400k doesn't do anything for you in Austin now! (Round Rock: sale, rental)

[TXEX06]

Just move to another city! That's what I did.

[JT-3]

Originally Posted by WildChicken

Isn't this the truth. People overpricing dumps 15 miles outside of downtown.

You working with a Realtor yet or just looking on the internets?

[Austinite101]

400k doesn't get anything? Wow, you must really be out of touch or have a terrible realtor. Or both.

[buffettjr]

Originally Posted by sojourner77

I live 9 miles from downtown in a 2200sf upgraded Standard Pacific home that I bought new for 225K in 2008, and I could sell now for 270K, and it's not a dump.

Only a 20% return over 7 years? That's only about a 2.7% annualized return per year which is around nothing after inflation. That's actually really surprising to me for somewhere in Austin...what's going on here?

Edit: Nevermind, just saw the part that said "bought new". Makes more sense that way.

[riaelise]

Originally Posted by buffettjr

Only a 20% return over 7 years? That's only about a 2.7% annualized return per year which is around nothing after inflation. That's actually really surprising to me for somewhere in Austin...what's going on here?

uh who said that real estate goes astronomically upward everywhere in Austin? No wonder we have dummies latching onto Austin like its the next big thing, because they think that it's a given to have other-worldly appreciation. Please! Not everywhere in Austin is seeing the same appreciation gains as central and southwest and probably some other areas that escape me.

Seriously. Appreciation rates are like genitalia-measuring on this board sometimes. Real estate can make, lose, and not gain money. Homes are places to live and if you make money..ANY MONEY.. on the side, then good for you. I could give a flip about how much money I made on the sale of my home (i.e. I only made 80k I could have made 100k or more) as long as I enjoyed living there.

[sojourner77]

Originally Posted by buffettjr

Only a 20% return over 7 years? That's only about a 2.7% annualized return per year which is around nothing after inflation. That's actually really surprising to me for somewhere in Austin...what's going on here?

Edit: Nevermind, just saw the part that said "bought new". Makes more sense that way.

1. In central Austin, you're looking only at the sales prices and not the "flip" cost that brought the value up.


2. High profile companies haven't been lured to south Austin. There are neighborhoods with worse schools, worse crime, poorer housing stock that have appreciated more, just because they are within an acceptable commute range to Apple, GM, Schwab, etc. It sucks for the employees of those companies, but it's great for people selling those houses now. If they don't need access to those specific employers, they can move to south Austin, pay cash and live in a brand new house 2x the size with no "flipping" needed for another 10 years minimum.

by the way "nothing after inflation?" I've paid 60K off the 225K loan in the last 7 years, and will be done in 11 more years because of a 15-year refi. Who cares about beating inflation? I can wait another 11 years for a white-collar employer to set up shop near my neighborhood and avoid the property taxes in the mean time.

[cBach]

I was surprised to see those colorful new houses on Spicewood between MoPac and 360 to be "starting in the 600's".

And they are not even stone or brick, horrible idea with the Texas sun.

[cBach]

More on Parmer/Palmer:

https://www.reddit.com/r/Austin/comm...ssouri/c8hvi4n

[RunninJT]

Originally Posted by riaelise

78753 = horrible schools, older housing stock.

Horrible Schools, very true. Thankfully there are a few charter schools with better records in the area but are hard to get into. Our oldest commutes across town to go to a better high school off Mesa.

The houses are older but a new housing community is being built off of Cameron road right now that we are keeping an eye on. Our house was built in 71 and was a real beast when it came to energy inefficiency until we did a few years of window upgrades and insulation. Still not great but a big improvement to the $275 typical August electric bill. Right now house pricing has risen to around $270k on our block and is steadily rising faster than I thought would ever happen which has caused a huge turnover in neighbors in a the last two years as even long time residents are eager to sell while the prices are high. Two more just sold on my street in the last month alone and I saw the listing prices for around $260k, I never got to ask them before they moved a few days ago what they actually ended up getting as a final offer.

Wish I had my own crystal ball so I can see where this neighborhood is heading. More importantly whether I need to turtle up or run.

[CT_ATX]

Yeah, it's a rough life living in a cheap shanty at the dump, but still getting to enjoy all that Austin has to offer. I cry myself to sleep every night.