Bad news for those in market to buy a new home - San Antonio is most over valued market in nation (Austin: apartment complexes, renters)

[Juventud Guerrero]

I always thought that one of San Antonio's most redeeming qualities for most people was its affordability...

[sjgusmc21]

Our home in Trinity Oaks cost $254K 1.5 years ago. If we had tried to buy the same house in Northern VA, it would have been triple that cost, if not more. Not to mention you can't buy newer homes that are single story there. We would have never been able to afford there what we have here.

[txbullsfan]

Originally Posted by Juventud Guerrero

I always thought that one of San Antonio's most redeeming qualities for most people was its affordability...

San Antonio affordability was one of the most redeeming qualities. It was something I would brag to my family in my hometown in Illinois. They were constantly flabbergasted when I tell them the affordable pricing of homes out here in San Antonio. Things are changing. That affordability window (when compared to the much of the country) while still there (to a smaller degree), is slowly closing.

The San Antonio area is the number 2 moved to spot in the nation from other states and affordable housing was a huge driver for this. There are many comments on this board showing this as well. Plus, many of you have probably seen many out of state licence plates.

Historically, when any location is viewed over time, a influx of people will increase traffic, increase crime (where there is more people there is more crime), increase fuel prices, increase food prices, increase property taxes (by increasing home values) and ultimately make more people homeless.

San Antonio has a history of having a lot of low income people and elderly (its a high retirement spot). These are the most vulnerable. Its a large reason why homes here historically have been lower then the national average. If investors are moving in to flip and rent out homes and you have many people moving in from out of state with much larger disposable incomes, local home prices inflate. The locals will also have to deal with the increased traffic and other challenges listed above. If I had to put a bet down, the amount of people being driven out of their homes and the number of homeless here in SA has increased to a large degree over the last few years. Many just simply cannot adapt to such an increasing influx of people at such a high rate and all the challenges it brings.

[ashbeeigh]

Originally Posted by txbullsfan

San Antonio has a history of having a lot of low income people and elderly (its a high retirement spot). These are the most vulnerable. Its a large reason why homes here historically have been lower then the national average. If investors are moving in to flip and rent out homes and you have many people moving in from out of state with much larger disposable incomes, local home prices inflate. The locals will also have to deal with the increased traffic and other challenges listed above. If I had to put a bet down, the amount of people being driven out of their homes and the number of homeless here in SA has increased to a large degree over the last few years. Many just simply cannot adapt to such an increasing influx of people at such a high rate and all the challenges it brings.

Are you basing this on your own personal experience?Or data? Not once in my work in San Antonio did I work with a family that was experiencing homelessness due to an investor buying their home and flipping it. I still have many colleagues in the SA area and not once has that type of conversation come up. It's what I deal with on a daily basis in Austin, however. The homeless issues in San Antonio are largely due to drug use, mental health issues and unemployment, not an increase in housing costs. From my understanding, rents are relatively stable, it's the purchase price that has gone up. Yes, there are many homeless families in the city, but it's a combination of all the above that's causing the homelessness, not because they're being forced out of their homes due to affordability.

[Azure110]

Originally Posted by txbullsfan

Many just simply cannot adapt to such an increasing influx of people at such a high rate and all the challenges it brings.

There are a few people that consider this so called population growth a positive thing for San Antonio.

Constant bragging of how the population is growing and companies are moving here but I personally don't care to see what is happening to San Antonio. Careful what you wish for San Antonio.

[supfromthesite]

Originally Posted by Azure110

There are a few people that consider this so called population growth a positive thing for San Antonio.

Constant bragging of how the population is growing and companies are moving here but I personally don't care to see what is happening to San Antonio. Careful what you wish for San Antonio.

I'm either going to leave San Antonio or never go outside the loop. I, for one, am very bummed.

[sapphire]

Some are likely being forced out of their homes due to rising assessed values and the accompanying increase in property taxes. Either their mortgage payments go up or their landlord raises the rent to cover his increased tax liability.

[TXsurburbanmom]

We’re thinking of buying within our general area - same schools just a better lot with more security. We bought 6 years ago this month and the value has gone up right around 100k so we have plenty of equity in the house (we had some walking in as it was a foreclosure). We hate to buy high but have reasons to need a more secure neighborhood so while we will buy during a higher market point, we can move up slightly in size and amenities while only having to spend $20-30k more than we sell for - if even that much. We may have to update the new house but we’re good at DIY so that’s never been a huge expense for us.

One thing we notice is the rents are definitely not increasing as fast as the market value. If we rent we can get just over the mortgage payment so maybe not even break even with HOA and maintenance. My husband wants to hold it and rent but I’d rather sell while the market is up and look at rental houses when it drops.

[rynetwo]

San Antonio is not only expirencing population growth, it is also seeing wage growth and a growing economy. Hold on tight because we are showing no signs of slowing. Rents in the urban core used to be 1.75 a square foot we are now seeing new buildings at 2,3 and 4 dollars a square a foot.

[Juventud Guerrero]

Originally Posted by rynetwo

San Antonio is not only expirencing population growth, it is also seeing wage growth and a growing economy. Hold on tight because we are showing no signs of slowing. Rents in the urban core used to be 1.75 a square foot we are now seeing new buildings at 2,3 and 4 dollars a square a foot.

Honestly I see the bubble bursting pretty soon, that's why I don't worry about San Antonio ever becoming an expensive city to live in.

I don't see San Antonio ever having the same appeal as cities on the coasts or even Austin in order for people to justify wanting to pay high prices just to live there. Don't get me wrong that's not a necessarily bad thing; San Antonio has always been an affordable option for young families and the elderly.