5909 Paseo Del Toro Austin Texas 78731

5905 Paseo Del Toro is a Central Austin beauty combines casual style with modern sophistication.  Ideal floor plan w/master suite & additional bedroom on main level – perfect for office or guests. Large eat-in kitchen w/stainless steel appliances.  

5905 Paseo Del Toro, Austin TX 78731 - see website for more information

5905 Paseo Del Toro features:  2 floor-to-ceiling Limestone stone fireplaces, built-ins, hardwood floors on first floor, crown molding, modern master bath with glass tile backsplash, glass cabinets in kitchen, wood blinds, ceiling fans in all rooms. Updated: HV/AC (SEER <14), Water Heater, Roof, Lighting, Convection Oven range. 

5905 Paseo Del Toro Austin, TX 78731 link on You Tube

Location:  Highland Hills / Northwest Hills Area, commuters dream – easy access to downtown, lake, eateries, daycare, cleaners, hike & bike trails and dog parks.  No HOA!

Year Built:  1980

Bedrooms:  4 (master and additional bedroom on main)

Baths:  2.5

Square Footage:  2,127 sq. ft. (per appraiser)

Exterior:  Front Porch, 3-sides masonry, nice backyard deck

List Price:  $417,000

Austin Market Data

Crestview
Number of homes for sale                       13        
Median List Price                                   $264,900          
Where in Austin?                                   Central

Rob Roy on theLake
Number of homes for sale                       6         
Median List Price                                   $2,924,500       
Where in Austin?                                   West

Tarrytown
Number of homes for sale                       7         
Median List Price                                   $789,000
Where in Austin?                                   Central

Legend Oaks
Number of homes for sale                       9
Median List Price                                   $259,900
Where in Austin?                                   Southwest

Shady Hollow
Number of homes for sale                       9
Median List Price                                   $304,990
Where in Austin?                                   Southwest

Senna Hills
Number of homes for sale                       4         
Median List Price                                   $532,188          
Where in Austin?                                   West

Great Hills
Number of homes for sale                       11
Median List Price                                   $525,000
Where in Austin?                                   Northwest

Highland Park
Number of homes for sale                       11
Median List Price                                   $589,000
Where in Austin?                                   Central

Jester Estates
Number of homes for sale                       7
Median List Price                                   $457,000
Where in Austin?                                   Northwest

Mueller
Number of homes for sale                       6
Median List Price                                   $746,716
Where in Austin?                                    East

Crossing at Onion Creek
Number of homes for sale                       11
Median List Price                                   $160,000
Where in Austin?                                    Southeast

Austin Winter Real Estate Market

The holiday season is also the start of colder weather. In other parts of the country snow can really impact winter home sales. Fortunately, for the Austin Real Estate market snow and ice days are little and far between. Buyers can generally shop year round though it may be hard to find the time.

Only the must-see homes on the hot list make the cut this time of year. There are fewer buyers this time of year and with little time, those coming out to see a house are serious shoppers. Sellers will get less traffic but those that come out want or need to buy — now.

A decorated house brings warmth and whimsy to the décor which makes people feel good. Decorations help set the stage for your home. One of my sellers’ biggest challenges for selling a home is keeping it clean. Houses are generally cleaner this time of year because we clean anyway when friend and family are coming to visit.

Houses smell better this time of year as well. The real Christmas tree, those fresh baked cookies and gingerbread room deodorizers make buyers feel good when they come see your home.

There are many sellers that will take their house off the market between Thanksgiving and Christmas. I always encourage by sellers to keep their houses on the market. Serious buyers will miss your home if it is not for sale.

The data below is specific to single family homes. If there is an area you want me to spotlight -please let me know.

Austin Market Spotlights

Legend Oaks (Southwest Austin)
Number of Active Houses on the Market: 10
Average Days on Market: 45
Median List Price: $ 266,025

Cherry Creek (South Austin)
Number of Active Houses on the Market: 16
Average Days on Market: 98
Median List Price: $ 184,970

Plum Creek (Kyle)
Number of Active Houses on the Market: 25
Average Days on Market: 89
Median List Price: $ 179,250

City of West Lake Hills
Number of Active Houses on the Market: 27
Average Days on Market: 122
Median List Price: $ 1,295,000

Barton Creek West (West Austin)
Number of Active Houses on the Market: 3
Average Days on Market: 60
Median List Price: $ 585,000

Cat Mountain (North Austin)
Number of Active Houses on the Market: 7
Average Days on Market: 85
Median List Price: $ 450,000

Bouldin (Central Austin)
Number of Active Houses on the Market: 6
Average Days on Market: 79
Median List Price: $ 447,000

Travis Heights (Central Austin)
Number of Active Houses on the Market: 17
Average Days on Market: 99
Median List Price: $  575,000

The data below is specific to single family houses, unless otherwise indicated.  If there is an area you want me to spotlight -please let me know.

Tarry Town  (Central)
Number of Active Houses on the Market:                      16

Average Days on Market:                                              81

Median List Price: $                                                  $606,500

Elliott Ranch (Buda)
Number of Active Houses on the Market:                     12

Average Days on Market:                                            99

Median List Price: $                                                 $432,400

Whispering Hollow  (Buda) Still Developing
Number of Active Houses on the Market:                     17

Average Days on Market:                                            59

Median List Price:                                                    $218,835                                              

Garlic Creek (Buda) Sill Developing
Number of Active Houses on the Market:                   16

Average Days on Market :                                         76

Median List Price:                                                   $199,106          

Austins Colony (East)
Number of Active Houses on the Market:                  18

Average Days on Market:                                          86

Median List Price:                                                   $109,950                                  

Pemberton Heights (Central)
Number of Active Houses on the Market:                    6

Average Days on Market:                                          71

Median List Price: $                                           $1,535,750

Towers of Town Lake (Downtown Condominium Community)

Number of Active Condos on the Market:                   9

Average Days on Market:                                         74

Median List Price:                                                    $289,500

As I often say, markets are local and that is often widdled down to a particular subdivision or specific condo community. There are markets that are in high demand. Markets can be defined as a subdivision, school district, zip code, etc. So, looking back in time longer than 3 months helps me tell the story of that particular market because – although the list price can’t be predicted a year from now, how hot a specific market is generally can. Price is a moment in time.

I’ll give you an example most people familiar with Austin can relate to, which is zip code 78704. Zip code 78704 is the southern neighbor of Austin’s downtown district. Many consider it downtown and although it certainly has an urban flare, it has a bit more of a small town feeling than a cityscape. Zip code 78704 is the home of Zilker Park and the SoCo, SoLa and SoFi districts which are all popular for their local eateries and shopping. The local amenities coupled with the vast array of affordablility due to a large variety a price points makes 78704 not only hot, but consistently hot. Inventory moves here and will always move here because of the location.

Austin Real Estate Market

Let’s look at the over all story of the Austin market over the first 6 months of 2011 vs the first 6 months of 2010.

• There were 584 less homes sold in 2011 than in 2010. 
• The sales volume is 3 million dollars higher than 2010.
• The average sales price is $14,000 higher in 2010 ($255,000 in 2011 vs. $241,000 in 2010).
• The median sales price was also up for the first half of 2011: $191,000 vs. $185,000 in 2010.

 So, overall houses there are slightly less houses selling, but those that are – are selling for more money. Austin is looking good.

Austin, like all of Texas, is experiencing severe drought conditions. Record breaking heat and water conservation has caused some shifts in routine for all of us. For me, that means trying to get out early to look at houses whether I am with clients or previewing. I showed land in Smithville last Monday, which is just west of Bastrop. My clients and I started at 10:30, spending about a good 20 minutes at the first lot. As the day heated up, we started to select what lots we actually wanted to get out of the car for. We saw 14 lots in 2 hours.   Heat can be motivating!

 
Shifts in routine also include remembering to water plants after sunset and being mindful of our foundations. Dirt is like a sponge, when it dries out — it condenses. That dirt under your house is condensing too. Cement doesn’t bend, it cracks.  Having a drip system around your house is helpful. A hose with holes placed around your house can help water your plants and your foundation at the same time.

I have selected some random subdivisions in Austin below and listed some current real estate market data.

Understand this data is specific to single family houses.  If there is an area you want me to spotlight -please let me know.

Tarry Town

Number of Active Homes on the Market: 13

Average Days on Market: 42

Median List Price: $ 725,000

Travis Heights

Number of Active Homes on the Market: 25

Average Days on Market: 77

Median List Price: $ 575,000

Lost Creek

Number of Active Homes on the Market: 22

Average Days on Market: 81

Median List Price: $ 608,000

Anderson Mill

Number of Active Houses on the Market: 59

Average Days on Market: 73

Median List Price: $ 172,500

Circle C Ranch

Number of Active Houses on the Market: 33

Average Days on Market: 80

Median List Price: $ 300,000

Mueller
Number of Active Houses on the Market: 9

Average Days on Market: 87

Median List Price: $ 550,000

My football buyer isn’t going to buy a house if there is no room for a big TV. Yes, football often trumps where the kids are going to eat. You laugh, but again, this is all about lifestyle. There are many things buyers will forgive like bad paint and carpet, if the house works for their lifestyle.

Sellers need to help too. I was recently invited to a home in South Austin because a fellow agent wanted my opinion on how much the current décor would influence a potential buyer. I entered from the front door, directly into the living room which was painted University of Texas burnt orange. There were 2 large flat panel TV’s on the wall with a gaming console in between them. This was the ultimate UT man cave that only a UT gamer could love. It is very hard for a buyer to mentally separate that lifestyle, with their own. When a seller leaves the house that personalized when they put it on the market — they  send the message to potential buyers that it is their home and they really don’t want to leave. I recommended at least one TV come down and the room to be painted a neutral color.

When we live for awhile in the same space, we often become blind, deaf and well, sometimes even dumb. How many times have you walked around that overgrown bush that has taken over your walkway, instead of just trimming it back? How often do you look at the weeds in your planting beds and try to convince yourself they are wild flowers? We all do it to varying degrees, so here are some reminders of things that need tending to when you are going to sell your home — clean the gutters, weed and mulch planting beds, cut back bushes, paint or power wash if the house looks dirty.

Sellers worry about the foyer in the entry, because in their minds it is the first thing a buyer will see. The truth is that the first thing a buyer sees is the front lawn.

Sometimes we remodel because we want to and other times it is because we have to. Foundation repair may require drilling through those hardwood floors, dishwashers leak or at some point we decide to replace the carpet in bedrooms with wood. It’s important to note that flooring whether  wood, tile or even carpet goes in and out of style these days just like clothing. Matching up flooring becomes a nearly impossible task, so plan ahead. Buy extra tile and wood flooring, so if disaster strikes, you have some backup. My clients picked a home last year, purely because it was original. From the bathroom sink to the tile floors, it was mid-century modern throughout and it was being sold by the owners who built it. The house failed the static test which required the plumbers to go in through the 1965 tile flooring in order to fix the leak. It was so wonderful that the owners had planned ahead and had two extra boxes of the original tile, which really saved the aesthetic of the house. So, when you think about flooring, think ahead it may save you some grief and money in the future.

Every house needs a wow factor. As a listing agent, I try to highlight one when marketing a home to appeal to buyers. Buyers often have their own wow factor when touring a home as it can be a personal thing. A wow factor can be anything: an island kitchen, hand scraped floors, even a great price can turn a buyer’s head. I was in Driftwood two months ago and the neighboring house has an outdoor fireplace that was amazing. My clients and I just stood there and said “wow” in unison.

Austin area real estate is unique in that the hill country landscape adds some natural wow factors.  City, hillside and lake views all add an additional backdrop to many of the homes here. 

A wow factor puts the exclamation point on a home and really sells it. Do you know what’s really interesting though? Rarely does the wow factor translate over the internet. You might be in like over the internet, but you won’t be in love until you see it in person. Even when price is the wow factor, it is often hard to see value over the internet.

When Austin real estate buyers are looking in a general area, like Spicewood or Northwest Hills, I typically set up a map search.  Older neighborhoods are made up of many micro-subdivisions as the land was and is developed. 

The subdivision list below is random.  It will give you an overall idea of what to expect in terms of available inventory and price points.  If there is a particular subdivision or neighborhood you would like me to highlight in the future, please ask.

 Milwood

Number of homes for sale                       57        

Median List Price                                   $187,500          

Where is Austin?                                   North

Spicewood at Balcones Village

Number of homes for sale                       5         

Median List Price                                   $305,000          

Where is Austin?                                   Northwest

Cat Mountain Villas

Number of homes for sale                       10                    

Median List Price                                   $430,445

Where in Austin?                                   Northwest

Hyde Park

Number of homes for sale                       17

Median List Price                                   $410,000

Where in Austin?                                   Central

Edgemont

Number of homes for sale                       5

Median List Price                                   $648,000

Where in Austin?                                   Central

Travis Heights

Number of homes for sale                       17        

Median List Price                                   $610,000          

Where is Austin?                                   Central

Western Trails

Number of homes for sale                       6

Median List Price                                   $271,500

Where in Austin?                                   South

Lost Creek

Number of homes for sale                       8

Median List Price                                   $597,200

Where in Austin?                                   West

Village at Western Oaks

Number of homes for sale                       20

Median List Price                                   $259,000

Where in Austin?                                   Southwest

Onion Creek

Number of homes for sale                       33

Median List Price                                   $323,900

Where in Austin                                    Southeast

The real estate market is no different. There are houses that are in need of repair and therefore wind up on the ‘clearance rack’. Other times, houses wind up ‘on sale’ when they start out over priced. When your home is listed over the market, it won’t sell, because the listing is missing its intended market. Now, one might think that the home might seem like a deal for the next market up. The problem though, with that mindset is that the next market up is either bigger, more updated, or in a better location. An over priced home really doesn’t have an audience, so it ultimately sells for less than what it would have – if the home had been initially priced correctly.

Distressed properties can drag the prices down of all resale and new homes in a community.  Foreclosures can and do, contribute to the pricing of new inventory as it becomes available in a community, because they are competing with aggressive prices.  Distressed properties elongate the impact to a community even after they have sold.  They can have a ripple effect as a community’s new inventory is priced against the distressed properties as sold comparables, so it takes longer for the community to bounce back.

A ripple causing change in a given market can be positive as well.  A few houses in the neighborhood get remodeled.  A commercial building fills with a coffee shop, wine bar and cupcake bakery.  The flutter of hip, trendy happenings brings a new a fresh new perspective, to a once settled area.  The neighborhood slowly starts turning and house prices go up as it is now a modern, progressive place to live.  This happened years ago in what is now the trendy 78704 zip code and is currently happening in East Austin. 

Both of these Butterfly Effects happen not only in neighborhoods, but condominium communities like The Island on Lake Travis as well.

Most Sellers think that Buyers plan ahead to see homes, so they always think they are going to have time to prepare for a showing. More often then not, that is simply not true. Buyers do plan ahead to buy a home. They talk to me about where they want to live and what they are looking for in a home. Buyers often make an appointment with me in advance to view homes, but often don’t know what they want to see until the last minute. Everyone always wants to see what new inventory might come up, so some homes are scheduled ahead of time, but others are often chosen at the last minute, which may alter the overall itinerary and change appointment times.

Convenience is Key

Understand, Buyers’ schedules are often not as flexible as you might think. I often have clients that will have a babysitter watch the children, so they can view some homes with me for a few hours. Other times, buyers are only in town for a day or two and need to see as many homes as possible in a small window of time.

Sellers can’t sell what Buyers can’t see, so flexibility is key to getting a house sold. The easier it is to show, the more Buyers will have the opportunity to see the home. When I am on a listing appointment, we talk about how to we are going to manage the dogs, and how the morning routine might change. Beds need to be made, sinks need to be cleaned and laundry needs to be put away. This way, if a call comes in as the day progresses, no one panics. With Buyers you never get a second chance to make a first impression.

The happy medium that seems to work best with my clients is Call First, then Go as a showing instruction. It gives my clients a head up that someone is coming, but offers the flexibility agents often need to show it.

Drumroll please………………………..

Glade Vanilla Scented Plug-Ins

The Vanilla and Lilac scent is ok too.  They give a nice warm undertone to a home.  Seller’s have a tendency to make a home smell too fragrant.  Buyers just want a home to smell clean, floral scents are often over powering.

Dyson Vacuum Cleaners

I am not going to get model specific, because I don’t think it matters.  I have pets and have a tendency to kill my vacuum cleaner every 2 – 3 years.  The Dyson picks up pet hair others leave behind.  It is great for picking up after the kids as well.

Candles

Candles are a great staging tool, because they work in every room of your home.  Try putting 3 together on a shelf, a dresser or centerpiece on a table.  They give a home a warm feeling even when they are not lit.

Area Rugs

Buy a couple to help divide a large room up, and give smaller areas more definition.

Shoe Boxes

How many of you have a closet with empty show boxes?  Shoe boxes are a great way to store items you don’t necessarily want potential buyers to see when viewing your home.

Bamboo

Bamboo lives a long time, just in water.  It’s a great plant to add to a room even if you don’t have a green thumb.  Try putting 3 stalks together in a clear vase with pebbles or glass beads.

Duvet Covers

Let’s face it, comforters can be pricey.  Duvet covers are a great way to use the same comforter when you change the décor of a room.  Or, if you need a new comforter you can save money and buy any pattern you want, because no one will see it with a duvet.

Kaboom

I use Kaboom on everything including my carpet.  I advise you test an area before trying this.

Books

Books are another great staging tool that works in every room of a home.

IKEA

IKEA is a great store if you are looking to re-do a room, add extra storage or if you simply want to finish a room with items like bookshelves.

So what turns Buyers on when they see a home?  Like anything else in life – it’s the little things that really get their attention.

Top 10 Buyer Turn-ons

1-     a clean house with freshly vacuumed carpet

2-     an edged lawn

3-     live plants in outdoor and indoor pots

4-     an organized pantry

5-     clothing and linen closets in color order

6-     a set dining room table

7-     clutter free kitchen counters (it makes them look bigger)

8-     a quiet house

9-     a pleasant scent

10-  set beds

Some of these sound silly – I know.  Yes, many of them have absolutely nothing to do with the house itself.  Like I mentioned earlier, it’s the little things that Buyer’s read into. Buyers develop an over all impression of the condition of the house based on the attention to detail Sellers pay to the little things.

Pantone has announced its color for 2011.  It’s Honeysuckle and you will see it everywhere. Here in Austin, I have seen great color schemes in homes, and of course, I have seen some poor choices.   Home color choices are not like clothing and makeup. With personal color choices you are working with individual skin tone.   Different colors and hues will complement your natural beauty.  Different colors enhance different people.  Personal color choices are also very temporary.

House colors are different, because they tend to be more universal in appeal.   If you are selling your home, the color scheme needs to appeal to the masses.   House colors affect our inner senses.   When done right, they inspire and relax.   When done wrong, they can enhance stress levels or depress you.   Choosing a color can be a long term commitment and investment, so neutral colors span the test of time.

Color your Home Happy

So, what are the rules for coloring your home?   The #1 rule is the simplest to follow – pick your palette from nature.   Green is a very soothing color to the eye.  It is relaxing.   That’s why actors are placed in ‘green rooms’, before they take the stage on a talk show.   A soft yellow is another great color to incorporate into a home. It is bright and cheerful.  Follow an Autumnal color palette, which appeals to all.  Think of browns and greens with touches of gold, yellow and red.

Buyers want a Blank Canvas

There is no greater billboard for the positive features of your neighborhood,  than your neighbor.  Your neighbors have the inside scoop on what it’s really like to live in your community.  They know how long it takes to commute to a variety of areas, about local hot spots, even what corner the bus picks the kids up for school. 
The best part about neighbors coming is that they generally like the seller’s house better than their own.  Either the storage is better, or the floorplan in the kitchen makes more sense, what ever the reason — it’s always positive and they are always eager to share their opinions with potential buyers.
There is no greater testimonial for a potential buyer, then hearing how happy neighbors love their community.  So, love thy neighbor.  They are your greatest cheerleaders. Remember, they have relatives, co-workers and friends and have the potential to bring you a great buyer.

I laugh on the inside and try not to show my angst on the outside when I go on a listing appointment with those who lost their drive on a remodel.  The results range from unfinished faux painted walls, tile put in place that was never grouted and crown molding that doesn’t completely go around the ceiling.  All of these unfinished projects are going to affect the sales price of your home.  It is easier to sell a dated home that is fully functioning and completed, than a home that seems to stop mid sentence. 

To a buyer, the project needs to be finished.  I often have to change the perception of the seller, to see these things with buyers’ eyes, because after a while the seller doesn’t see the projects anymore.  They have been living with them for so long; they just tend to blend into the background.

Many home supply stores offer classes on do-it-yourself projects.  I often recommend someone take one before making a decision to start a project.  We are all good at something, but certainly not good at everything.  Have a reality check with yourself when you are watching those reality shows. Get a real education on what’s involved with a do-it-yourself project, before you begin one.

Sellers often realize that what hasn’t been repaired or replaced, will ultimately cost them in the end.  Money makes things go away. Owners think they are simply saving money by ignoring foundation problems, roof repair or whatever else may be deficient.  In realty though, they are simply differing the payment to the sale.  The home is worth less to a buyer and will take longer to sell when systems are in need of repair or replacement.

I have been trying to preview as many properties as possible in the morning, while everyone is still busy at work.  Pictures can be deceiving for better or worse, and typically don’t show things like pantries, closets and sometimes even backyards.  Previewing properties without clients helps us rule out some things not worth seeing in the heat of the day, which happens to be when you get out of the office.  It allows us to focus on true possibilities in less time, which works out well especially with children in tow.  Children generally love looking at houses, but when they are getting in and out of their car seats in the heat, they loose interest pretty quickly which makes it a trying time for all.

Someone is watching your pets, but who is watching your house?

I have seen some houses where the owners have been away on vacation.  It is important to keep in mind when selling your home that plants need to be watered, garbage should be removed, and pools need to be tended to.  I had a reader last week whose pool turned an unappealing shade of dark green while they were away.  Just like keeping the house clean, pools need to be kept clean as well.  Buyers don’t know that people may be away, they just think there may be a problem or the pool is not being maintained.

The second rattle snake not pictured was 4 feet long, and one of them was pregnant with about 20 babies.  So, needless to say the Smith’s have a snake wrangler on retainer, should any more unwanted guests arrive.

Yes, they live on a greenbelt, but understand this is Texas and snakes are everywhere.  I saw two myself last weekend at Town Lake, so just be aware. Tis the season.

What areas are hot right now?  Honestly, I haven’t come across a section in Austin that I would truly call a Buyer’s market right now.  Inventory seems to be moving no matter what price point you are looking in, provided you are within Austin.  There are other areas surrounding Austin that are feeling the affects of neighborhood foreclosures and short sales, which drive the prices down simply because there is an over saturation of Seller’s wanting to sell, versus Buyers looking to buy.

When I find areas with Average Days on the Market being over 6 months that is where I classify a neighborhood to be a Buyer’s market.  Areas that stay on the market for 4 – 6 months are considered ‘neutral’, and less that 4 months are considered a Seller’s Market.

The only exception to this rule is when I am referring to homes priced over $600,000.  There are simply less Buyers able to afford a home in that price point, so the inventory tends to sit a little longer.

Whether I am working with a Buyer or Seller to determine market price, I certainly take into account how hot a neighborhood is.  I take the last 3 months of inventory and add the sold and pending listings.  I then add the active listings up and determine the average amount of months it is going to take to ‘sell’ that inventory.  The lower the number – the hotter the neighborhood.  How hot is Cat Mountain right now?  It has about 6 months of inventory.  While Parkwood, in South Austin, has enough inventory to last 2 months.

Understand, the overall condition of a home certainly plays an important role in how fast a house will sell.  Looking at inventory flow is just an additional data point I like to refer to.

When I’m working with Buyers, I always want to know about where they work and how they live, because the house they ultimately decide to purchase has to fit in with their lifestyle.  People don’t often consider how walkable a neighborhood is when they find a house they love.  More often than not, we then to take a step back and figure out if Johnny can walk to school, or how close we are to the running trail.  

When I refer to a house being walkable, I am talking about proximity, not necessarily walking distance.  Not everyone in Austin has a commute.  Many of my clients work from home, so even the nearest place to get milk, can be a consideration.  Those who work from home have no commuting flight path.  Everyone has something they want to be convenient to.  For me – it’s a movie theater.

Walking scores do actually exist.  Overall, Austin has a walking score of 49, with 100 being the best. It is rated the 29th most walkable city in the country. Looking to find out how walkable your house is?  Go to http://www.walkscore.com/

I support local Austin, after all, I think it’s only neighborly.

 Last week, I was in Round Rock and then, moved on to Downtown, Austin to view some condominiums.  If you haven’t been to the historical district of Round Rock, it is quite charming. Downtown, I went to the Brown Building and the Nokonah.  Located on W 9th Street, the Nokonah is in the heart of Duncan Park and within walking distance to Whole Foods, restaurants and shops.  

Built in 1940, the Brown Building, on Colorado Street holds a historical designation, which gives owners an additional tax exemption.  The building was originally utilized as office space, some of which was occupied  by politicians,  including former President Lyndon B. Johnson. In 1998, The Brown Building was converted to loft style condominiums.  The Brown Bar and Gumbos restaurant are on the first floor, for your dining pleasure. Here’s a peak

Reminder:   we must be under contract by April 30th in order to qualify for the tax credit.

I support local Austin; after all I think it’s only neighborly.

Contact me for real estate needs by:

Phone:  201-286-2504

Email:  doreen@supportlocalaustin.com

The second thing I have changed, is posting my cell phone as my office phone.  My clients are ultimately communicating with me through my cell phone anyway, and I them.  So, I decided to cut out the middle man and go directly to my cell phone.  As you already know, I spend quite a bit of time in my car, so these little things will increase my level of customer service.

Oh, and one more thing….I am now at Sky Realty.   As I enjoy teaching others, I enjoy learning new things too.  Look forward to an improved website and home search features in the coming weeks.

If we are not moving forward, we are moving backward.  We are indeed, always moving.

Thank you all for your continued support and well wishes. 

I’ve been flooded with questions lately by both Buyers and Sellers, and I love questions, because it means you are thinking.  I would like to take a minute to share what some of my clients have been thinking about, since you might have the same questions racing through your head as well.

For Sellers, the questions I am getting are more like, “do I put on a deck?”, “do I power wash the house?”, “do I install a new kitchen?”.  My universal response to most of these questions is, don’t.  Don’t do anything you would not have done, if you weren’t moving.  The reason is more about the cost of time, because time can cost more than you will ever get back.  We are entering the selling season.  

A deck is not going to necessarily bring you more money.  If the deck takes twice as long as it was intended, you have not only spent money on something that wasn’t necessary, but you have missed the Spring buying season as well.  

Power washing your home, could result in your house needing a new paint job.  Do you have time for that?  Do you have the money?  Using a garden hose, might easily do the trick, without creating a problem you didn’t have.  

Installing a new kitchen?  Out of all the questions I have received this week, this is the one that would add the most value to your home, and will bring you the most return on the cost, but kitchens take time.  If the kitchen costs $25,000, and isn’t going to be done for 9 weeks, we have lost the Spring buying season.  That $25,000 remodel, may only net you $15,000 in the fall.  When interest rates go up, house prices generally go down because people have less buying power.  

The #1 thing I want people to do when I list a house is clean.  When Buyers see a 1970′s kitchen that is spotless, they comment on how clean it is.  It’s a blank canvas that can updated someday and is considered usable the way it is.  When the same Buyers see a modern kitchen, that is dirty, it is a turn off.  It’s funny how the brain works, it doesn’t say “I can clean this”, like you would think; instead it says “I could never cook in here”.  If you don’t like to clean, hire someone.  It’s money well spent and I guarantee you will get 100% return on your cost, instead of a remodel that will cost you to miss the Spring season.  Do those remodeling projects in the fall, six months before you are planning to sell.

In addition to extending the tax credit of up to $8,000 through June 30, 2010, the extension measure also opens up opportunities for others who are not buying a home for the first time.

So Who Gets What?
The program that has existed for FTHBs remains intact with the one exception that more people are now eligible based on an increase in the amount of income someone may now earn.

Additionally, the program now gives those who already own a residence some additional reasons to move to a new home. This incentive comes in the form of a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years.

Deadlines
In order to qualify for the credit, all contracts need to be in effect no later than April 30, 2010 and close no later than June 30, 2010.

Higher Income Caps in Effect
The amount of income someone can earn and qualify for the full amount of the credit has been increased.

Single tax filers who earn up to $125,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, single filers who earn $145,000 and above are ineligible.

Joint filers who earn up to $225,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, joint filers who earn $245,000 and above are ineligible.

Maximum Purchase Price
Qualifying buyers may purchase a property with a maximum sales price of $800,000.

First-Time Homebuyer Tax Credit – Frequently Asked Questions
Here are answers to some commonly asked questions about the tax credit.

What is a tax credit?
A tax credit is a direct reduction in tax liability owed by an individual to the Internal Revenue Service (IRS). In the event no taxes are owed, the IRS will issue a check for the amount of the tax credit an individual is owed. Unlike the tax credit that existed in 2008, this credit does not require repayment unless the home, at any time in the first 36 months of ownership, is no longer an individual’s primary residence.

What is the tax credit for first-time homebuyers (FTHBs)?
An eligible homebuyer may request from the IRS a tax credit of up to $8,000 or 10% of the purchase price for a home. If the amount of the home purchased is $75,000, the maximum amount the credit can be is $7,500. If the amount of the home purchased is $100,000, the amount of the credit may not exceed $8,000.

Who is eligible for the FTHB tax credit?
Anyone who has not owned a primary residence in the previous 36 months, prior to closing and the transfer of title, is eligible. This applies both to single taxpayers and married couples. In the case where there is a married couple, if either spouse has owned a primary residence in the last 36 months, neither would qualify. In the case where an individual has owned property that has not been a primary residence, such as a second home or investment property, that individual would be eligible.

As mentioned above, the tax credit has been expanded so that existing homeowners who have owned and occupied a primary residence for a period of five consecutive years during the last eight years are now eligible for a tax credit of up to $6,500.

How do I claim the credit?
For those taking advantage of the tax credit in 2009, you may choose to either apply for the credit with your 2009 tax return or you may apply for the credit sooner by filing an amended 2008 tax return with Form 5405 (http://www.irs.gov/pub/irs-pdf/f5405.pdf).

Can you claim the tax credit in advance of purchasing a property?
No. The IRS has recently begun prosecuting people who have claimed credits where a purchase had not taken place.

Can a taxpayer claim a credit if the property is purchased from a seller with seller financing and the seller retains title to the property?
Yes. In situations where the buyer purchases the property, even though the seller retains legal title, the taxpayer may file for the credit. Examples of this would include a land contract, contract for deed, etc. According to the IRS, factors that would demonstrate the ownership of the property would include: 1. the right of possession, 2. the right to obtain legal title upon full payment of the purchase price, 3. the right to construct improvements, 4. the obligation to pay property taxes, 5. the risk of loss, 6. the responsibility to insure the property and 7. the duty to maintain the property.

Are there other restrictions to taking the credit?
Yes. According to the IRS, if any of the following describe your situation, a credit would not be due.

•You buy your home from a close relative. This includes your spouse, parent, grandparent, child or grandchild.
•You do not use the home as your principal residence.
•You sell your home before the end of the year.
•You are a nonresident alien.
•You are, or were, eligible to claim the District of Columbia first-time homebuyer credit for any taxable year. (This does not apply for a home purchased in 2009.)
•Your home financing comes from tax-exempt mortgage revenue bonds. (This does not apply for a home purchased in 2009.)
•You owned a principal residence at any time during the three years prior to the date of purchase of your new home. For example, if you bought a home on July 1, 2009, you cannot take the credit for that home if you owned, or had an ownership interest in, another principal residence at any time from July 2, 2006, through July 1, 2009.
Can you buy a home from a step-relative and be eligible for the credit?
Yes. Provided the person you are buying a home from is not a direct blood relative, the purchase would be allowed.

Can parent(s) who will not live in the property cosign for a mortgage for their child and the child that is a qualifying FTHB still be eligible for the credit?
Yes.

Can a separated spouse who has not owned a home for four years qualify for the FTHB tax credit if the spouse has owned a property anytime in the last three years?
No. However, the spouse may be eligible for the repeat buyer credit.

The best path to take in any situation regarding income taxes is to speak with a professional tax preparer or CPA.

Remember, moving can be a stressful time for your pets, as well. Strangers in their ‘dens’ can be quite unsettling. The best thing to do find a safe place for your furry friends to go whether it is family, doggy day care or even a crate in the garage. The goal is to keep them calm and secure, because if you have one, you know…they can be spiteful little creatures.

Oh yeah.  Did you know Texans love their fireplaces?  It brings some monetary value to a home, but the intrinsic value is huge.  It is often a must-have item for my buyers.  Yes, I can actually make a fireplace, criteria on a search.  What I find so amusing though, is the lack of use these must-have items receive. A fireplace is the only house hold ‘accessory’ I can think of, that is often never used.  

I guess its presence brings about an option for use, which simply might be missed without it.  Sure, Santa will use it, even if no one else does.  It’s just symbolic for me of that childhood must-have toy, but once you got – you never played with it.  So, go on Texans – light those fireplaces!  At least, when you fill out those Seller’s Disclosure Notices – you will know if they work!

My top 2 goals as a listing agent, are to sell your home in the shortest amount of time, for the most money possible.  When I’m listing a home, I don’t really care how many homes are on the market.  I just want my listing to shine, so it’s the next one to sell.

Now, I’m not telling you to install $30,000 in granite.  All I am saying is make that Formica the best it can be!

One year young – is not new. You will not be able to price your home equal to a new build, if all other things, like lot location, are equal. This is why certain areas have excess inventory right now. The Resale market is slower in price points in areas where new construction going on. Why buy used, when you can buy new? If your home is listed for resale in these areas, you need to be competitively priced. Its like picking a car off the lot, instead of ordering one.

I always say money has a way of making things disappear. So, maybe you can’t ‘pick your colors’ as with new construction, but if a buyer can save some money on your resale…you may be able to make that existing paint color vanish.

I support local Austin, after all I think its only neighborly.

It’s always interesting for me to tour a development after I have seen models and artist renditions of what’s to come. I have to say 360 delivers and then some. From the pool, to the club room, to the theater room (just bring your DVD) – the building’s amenities and units are impressive.

Prices vary with floor levels and finish outs. If you know anyone who is interested, please have them call me.

Understand when the number of new listings are low, (meaning a surplus of homes don’t hit the market at the same time), the inventory that is already out there starts to diminish. It is just basic supply and demand. When inventory is low, prices are higher, because there are less homes to choose from. I always point this out to sellers when I go on a listing appointment. It’s not just what competition is out there, but how much of it is out there as well.

Week in Market Review

Units for Sale:

Dec. 27 – Jan. 2, 2010

(compared to the same week in 2008)

New listings down this week 17.04%

Pendings are down this week 0.98%

Solds are up 10.05%

As for Average Prices:

Dec. 27 – Jan. 2, 2010

Sold average sales prices increased 13% to $252,483.

In 2008 it was $223,430 for the same week.

I support local Austin; after all I think it’s only neighborly. Need a house? Contact me below.

Doreen Zelma

Realtor, BA, GRI

Keller Williams Realty

T: 512-531-2914

E: dzelma@kw.com

W: www.SupportLocalAustin.com

Sometimes, time matters, in terms a response to an offer.  Nobody likes waiting. Seller’s don’t like to, and neither do Buyer’s, there is always one side that is full of hope and anticipation, and there in that feeling lies the joy in what I do.

I support local Austin; after all I think it’s only neighborly.

The mandatory performance of an energy audit upon property sale is not a Real Estate law; this is a City Ordinance specific to Austin Energy customers.  Will you still close, if you don’t have one?  The answer is yes.  It is my understanding, that if the deed is recorded without the audit recorded with it…the Seller will be fined in accordance with a Class C misdemeanor.  Are we having fun yet?

I support local Austin; after all I think it’s only neighborly.

The Resale market slowed down in price points over $500,000, especially in areas where new construction going on. Why buy used, when you can buy new? If your home is listed for resale in these areas, you need to be competitively priced. Its like picking a car off the lot, instead of ordering one. I always say money has a way of making things disappear. So, maybe you can’t ‘pick your colors’ as with new construction, but if a buyer can save some money on your resale…you may be able to make that existing paint color vanish.

It’s a simple question that can be answered in a variety of ways; from long explanations to one equally simple word “nothing”.  The same holds true in real estate.  When I am on a listing appointment, I have the Seller take me on a tour of the home.  In every room, I ask ‘what’s new?’ or ‘what’s have you done, since your purchase’.  Did you paint, install new fixtures, whatever it is – I want to know.   

Understand, improvements that a Seller has made, will often be translated in a Buyer’s mind, as improvements that won’t need to be done for a while.  When a Buyer walks through a house or sees a list of new things, the Buyer internally says “great new water heater, so I won’t have to worry about that for a while.”  Even the little things that are done to a house can really add up and bring value to a Buyer.  The perception is that the house has been maintained, as needed, all throughout the Seller’s time owning it. 

As a Listing Agent, I always print a list of improvements to leave for potential Buyer’s Agents and Buyers.  I even go the extra step and post it on-line.  It instantly answers the question ‘what’s new’, so buyers can enjoy their visit, without wondering what has been done.

I pointed these fun facts out last week on a listing appointment, because sometimes owners forget what they have when they are selling a home.  Remembering why they bought the house from the inside is usually easy. The area amenities are often forgotten though, and are just as important.  Sometimes, it’s just like anything else – you’ve been driving by that recreation center for so long – that you just kind of forget it’s there.  The same holds true with the pool; no one in the family uses it anymore; so again, it’s just not important.

I even went on a listing appointment last year at a house on Lake Austin and I mean with a 180 degree view of the channel.  Do you know the owner said to me, “you know Doreen; I don’t even see it anymore”.

Amenities, like everything else, are often valued greater at certain times in your life.  You tend to value these things as a Buyer, more than you do when you are a Seller, because you are buying into the lifestyle that the amenities are going to afford you.  When you are the Seller, those same things just aren’t as important anymore, because other things are more important. This is where time travel comes in.  At the closing table the buyer and the seller are typically very similar, but just at different points in time.

I support local Austin; after all I think it’s only neighborly.

Sometimes, its easier for people to list a home during the holiday season.  People tend to shy away from it because they don’t want to move, but forget they are only marketing the house for sale.  Nobody said anything about moving.  There are lots of ways I can keep someone home for the holidays – not to mention, most buyers need a loan, which takes time.

People often find it easier is keeping their house cleaner in the holiday season.   This is a social time of year and with friends and family visiting, so you tend to keep up with the household choirs.  The house also tends to be naturally staged, from holiday decorations, to baking treats. Even the yard becomes low maintenance.

Those four walls generate the feeling of home this time of year, more than any other.  So, its not a bad time to market your property, after all it’s a home people are looking for, not a house.

I went on a listing appointment this week, where all I needed to do was point out the little things that needed to be done. Replacing burnt light bulbs, lampshades, throw rugs, drawer pulls and handles can give a house a mini face lift.  That little extra effort can help to make a great first impression to a buyer. When you do have some free time, here are a few things you light want to add to your list of things to do:

Zilker Tree Holiday Festival

Ballet Austin: The Nutcracker at the Long Center

Ice Skating at Whole Foods