Recommended neighborhoods for early 30s professional (Dallas, Plano: real estate, apartment, foreclosures)

[reginasmu]

I am in the processing of trying to figure out what area of town I would like to live in. I am 32, single with no children as of yet. I'm seeking to buy my first home and have been considering Little Elm (Paloma Creek South - but may be way too far from alot of things) and Wylie (Like the Woodbridge community). I looked in McKinney and saw some nice neighborhoods, but it just seemed so far north. Are there any others? What are some communities/areas that you would recommend? I am looking for a master planned type community, not terribly expensive. I work in Plano, and go to church in the border of Oak Cliff/Duncanville, accessible by 67 or 20.

Thanks for the help!

[nsumner]

Holy macro Reginasmu, you are going the wrong direction. From Woodbridge to Little Elm. Check out the map, you are going to spend an hour driving to Duncanville (without traffic). If that is acceptable to you, need to know what your price range is. Since you mention Paloma Creek, I assure that you're looking under 250K, so you may want to check out Sunset Pointe in Little Elm and Christie Ranch. They are both off Main street and Eldorado, close to all the shopping and dining area.

If you want to explore south Garland, check out The Shores of Eastern Hill, it is the only master planned community in the area to put you close to 635/30/20 in that price range anyway.

Naima

[reginasmu]

LOL, Naima, I know! I was looking at Little Elm before I found out about Woodbridge. I was liking the Horizon Homes in Paloma Creek. Funny you mention Sunset Pointe, I originally looked there when I was exploring Little Elm, but I hear that alot of the homes there are not owner occupied and that there are alot of foreclosures. I'm wanting to stay below $200K.

I did a quick search on Shores of Easter Hill, but I see that the all of the phases of the neighborhood are built up. I think I'm leaning more toward new construction.

Robinson's Ridge in McKinney is nice, but I think it's just to far out. I keep hearing about Murphy, but again, is that even further than Wylie? lol I have some good friends who live out in Fate in WoodCreek. Lovely neighborhood, but, again, it's seems very far. But, it may be closer to freeways...I don't know...lol

[TurtleCreek80]

I would NOT invest my money in a new construction neighborhood in any of the ex-urbs you are looking in, IF there is even a remote chance you are going to sell in the next 5-10 years.

These areas are TANKING, Foreclosure city!!! They are so far out that you will be competitng against new construction when you sell for at least the next 10-20 years.....and we know how much people love to move to DFW and buy a huge, brand new home, cause no one likes a "used" home!!

You will not make the 10% appreciation you need to sell your home & cover realtor's fees (6%) and closing costs (approx 3-4%) in the next 5-10 years. You will, with 90% certainty, have to bring money to the table to close if you are not staying put for a looooong time.

I would highly suggest you RENT, or look at an established, well-managed, SMALL condo community intown Dallas- the only hope you have of having the flexibility to sell if you need to. Focus south of 635 in Dallas- there are condos along Royal Lane, just west of 75, in your price range. There are also duplexes in your price range that are east of Hillcrest between Walnut Hill & Royal.

You are single. YOu can't afford to make a bad choice with $200k of your money (close to $400k by the time you pay off a 30 year fixed-rate mortgage!!)

[pappy97]

Not sure why you created another thread on this since the first one was adequate to discuss issues, but I won't steer you away from Wylie for any reason other than your 3 times a week drive to Duncanville. I bought a "used" home in Wylie (built in 05, lived in since early 06 until we bought in 09). I don't think Wylie is "tanking" in terms of real estate. People do like new construction, but they also like simply newer homes too (like myself, I restricted my search last year to homes that were built 2000 or later). The fear-inducing flawed example of having to bring money to the table doesn't account for the fact that you've reduced your mortgage balance (i.e., built equity) in those 5-10 years so even in the scenario that prices remain stagnant, you won't be bringing money to the table just to get out of the house, but yes you shouldn't bank on massive appreciation. Nobody, including myself, buys in Wylie to make a killing. I am hopeful the house I bought last Nov for $210k could sell for $230k in 5 years, but I'd settle for it selling close to what I paid for it if I needed to or wanted to move.

But that church commute...Google maps says the fastest way is TX-78 to Bush to 75 to 35E to 67 to 20, about 40 something miles each way. That's an 80+ miles round trip 3 times a week, two of those days I believe you said were on weekdays. Have you considered something in Dallas proper such that your work commute is a reverse commute and your church commute is considerably shorter? I suggest you try to split the difference between Plano and Duncanville.

If I were in your shoes, I'd probably rent a loft/apt/whatever at Mockingbird Station and wouldn't buy until I got married or had kids. Mockingbird Station has some restaurants, shops, a movie theater, and a DART rail red line stop, and probably a good difference splitter between Duncanville and Plano.

[Lakewooder]

I concur with TC - things are very uncertain these days and I have seen people buy new out in the sticks during the 80s bust where it took them forever to get out of those places - most took a loss.

Think of it this way - are you interested in looking at five or ten year old homes in those areas which are a few miles closer in?

Besides, what if you meet someone and you are 'geographically undesirable'? Don't commit to a 30 year mortgage at your age unless you buy in a central location that you can either sell or rent easily.
It's much easier to enjoy being single in Dallas when you are closer to the major attractions with everyone else.

[TurtleCreek80]

Pappy- you are completly forgetting interest in your calculations. In a 30y, fixed rate loan @5%, about 90% of your payments in the first 5 years go towards interest, not the principal. While you've made $65k in mortgage payments, maybe only $6k of that went to pay down your principal.

So all it takes on a sub-$200k home to wreck you is a newer home selling for $10-15k less than you paid, plus not putting 20% down (there are still 3 & 5% down loans being funded), and all of a sudden you WOULD need to bring about $5-10k to closing if the property was sold 5 years after purchase for flat to -$5-10k to purchase price.

[reginasmu]

Thanks for the feedback, all. Pappy97, I started the new thread because the other one was specifically about Woodbridge, and I wanted to broaden my thoughts a bit.

Being an SMU alum, I am very familiar with the Uptown part of town. I've lived in Uptown and Downtown Dallas, and at this point looking for something more on the outskirts with a more suburban feel. I currently live in an apartment in Addison Circle, which is great suburban feeling area, yet close to alot.

I understand what you all are saying about buying being single. I like to entertain, and am in the process of starting a business, so I really need the space that having a home would bring. I've thought about looking at townhome communities too - there are some very nice new townhome communities in the East Dallas/Abrams/Lakewood areas, but seem to be way out of my price range. I haven't looked into that idea much, since I was focused on single family homes, but does anyone know of any new townhome/condo communities that might be more in my price range? I've also heard that it's easier to sell a smh than a townhome/condo.

And, also to clarify, I'm not looking to make a killing on re-sale or anything, I mainly just don't want to be in an area where the property values are dropping, which I have heard about some suburbs.

Keep the thoughts coming!

[TurtleCreek80]

Originally Posted by reginasmu

I've thought about looking at townhome communities too - there are some very nice new townhome communities in the East Dallas/Abrams/Lakewood areas, but seem to be way out of my price range. I haven't looked into that idea much, since I was focused on single family homes, but does anyone know of any new townhome/condo communities that might be more in my price range? I've also heard that it's easier to sell a smh than a townhome/condo.

If you buy a condo/townhome, focus on complexes with fewer than 100 units (fewer than 50 units is even better). This lessens your competition when you go to sell. Look for a condo board (HOA board) that is well run and has plenty of cash in reserves to handle maintance & improvements, without leveraging assessments onto owners. A board that has not raised HOA dues in 5, 10, 15 years (yes, they are out there!) will likely have deffered maintance issues arise and the possibility of assessment is increased. A 2-3 story complex will have less issues (and cheaper maintenance/upkeep) than a mid- or high-rise.

I would recommend looking at the following properties to see what is in your price range in a south of 635 location. I kept the max price to $175k due to mandatory HOA fees with condos/townhomes.

5806 Birchbrook Drive #107 Dallas, TX 75206 (off of Greenville & University area) **several units in this complex are under contract currently- good sign!
$170,000
2/2 1,047 sq ft
$157/ monthly HOA dues

8610 Turtle Creek Blvd, #207 Dallas, TX 75225 (off Turtle Creek & Northwest Highway- Preston Hollow area) **only 36 units in complex!!
$162,500
2/2 1,284 sq ft
$383/ monthly HOA dues

6155 Bandera Avenue, #6155 Dallas, TX 75225 (Northwest Highway & Preston- Preston Hollow area)
$150,000
2/2 1,127 sq ft
$285/ monthly HOA dues (includes utility bills)

7640 West Greenway Blvd #3D Dallas, TX 75209 (Lovers Lane & Tollroad- Greenway Parks/Devonshire area)....every friend I have ever known who lived there was able to sell their unit within 2 weeks @ full price. Very desirable complex where units rarely go on the market!
$138,500
2/2 1,061 sq ft
$308/ monthly HOA dues

Anything in there strike your fancy?

[reginasmu]

Thanks alot for sending those listings, TC80. I just went and quickly looked at them. I guess my main issue is that I find it hard to pay so much for such little square footage, when I can buy a sfh twice that size for the same price. Part of what I'm looking for is alot more space. Also, the complexes are not really attractive to me. The interior finishes are decent, but I just feel that in some of the homes I've looked at I can get a nicer looking home from a curb appeal standpoint. What is it that attracts people to live there? Am I missing something? I guess you are paying for the land/location and makes it a great place from an investment standpoint. Are there any new condo/townhome communities that you know of fit my price point (Below $200K)? I know that's hard to find in that area, but you never know....