Seasonal summer home buying and continued activity among first-time homebuyers translated to a significant improvement in single-family home sales across greater Houston in July, with the highest volume since July 2008 and the second highest median price in history.

This comes despite year-over-year declines in overall property sales of 5.1 percent and 4.4 percent for single-family homes, according to new monthly data compiled by the Houston Association of Realtors (HAR). However, those declines are the smallest recorded since the economic downturn began in the fall of 2007.

At $163,000, the July single-family home median price—the figure at which half of the homes sold for more and half sold for less—rose 1.5 percent from one year earlier to the second highest price ever. The highest median of all time, $164,500, was reached in June 2009. The average price of a single-family home in Houston dipped 1.8 percent last month to $220,030 compared to July 2008. That represents the second highest average price since August 2008.

Foreclosure property sales continued to slow in July, making up 16.6 percent of all single-family home sales in the Houston area compared to 18.0 percent in July 2008 and 34.0 percent in January of this year. The median price of July foreclosure sales reported in the Multiple Listing Service (MLS) declined 2.8 percent from $92,664 to $90,000 on a year-over-year basis.

Sales of all property types in Houston for July totaled 6,744, off 5.1 percent compared to July 2008. Total dollar volume for properties sold during the month was $1.4 billion versus $1.5 billion one year earlier, representing a decline of 6.2 percent—the smallest since November 2007.

"Strong pricing performance, an easing decline in sales volume and the slowdown of foreclosure sales make for very positive indicators about the state of Houston’s real estate market," said Vicki Fullerton, HAR chair. "We look forward to further improvement as the tax credit incentive, historically low interest rates and an attractive variety of housing inventory continue to draw buyers to the marketplace."

Source: Houston Association of Realtors

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New state legislation means new rules for Texas drivers, effective September 1. Be sure your friends and loved ones know about these important new rules to avoid tickets and fines:

Seat Belts: HB 537 requires all occupants of a vehicle, no matter their age, to be secured by a safety belt, no matter where they are seated in the vehicle (including the back seat); changes the definition of a passenger vehicle to include a passenger van designed to transport 15 or fewer passengers including the driver; removes the current exemption for third-party Medicaid transportation provisions regarding the use of child passenger safety seats; and prohibits a motorcycle operator from carrying a passenger under the age of 5 unless the child is seated in a sidecar attached to the motorcycle.

SB 61 amends the existing statute regarding child passenger safety seats. The bill requires that any child younger than 8 years of age be restrained in an approved child passenger safety seat unless the child is at least 4 feet, 9 inches in height. The fine is no more than $25 for a first offense and $250 for a second offense. The law also creates a new court cost for conviction of an offense under this section to be collected and used by TxDOT to buy safety seats for low income families. The law becomes effective on Sept. 1, 2009, but tickets for this offense cannot be issued until June 1, 2010. Police officers are allowed to issue a warning before that date.

Driving: HB 55 makes it illegal to use a wireless communication device (ie a cell phone or blackberry) in a school zone unless the vehicle is stopped or a hands-free device is used. Cities or counties wanting to enforce this law must post a sign at the beginning of each school zone to inform drivers that using a wireless communications device is prohibited and the operator is subject to a fine. It is a defense to prosecution if the operator was making an emergency call.

Source: Texas Department of Public Safety

Two metro areas in Texas have been named among the hottest buyers markets by Housing Predictor, a real estate analysis and forecasting site.

The top 10 buyers markets listed by Housing Predictor at mid-year are markets that aren't necessarily big arts and entertainment centers, mostly found in smaller communities.

Amarillo, Texas takes the first position as the nation's top buyers market in 2009 with the highest likelihood of housing appreciation over the next few years. Austin, Texas and Tucson, Arizona are the largest metro areas to be named to the list possessing the highest probability of growing through the recessionary economy over the next few years. As a high-tech hub, Austin will have what it takes to not only sustain the downturn but see home values inflate.

Listed from highest forecast appreciation to lowest.

10 Hottest Buyers Markets:

1. Amarillo, TX

2. Sioux Falls, SD

3. Biloxi, MS

4. Logan, UT

5. Bismarck, ND

6. Bozeman, MT

7. Baton Rouge, LA

8. Austin, TX

9. Casper, WY

10. Tucson, AZ

Source: Housing Predictor

There are a variety of factors that contribute to a home languishing on the market, including price, condition, and location. Pricing the house too high is one of the top reasons homes fail to sell. When setting an asking price, it's important to do your homework. Conduct market research and ask your Realtor for a comparative market analysis (CMA).

As a homeowner, try to stay on top of market conditions. Is real estate in your neighborhood relatively hot? Visit some open houses and see what others are doing. What terms and conditions are other sellers offering buyers?

Most buyers want to walk into a home that is in model condition. Although it may be difficult, you should walk through your house as if you are a potential buyer, being very critical and asking whether you would purchase a home in this condition. It may be as simple as getting that stove to shine, or you may need to do a little more like adding a fresh coat of paint to your home’s exterior. Whatever the case, talk to your Texas Realtor about staging your home to sell.

The third big reason a house won’t sell in a good market is location. Such things as undesirable schools, a higher crime rate, a busy road, or noise pollution can mark a bad location. If your house is located poorly, you may have to compensate with a lower listing price. Favorable terms, such as owner financing or a lease with options, could also help sell your house. Your Texas Realtor can recommend a strategy for selling that will overcome a poor location.

Source: Texas Association of Realtors

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