An inside look at the residential real estate market in Southeast Texas including: the hottest neighborhoods, proven home selling strategies, home buying and negotiating tactics, median prices by neighborhood, average days homes are on the market, and professional advice on how to get the best deal when buying or selling a home.

Real Estate Trends

Beaumont's West Neighborhoods: Where are the Most Home Sales?

So you've heard the real estate market is "not great" right now.  You've heard there is an excess supply of home inventory on the market.  You've heard all sort of negative news about the Southeast Texas housing market...

"Have you heard where the homes are selling?" 

Here's a look at the hottest selling neighborhoods in Beaumont's West-end since January 1, 2011. 

Sales by addition 

These are the additions as classified by their legal description.  Averill is over in the Oaks Historic area, including  Hazel, Ashley, Laurelstreets.  Barrington is Barrington Heights off Dowlen.  (If you live in Southeast Texas, you knew that one.)  Dawndale is W2 streets such as Moonmist and Stardust.  Gladys West is off Major, streets include Orchid, Bluebonnet, and Indian Blanket.  Tall Timber are the "wood streets" such as Ebonwood and Galewood. 

Three things worth noting about the "best selling neighborhoods in Beaumont"

  1. Newer neighborhoods - Barrington and Westchase have the highest sales prices.
  2. Of the established, older neighborhoods the Calder neighborhoods are out-selling the others.
  3. Tall Timbers has the closest range of sales prices with less than $1,000 separating all three home sales this year.

There's a lot more you can learn about the best selling neighborhoods in Beaumont.  If you are interested in buying or selling a home here in Beaumont or any part of Southeast Texas, professional advice is one call away. Call me and let me help you make your next real estate decision your best one yet. 

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February Home Sales Data: Southeast Texas

Want to know which neighborhoods had the highest number of home sales for February?  What the median home prices are in the best selling areas and the average days homes were on the market?

Well, you are in luck.  Check out the chart.

Areas_Feb11 

February is not historically one of the best months for home sales.  2011 sticks to that norm.  Only 87 lucky home owners managed to sell their single family home during the month of February here in the Golden Triangle.  *Data from the Beaumont MLS.

The top five things to know about February home sales in Southeast Texas:

  1. The top selling area was Beaumont's W2 neighorhood with 12 home sales recorded.
  2. Beaumont's W4 area with neighborhoods such as: Barrington Heights, Fairfield and West Chase had the highest median sales price of $289,000.
  3. The most affordable westend neighborhood in Beaumont is still W3 - the area roughly between Phelan and College. 
  4. All of the top selling areas in Southeast Texas had an average days on the market of over 100.  Translation = Its taking home sellers about four months on average to sell.
  5. Its still a buyers market in Beaumont, Lumberton, Vidor and all of Southeast Texas.  The inventory of available homes is close to an 11 month supply.

The last thing to know about the housing market in Southeast Texas is that it is still an incredible time to buy a home.  Disclaimer:  "Yes, I sell houses for my profession.  Honestly, I've never seen a better time to buy a home.  No, it won't be this way forever."  If you are ready to act now, call me today and we'll find you a great home at a great price.

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Average Home Sales Prices in Beaumont, Texas

Okay, for those of you who are new to Southeast Texas Real Estate Talk, here's something you should know.  The best source - in my opinion- for residential real estate data for the whole state of Texas is The Real Estate Center at Texas A&M. 

When it comes to real estate data, they rock.  Take a look at this chart.

Beaumont sales&price 
You can find it on The Real Estate Center's website under Beaumont Market Data.  Here's five trends to consider:

  1. 2010 had approximately the same number of home sales and the same average price as 2001.
  2. 2003-2009 had higher sales and a higher average price than we had in 2010.
  3. The market peaked in 2007.
  4. Sales are off approximately 24% since the peak in 2007.
  5. *The average home price is down about 30% since 2007.

Don't be confused.  That doesn't mean the average home has lost 30% of its value.  It means more homes under $100,000 are being sold today which brings the overall average price down. 

Want to learn more about the Beaumont, Texas housing market.  You can log on to The Real Estate Center's Website and study up or you can contact me and let me do the work for you. 

 

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Selecting the Best Broker to Represent You in a Residential Home Sale or Purchase Transaction

Southeast Texas offers home buyers and sellers a lot of choices when it comes to working with a professional real estate company.  So how do you know which real estate broker is the right one to represent you in a home purchase or sale?  Well, one place to start is with the market leader.  Take a look at the pie chart.

Broker market share 

Coldwell Banker Southern Homes had the highest percent of market share in January 2011 for all homes sales recorded in the Beaumont MLS.  The pie chart shows the percent market share of the Northern sector of the Southeast Texas residential housing market. 

Here's something else you will want to know.  Right now there is a 16 month supply of homes in the Northern sector.   If you are serious about getting a good deal when buying a home in Southeast Texas you are going to want to work with the best real estate broker and agent you can find.  

If you want to make sure you choose the best agent for you, contact me.   My service guarantee is in writing and you don't pay a real estate fee until you close on a home. 

 

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Beaumont, Port Arthur and Lumberton Fair Better Than Most in Foreclosure Filings

I'm sure you've heard all the news talk about the problems "foreclosures" are causing in towns across the country.  People call the office daily requesting information on foreclosures.  Interesting thing in Southeast Texas, there really aren't that many homes in foreclosure.  Certainly not like parts of the United States.  Take a look at this chart. 

2010 foreclosures 

Now, don't be confused.  The longer the line the better shape a town is in.  Take the Lumberton, Texas housing market for example- one out of 6,333 homes had a foreclosure notice filed in 2010.  Orange County, Texas was not far behind with only one out of 4,338 homes receiving a foreclosure notice in 20io.  Beaumont, Texas had one out of every 940 homes receive a foreclosure notice but receiving a notice is different than having an actual foreclosure occur. 

Each month in Jefferson County somewhere around a hundred foreclosures notices are filed by lien holders but each month at the foreclosure auction less than 20% of those homes end up being sold at a foreclosure sale. 

Its not to say you can't find some good deals on foreclosed homes in Southeast Texas, but there aren't as many as one might think.  Its important to know what to look for in a foreclosure and how to negotiate with the lien holders.

A professional REALTOR can save you from making a big mistake.  Many of these homes are in need of repair.  If you are interested in finding out more about homes for sale in Beaumont, Lumberton or any part of Southeast Texas contact me.  My experience can save you money and help you find the best home for your family at the best price.

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Southeast Texas Neighborhoods with the Most Home Sales in 2010

2010 most sales 

It won't go down in the record books as a great year for home sales in Southeast Texas but in case you are wondering which neighborhoods, towns and communities did have the highest number of home sales the chart above shows you the best of the best. 

Five things to think about:

  1. Each area averaged over 100 days for homes to be on the market.  (Note to self, if you are planning to sell, you'll probably want to plan on at least a four month marketing time.)
  2. Most buyers used FHA financing (640), 2nd place Conventional (625), third place Cash (506).
  3. 1,962 is the total number of residential home sales in Southeast Texas for 2010.
  4. Less than 2% were homes priced above $500,000.
  5. Of the 1,962 single family homes that sold:  38 wer mobil homes,  3 were modular homes and  9 were patio homes. 

Now for the answer to the question, "Did more homes sell in 2009 or 2010?"  More homes sold in 2009.  As mentioned earlier 2010 won't go down in the record books as a great year for home sales in Southeast Texas but in case you are wondering, 2011 looks like it might be. 

Call me if you would like more information about the Southeast Texas residential housing market. 

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Beaumont, Texas Residential Market Share, Oct. 2010

Market share Oct 10 

Four other statistics worth noting about the residential market share for the month of October:

  1. 2010 vs 2009 there was a 16% sale decline in transaction sides
  2. 2010 vs 2009 there was a 5.6% decline in dollar volume
  3. Coldwell Banker Southern Homes was down by 2 sides/sales and up 1.2 million in volume from October 2009 figures.
  4. Coldwell Banker Southern Homes participated in 50% of the sales of residential homes priced over $400,000 in October. 

If you are planning to sell your home in Beaumont, Texas  or buy a home in Beaumont, Texas why would you work with anyone other than the company that handles most of the sales. Work with the market leader Coldwell Banker Southern Homes.  Contact me today and let's get started.

 

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October Home Sales in Southeast Texas

These numbers are not quite official yet, but as of today there were 134 homes that sold- ownership transferred to a new owner- in Southeast Texas during the month of October.  While 134 might not mean much to you taken as a stand alone number.  It starts to mean more when you look at the same month (October) for the past five years. 

Five year history of Southeast Texas homes sales in October:

  • 2009 = 165
  • 2008 = 178
  • 2007 = 185
  • 2006 = 183

Most of the real estate professionals I know will call 2006 and 2007 the boom years, the height of the real estate market here in Southeast Texas and across most of the country.  Most of us are also thinking 2010 is going to represent the trough. 

That said, "peak to trough home sales are down 28%."

Let's hope 2010 is the trough.  Another residential housing statistic worth noting is the change in months supply of inventory (the number of homes available for purchase divided by the monthly sales over a six month period).  Take a look.

  • Jan. 2008 = 6.4 months supply, Oct. 2008 = 7.7 months supply
  • Jan. 2009 = 7.2 months supply, Oct. 2009 = 8.9 months supply
  • Jan. 2010 = 9.5 months supply, Oct. 2010 = 11.7 months supply

Keep in mind a six month supply of inventory is considered a balanced market according to the Real Estate Center at Texas A&M.  When there is an excess supply of inventory -there are more homes (more sellers) than there are buyers- the market is considered a "buyers market." 

With all that said, here's October's big three home sales statistics.

Oct Sales 

What's my opinion of the Southeast Texas real estate market right now?  It is a great time to be a buyer! 

 

 

 

 

 

 

 

 

 

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Home Sales in Southeast Texas: Five Year History

Let's start with a disclaimer:  Home sales include all areas of Southeast Texas including: Lumberton, Orange, Vidor, Sour Lake, Mid-County.  All data is from the Beaumont, Texas Multiple Listing Service.

Now let's look at the data!

5yr_Q3

First chart above shows the total number of homes that sold each month for the past five years.  Three facts worth taking note of:

  1. 2007 is clearly the peak of the Southeast Texas housing market.
  2. 2010 is clearly the trough of this five year cycle.
  3. The month with the fewest overall sales is September 2008 (remember Hurricane Ike?)

Second chart below shows the trend line of total sales from Q1-Q3 for the past five years.  

5yr_lineQ3
The number 1 represents the year 2006.  The number 2 represents the year 2007.  So on.  You get the picture.  Three facts worth taking note of:

  1. From peak to trough sales are down approximately 28%.
  2. Since 2007 the total number of sales has been on a downward trend.
  3. 1,664 is the average number of sales through Q3 during the five year history.

Third chart below is for the number crunchers reading this post. This one will show you the number of sales by month for each year.  

5yr_dataQ3

Three facts to think about:

  1. Do you think this is the bottom of the cycle?  
  2. What do you think it will take to get the Southeast Texas housing market back on track?
  3. There will probably never be a better time to buy a house than right now. 

Let me know what you think about the Southeast Texas housing market.  Comments are always welcomed!  Better yet, contact me if you are ready to seize this opportunity and buy a house before the chance of a decade passes us by.

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Beaumont Home Prices Show Steady Upward Trend

If you have ever wondered about investing in real estate, today's post is for you.  My husband and I have often thought we would make more money investing in real estate than investing in the stock market.  So I decided to look at a typical ten year return on the average home prices here in Southeast Texas.

My data is from the Beaumont MLS.  For consistency I used the month of April from each year to see what the average home sold for.

Here's the data neatly formatted on an easy to read graph for your viewing pleasure.

10yr Price Avg

Your ten year return on investment, if you bought a typical home in 2000, and sold it today would be close to $35,000.  That doesn't take into account how much equity you may have built up paying on your mortgage for the same ten year period.  If you have a tenent paying the mortgage for you, you'll be even further ahead. 

In fact the only three year time frame where you would not make a profit on your investment would have been if you bought in 2002 and sold in 2005.  If you waited to sell one more year and sold in 2006 you would have potential made a 10% profit.  The average home sales price in Southeast Texas for April 2010 has not been released yet.  There is an error in the data that needs to be fixed. 

Since the peak of home prices in 2009 the market has seen a small decrease in our average home prices.  The decrease is less than 5%. 

If you plan to use your home as an investment, the golden rule is still to own for at least three years. 

If you want more information about buying investment properties in Southeast Texas, contact me.  We can get started building your real estate portfolio right away.

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