2014 | Mike Gray - Houston, TX Realtor

Friday, December 12, 2014

Where are Home Prices Headed in 2015?

There are many great Houston area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call me at 832-428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

Where are Home Prices Headed in 2015?

It may be hard to believe, but we are already well into December. This year has gone by so fast and we are looking forward to a nice holiday break. However, before we sign off for 2014, we wanted to address some things in our market report. First, the national market.

A recent Case-Shiller report indicated that there has been a broad-based slowdown for home prices. Results showed that home prices continue to decelerate, but we have to look at that in context. The report addresses that since last month, home prices have decreased from 5.6% to 4.9%. However, when compared to last year, home prices are still up 4.9%.
Where are home prices headed? Well, according to 100 of the top economists in the country, we are looking at a steady increase in home prices over the next 5 years.

Thursday, November 6, 2014

Houston Real Estate Market Snapshot

How You Can Determine the Worth of Your Houston Home

Looking to buy or sell a home in Houston, TX? Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (832) 428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

The Houston are has been on fire lately, and the month of September was no exception. We've sold around 7,900 properties, which is an increase of 7% since last year. Inventory is below 3 months, which makes now an incredible time to be a seller. Around $2 billion in property has been sold thus far in 2014, which is up $300 million from last year, or 16%.

Why is the market so hot, you ask? Much of it is thanks to the Greater Houston Partnership, whose goal is to make the Houston area the best place to live, work, and build a business. Because of this partnership, Houston was ranked first in growth of all the metro areas across the nation. Another reason may be do to our size - combining all of our counties, we would be the 25th largest country in the world. Since 2008, we have seen our GDP skyrocket by $84 billion, which is bigger than the 6 largest metro areas combined! Yet another reason is the rate at which people are moving here; about 1,000 people are moving to Texas every day and a good share of them are coming to Houston.

As you can see, Houston is a great place to be right now. With no signs of the market slowing down, our advice is to take advantage of these conditions while they last. If you would like to discuss your options, or if you have any questions about real estate in our area, please don't hesitate to reach out to us. We would love to give you a hand!

Wednesday, October 15, 2014

How You Can Stay Safe and Save Money this Winter!

How You Can Determine the Worth of Your Houston Home

Looking to buy or sell a home in Houston, TX? Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (832) 428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

The fall is here and winter is right around the corner, so now is the time to start preparing your home for the cooler weather. We've put together this short checklist to help you protect your home and your family from the changing weather:

Now is a good time to maintenance your heating system. Make sure it is working and that there are no gas leaks before the cold comes.
Reverse your ceiling fans for maximum efficiency. This will pull cooler air upward and push warm air down.
Another great way to ensure you're not losing heat is to ensure the damper for your fireplace is in the correct position. Having it open is like leaving a window wide open, which will cause a draft throughout the house. If you're not using your fireplace, make sure your damper is in its proper position - this is a simple way to shore up energy consumption in your home.
Replace older or single-pane windows. There are many different styles of energy efficient double-pane windows out there. Although they can be expensive, installing updated windows will save you a ton on your energy bill and will add value to your home in the long run.
Check the ducting in the attic. It's hidden away, so we often don't think about it, but a recent report suggests that 10% to 15% of energy waste could be reduced by sealing ducts correctly.

These are all, with one exception, incredibly cheap and easy things to do. If you want to keep your family warm AND save money on your energy bill, we suggest doing at least a few of these items. If you would like to learn more about this topic, or have any general real estate questions, don't hesitate to reach out to us. We would love to give you a hand!

Friday, September 5, 2014

Houston Real Estate Market Update for Fall 2014

How You Can Determine the Worth of Your Houston Home

Looking to buy or sell a home in Houston, TX? Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at 832-428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

We just wanted to take a moment to give you an update on what's going on in the Houston real estate market and the nationwide market as a whole. Locally, Houston is still going very strong. Prices are up from last year, especially in the luxury home market, where prices are up 11%. The number of homes sold is currently right on par with where we were at this point last year. As far as inventory goes, we are down about 9% from last year and there are still not enough homes out there to satisfy the demand from buyers. We have about 3 months of inventory, which is well below the 5.5 month national average.

In the national market, you may have heard through different mediums that it isn't doing so well, but that's really not the case. On a national level, this past Spring season was the best one we've had in the past 3 years. We are still looking strong as we go into the future.

One more thing: mortgage rates, in case you haven't heard, are still at all-time lows. Locking in a rate now could see you save thousands of dollars over the life of your loan. Just something for you to keep in mind.

If you have any questions, feel free to give us a call or send us an email.

Wednesday, August 13, 2014

How You Can Determine the Worth of Your Houston Home

Looking to buy or sell a home in Houston, TX? Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (832) 428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

Determining the value of your home can be difficult. Texas is a nondisclosure state, which means what a home actually sells for is not publicly disclosed. The county assesses how much homes are worth and the resultant tax data is typically all that is available.

This is a problem for people who want to sell their home because coming up with a list price is difficult, especially in our strong, growing market. Many people use Zillow to get their home estimate. The problem with that, however, is estimates can be hundreds of thousands of dollars off in either direction. If you are looking for a ballpark figure, online home evaluations are just fine - but if you want a true value, an accurate estimate, your best bet is working with a real estate professional.

An agent has a better understanding of market trends than websites like Zillow and Trulia. We have access to comparable property sales and other data that help us price your home in an informed manner. Additionally, HAR.com has been consistently ranked the #1 MLS site in the nation, so you do have at least one helpful online resource.

Real estate is incredibly local - what is happening regionally doesn't apply to the multitude of micro markets, especially in a large city like Houston. If you want the best information available so you can find the value of your home, give us a call or shoot us an email. We'll help you price your home competitively so you can sell it fast and get maximum value.

Tuesday, July 1, 2014

Houston Real Estate Market Update for Summer 2014

We are halfway through the year in Houston, so we thought today would be a good time to send a market update out. This will cover the Houston real estate market, as well as the nationwide real estate market as a whole. There are a lot of things to report, so let's get started with what's going on right here in Houston.

Market levels are up 2.6% from last year
Sales for homes under $500,000 are down because there are just not enough properties out there for the demand, while homes listed over $500,000 have seen an increase in sales.
There is a strong demand for properties in Houston, and the building is just starting to catch up with the demand.
Appreciation for single-family homes is huge, with about a 10% appreciation rate

Now, here are some statistics on the nationwide housing market as a whole.

Inventory levels around the country have risen 12% this year after decreasing in each of the last 2 years.
New home sales are up 18%, a much larger number than was expected. Builder confidence is high and more and more builders are confident in people looking for new homes.

If you have any questions about either our Houston market or the nationwide market, please don't hesitate to call. We would love to help you sort things out.

Tuesday, June 17, 2014

How to Keep Your Home Safe While on Vacation

Summer time is here in Houston. With the kids on summer vacation and the weather heating up, you or somebody you know may be heading out on vacation soon. While you are relaxing on vacation, the last thing you want to do is worry about what is going on at your home. I want to share with you some helpful tips that will keep your home safe and make your vacation that much more enjoyable. Here are 5 great tips for keeping your home safe.

Stop The Social Media Updates

As social media sites have become more popular, a rising trend we have seen is people posting on these sites where they are going, who they are with, and how long they will be gone. While sharing memories with all of your family and friends online is a great thing, advertising that you are going to be vacant from your home is not. You may want to hold off on this until you get home.

Hold Your Mail
- Nothing advertises that nobody is home better than stacked up mail or newspapers on your front porch or in your mailbox. A simple call to the post office or newspaper to put a hold on your mail is a simple fix for an obvious sign.
Call Police Authorities
- If you live in a small town, a smart move would be to notify the police that you will be out of town so that they can keep an eye out for your home on their patrol. This can really scare home intruders away and make them think twice.
Notify Your Neighbors
- Let your neighbors know that you will be out of town. They are around your house every day and will be the first line of defense against home break-ins or vandalism.
Install a Float Switch

There have been clients in the past who have had their air conditioning drain back up, which results in them returning to an absolute mess. Installing a float switch on the drain pan in your air conditioner is a simple, cheap fix that can save you a lot of headaches.

Both the weather and market are heating up, and I will be back in a few weeks with another market update. I hope you have a great start to your summer and as always, please give me a call if you have any questions at all.

Thursday, May 15, 2014

Major Changes to Flood Insurance Could Affect Your Home

Important Changes to Flood Insurance

Today I wanted to update all my clients in Houston about Flood Insurance. It's not the most glamorous subject, but here in Houston this is a big issue because you might find yourself in a flood zone.

I was just talking with some home owners, and their flood premium was about $1,500 dollars per year. When these people sold their home, the new occupants were paying $4,000 per year in flood insurance premiums. That is a substantial increase!

Flood insurance has been a hot potato in the real estate industry in the last few years, and the situation doesn't appear to be getting any better.

However, the Grimm Waters Act appears to be providing some help to consumers. One thing that will happen is that full actuarial cost for flood insurance phased in over a five year period. This will mean that if you have flood insurance, your premiums will go way up.

If you live in a flood area you will probably want to speak with your insurance agent and find out what this means to you because there has been a lot of change recently.

Keep in mind that the changes to this policy only affect primary residences. If you have a beach home or something, then you need to check with your insurance agent. You could be in for a surprise if you do not double check.
Hopefully you have found this information to be useful. If you have any further questions, feel free to contact me.

As always, if you're looking to buy or sell real estate in Houston, do not hesitate to contact me. We have a very strong market here and there are lots of great opportunities.

Friday, April 18, 2014

Expect a Booming Real Estate Market in Houston for Spring 2014

Real Estate Market Update for Houston in April 2014

I am going to be short and to the point today. I realize your time is valuable, so I have prepared a quick snapshot to let you know what is happening with Houston real estate. In general, the Houston market is red-hot with activity.

There is currently only 2.6 months of inventory: This goes for all of Houston, but there are a few areas where we're seeing even lower levels of inventory like Memorial and Bellaire.

The national average for inventory is 4.9 months, so this would help to explain exactly why our home prices are rising.
Houston actually just experienced the 34th consecutive month where we have seen home prices increase.

The average home price in Houston is up by 12%. The rental market is doing well too, with a price increase of 19%.

The best segment of the market are homes that are $500,000 and above - their prices have risen by 28%.
Homes in the $250K-$500K range have increased in price by 17%.
We're seeing huge gains in home value, and these would probably be driven up further if there was more inventory around.

There is a lot of new construction going on in Houston, and new subdivisions are experiencing an exponential amount of growth. Riverstone in the southwest part of the city is preparing to build 900 new homes. This is very promising for the future of real estate in Houston.

This is all I have for you today, but be sure to tune in to my report for the end of April where I will be discussing changes to Flood Insurance and how it might affect you.

So, if you're looking to buy or sell in Houston, or if you need any other information, then please give me a call.

Tuesday, March 11, 2014

How to Protest Your Texas Property Taxes Effectively

Looking to buy or sell a home in Houston, TX? Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (832) 428-6453 for a FREE home buying or selling consultation to answer any of your real estate questions.

The other day I was talking with a client about property taxes. I work with a lot of clients who are from out-of-state, and this particular one was taken aback by the amount of property taxes that we have to pay here in Houston. Keep in mind that there is no state income tax in Texas, so the revenue taken from the government comes largely from our property taxes.

How to Reduce Your Tax Burden

Property taxes are based on what the county assesses your property's value at, and not its true market value. The tax value and market value are two different things in this case. Tax rates in Texas are sitting right at 3%, so these tax sums can begin to add up. In order to offset these values we can protest our taxes, and there are a few different ways to do this.

You Can Do Nothing: In this scenario the county will set the amount and you will pay. Property values will increase over time, so your taxes will rise and you will have no way of bringing them back down. Passivity will not work here and your taxes will snowball, leaving you in a bad situation. Now is the time to act.
You Can Protest them Yourself - (more on this in a second...)
You Can Hire a 3rd Party to Do it For You:

Generally these parties will take about 50% of the savings that you incurred, so it's not exactly a win-win situation. If you're strapped for time it might be a valid option, but protesting on your own is relatively easy with the right tools.

To Protest Taxes On Your Own...

Go to http://hcad.org/ : They have an application where you can enter the amount that you expect your home value to be, and if they agree with you, then your property value is reduced and your property taxes are settled.
If they don't agree with your value, then you have to show up in person to protest:

You need to be very well prepared for this. Be prepared to do some research on what comparable properties are worth and be able to prove that this should translate into your property being worth less. The lower the value, the less you pay.

Be prepared to defend your findings with facts and verified documents.

The county reserves the right to increase taxes by 10% every year, and can also increase your home's value based on any additions to your property.

My property value went up 10% this year, and we also installed a pool, so it escalated even further.

This gradual increase can easily turn into a substantial amount over time, so it's best to keep fighting the tax hikes to keep your payments low, otherwise they will snowball and you will be left with an even larger tax burden. This is not a difficult process, although it can be a little time consuming.

However, I would be glad to help you with this process. If you're confused or intimidated, give me a call and I will walk you through the process. You can reach me at (832) 428-6453 or email me at Mike@HomesFromHouston.com

Friday, February 7, 2014

4 Reasons Why Houston Real Estate will Boom in 2014 and How You Can Take Advantage

In 2013 the real estate market recovered, and in 2014 I'm expecting a year of growth with demand for housing on the rise, as well as 46 of 50 states showing economic improvement.

I've pinpointed 4 factors that will explain a rise in the demand for housing:

The repeat buyer: With lots of people having negative equity in the past years, which creates an impulse for them to move up or move down into new homes.
Immigration Reform: Nothing political about this one, but I expect some changes in immigration legislation, which will cause a significant segment of our population to seek permanent housing.
Millenial buyers: As graduates move away from home or away from high renting prices, they will seek mortgages that can be cheaper than renting prices.
Job Growth in Texas: Upwards of 70,000 jobs are being created in the Houston area alone, which is really driving up economic demand for housing.

With these four factors there will likely be a large demand throughout the country, as much as a 10-15% growth. In Houston, we expect a 5-6% growth, which is fairly steady in relation to the rest of the country.

However, our current supply of houses in Houston is not able to keep up with the demand, so expect new construction as well.

One big surprise that I expect to see is with interest rates. At about 4.5% right now, we expect to see them rise steadily throughout the year, and could go up to 5.5% by 2015. However, we don't expect these hikes to affect the purchasing power of consumers in Houston, because the job creation here should balance out that factor.

Overall: 2014 should be a good year for both buyers and sellers in Houston. Buyers will receive great rates and sellers will experience a high demand.

I wish you a very happy and prosperous 2014, and I'll be back with more market information soon.

Thursday, January 16, 2014

What is the Homestead Tax Exemption?

Click here to find out what your home is worth or to search all area homes for sale.

Welcome back! It's tax season and that can be stressful for everyone. There are ways, though, to pay less. The Homestead Tax Exemptions gives four different exemptions:

General Homestead
Over 65
Disability
Veteran/Military

Each of these can help you pay less taxes on your property. These are so important now because our market is appreciating. Your property tax could increase by as much as 10% plus any improvements you have made to the property.

If you have any questions about what exemptions you may qualify for, give me a call today at 832.428.6453

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