Dallas Ranks in Top 5 Cities Where Americans are Relocating

According to Forbes Magazine, Dallas ranks as the number 5 city that Americans are relocating to stating that "These places still offer a semblance of stability, as well as great weather, cultural life and, in many cases, affordability."

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To find homes in the Dallas area visit our site!

Texas Senate Passes Bill to Help Landowners

Published : Monday, 04 May 2009, 7:47 PM CDT

• Associated Press

AUSTIN, Texas - The Texas Senate voted Monday to expand the rights of property owners who face having their land taken by the government.

The bill by Sen. Craig Estes, a Wichita Falls Republican, would limit eminent domain land takings to projects for public use only and would require governments to make a "bona fide" offer for the property before condemnation.

A property owner would be entitled to be paid for any loss of market value if the taking impairs their access to the land they still have. Any land taking would also have to be done by a record vote in a public meeting.

"Private property and the right to profit from it is fundamental to not only our economic liberty, but also our personal liberty," Estes said.

Gov. Rick Perry vetoed in 2007 an eminent domain bill that addressed diminished access. Perry, a Republican, is now pushing a constitutional amendment to safeguard landowners' rights.
Perry said the bill has "essential" safeguards to "shield landowners from abuses of eminent domain for generations to come."

The Senate bill requires property owners be given an initial offer for the land in writing, and prohibits governments from requiring confidentiality agreements. And if a court rules the government did not make a bona fide offer, it could order the government to make another offer and to pay the landowners' legal fees.

Governments would also have to tell the landowner that he or she and their heirs may someday be able to repurchase the land for the price paid to acquire it. That option would kick in if the public project for the land is canceled or no progress has been made in 10 years after the condemnation.

The bill passed the Senate 31-0 and now goes to the House.

Land condemnation has been a key issue for farmers and ranchers and the Texas and Southwestern Cattle Raisers Association said it supports the Senate bill.

While population growth may require some land and water takings in the future, it "shouldn't be at the expense of property owners," said Dave Scott, president of the cattle raisers group.

The bill passed Monday "levels the playing field for property owners," Scott said.
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The eminent domain bill is SB18.

Introducing the BW Home Team Real Estate Brokerage!

You may have noticed a long hiatus from my blogging lately. This is due to the extreme amount of workload I have taken on since December. However, I am now proud to announce that the BW Home Team has evolved into its own brokerage! We are currently 5 agents strong and serving the DFW area and plan to grow and expand in pace with the business we can generate. Each of our agents has had years of experience and were personally selected by me for their experience, communication skills, negotiation skills, and their dedication to clients. If you haven't tried the BW Home Team before, give us a shot! We want to make your real estate experience as stress free and enjoyable as possible!

New information on the $8K Tax Credit for First Time Homebuyers

More information has come out on the up to $8K tax credit for first time homebuyers, which would be 10% of the sale price on a home purchased, up to $8K. This is an actual credit, not an interest free loan like the original $7500 tax credit and you can claim it on either your 2008 or 2009 taxes. For more details read this article from cnnmoney.com.

$15K Tax Credit for Buying a Home is CUT!!!

Yes, folks. Apparently the government really wasn't too concerned about getting the housing market moving again. According to David Espo, AP Correspondent, negotiators last night effectively wiped out the Senate-passed provision for a $15,000 tax credit to anyone purchasing a home this year. There aren't too many details released yet, but it looks like Congress is falling back to the first time homebuyers' credit and raising it $500 from the original $7500 to $8000, but possibly making this into a real "credit" instead of a 0-percent interest loan. This is good news for first time homebuyers but everyone else is out of luck.

More on the new $15K tax credit for purchasing a home!

If the $15K tax credit passes, this will actually help boost the housing market! First, this truly is a tax credit, not a loan like the $7500 tax "credit" for first time homebuyers. Second, there is no income limit to get this tax credit either. The actual credit is up to 10% of the purchase price of your next home with a maximum credit of $15K. If you buy a house for less than $150,000 your credit would be less, but every little bit helps. Also, this home does need to be your primary residence. Of all the things to come out of Washington, this one might actually have some sense behind it!

For more information, read this article from US News & World Report.

$15K for Buying a Home This Year!

Get ready for a Jolt in the Real Estate Market!
The national recovery is about to begin!

$15,000 Tax Credit
To All Homebuyers for Primary Residence

The Senate Republicans yesterday pushed through by unanimous voice vote a new provision in the Stimulus Package to give homebuyers a tax credit of ten percent of the value of new or existing residences, up to $15,000. This new provision would have no repayment of the tax credit and the law would be in existence for one year from the start of the Stimulus Package. It is expected that the final vote of this bill could be February 13th. President Obama has indicated that he will support the measure.

Keep your fingers crossed that this passes, people!

DFW Market Statistics for December 2008 Year to Date

I have complied this spreadsheet to give you the latest statistics from the North Texas Real Estate Information System. These statistics cover the areas stated for December 2008 YTD. Some areas, such as E Dallas, are holding strong with 18% more sales than the previous year. Most average sales prices are holding steady with only 5 of the 16 cities listed showing a decline from the previous year. The rest have held strong or gone up as much as 7%, such as in Coppell. It is taking longer to sell a house in N. Texas, but not that much longer. For example, a home that took 81 days (the average Days on Market)to sell in Keller would have taken 21 days less the previous year, which works out to 3 weeks. This is much better than what some analyists portray to be months longer.

Homes are starting to hit the market again. Don't let the gloom and doom on the national news affect your decision to buy or sell in 2009! With the right team working for you, it can be done!

DFW Reports 2nd Largest Employment Gain

Tuesday, January 6, 2009, 2:54pm CST Modified: Tuesday, January 6, 2009, 4:05pm

DFW reports 2nd largest employment gain
Dallas Business Journal

The Dallas-Fort Worth-Arlington metro area reported the second largest year-over-year employment gain nationally in November 2008 by adding 46,900 jobs. The Dallas-Fort Worth-Arlington area trailed only the Houston-Sugar Land-Baytown area, which reported a non-farm employment gain of 54,300 jobs.

A report from the U.S. Department of Labor also said 121 metropolitan areas had jobless rates reaching 7% or above, up from only 18 areas the year before. In addition, 34 areas had rates below 4%--far fewer than the 133 areas that had jobless rates below 4% in Nov. of 2007.
The report goes on to say the Dallas-Fort Worth-Arlington unemployment rate hit 5.7% in Nov. of 2008, which is higher than the area's unemployment rate of 4.1% a year ago.

Over the previous year, non-farm employment rose in 11 of the 38 metropolitan areas surveyed with the largest year-over-year percentage employment gain recorded in Houston-Sugar Land-Baytown (up 2.1percent), followed by San Antonio (up 2 percent); Austin-Round Rock (up 1.6 percent) and Dallas-Fort Worth-Arlington (up +1.6 percent).

Areas with the largest year-over-year employment decreases included: Detroit-Warren-Livonia, Mich. (-3.7 percent); Phoenix-Mesa-Scottsdale, Ariz. (-3 percent); Atlanta-Sandy Springs- Marietta, Ga. (-2.7 percent); as well as Riverside-San Bernardino-Ontario, Calif. (-2.7 percent).

The report says the largest year-over-year percentage employment gains by metropolitan divisions included Fort Worth-Arlington (up 1.8 percent); Seattle-Bellevue-Everett, Wash. ( up 1.6 percent ); Dallas-Plano-Irving ( up 1.5 percent) and Washington-Arlington-Alexandria, D.C.-Va.-Md.-W.Va. (up 1.1 percent).

Why Rates are Down!

Mortgage rates fall to 37-year low
Rates on a 30-year fixed mortgage dropped to 5.19% this week, after the Fed slashed interest rates to historic lows.

By Lara Moscrip, CNNMoney.com contributing writer
Last Updated: December 18, 2008: 11:27 AM ET

NEW YORK (CNNMoney.com) -- Mortgage rates fell this week, with the 30-year fixed mortgage sinking to its lowest rate in 37 years as the Federal Reserve cut interest rates to historic lows.
Government-sponsored mortgage lender Freddie Mac (FRE, Fortune 500) said Thursday that fixed rates on 30-year mortgages averaged 5.19% for the week ending Dec. 18. That's down from 5.47% last week and below the year-ago rate of 6.14%.
"Interest rates for 30-year fixed-rate mortgage rates fell for the seventh consecutive week, moving these rates to the lowest since the survey began in April 1971," said Frank Nothaft, Freddie Mac vice president and chief economist.
"The decline was supported by the Federal Reserve announcement on December 16th, when it cut the federal funds target to a record low and stated it stood ready to expand its purchases of mortgage-related assets as conditions warrant."
In a bid to reduce interest rates and to stabilize the housing market, the government in late November announced a plan to buy $500 billion worth of mortgage-backed securities and $100 billion of debt issued by government-sponsored mortgage financiers Fannie Mae (FNM, Fortune 500) and Freddie Mac.
The 15-year fixed rate mortgage this week fell to its lowest rate in four and a half years. It averaged 4.92%, down from 5.20% last week. A year ago at this time, a 15-year fixed rate loan averaged 5.79%.
Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARM) averaged 5.60% this week, down from last week when it averaged 5.82%. At this time a year ago, the 5-year ARM averaged 5.90%.
And the one-year Treasury-indexed ARM averaged 4.94% this week, down from last week when it averaged 5.09%. Last year, the 1-year ARM averaged 5.51%.

First Published: December 18, 2008: 11:16 AM ET

Can you still get a mortgage loan in Texas?

In today's 24/7 instant news now environment we hear a lot of talk about mortgage loans drying up and banks refusing to lend to the everyday buyer. It leaves a person to wonder, can I even get a loan to buy a house?

In an effort to clear up all this confusion, I interviewed one of my favorite lenders, Doug Martin with DFW Texas Home Mortgage and asked him some very direct questions concerning home loans in Texas.

Q: Can buyers still get a mortgage loan in today's market and what is the minimum credit score a buyer would need to qualify?

A: Mortgage loans are readily available for buyers that qualify. The big difference today is that zero down financing no longer exists. The minimum down payment requirement is now 3% and we can do this with a mid credit score as low as 600. The 3% can also be a gift from a relative or a loan from a retirement plan. When you hear on the national news that mortgage lending has dried up, that is just not true for the state of Texas.

Q: What about interest rates?

A: Today's interest rates are at the lowest level since 2003. A qualified borrow can get a 30 year fixed rate for 5.50%.

Q: I heard on the news that there is a potentially unconventional move about to be made by the Treasury Department to help bring rates down even further. Do you know anything about that?

A: There is a rumor that the US Treasury Dept. is exploring a plan for Fannie Mae and Freddie Mac to buy up more mortgage-backed securities (MBS) to help drive borrowing costs approximately 1% lower than this week’s current level of 5.53%. Now there are a couple of things to keep in mind. The Treasury Dept. already has authority to buy billions of dollars of mortgage-backed securities and has yet to use that authority to any large degree. The Federal Reserve did announce plans to buy $500 Billion dollars of MBS from Fannie and Freddie on Monday. This did cause a lower spike in rates on Monday but rates closed flat to slightly higher at the end of the day. So the bottom line is, currently there is no concrete plan in place with qualifying parameters or any type of timeline for implementation if this plan actually takes form. So based on today’s rates, it is a great time to buy or refinance a current mortgage to lower your interest rate.

So in summary, yes, you can still get a loan and qualify for a great rate! The opportunity to buy has never been greater than in today's market.

Fed Aid Sets off a Rush to Refinance and Purchase

The Federal Reserve's attempt to stabilize the housing market set off a chain reaction across the U.S. on Tuesday, dropping interest rates and quickly spurring a burst of refinancing activity by borrowers eager to lower their mortgage costs.(more)

The Simple Truth about Short Sales and Foreclosures in N. Texas

My team and I have noticed that in today's market, everyone is interested in learning more about short sales and foreclosures. They seem like such a great bargain! Our Accounts Manager has been getting 1 - 3 calls a day on this subject alone. Now, you can find out the simple truth about Short Sales and Foreclosures in N. Texas.

Short Sales - A short sale is a home that has not been foreclosed upon yet. The seller has been delinquent on payments and has worked out an agreement with his/her lender to allow the home to be sold for less than what the seller owes on the house in order to avoid foreclosure proceedings. Even though the lender will be receiving less money than they are owed upon the sale of this home, they will be saving money in the long run by avoiding the expensive costs that go along with foreclosure proceedings including court costs, attorney fees, etc. The seller avoids being locked out of their home and possibly losing some or all of their possessions. They also will only have delinquent payments on their credit score and not a foreclosure.

What's in it for you? The fact that the home is a short sale generally equates to the home being under market value. Since the N. Texas market is fairly stable, without drastic plunges, that could mean instant equity for you! Also, a short sale home typically has an owner/seller that wants to get the home sold, not one that is bitter that the home is being taken away from them. This means that the home is generally in better shape overall than a foreclosure.

So what are the negatives? A short sale, just like a foreclosure, is typically sold "as is", meaning you should still have a right to an inspection (which is HIGHLY advised by this REALTOR), but don't plan on the seller or lender paying for any repairs. They are already losing money. This means if the home needs new flooring or needs air conditioning work YOU will be footing the bill. One nice thing is that FHA is now offering a new loan called a 203K Streamline Rehab. This allows you to finance in the cost for a lot of repairs into your mortgage. Speak to your favorite lender about this or contact my team for a lender recommendation.

The other big negative in some cases with a short sale is the time it takes to get a response. In a majority of cases, there will be multiple offers on a short sale property because they are such good deals. However, most lenders can take weeks to get back to potential buyers and their agents with a response. If you have the time and patience, this can work to your advantage as most buyers typically lose patience and move on to other properties. Remember though, it does take patience. In some cases, the home will go into foreclosure before you even get a response! However, a good buying agent and a good selling agent can stop this MOST of the time with cooperation from the bank.

All and all, a short sale property is a good deal for you if it needs little repair or you have the funds/capability to handle the repairs needed and you have time and patience, which can be tough to come by when planning to purchase a home.

Foreclosures - One of the most common questions asked to our Accounts Manager about foreclosures is "Do I have to pay any back taxes if I buy a foreclosure?". The answer is NO. The lender that owns the property is responsible for paying all back taxes. Make sure that an owners' title policy is issued at closing. This ensures a good title. Your title company will issue this insurance policy. This is a policy that guarantees good title even if an unknown lien surfaces after closing. You will not be responsible for any past liens on the property that occurred before you purchased. The story is different if you were to go and buy a home in a courthouse steps auction, but in the case of a foreclosure listed by a real estate agent, the facts above are true.

What are the advantages to you for purchasing a foreclosed property? Foreclosures, like short sales, can be a good deal. However, the bank does want to avoid as much loss as possible. They will list a foreclosure at market value and only knock the price down after the home has set on the market for a certain amount of days. Also, they will only negotiate down substantially regarding the same situation. However, it never hurts to try to get a good deal on a foreclosed property because after all, it is all just a numbers game. In most cases you do not run the chance of offending the seller, which is the lender. Unlike dealing with an emotionally tied owner/occupant, if the numbers work for the lender they work. They will counter if the numbers don't work. However, outrageously lowball offers can be outright rejected, such as an offer for 50% of the asking price. I have seen this happen. Remember, the bank, just like any other seller, could list and sell the home for more than 50% of market value. They will not be that taken advantage of and can afford to hold on to the property until a more reasonable buyer comes along. If that means dropping the price by 10% - 15% to find that buyer it is still more advantageous to them than giving it away at 50% of market value.

What negatives should you expect? Just like with a short sale, a foreclosure is sold "as is". You are buying the property just the way you see it. Be smart and get an inspection! You do not want to get trapped in a money pit. Also, foreclosures are typically more beat up than other homes on the market. The previous owner may have taken out their angst on getting foreclosed upon on their soon to be foreclosed upon property. I have seen foreclosures with all the door knobs taken out as well as the appliances. Most need the flooring replaced and a good paint job too. Bathrooms can be a nightmare as well. You can luck out and buy a foreclosed home that is only a year or two old that needs very little work, but these are not on the market very often.

When it comes to short sales and foreclosures in general, a good real estate agent is key. Your agent can advise you on the actual market value of the property, recommend vendors for quotes on repairs, and should know how to negotiate with the banks and handle any issue that may arise. My team has a plethora of experience in both short sales and foreclosures and we are happy to consult with you and make sure you get the best deal possible with the least hassle on a home you love. Contact us today and lets get started! 1-800-720-2197

DFW Market Statistics for October 2008 Year to Date

Nobody said that our market was golden right now. However, it is not as dire as the media portrays it. The latest research has come out from the North Texas Real Estate Information System that shows the statistics of our market year to date from October 2008. The number of sales for this year is down from last year but the average sales price in most areas of DFW has either gone up or stayed the same. For example, Frisco's average sales price is up 2% over last year and Coppell's average sales price is up 8%. Average days on market is generally 90 days or less with Coppell having one of the lowest average days on market of 54 days. Grapevine's average days on market is only 50 days. People are still selling and buying in the N. Texas area! Please look at the spreadsheet I've compiled below below for more detailed information.

What do Agents Do For the Commission?

I just heard a commercial over the radio from a local real estate brokerage advertising that they will never charge you, the seller, 6% commission. That it was unfair and that they could save you thousands on the commission when you sell your home if you list with them. "How are they doing that?", I thought. I went to their website and their "services menu". What did I find? Basically, no services! Yes, they will list your home for 4% versus a traditional 6%, with 3% going to the buyers agent and 1% going to them. Seems fair and reasonable, right? Wait! That is the ONLY service they offer. They will put your home in the MLS. There are services out there that will do that for MUCH cheaper. What about marketing, negotiating, handling of issues that come up? THAT my friend, is where the REALTOR earns their money. Anybody with a pulse and a real estate license under a broker can simply put your home in the MLS. Although this is an important tool, IT WILL NOT GET YOUR HOME SOLD, that is unless you price it WAY BELOW MARKET. Thus, not saving you thousands, but costing you thousands. You need an experienced agent that knows how to market your home online and to other agents. You need an agent that knows what is effective when it comes to online marketing and how to get your home seen by other buyers and agents around the globe. Simply listing your home in the MLS will not do that. You need proper property photography, effective verbage, and the capablity to get this listing, along with multiple photos, on major websites and search engines.

The next time you consider one of these "caring" real estate agents that claim to be looking out for you, consider the whole cost. Dig deep with your questioning, ask for marketing examples or a marketing portfolio of their current and past listings. Seller BEWARE!

The BW Home Team offers our clients a break on the commission when they sell their home with us and purchase their next home with our team, while offering excellent, aggresive, professional, marketing and negotiating skills. We welcome all your questions!

Afraid to jump into the real estate market?

Many buyers and sellers that I have spoken to recently are afraid to jump into the real estate market right now. With all the doom and gloom from the media, who can blame them? Sellers are afraid that they'll lose all their profits and equity, while buyers are afraid they'll buy a home and it will lose a big percentage of its value in a short time. So, when is the right time to buy or sell?

In Dallas/Fort Worth, any time is relatively safe. Our market was never in a real estate bubble like we've seen on the east and west coasts and while we have seen home values go down 1 - 2 percent or so in certain areas, mainly home prices are holding steady, not rising or falling. Granted, there are more foreclosures on the market right now and some relocation company owned homes are basically being given away, so there are deals out there, but I don't see home prices tetering on the edge of a cliff, getting ready to plunge down a large percentage.

I will be putting my own personal home on the market this coming spring and purchasing again, regardless of the news the media is putting out at the time. There are always going to be buyers out there, and DFW has gotten some good press on being a great place to work and live. The main thing you should be concerned about is whether your family needs a larger/smaller/more efficient, etc. home right now. The market is not as scary as the national news makes it sound. We are still moving here in Texas!

Is your Realtor still around and if so....for how long?

In response to the recent problems in our nation's economy, 8% of the real estate agents in the DFW area have decided to give up on our market. Predictions are, we will see another 2% - 5% before the end of 2008. Is your agent still in business?

Most agents that get out of the real estate market when times are slower are generally considered in our profession to be "hobby agents". These are agents that try to do real estate on the side, helping an occasional family member or friend. However, generally instead of "helping" that family member or friend, they are hurting them, in most cases more than that client would expect. Hobby agents do not have the experience that full time agents, that is, agents that earn their living through helping people buy and sell real estate, have. 80% of the agents in America typically only handle 2 closings PER YEAR! How can those agents negotiate and get their clients the best deal possible, leaving no money on the table? How can they look out for all the contract loopholes and know how to solve all the unique problems that pop up on almost every contract?

When it comes to choosing your next agent, remember, YOUR family, and YOUR income comes first. Don't worry about hurting someone's feelings. Choosing a Realtor is a business decision and you should go with someone or some team that has experience, education, and also makes you feel comfortable and can easily answer most if not all of your questions. You want an agent/team that is stable and can last through all the highs and lows of the market. Don't cheat yourself!

The Need for Title Companies in Texas

Here I interview Cathy McMullen of LandAmerica American Title in Texas about the need of a title company in Texas.

Demystifying Texas Homeowners' Insurance

Watch Jason Ridley with Allstate and I discuss pertinent topics regarding Texas homeowners' insurance.

Texas Mortgages: Conventional versus FHA Loans, Predatory Lending, and Interest Rates

Doug Martin and I discuss relative topics regarding the Texas mortgage industry.