Summer Market

Even though the Austin market is good right now, the rest of the country continues to struggle.  If you take a look at the graph below, you'll notice a slight dip in July.  This is normal for July over June. 

The data we have suggests that August will make a strong jump up as there are over 3600 houses pending, but with the many issues plaguing our country - unemployment, debt, an unstable political environment - we can't expect to continue to be one of the very few exceptions forever. 

The wise thing for many homeowners today is to consider refinancing.  If you can drop your interest rate by 1% you should consider refinancing.  If you can drop by more than 1%, it’s a no brainer….do it.   

What happens in Vegas

As predicted, the Austin housing market is much better now. Much better! People are buying houses, and for a very long time that just wasn’t happening at a health rate. All the good number said it would happen and now that it is we can feel better and spend some money. Guess what, we’re spending money in Austin. Retail sales are up, and thus sales taxes are coming in.

So now what? Has the sky turned to a nice shade of green $$$? Not yet, but it might. Let’s remember that what started in Vegas has not ended. Those yaks are still in financial pain. So are Florida, Michigan, California, and many other very nice places to live. Might they still take us down the drain with them into foreclosure hell? I don’t think so, but I’m going to keep my eyes peeled and see if they follow our lead.

For now let’s be happy that we live in one of the few places in the US that is thriving. When all this stuff started to happen I wrote to you that we would be one of the last to get hit and one of the first to come out of the haze. That prediction feels like it is coming to pass. Job growth, unemployment, new home starts, retail sales, and commercial construction are all going in the right direction.

I’ll watch the markets, you go spend some money. Maybe buy a house or two.

Austin American Statesman article about how experts say Austin home starts could jump as much as 10% in 2012