Property sales throughout the greater Houston area ended 2008 as they began, with lower volume following two consecutive record-setting years. Overall property sales fell 16 percent last month when compared to December 2007, and sales of single-family homes were down 13.5 percent, according to monthly data released late-January by the Houston Association of Realtors (HAR). However, the figures show dramatic improvement from November, when both total property and single-family sales volume declined by more than 30 percent.

The average price of a single-family home in Houston dropped 10.4 percent last month to $192,135 compared to December 2007, but rose 1.0 percent to $208,266 on a year-to-date basis. At $145,000, the median price of a single-family home in December fell 6.1 percent year-over-year. The median price represents the figure at which half of the homes sold for more and half sold for less. On a year-to-date basis, the median price was unchanged at $152,000.

Sales of all property types in Houston for December 2008 totaled 5,126, off 16.0 percent compared to December 2007. Total dollar volume for properties sold during the month was $960 million versus $1.2 billion one year earlier, a 24.5 percent decline. Full-year 2008 sales of 69,220 properties produced $14 billion in total dollar volume, which was 15.9 percent lower than the 2007 full-year total dollar volume, but flat in comparison to 2005.

Rental properties remained in high demand in December, with leases of single-family homes up 26.2 percent and townhouses/condominiums up 24.6 percent on a year-over-year basis. This continues to suggest that many consumers are opting to rent property instead of purchase until they're convinced of meaningful improvement in the economy.

"Lower mortgage rates are a good first step to reviving the real estate market, but many consumers are looking to Washington for the full scope of the economic stimulus plan before committing to major spending," said Vicki Fullerton, HAR. "This wait-and-see approach has kept Houston's rental market strong, and even with December's lower home prices, we're maintaining an even keel when you compare Houston to the national picture."

As with all metropolitan areas, market conditions vary widely by specific neighborhood. These real estate statistics are important to understand the Houston market at large, but they don't reveal whether this is a good time to buy or sell for you. Call me any time to sort through the facts about your personal situation and to understand the market influences that affect your specific neighborhood.

Data Source: Houston Association of Realtors

For the fourth straight year, Texas is the top state Americans are moving to, according to Allied Van Lines, which annually tracks US migration patterns. Texas had the highest net relocation gain (inbound moves minus outbound moves performed by Allied Van Lines) of 1,903 in 2008.

"With the continued job growth we're seeing in major cities like Dallas and Houston, and very affordable home prices statewide, Texas is still the place to be," says Brooke Hunt, 2009 chairman of the Texas Association of Realtors (TAR).

Texas' 9,879 total Allied shipments (inbound and outbound moves) in 2008 ranked second behind California, which had 11,400. But more people moved out of California last year, enabling Texas to retain its status as the number one "moving-to" state in the country. In fact, according to new data from the US Census Bureau, Texas gained more residents between July 2007 and July 2008 than any other state. Texas gained 484,000 residents during the 12-month period, followed by California (379,000), North Carolina (181,000), and Georgia (162,000).

Sources: Allied Van Lines, US Census Bureau, Texas Association of Realtors

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Home air filters, also commonly called "furnace filters", keep the coils and heat exchanges on the heating and air conditioning system clean. Most people know that changing the filters cleans the air that you and your family breathe. But you may not know that filters prevent dirty coils and heat exchanges that make the system work harder. Keeping the filter clean helps prolong the life of your HVAC unit, and ultimately saves you money.

The variety and amount of particles in your home's air will depend on how many people and pets live in the house and what types of activities go on there. People with allergies or asthma should be extra diligent about keeping home air filters clean.

The most important thing to remember about home air filters is to change them regularly. Even the highest-quality filter can't do its job right if it's clogged with a thick layer of particles it's been filtering from the air. Different filters are meant to be changed at different intervals, but once a month is a common time frame. Brand new homes, as well as homes where there is remodeling or construction going on, will need more frequent filter changes to compensate for the extra dust and residue in the air.

If changing filters monthly, pick a certain monthly cue, such as the arrival of the electric bill, as a time to check and change the air filters. In the long run, you'll be healthier and happier.

Data source: Lowes.com

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Everyone knows that in most cases you'll need at least a small down payment to purchase a home … but that's not all. You'll also need to come to the transaction with money for closing costs, which can be sizeable.

Your lender is required by the Real Estate Settlement Procedures Act (RESPA) to provide a good faith estimate of your closing costs. This estimate is an itemized list of fees you'll pay to get a loan.

Mortgage closing costs cover things like appraisals, attorney fees, title insurance, taxes, and other expenses associated with getting a loan.

A property appraisal is generally required by a lender before loan approval to ensure that the mortgage loan amount is not more than the value of the property. An appraiser is needed to make this determination.

A survey of the property is usually required to verify that boundary lines for your property, easements, and fences are where they're supposed to be.

You're about to buy the home … after that, you'll own it, right? Well, in some cases, there may be a lien on the property, or some historical dispute to your right of possession. A title search fee is paid to the title company for doing detailed research on the property records for your home. The title company will look at prior deeds, court records, property and name indexes, and many other documents. This is to ensure that there are no liens or problems associated with your ownership of the property.
You'll need homeowner's insurance, which covers the costs of rebuilding should an insured event occur. In some cases, your first year's insurance may be paid at closing.

Other fees that you may see include attorney fees, courier fees, pest inspection, plat drawing, underwriting, flood-zone certification, document preparation, and others.

It's important to check your lender fees and closing costs carefully, and don't be afraid to ask for advice … the only bad question is one that you don't ask. This is where your Texas Realtor can help.

Source: Texas Association of Realtors

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