3 Top Hidden Costs of Owning a Home

It isn’t hard to figure out what your cost of living is when you rent, but what about when you become a homeowner?  Surprisingly, there are a few costs that many first time homebuyers overlook and they can sure add up quickly!

1. Utilities:  We’re not just talking about water, cable and electricity – what about pest control, lawn service and alarm/security systems??  Make sure you’re allowing a little wiggle room each month in order to accommodate these necessary and somewhat hefty costs.

2. HOA dues:  Whether you’re a home or condo owner, the monthly rate can jump with any improvements/violations that are assessed by the HOA.  It’s important to understand the bylaws within each community and keep a copy of them for easy reference.

3. Private Mortgage Insurance – If you are not putting 20% down on a loan, you will have to have mortgage insurance.  Over the past few years, the cost for this has risen dramatically while interest rates still remain low.  Be sure to talk with your lender about each of the costs associated with a loan and your specific financial situation.

Home Sales on the Rise – CNN.com

For the second month in a row leading into September, existing home sales are on the rise and there is hope from many that this will lead the way to a housing recovery.

“Sales of previously owned homes rose 10% to a seasonally adjusted annual rate of 4.53 million units last month, the National Association of Realtors reported Monday. That was up from a 4.12 million rate in August,” according to CNN.com.

This report was a shock to many economists who had predicted a slight recovery in the upcoming months after home sales sank 27% in July.  While this is great news, some housing economists are predicting that the stop on foreclosures in October will impact these statistics over the next few months. 

“A housing recovery is taking place but will be choppy at times depending on the duration and impact of a foreclosure moratorium,” Lawrence Yun, NAR chief economist.”

Keep updated with the latest housing news by viewing this blog post or going to ATXHomesSales.

Save 42% on Energy Costs

According to the Austin Business Journal, Austin Energy is ramping up for their newest program to save property owners money on making their homes more energy efficient.  The old program allowed up to a 20% rebate while this one would pay up to 42% of the costs for  whole-house energy efficient improvements.

From now until December 20th, Austin home owners can apply for “Home Performance with Energy Star Rebate” which ”allows for 0 percent loans and up to $2,300 worth in Texas Gas Service rebates and federal tax credits.”  Loans can range from $8500 – $20,000 for three to 10 years.

On October 26th, a news conference will be held announcing major details about the upcoming program so be looking for more information at that time.

It’s Good to be in TEXAS – An Analysis of Income & Housing Costs

The Real Estate Center at Texas A&M University recently studied the Texas economy and housing market as it compares to the rest of the nation.  They discovered some very important findings; further explained, the Texas housing market fared better than any other state and the Texas economy is expected to show greater signs of improvement in the upcoming months than the rest of the nation.

“Texas’ lower-than-national-average housing cost is one reason for the state’s higher-than-national-average growth rate,” says Ali Anari, Ph.D., a Center research economist and one of the study’s authors.  “When Texans are able to spend more on non-housing goods and services, the state’s economy is strengthened and more people attracted.”

“These results illustrate one of the key reasons the Texas economy outperforms the United States in terms of job growth almost every year,” says Center Chief Economist Mark Dotzour, Ph.D. “The fact that Texans pay less of their income for housing means they have more to spend on other things that add to the overall quality of life. Texas offers a lower cost of living than many places in the United States.

In essence, lower housing costs allows employers to satisfy wage rates that attract workers therefore allowing them to compete in the global economy. Go Texas!!

It's Good to be in TEXAS – An Analysis of Income & Housing Costs

The Real Estate Center at Texas A&M University recently studied the Texas economy and housing market as it compares to the rest of the nation.  They discovered some very important findings; further explained, the Texas housing market fared better than any other state and the Texas economy is expected to show greater signs of improvement in the upcoming months than the rest of the nation.

“Texas’ lower-than-national-average housing cost is one reason for the state’s higher-than-national-average growth rate,” says Ali Anari, Ph.D., a Center research economist and one of the study’s authors.  “When Texans are able to spend more on non-housing goods and services, the state’s economy is strengthened and more people attracted.”

“These results illustrate one of the key reasons the Texas economy outperforms the United States in terms of job growth almost every year,” says Center Chief Economist Mark Dotzour, Ph.D. “The fact that Texans pay less of their income for housing means they have more to spend on other things that add to the overall quality of life. Texas offers a lower cost of living than many places in the United States.

In essence, lower housing costs allows employers to satisfy wage rates that attract workers therefore allowing them to compete in the global economy. Go Texas!!