average sale was $145,000.
For homes in the $200,000 price range, buyers sought energy-efficient features with homes in move-in ready condition, according agent Jackie Galvan of Re/Max Preferred.
“Buyers are being more savvy and looking at items such as programmable thermostats, ceiling fans, low-E windows,” said Galvan, who sold several homes in that price point in Deerfield. “They have to be move-in ready and updated. There were so many homes on the market, (buyers) could be picky. Every room had to be painted in neutral colors; if something was painted in a nursery theme, it could be a turnoff.”
Buyers of higher-end homes tended to balance demands for space with features offering storage and privacy, according to Judy Dalrymple, agent with The Phyllis Browning Co.
She saw the biggest demand for homes on large lots in Bluffview off Bitters Road and U.S. 281, Hill Country Village, Summerglen south of Loop 1604, Shavano Creek, and Elm Creek off Lockhill Selma Road near Wurzbach Road.
Out-of-state buyers sought larger lots in Kendall County.
“We're seeing more and more sales out in Boerne,” Dalrymple said. “It's a little bit less hectic for people who want a quieter place to raise children. When they are coming from D.C. or Maryland, they are used to pretty heavy traffic and think ours is not too bad.”
For local buyers of homes priced between $200,000 and $400,000, Dalrymple's sales were strongest in Deerfield, Oakwood, Rogers Ranch and The Vineyard because of their proximity to key roads.
“They're easily accessible to 1604, (U.S.) 281 and (Interstate) 10,” Dalrymple said. “Inside 1604 is getting pretty popular because of traffic.”
For homes priced above $400,000, buyers were more focused on three-car garages, outdoor kitchens for entertaining and landscaped backyards that evoked secluded oases.
“Privacy is real popular,” she said. “They don't want people looking down at them into their yards.”
Among empty nesters, buyers sought homes that offered easy access to work centers or retirement lifestyles.
Among working empty nesters, the preference was for posh townhomes in downtown locales, Caballero said.
“They want to be closer to work,” he said. “They will downsize furniture but want upscale features, granite and stainless steel. Even though the home is smaller, it is nicer.”
Retirees tended to seek single-story homes in communities catering to active lifestyles, according to Annette Slater, broker for Exit Slater Realtors. She helped several empty nesters buy garden homes in Northern Hills off Thousand Oaks Drive near Nacogdoches. She said the buyers were attracted to the community's golf course and country club.
But even among senior buyers, square footage was a determining factor in a home sale, Slater said.
“Everybody is after price per square foot,” Slater said. “If you can qualify for a $150,000 house and get 3,000 square feet, that's grand. They are going to go for that.”

Key Interest Rate As Low As It Can Go

The following article is describes another of the recent economic indicators that should be very positive for the already highly favorable San Antonio mortgage lending market. It should be encouraging for both home buyers and sellers.

Daily Real Estate News December 17, 2008

Key Interest Rate as Low as it Can Go

The Federal Reserve has lowered its benchmark federal funds rate to a range or zero to 0.25 percent and said it would likely keep rates low for an extended period."The Federal Reserve will employ all available tools to promote the resumption of sustainable economic growth and to preserve price stability," the Fed said.

The Fed also said it was prepared to purchase more debt issued or guaranteed by Fannie Mae, Freddie Mac and other government-sponsored mortgage agencies. And it said it is considering purchases of longer-term U.S. Treasury debt."The focus of the committee's policy going forward will be to support the functioning of financial markets and stimulate the economy through open market operations and other measures that sustain the size of the Federal Reserve's balance sheet at a high level," it said.

Michael Woolfolk, senior currency strategist, at the Bank of New York-Mellon, applauded the Fed’s approach. "We think it's the best possible move for the U.S. consumer and for the financial market," Woolfolk said.

Source: Reuters News, Mark Felsenthal (10/16/08)

San Antonio Realty Market Strongly Favors Buyers

Posted by Randy Kelley on December 20, 2008

San Antonio’s realty market has started to share some of the nation’s economic downturn discomfort. The following San Antonio Express News article tells the tale.

Before reading the article, keep this in mind. In balance, there’s good news in the bad. First, when compared to the impact on the nation’s other large city realty markets, the recession’s impact on San Antonio is disproportionately low. Second, well prepared San Antonio area homes are selling well. Third, for financially capable buyers, the market affords the best opportunity in years to acquire exceptionally good property for a reasonable price at exceptionally good interest rates. Here’s the article:

San Antonio Express News, 12/18/08

"The U.S. still may consider the San Antonio housing market “the benchmark” of the national housing industry, but it’s a pretty low bar these days.

Median home prices dropped 4 percent to $142,000 from $147,400 in November 2007, according to data released this week from the San Antonio Board of Realtors. It was the biggest drop in median homes prices in nearly eight years and removed a key buffer against foreclosures. Sales of existing single-family homes plummeted 32 percent to 1,034 in November compared to 1,526 in November 2007 — the worst decline since January.

And filings for the Jan. 6 Bexar County foreclosure auction jumped 45.6 percent to 1,085 from January 2008, the fourth time in 12 months the increase in postings has exceeded 40 percent, and the single highest number of auction filings for one month since at least 2000, according to RexReport.com. Had it not been for Fannie Mae and Freddie Mac suspending their single-family foreclosures and evictions as of November, the foreclosures could have been higher.
The sharp drop in November’s housing numbers stands in sharp contrast to the national perspective on San Antonio.

Late last month, the Mortgage Bankers Association hailed San Antonio as “the benchmark for the rest of the country in lending and building.” In May, Forbes magazine named the Alamo City one of the top places to ride out a recession, and in October it picked San Antonio as a top place to invest in real estate.

But the slowdown has been in the works for a while. All year, the monthly number of existing-home sales has been down compared to 2007, and for the last few months, the median price has been statistically flat.

Then came November.

Local industry experts said that, basically, the slowdown means the San Antonio market no longer is able to insulate itself from the national crisis. Home sales normally decline in November, but this year’s decline was much larger than expected. “In a November to November comparison, to be down 32 percent is pretty significant,” said Bob Leonard, outgoing chairman of the San Antonio Board of Realtors and agent at Re/Max Associates 2000.

For Pamela Callies, owner and broker of New Home Realty, the November numbers only confirm the massive slowdown she and her team have felt. Callies said her real estate agents have closed just two deals since September. “With every deal, right before the closing, the banks are finding reasons not to approve these people,” she said. “On others, they are re-running the credit and underwriters are saying no.” One of Callies’ clients was denied because the underwriter refused to accept a divorce decree showing the buyer no longer was liable for a debt her ex-husband had left unpaid. In past years, the decree would have been sufficient.

The number of home shoppers is down to a trickle as well, she said. “My listings are not getting any showings at all. (Normally, business) slows down, but it doesn’t stop,” Callies said. “It has really stopped for me.”

Some mortgage brokers have had to rely on refinance activity to make up for the drop in home sales. “November and December are not especially slow for me,” said mortgage consultant Helen Bernatek of Town and Country Mortgages Services. “But November was certainly lighter on the purchase side than December. It’s a good thing people are usually thinking about refinancing before they go into the new year.”

Bernatek attributed the November softness to the uncertainty of the presidential campaign season. “I think people were sort of taking a pause with the political environment.”

The San Antonio slowdown reflects state and national trends. Last month, the 13-county Dallas region saw a 33 percent drop in existing homes sales and 7 percent drop in its median price.
Similarly, Houston had a 32 percent drop in sales and 8 percent drop in median price, according to Jim Gaines, research economist at Texas A&M University’s Real Estate Center.

New forecasts signal the declines will continue into 2009. The most recent National Association of Realtors’ Pending Home Sales Index, which is based on contracts signed in October, dipped 1 percent from last October. A sale usually takes 45 to 60 days to complete.

Local housing experts attributed the San Antonio slowdown to decreased loan access among large national mortgage companies and consumer uncertainty about which way the economy is going. “A lot of money used in the bailout has not trickled down enough to the consumer,” said Travis Kessler, SABOR’s chief executive officer. “Part of what we are looking at is there is a lot of pent-up demand. They are watching the national news and wondering if interest rates will come down after the new administration comes in. This wait-and-see position is having an impact.”

Home sales also have lagged because transplants are finding it difficult to sell their existing homes in other states. Lenders increasingly are requiring that home buyers have sold their existing homes before approving a new mortgage. As a result, San Antonio home sales have contracted much more than they would have in a normal recessionary period, Gaines said.

“In the state, we didn’t have a price bubble, but we had a transaction bubble. For about three years, it’s really jumped up, and then for the last year it’s come down to correct. But it’s over-correcting down below the long-term trend based on the 12-month moving average."

Article by Aissatou Sidime’, San Antonio Express News, 12/18/2008

Republished by:

Randall R. (Randy) Kelley
MS, BS, PA
San Antonio Realtor®
Internet Realty Services Advisor and Buyer Agency Specialist
sanantoniohomequest.com
Keller Williams Legacy
(210) 863-2661 or 867-8743 or (800) 201-9145

San Antonio Realty Market Report for Dec 2008

As of Saturday, 6 December 2008, here's what sellers and buyers need to know about the San Antonio area’s residential realty market.

The "for sale" home INVENTORY is HIGH, but slowly and steadily decreasing.

CLOSED SALE PRICES are FALLING SLOWLY & STEADILY.

It's a STRONG BUYER'S MARKET. Reasonably priced and well prepared resale homes are selling well. Home builders are offering enhanced buyer incentives in hopes of clearing out their new home inventories before the New Year. Although it’s a great time to buy a new construction home, it’s always prudent to diligently check out the incentives offered by the builders and particularly the loans offered by the builders’ affiliated lenders. Before signing a sales agreement, a buyer should seek the help of a Realtor ® to verify (1) that the property is reasonably priced and (2) that the lender is offering the most favorable loan, with the best interest rate, for the lowest settlement cost.

ECONOMIC DOWNTURN IMPACT remains MINIMAL. The Mortgage Bankers Association recently identified San Antonio as a top market for home buyers, citing the area's high employment rate, population growth, and better-than-average price appreciation as key factors. (Aïssatou Sidimé, San Antonio Express News, 11/24/08)

AFFORDABLE MORTGAGE AVAILABILITY is VERY HIGH and lenders are aggressively seeking qualified buyers. FHA insured mortgages are particularly popular.

Do you have realty questions? Do you need home buying or selling advice or assistance? Do you need mortgage loan advice? Look to the SanAntonioHomeQuest.com Realty Solutions Team to answer all your realty questions. Our never ending goal is to serve you exceedingly well.

Our team members are Randy & Stephanie Kelley & Tara Kelley-Guariglia, Realtors® at Keller Williams Legacy, telephone toll free (800) 201-9145, or (210) 867-8743 for Stephanie, (210) 863-2661 for Randy, and (210) 792-8726 for Tara.