For those of you who missed the Austin Business Journal's article September 15th, recovery is just around the corner for the Capitol City. The article cited a report from IHS Global Insight which stated that "the first two U.S. cities to recover from the recession will be Austin and San Antonio (2010)." Dallas-Fort Worth and Houston are in the group expected to bounce back in 2011.
It's another report stating that Austin is surviving this recession better than most of the country. But what does this mean for our real estate market? Ask your neighbor who has had their home on the market for the better part of the last year, and I doubt they will tell you things are looking up. Their home has probably been on the market for months, and they have been adjusting their price as the market has dictated. Adding insult to injury, many sellers have received offers so far below market value that they have refused to respond.
But the truth is that while the Austin market has declined in the past year, the Austin Board of Realtors just reported that although home sales in August were down 10% from August 2008 there was only a 4% decrease in price. Sellers are willing to have their homes on the market longer and wait out the decline rather than accept an unreasonable offer. For instance a house that would have sold for $1,300,000 last August would sell for $1,248,000 today. And while luxury properties are taking longer to sell and inventory is still high, the percent of price decline is still between 4 and 5 percent.
So the question surfaces, why leave a house on the market allowing it to accumulate a high number of "days on the market"? Simple answer, buyers are still buying (90% is a healthy number) and if the house is off the market a showing and possible sale may be missed. Of course there are hip pocket listings and silent listings, especially in the luxury market (I admit I have one), but it is impossible to market to all agents at all times any more efficiently than through the MLS system. And most sellers are savvy enough to understand the power of this network.
Now there are still a few uninformed buyers/agents focused on "days on the market" who are under the assumption that most sellers are in dire straights and are willing to discount their homes, but many buyers/agents are noticing that Austin's housing market may be at its' lowest point and now is the time to buy. Low interest rates are also enticing buyers to get under contract.
So hang in there sellers, as frustrating it may seem right now, your buyer is nearby. While I don't think we will see a boom in real estate sales in 2010, I do think that we will continue to see a steady strengthening of the market.
Tuesday, September 29, 2009
Monday, September 21, 2009
Sustainable Development
Is it possible to build high density, sustainable, mixed use developments close to Lady Bird Lake while still preserving the integrity of the landscape? That is the question facing the Austin City Council this week. The current proposed development includes a building with a maximum height of 90 feet (7 stories) exceeding the current city maximum of 60 feet.
There seems to be gray area in the interpretation of the height restrictions along the lake. The attorney for the project, Steve Drenner, was quoted in the Austin American Statesman in August saying that "the project meets or exceeds the city's requirements for planned unit development zoning, which allows more density in large, mixed use projects if developers provide certain benefits".
Some of those proposed benefits are additional roads, bike paths, and street level retail space. The developers would also donate $225,000 to the city's parks system and for a police substation nearby. The proposed project is 390 feet from the shore at its closet point, on the south side of Lakeshore Blvd., with Lakeshore Park between the development and Lady Bird Lake.
Save Town Lake and the East Riverside/Oltorf Neighborhood Planning Area groups are concerned about preserving the waterfront and staying within the City Guidelines. They are also concerned with losing affordable housing in the neighborhood, an apartment building (lower income) will be demolished if the proposal is approved, with no plans for relocation of the residents.
As I see it, this could be a win-win situation for both sides. Currently, the 30 acre site is in shambles, and does not encourage visitors along the banks of Lady Bird Lake. The apartments are in disarray with no plans for improvement and the crime rate is high. The site is not directly adjacent to the lake, but provides for beautification of existing and future park space. The proposed development encourages urban renewal, uses less land space and provides for a more sustainable living environment than currently exists. A flourishing neighborhood with public shops, restaurants and parks fits into the Austin's vision of re-gentrification of the city.
While the height restrictions may be in question, there are a handful of other developments which exceed the proposed 90' maximum. Most recently the Milago (142') and Legacy at the Lake (339'), neither of which have park land included. The San Jacinto Bldg (324'), Four Seasons (140'), Hyatt Regency (185') and Radisson (129') all exceed the current maximum height restrictions and have improved the waterfront sites to which they are adjacent.
A well planned, flourishing, sustainable development has got to be better than the high crime, run down neighborhood that currently exists on this site. Hopefully the neighborhood associations, Save Town Lake group and the developers will find a way to work together and make this work for the entire community.
If the City Council does approve this or any other development, it will be their responsibility to monitor its' progress. They must be sure that promises to improve the sites with park land, shops and pedestrian friendly trails are completed.
Active input from the community has helped Austin grow while preserving its' green spaces. Please take the time to get informed. For more information about the proposed vote on Thursday: http://www.ci.austin.tx.us/council/
Click on the Contact button on the bottom left side of the page to email the council members with your opinions.
FYI~Grist named Austin the 6th most sustainable city in the US in July. http://www.grist.org/article/2009-07-16-sustainable-green-us-cities/PALL/
FYI~Grist named Austin the 6th most sustainable city in the US in July. http://www.grist.org/article/2009-07-16-sustainable-green-us-cities/PALL/
Monday, September 14, 2009
Are you Really Listening?
Over the past weekend I had the privilege of spending time with some remarkable men and women. While each one of them has an amazing business resume, their community service resumes were in most cases even more impressive. This was the first of many meetings of this unique group of individuals, all dedicated to addressing the needs of community issues and challenges for the good of the whole.
When I first walked into the room, I was caught off guard when I realized I only knew two people in the room. Being involved in many different civic organizations for 20 or so years had lulled me into thinking I would at least recognize half the people there. It was a gift meeting my class!
The weekend centered around self awareness and forming relationships with each other. We got to know one another without the usual self promotion of a business relationship, and without the power struggle of a first meeting on a new project. We formed relationships with people we might never have met without this opportunity. New partners for projects, ideas and friendships. The diversity of talent and interest among this group is staggering.
As the weekend progressed it was fun to see how differently each of us sought solutions to games, situations, etc. And how we interpreted the means to an end so differently. We were all given the same instructions, at the same time but we heard/interpreted the directions in such different ways. Even asking for clarification didn't change the way we heard. As one of my classmates concluded we are "hardwired" to hear/do things our way and it is difficult to see another point of view.
We were reminded (one of many aha moments) of the importance of a collaborative process between civic minded groups, working together for the good of the community rather than as individual islands within the community. When differing opinions/approaches to a situation come together through a dialogue instead of a discussion, mutual understanding of the issues, and therefore a consensus of approach are much more likely to occur.
Now that our first meeting is over, and I have had time to decompress, I am trying to listen more to how and why something is said, not just what is said. Old habits are hard to break, I imagine this will be a work in progress for quite some time.
When I first walked into the room, I was caught off guard when I realized I only knew two people in the room. Being involved in many different civic organizations for 20 or so years had lulled me into thinking I would at least recognize half the people there. It was a gift meeting my class!
The weekend centered around self awareness and forming relationships with each other. We got to know one another without the usual self promotion of a business relationship, and without the power struggle of a first meeting on a new project. We formed relationships with people we might never have met without this opportunity. New partners for projects, ideas and friendships. The diversity of talent and interest among this group is staggering.
As the weekend progressed it was fun to see how differently each of us sought solutions to games, situations, etc. And how we interpreted the means to an end so differently. We were all given the same instructions, at the same time but we heard/interpreted the directions in such different ways. Even asking for clarification didn't change the way we heard. As one of my classmates concluded we are "hardwired" to hear/do things our way and it is difficult to see another point of view.
We were reminded (one of many aha moments) of the importance of a collaborative process between civic minded groups, working together for the good of the community rather than as individual islands within the community. When differing opinions/approaches to a situation come together through a dialogue instead of a discussion, mutual understanding of the issues, and therefore a consensus of approach are much more likely to occur.
Now that our first meeting is over, and I have had time to decompress, I am trying to listen more to how and why something is said, not just what is said. Old habits are hard to break, I imagine this will be a work in progress for quite some time.
Monday, August 31, 2009
Luxury Living At Its' Finest
Do you ever wonder what luxury living is outside of Austin Texas? It's easy to become so familiar with the materials, styles and trends in our own backyard we sometimes forget that there are other amazing properties around the world.
Since my company, AvenueOne Properties has the privilege of being the Exclusive Affiliate of Christie's Great Estates in central Texas I thought I would share a glimpse of these other luxury markets with you today. Including the opportunity to own a residence on the world's largest private yacht, The World.
Besides having access to the leading luxury real estate firms worldwide, I also am able to provide Art Referrals for consignment of fine art, furniture and other collectibles to Christie's Auction House. Please contact me for more information if you are interested in this service.
Christie's Great Estates digital magazine: http://tinyurl.com/mmze8w
The World: http://www.aboardtheworld.com/
Since my company, AvenueOne Properties has the privilege of being the Exclusive Affiliate of Christie's Great Estates in central Texas I thought I would share a glimpse of these other luxury markets with you today. Including the opportunity to own a residence on the world's largest private yacht, The World.
Besides having access to the leading luxury real estate firms worldwide, I also am able to provide Art Referrals for consignment of fine art, furniture and other collectibles to Christie's Auction House. Please contact me for more information if you are interested in this service.
Christie's Great Estates digital magazine: http://tinyurl.com/mmze8w
The World: http://www.aboardtheworld.com/
Monday, August 24, 2009
What does Austin's ECAD mean to you?
Approved by the Austin City Council, the Energy Conservation Audit and Disclosure (ECAD) ordinance became effective on June 1st. Currently the ordinance applies only to properties within the city limits of Austin who receive electricity from Austin Energy, but it is sure to expand throughout the county in the coming years.
What does this mean for a homeowner considering putting their home on the market? A homeowner must get the audit before the sale of their home. There are no requirements to fix/upgrade any of the deficiencies, it is for information only. But beware, while the auditors need to meet the City's certification requirements, and perform a specific audit, there is not yet a standard for pricing. Be sure to get two or three quotes before you hire an auditor.
Many of the auditors may also be service providers for the needed energy-efficiency improvements. Before they do the audit, let them know you will not be hiring them to do any needed improvements, it is best to hire a provider that is neutral to the transaction.
So, does your house need an energy audit? There are many exceptions. If your home is less than 10 years old or has received energy-efficiency improvements or a total of $500 in rebates through the Austin Energy Home Performance with Energy Star (R) Program within 10 years of the sale your home is exempt.
Other exemptions include condominiums, mobile/manufactured homes, foreclosures, pre-foreclosures, trustee or deed sales, gifts within families, court order, probate, decree of legal separation or divorce. A homeowner can go to the website (below) and do an ECAD Audit Self-Check to see if your home qualifies for an exemption.
What does the ECAD tell an owner about their home? Among other things, the audit measures air leakage from ducts, R-value and efficiency of attic insulation and heating and cooling efficiency. The audit also identifies windows which are receiving at least one hour of sun per day.
While the ordinance doesn't apply to many homeowners in the Austin metro area, the idea of making repairs/upgrades to our homes while we still live in them is a good thing to consider. When the need for a new HVAC system, or refrigerator arises, be sure they are Energy Star (R) rated. Replace the old water heater with a tankless one, or re-insulate your attic, done over a period of time, when needed, these improvements will make the eventual sale of your home smoother.
My suggestion to anyone (inside or out of the Austin city limits), thinking of selling their home is to go ahead an get an energy audit. You may be able to upgrade some of the smaller deficiencies in your home and you will have the information ready to give to potential buyers from the beginning. Many buyers outside the city limits are asking for an audit to be performed as part of the contract, and will be pleased to know that you have been proactive.
Please feel free to contact me for names of approved energy auditors, with questions about the ECAD, or for help buying or selling your home.
For more information about Austin's ECAD ordinance http://www.austinenergy.com/About%20Us/Environmental%20Initiatives/ordinance/index.htm
UPDATE: Tim Arndt @ Austin Energy read my blog and sent a shorter link:
http://www.austinenergy.com/go/ecad
And the Home Performance with Energy Star (R) site is:
http://www.austinenergy.com/go/rebates
What does this mean for a homeowner considering putting their home on the market? A homeowner must get the audit before the sale of their home. There are no requirements to fix/upgrade any of the deficiencies, it is for information only. But beware, while the auditors need to meet the City's certification requirements, and perform a specific audit, there is not yet a standard for pricing. Be sure to get two or three quotes before you hire an auditor.
Many of the auditors may also be service providers for the needed energy-efficiency improvements. Before they do the audit, let them know you will not be hiring them to do any needed improvements, it is best to hire a provider that is neutral to the transaction.
So, does your house need an energy audit? There are many exceptions. If your home is less than 10 years old or has received energy-efficiency improvements or a total of $500 in rebates through the Austin Energy Home Performance with Energy Star (R) Program within 10 years of the sale your home is exempt.
Other exemptions include condominiums, mobile/manufactured homes, foreclosures, pre-foreclosures, trustee or deed sales, gifts within families, court order, probate, decree of legal separation or divorce. A homeowner can go to the website (below) and do an ECAD Audit Self-Check to see if your home qualifies for an exemption.
What does the ECAD tell an owner about their home? Among other things, the audit measures air leakage from ducts, R-value and efficiency of attic insulation and heating and cooling efficiency. The audit also identifies windows which are receiving at least one hour of sun per day.
While the ordinance doesn't apply to many homeowners in the Austin metro area, the idea of making repairs/upgrades to our homes while we still live in them is a good thing to consider. When the need for a new HVAC system, or refrigerator arises, be sure they are Energy Star (R) rated. Replace the old water heater with a tankless one, or re-insulate your attic, done over a period of time, when needed, these improvements will make the eventual sale of your home smoother.
My suggestion to anyone (inside or out of the Austin city limits), thinking of selling their home is to go ahead an get an energy audit. You may be able to upgrade some of the smaller deficiencies in your home and you will have the information ready to give to potential buyers from the beginning. Many buyers outside the city limits are asking for an audit to be performed as part of the contract, and will be pleased to know that you have been proactive.
Please feel free to contact me for names of approved energy auditors, with questions about the ECAD, or for help buying or selling your home.
For more information about Austin's ECAD ordinance http://www.austinenergy.com/About%20Us/Environmental%20Initiatives/ordinance/index.htm
UPDATE: Tim Arndt @ Austin Energy read my blog and sent a shorter link:
http://www.austinenergy.com/go/ecad
And the Home Performance with Energy Star (R) site is:
http://www.austinenergy.com/go/rebates
Saturday, August 15, 2009
What's New is Old
As a child of the 60's & 70's growing up in California I am a product of the original "Green" movement: "Save Our Coastline", "Save the Whales" "Ecology Day" , etc. Social movements and peace movements were the way in which young idealists got out the word, protesting everything from war and nuclear weapons to deforestation and the need for cleaner national and local parks. It was the birth of Earth Day and many conservation groups, most notably Greenpeace.
We thought we were conservationists, but I think most of us were more into the idea of the cause rather than the practice of conservation. We spent designated days cleaning up the beach, the road, the water but never really stopped using the products causing the problems. It was about being heard, protesting, bringing attention to the problem, not finding a long lasting or "Sustainable" solution.
What's new is old. We are "Green" again, but now it's more mainstream to have solar energy or to use biodegradable products. Instead of strictly conserving or not using resources, we are balancing the use of these products with our lifestyles. We are becoming Sustainable.
Sustainability is defined as "the ability to satisfy the basic needs of today without compromising the ability of future generations to satisfy their needs.(1)" This is often defined as people, planet, and prosperity. It's no longer an all or nothing solution, it's about using and reusing what best suits our individual lifestyles.
We want "green" homes, but what does that mean? Is it enough to have energy efficient appliances and windows? For some it is, but others may need rainwater collection systems and xeriscaped lots. Or do you want all the building material in your home locally harvested? Maybe you just want low VOC paint and no carpet, there is no wrong answer.
We can be as much or as little "green" as we want and it's okay. The options and sources are out there, it's just a matter of education and practice. So if you are ready to start "greening" your life take baby steps. Start with grocery sacks or recycled paper, change out your light bulbs or toilets. For a list of Green resources go to my website under Reports and click on Central Texas Green Resource Guide. (http://www.susanavant.com/)
(1) United Nations "Our Common Future, Report of the World Commission on Environment and Development," 1987. Published as Annex to General Assembly document A/42/427.
We thought we were conservationists, but I think most of us were more into the idea of the cause rather than the practice of conservation. We spent designated days cleaning up the beach, the road, the water but never really stopped using the products causing the problems. It was about being heard, protesting, bringing attention to the problem, not finding a long lasting or "Sustainable" solution.
What's new is old. We are "Green" again, but now it's more mainstream to have solar energy or to use biodegradable products. Instead of strictly conserving or not using resources, we are balancing the use of these products with our lifestyles. We are becoming Sustainable.
Sustainability is defined as "the ability to satisfy the basic needs of today without compromising the ability of future generations to satisfy their needs.(1)" This is often defined as people, planet, and prosperity. It's no longer an all or nothing solution, it's about using and reusing what best suits our individual lifestyles.
We want "green" homes, but what does that mean? Is it enough to have energy efficient appliances and windows? For some it is, but others may need rainwater collection systems and xeriscaped lots. Or do you want all the building material in your home locally harvested? Maybe you just want low VOC paint and no carpet, there is no wrong answer.
We can be as much or as little "green" as we want and it's okay. The options and sources are out there, it's just a matter of education and practice. So if you are ready to start "greening" your life take baby steps. Start with grocery sacks or recycled paper, change out your light bulbs or toilets. For a list of Green resources go to my website under Reports and click on Central Texas Green Resource Guide. (http://www.susanavant.com/)
(1) United Nations "Our Common Future, Report of the World Commission on Environment and Development," 1987. Published as Annex to General Assembly document A/42/427.
Monday, August 10, 2009
Why is it so hard to answer the phone?
I had an interesting weekend, from an unexpected encounter which got me wondering why it's so hard to answer the phone.
The weekend started as usual with some showing appointments on my listings. Then I took a buyer out to see new a couple of listings that fit their criteria. Nothing exciting enough to spark any interest, but at least they know what they don't want.
Sunday was l free, no open houses scheduled, and I started thinking that maybe I could get to a movie (Julie & Julia perhaps?) when my phone rang. It was a desperate call from a tenant moving into a condo where I have the listings for sale with my partner. Our phone numbers are on the banner hanging on the front of the building so we got the call.
This tenant was moving into her new unit and the leasing agent was now 45 minutes overdue and not answering his phone calls. Calls to the brokerage resulted in being forwarded to voice mail with no guarantees of a return call before Monday. It was 105 degrees outside, before noon, and the movers were getting impatient, I was their last hope for entry. But I knew nothing about their lease, I only sell those condos so I couldn't give them access.
Luckily I have the leasing brokers number and was able to find him and the new tenants gained access to their new home. But not long after, I received another call, the air conditioning not only was blowing warm air (remember it's 105 outside) but leaking all over the carpet. Calls to the management company resulted in , "it's not my job today" answers so I got the call. I contacted the developer and he was able to take care of the AC problem.
I put the incident behind me and didn't think of it again, there's always a snag and it's usually easily fixed. Plus, they aren't my clients!
Until this morning when I received an email from the tenant thanking me for taking the time to help her out and for being "professional" when no one else she has worked with during this transaction has made any effort to help her. She went on to give me a synopsis of her leasing experience beginning in March and it was unbelievable that she a)continued to work with this agent b)ever found anything to lease c)still had her sanity.
It made me wonder why agents don't answer their phones anymore and don't bother to research their buyers/sellers criteria or motivation for pursuing a transaction. It's so simple yet fewer and fewer "professionals" are conducting them selves in a professional manner.
Years ago (10-11?) I picked up a client because I returned a phone call and another agent did not. I have since conducted numerous transactions with this client, become friends with his family, celebrated the births of his children and received referrals from him just because I picked up the phone and provided "professional" service when he asked for it.
Isn't that what real estate are supposed to do? My service is my knowledge of the market, ability to get from contract to close and find my clients the best home (or buyer for their home) possible. I get paid for my advise and my service, I don't have a tangible commodity (car, surgical services, tax return) to give my clients. It's not a part time, when I'm not busy with something else, job. It's a job driven by constant communication with the client, other agents, and market knowledge. So why is it so hard to answer the phone?
I don't know, I don't have an answer, it's such an easy thing to do. I just know my clients are able to pass along my name to their friends and associates knowing that the agent they are referring will answer her phone and will be able to provide them with professional service from beginning to end.
The weekend started as usual with some showing appointments on my listings. Then I took a buyer out to see new a couple of listings that fit their criteria. Nothing exciting enough to spark any interest, but at least they know what they don't want.
Sunday was l free, no open houses scheduled, and I started thinking that maybe I could get to a movie (Julie & Julia perhaps?) when my phone rang. It was a desperate call from a tenant moving into a condo where I have the listings for sale with my partner. Our phone numbers are on the banner hanging on the front of the building so we got the call.
This tenant was moving into her new unit and the leasing agent was now 45 minutes overdue and not answering his phone calls. Calls to the brokerage resulted in being forwarded to voice mail with no guarantees of a return call before Monday. It was 105 degrees outside, before noon, and the movers were getting impatient, I was their last hope for entry. But I knew nothing about their lease, I only sell those condos so I couldn't give them access.
Luckily I have the leasing brokers number and was able to find him and the new tenants gained access to their new home. But not long after, I received another call, the air conditioning not only was blowing warm air (remember it's 105 outside) but leaking all over the carpet. Calls to the management company resulted in , "it's not my job today" answers so I got the call. I contacted the developer and he was able to take care of the AC problem.
I put the incident behind me and didn't think of it again, there's always a snag and it's usually easily fixed. Plus, they aren't my clients!
Until this morning when I received an email from the tenant thanking me for taking the time to help her out and for being "professional" when no one else she has worked with during this transaction has made any effort to help her. She went on to give me a synopsis of her leasing experience beginning in March and it was unbelievable that she a)continued to work with this agent b)ever found anything to lease c)still had her sanity.
It made me wonder why agents don't answer their phones anymore and don't bother to research their buyers/sellers criteria or motivation for pursuing a transaction. It's so simple yet fewer and fewer "professionals" are conducting them selves in a professional manner.
Years ago (10-11?) I picked up a client because I returned a phone call and another agent did not. I have since conducted numerous transactions with this client, become friends with his family, celebrated the births of his children and received referrals from him just because I picked up the phone and provided "professional" service when he asked for it.
Isn't that what real estate are supposed to do? My service is my knowledge of the market, ability to get from contract to close and find my clients the best home (or buyer for their home) possible. I get paid for my advise and my service, I don't have a tangible commodity (car, surgical services, tax return) to give my clients. It's not a part time, when I'm not busy with something else, job. It's a job driven by constant communication with the client, other agents, and market knowledge. So why is it so hard to answer the phone?
I don't know, I don't have an answer, it's such an easy thing to do. I just know my clients are able to pass along my name to their friends and associates knowing that the agent they are referring will answer her phone and will be able to provide them with professional service from beginning to end.
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