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Old 01-21-2008, 01:58 PM
 
Location: Great State of Texas
86,052 posts, read 84,125,061 times
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Well the housing bubble problems have made their way to Central Texas.

Residential foreclosures up 56%.

Residential foreclosures shoot up 56% - Austin Business Journal:
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Old 01-21-2008, 02:18 PM
 
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I wouldn't say housing bubble. Austin is not in a bubble. Yes, there are foreclosures everywhere but Austin is still booming in certain areas.
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Old 01-21-2008, 02:40 PM
 
259 posts, read 1,320,011 times
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Quote:
Originally Posted by llkltk View Post
I wouldn't say housing bubble. Austin is not in a bubble. Yes, there are foreclosures everywhere but Austin is still booming in certain areas.
Well, you might be correct........if,.... the foreclosures are selling out for almost comparable listing prices. But, I'll go out on the limb and speculate otherwise. Inventory levels invariably affect selling price. I can't imagine Austin is immune.

What might be a little safer rebuttal is that the ramp-up of housing prices has not been as steep in Austin the past couple of years, and Austin employment grows continuously, therefore, the industrywide price correction is not expected to produce the double digit price declines here.

And if prices are otherwise going up, I've got to get busy chewing on that hat.
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Old 01-21-2008, 02:51 PM
 
Location: Great State of Texas
86,052 posts, read 84,125,061 times
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I only put this here so that people contemplating leaving their jobs and moving to Austin can see that we are not immune to the overall economy and what is currently happening in the nation. We may not be hit as hard but I think we will feel something.
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Old 01-21-2008, 03:07 PM
 
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I agree that Austin will not be able to withstand the effects of the (likely) coming economic recession, nor the lending crisis. But some of the basics we discuss here (like fundamentally strong neighborhoods) is reflected in the stats, with 98% increase being seen in Williamson county vs. 38% in Travis.

The foreclosures, while not reselling at near comparable prices for a new home being built, are probably going to sell for closer than in other markets because of the property tax burden. That's kind of reigned in property value appreciation, which will help in the long run.

The bad part, and it will be worst in most other places, is that so many people have too much of their net worth tied up in equity that might not really be there. I can definitely see how people would be a little more lax about racking up credit card debt, etc, if they felt they could cash out their $$$ equity at any time... it's a dangerous scenario, and when people realize this, they'll stop spending. Then the economy will be in some real trouble. Not looking forward to that, but there is always a silver lining. I'm not 100% sure what it is, but I'm hoping for cheap downtown condos
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Old 01-21-2008, 03:24 PM
 
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Actually, I'ver heard the decreases are in Williamson county.
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Old 01-21-2008, 03:29 PM
 
Location: The Big D
14,862 posts, read 42,681,737 times
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The numbers are skewed right now. There was an article in last weeks Dallas Morning News about the numbers even rising here in the last reporting. BUT, one key reason WHY is that the state allows only certain days of the month that properties can be foreclosed on. I want to say it was the 1st & 3rd Tuesday of the month. I know it was the 1st Tuesday for sure. Since no one could foreclose on the 1st Tuesday of January 2008 as it was New Years Day and everything was closed it forced them all to be sent to the next time.
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Old 01-21-2008, 04:01 PM
 
Location: Great State of Texas
86,052 posts, read 84,125,061 times
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Quote:
Originally Posted by momof2dfw View Post
The numbers are skewed right now. There was an article in last weeks Dallas Morning News about the numbers even rising here in the last reporting. BUT, one key reason WHY is that the state allows only certain days of the month that properties can be foreclosed on. I want to say it was the 1st & 3rd Tuesday of the month. I know it was the 1st Tuesday for sure. Since no one could foreclose on the 1st Tuesday of January 2008 as it was New Years Day and everything was closed it forced them all to be sent to the next time.
Yes, the article states that some of the numbers may be from January. But they were also cautious in saying the high numbers were because of that.
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Old 01-21-2008, 04:02 PM
 
Location: South Austin (Circle C)
260 posts, read 1,327,676 times
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Our MLS system incorporates all areas surrounding Austin so you can't take the data and spread it across the board. Most of the foreclosures that have increased the stats are happening in SE Austin, and the eastern surrounding areas such as Bastrop, Taylor, Hutto, Thrall, Smithville etc. On the contrary to this stat, Hays County foreclosures are at the lowest level in 10 years.
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