Househunting in Houston & Sugar Land...I am so over it! Talk me back from the ledge, guys? + (sale, real estate)

[houston-nomad]

Originally Posted by skybluesky

We have family that lives in Sugar Land, so we decided if we're going to move further out, it might as well be in the direction of family and future child care help. Pearland doesn't seem well planned out (highway access, alternate routes, etc.) and is devoid of trees. Katy's tax rates are ridiculous, at least in newer sections, and I don't like the 'feel' of newer Katy. Older Katy has better tax rates, but that's where I'm seeing 200k+ homes in bad shape with no seller flexibility. Cypress is out because I refuse to use 290 as my commute road into town. I'm not familiar w/ League City or Friendswood, but will check those out. I was looking into Fall Creek on the NE side of town, the homes are nice, commute seems better, but the tax rate and HOA are very high.

Here's what I'm looking for, under 230k:
>3-4 bedrooms, 2-3 bathrooms
>Open floorplan (but not "the kitchen is IN the living room" layout)
>Somewhat upgraded kitchen (as in, doesn't look like it's straight from 1980. I'm ok w/ painting cabinets and changing countertops, other visual details)
>A second living area, whether it be an office/den/gameroom that is separate from main living room
>Trees, maybe? Hopefully?
>No major foundation probs, old roof, old HVAC system, water damage
>Good elementary school (prefer good overall school zoning, for resell value)
>No highway noise from the backyard or inside the house (I'm looking at you, Long Meadow Farms...)
>Tax rate under 3%
>Feels safe and quiet

Neither of us have a permanent office location. We're both consultants so the project could be anywhere. I'm currently on the NE side of town, and he's in the Galleria area. Who knows where the next project will be...

Why not look at Westbury/Willowbend? Still some deals to be had. Plus you'll see very good appreciation in this neighborhood (better than in the burbs) so if you decide you want something different in 5 years, you'll have a bigger budget to play with at that point. Something like this:
4539 Warm Springs Rd, Houston, TX 77035 - HAR.com

[skybluesky]

Originally Posted by houston-nomad

Why not look at Westbury/Willowbend? Still some deals to be had. Plus you'll see very good appreciation in this neighborhood (better than in the burbs) so if you decide you want something different in 5 years, you'll have a bigger budget to play with at that point. Something like this:
4539 Warm Springs Rd, Houston, TX 77035 - HAR.com

That is a cute house. I have HAR searches set up for these areas, but everything I've liked appears to be a flipped house listed at 200-250k, with a 2012 tax appraisal of 90-125k. I wonder about appraisal issues with that when trying to get a mortgage. Are these sellers just waiting for a cash buyer?

[hendersj31]

That appraisal value means almost nothing when it comes to getting loans. Comps will hold more weight. And yes, sometimes they do wait for a cash buyer or in the event of multiple offers sell to someone who pays cash. This is of course in the more prime areas.

Originally Posted by skybluesky

That is a cute house. I have HAR searches set up for these areas, but everything I've liked appears to be a flipped house listed at 200-250k, with a 2012 tax appraisal of 90-125k. I wonder about appraisal issues with that when trying to get a mortgage. Are these sellers just waiting for a cash buyer?

[jojobeans2]

Originally Posted by skybluesky

That is a cute house. I have HAR searches set up for these areas, but everything I've liked appears to be a flipped house listed at 200-250k, with a 2012 tax appraisal of 90-125k. I wonder about appraisal issues with that when trying to get a mortgage. Are these sellers just waiting for a cash buyer?

Assessed value (used for taxes) and appraised value are two different things. Read up on it: Assessed Values vs Appraised Values - Zillow Advice

Appraised value is based on the market. If all the other homes in similar condition are selling for 200-250k, then the appraisal will show that.

[texsn95]

Originally Posted by skybluesky

We have family that lives in Sugar Land, so we decided if we're going to move further out, it might as well be in the direction of family and future child care help. Pearland doesn't seem well planned out (highway access, alternate routes, etc.) and is devoid of trees. Katy's tax rates are ridiculous, at least in newer sections, and I don't like the 'feel' of newer Katy. Older Katy has better tax rates, but that's where I'm seeing 200k+ homes in bad shape with no seller flexibility. Cypress is out because I refuse to use 290 as my commute road into town. I'm not familiar w/ League City or Friendswood, but will check those out. I was looking into Fall Creek on the NE side of town, the homes are nice, commute seems better, but the tax rate and HOA are very high.

Here's what I'm looking for, under 230k:
>3-4 bedrooms, 2-3 bathrooms
>Open floorplan (but not "the kitchen is IN the living room" layout)
>Somewhat upgraded kitchen (as in, doesn't look like it's straight from 1980. I'm ok w/ painting cabinets and changing countertops, other visual details)
>A second living area, whether it be an office/den/gameroom that is separate from main living room
>Trees, maybe? Hopefully?
>No major foundation probs, old roof, old HVAC system, water damage
>Good elementary school (prefer good overall school zoning, for resell value)
>No highway noise from the backyard or inside the house (I'm looking at you, Long Meadow Farms...)
>Tax rate under 3%
>Feels safe and quiet

Neither of us have a permanent office location. We're both consultants so the project could be anywhere. I'm currently on the NE side of town, and he's in the Galleria area. Who knows where the next project will be...

Here's a nice one in my neighborhood, not in Sugar Land (not too far away though) but perhaps meets all of your criteria except price and location. Deerfield tax rate is about 2.5%.

5006 Hastingwood, Houston, TX 77084 - HAR.com

[Schumacher713]

If you want the perfect location, schools, yard, etc.. you have to pay for those things. Either raise your budget or compromise many things. You are buying at the right time of year. If you are determined to buy this is your best chance right now. Interest rates are still low and it is the off season for selling houses. Things are just going to get more expensive in the future. I think building new is nuts because mud districts will kill you in the long run.

Someone posted an old house in Willowbend in your price range. I think that area will appreciate.

[IC_deLight]

Originally Posted by skybluesky

We are first time homebuyers that started looking in July, and it's been a mind boggling and exhausting experience. We started out looking for something around 200k on the Central North side (Mangum Manor, Candlelight areas, etc.), but quickly learned our must haves wouldn't be met in our budget for that area (safe feeling, good elementary school zoning, no flood zone). We didn't want to buy a "stop gap" house to live in for 5 years and then move when we have a kid entering elementary school...so we decided to look further out.

Switched focus to the 'burbs, specifically Sugar Land, and upped the budget to 230k. Focusing on areas with decent tax rates (under 3% at least), good school zone (better for resell), and mature trees. New Territory, Greatwood, First Colony, Pecan Grove. We have looked at 37 houses in 9 weeks and none of them seem to justify the list price - it's always something. Weird layout, backs up to busy road, next to train tracks, borders Alief or other unsavory part of town, major roof/foundation/HVAC probs, unfavorable school zone, *completely* outdated. I think out of the 37 houses, there were 3 nice options that fit the bill but went pending in a day.

I really, really believed that if I decided to move out to the suburbs, I could have my pick of decent to great houses for *well* under 200k. Did I miss those golden years? It feels like the ONLY thing making a house purchase right now worth it is the low interest rates. I'm fed up. I'm ready to continue renting an apartment for $1300/month, stash cash for higher down payment in a couple years, and try not to lament when interest rates keep rising.

What would you do, CityData? To make matters more complicated, the place we're in now is on the market and we're just waiting for the landlord to tell us he got an offer and it's time to get out. Ugh.

You're pointing out that someone else is trying to capture the bulk of the benefit of the deductibility of the interest. The houses are overpriced. Even worse, all the ones you listed are burdened by involuntary membership HOAs.

Although you don't need to plan up front on moving after 5 years, there's a good chance that you will have events that require you to re-assess being in the same place 5 years from now. Not that you want to pay more commissions, etc. just that there is only so much longer range planning you can do. Pick a place without an HOA - that's going to entail buying older property because local government has pretty much ensured that anything built in the last 30 years is going to have an HOA unless it's one of a couple of homes that aren't in a production home subdivision. It's easy to want a new home - the problem is with what you can't see, the legal entanglement and nastiness that comes with the HOA.

[14Bricks]

Originally Posted by houston-nomad

Why not look at Westbury/Willowbend? Still some deals to be had. Plus you'll see very good appreciation in this neighborhood (better than in the burbs) so if you decide you want something different in 5 years, you'll have a bigger budget to play with at that point. Something like this:
4539 Warm Springs Rd, Houston, TX 77035 - HAR.com

Because she said she wants GOOD schools, which is always going to be a problem for people with kids looking for houses. Unless she's going the private school route or she can get them into one of the HISD magnet/vanguard programs then most people with school aged children are going to look at the suburbs.

[Failed Engineer]

Originally Posted by 14Bricks

Because she said she wants GOOD schools, which is always going to be a problem for people with kids looking for houses. Unless she's going the private school route or she can get them into one of the HISD magnet/vanguard programs then most people with school aged children are going to look at the suburbs.

That particular house linked to is zoned to a good elementary and middle.

[Htown2013]

Originally Posted by DejaBlue

Failed Engineer is right. Don't listen to the hype. Sugar Land and Katy are NOT the heavenly in Houston suburbs. There's a ton of others and you're limiting yourself.

What has you so sold on Sugar Land? And you just mentioned your price but what are you wanting house wise?

I feel like you might be wanting too much for too little but need more info on what you're looking for. If you're new to Houston and followed the oh you can get whatever you want, 4 bedrooms, 3500sq ft, best schools in the burbs, pool, etc for $150k.

You got hoodwinked. Big time.

This was true 10-12 years ago. Sugar Land was still more expensive than the others back then, say $225-250k while others burbs were $175k for that back then. The whole area is much more expensive now. Sugar Land is 10% more expensive than last year almost across the board, and the desirable parts of the inner loop & just outside the loop areas are even higher.