First Time Home buyer (San Antonio, New Braunfels: sales, real estate, apartments)

[wCat]

I need a home. SA is my hometown, but I moved away for about 20 years. I'm back after my divorce and am sick of renting. I've been looking for a condo/townhouse inside the loop, but the prices are outrageous, and in my opinion becoming a bad investment. I've recently looked at new construction, but I'm underwhelmed at the quality of construction. I'm doing this solo and haven't purchased a home in 16 years and never by myself. I have an agent who is very new and not to his discredit, just not "in the know" yet.

I love the location inside the loop because it's close to my client base and it's "home".....but price per sq ft PLUS major redo's are looking dismal.

I've looked at a few of the communities north of the New Braunfels area that are pretty nice....but in an unincorporated area. Better price and ammenities for sq ft and I think a better investment, but 35 extra miles one way to work is a huge trade off. I'm thinking long term and want to get settled. San Antonio cost of living is growing faster than wage/income rates! ouch!

Any tips on shopping new construction? I need to move within 60 days!!!!
And what are the drawbacks of living in an unincorporated area?

Thanks in advance for any feedback!

[MichelleSG]

As I understand it the nice places inside the loop have gone up quite a bit in price but I think you'll still see a return on your investment. There's a great little summation article on CNN today about house prices by region:
http://money.cnn.com/popups/2006/for...lestate/2.html
Still, it's only an investment if you plan on selling it. If you want someplace long term I suppose an expensive condo might not be ideal. I wouldn't recommend a long commute from far outside the city, it very may well be something you'll regret sooner rather than later with the way traffic has been growing lately. As much as I'd love to live out in New Braunfels the drive would get real old real quick.
We bought a new construction spec home as our first home in August and are very happy with the quality. We also chose a builder that is spectacular in their dealings with warranty work too so that helps. As I understand it though is it well advised that you hire your own inspector to oversee the build. We obviously couldn't since we found the place at it's dry wall stage but if you are starting out from the begining then it's an option. Do you need to buy in 60 days or move in in 60 days? What area and price range are you looking at? And are you looking for a single family home or townhouse/condo?

[wCat]

HI Michelle....thanks for your reply. I'm self employed so I don't have a structured commute. Still...most of my client base in inside the loop (410)...and yes, that is still a long commute under those circumstances. I would hope that I eventually I could develope clients where ever I end up.

As far as condo/sfh/townhouse....I really don't care. Just something affordable that will get a good return on an investment. The I-35 and I-10 corridors are experiencing so much growth which is good for property values as a homeowner. There is very little new construction inside 1604, and virtually none in my price range inside 410. I'm renting now and we have been notified that our property is being converted to condominiums. We had the big reveal last week and the prices for our "apartment grade" construction averaged out at $240 per square foot! Most of the residents came with their wallets open ready to buy, but snapped them shut at such outrageous prices. That was supposed to be the "low" introductory pricing. It really was insulting. But....the sad thing is, it's investor driven....and they will get it eventually.

Do you think homes along I-10 would be more desirable than I-35? I don't want to move West of town because of work and family. North Central or North East would be the only two directions I'd consider outside the loops.

[MichelleSG]

$240/sqft? Oh hell no, and certainly not for a condo conversion. There are several sfh little fixer uppers that are early 1900's homes in up and coming neighborhoods downtown. I know they aren't going for nearly that much and they aren't totally run down either. The downtown area will be undergoing a renovation era in the next few years so you kind of have to look a little deeper than the rough looking exteriors. If you are really interested in staying inside the 410 try looking into the places that the historical society is putting money into. If you have the time go hunting through the HUD website as there are incentives (ie cash) given to individuals who purchase homes in some neighbohoods that they are trying to revitalize.
If you are looking for a new build the I10 and I35 corridors are great places for investment growth. Historically I10 is more 'desirable' than the I35 which is why the houses are more expensive. I think it' because of the terrain, people like the hill country and the trees dwindle once you pass 281. The downside of 281, of course, is the obscene traffic. There's a cute little neighborhood that I really like just west (and I mean just) of the I10 at the 1604. Legend Hills or something like that. You can get to it by going north on Babcock and making a right on Camp Bullis.
What price range are you looking at?

[n0vemberHAWK]

I wouldnt live inside 410 unless it was in Alamo Heights

[wCat]

Michelle...I'm going to look out I-10 this week. I LOVE New Braunfels, but I do see the appeal and potential investment in a home on the I-10 corridor.
I'll tell you what I find.

November....Alamo Heights is almost off the charts for reasonable real estate.
I looked for a SFM .....a 2br1ba fixer upper is the bottom of the real estate pool.....and they start at $200 k now. Some of the condos are lovely, but wer originally built as apartments. But even 30 year old properties have more solid construction that they do now. The problem with these older condo communities is the HOA prices are out of site. For example.....a 2 br 1 ba with no garage and in need of much work on the property has a HOA fee of $750. I had to ask the realtor if it was a typo and they said NO! To me that's throwing away money just like rent. This property was at Chateau Dijon...(not Dijon North). I have a hard time justifying that expense. I think Alamo Heights has reached the bubble.....it will have to turn around and stagnate for a while before it becomes a buyers market again. The city of Alamo Heights did pass a moratoreum on razing old houses to build McMansions.....so that might help some of the "lot" prices to level out. This is ONLY within the AH city limits. There is an area that is still 09 but withing SA city limits.....then there is the part that is 09 that is Northeast school district. Same zip, but different real estate comps. It's all about location there. Terrell Hills actually came in as being the leading area for real estate sales in SA this past year....close behind was Alamo Height and Olmos Park. All getting out of reach......