What is up with Frisco real estate? (Houston, Dallas: homes, buying)

[BigDGeek]

Originally Posted by frenzyrider

I understand that but I can tell you for a fact that a friend bought a new construction of highland homes right up and close to 121 at $110/ sqft same time last year. How can it now be $120+ sqft for the same plan on a smaller lot? Location is about the same and quality of highland homes did not bite a golden nugget in quality within the year. I have seen people (transplant from CA) at a builder say "that is not bad at all" for a $600k/ 3890 sqft home in Richwoods. I understand Richwoods is all fancy dandy but seriously that much?

I mean I am at loss of words for the prices that spiralling high. We want to stay in the home for at least 10 years with two little ones who will get ready in the next few years for KG so we are just consoling ourselves that may be we have to bite the bullet... sadly.

Welcome to Dal-Angeles, Dallifornia.

[frenzyrider]

Originally Posted by BigDGeek

Welcome to Dal-Angeles, Dallifornia.

haha. Thanks BigDGeek but I am from DFW area so that is why the sticker shock

[sapphire]

Hmmm, I wonder how a used custom home in the northern end of Carrollton would sell? We're thinking of putting ours on the market. Just trying to downsize a bit.

[highcotton]

Originally Posted by biafra4life

I'm starting to think that the days of buying a brand new 4,000 square foot home in Frisco for $200K are slowly coming to an end, if they havent already.

braforlife,

..."a brand new 4,000 square foot home in Frisco for $200K"... Beg your pardon... That would be $50 SqFt. Hell, a small building lot in a lot of areas around here is valued at far more than that. $50 SqFt might get you a lean-to with a rusty piece of old tin for a roof across the Mexican border. What are you thinking!

[EDS_]

Originally Posted by highcotton

The better, more desirable and high-end areas can be well over $200 SqFt. It's all 'bout - Location, Location, Location...and Quality, Quality, Quality.

The most desirable areas around here can be $1,500+ per sqft.

[highcotton]

Originally Posted by EDS_

The most desirable areas around here can be $1,500+ per sqft.

Yep. As I said; "can be well over $200 SqFt."

[Pfhtex]

Look at the (lack of) inventory. Not a bubble. Mortgage guidelines have been extremely constricted for more than six years now. No expiring teaser ARMs, nothing like that. It took a while, but there are also old-school bidding wars happening on properties in Florida, CA, and the Pacific Northwest.

[frenzyrider]

I do think that PCR is over priced though for the location. I also see more inflated pricing especially from Highland Homes.

Originally Posted by Pfhtex

Look at the (lack of) inventory. Not a bubble. Mortgage guidelines have been extremely constricted for more than six years now. No expiring teaser ARMs, nothing like that. It took a while, but there are also old-school bidding wars happening on properties in Florida, CA, and the Pacific Northwest.

I would agree there are very few inventory homes but it does not mean it is not a bubble. This is because the bubble cannot just happen from a supply standpoint, it can happen from demand falling (inventory homes or not... the base price has to drop in that situation). I think most people buying in that area are relo from east or west coast (the RE agents here can help out with that statistic). The day that trickles to a stop and the economy picks back up (pushing up the interest rates), I think large developments can have problem. This is why I think PCR with 3700 homes and 10 year build horizon can be in trouble until they reach the tipping point that Richwoods has reached. To a lesser extent would be Richwoods affected (may be) because it has good location and it seems it has been keeping a good pace of selling with 25-30% of the entire Richwoods community already sold or in contract.

[BigDGeek]

It's getting even nuttier in Richardson; a new listing came on this week priced at $160/sq ft.

That works out to a house that is less than 2k sq ft selling for OVER $300k!

Nuts!

There's an open house this weekend, I'll be going for sure.

That may not seem like much in some parts of town but trust me, for my part of town...it's crazy high.

[ThanksForYourInput-]

Do you think homes in frisco are good investments?